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Measuring Inter-Firm Openness in Innovation Ecosystems

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  • Aftab Alam, Muhammad
  • Rooney, David
  • Taylor, Murray

Abstract

Inter-firm openness is critical to creating an open innovation ecosystem. However, a method for measuring openness among ecosystem firms has not been developed. We demystify the largely implicit openness construct by introducing a five-dimensional, 20-item Inter-Firm Openness Scale (IFO-Scale). Using three qualitative and four quantitative data sets from two innovation hubs: Macquarie Business Park (Australia) and Silicon Valley (USA), we present the development and validation procedures in three interrelated studies. Study 1 generates a descriptive model of an open innovation ecosystem, identifies the critical openness dimensions among ecosystem firms, and refines items for measurement. Study 2 examines dimensionality and internal construct validity. Finally, Study 3 establishes the nomological- and criterion-related external construct validity. The IFO-Scale replicates across samples and demonstrates strong psychometric properties. The measure aids managers in assessing the degree of inter-firm openness in their innovation ecosystems and enable researchers to test and advance open innovation theory.

Suggested Citation

  • Aftab Alam, Muhammad & Rooney, David & Taylor, Murray, 2022. "Measuring Inter-Firm Openness in Innovation Ecosystems," Journal of Business Research, Elsevier, vol. 138(C), pages 436-456.
    • Handle: RePEc:eee:jbrese:v:138:y:2022:i:c:p:436-456
    DOI: 10.1016/j.jbusres.2021.08.069
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    3. Muhammad Aftab Alam & David Rooney & Erik Lundmark & Murray Taylor, 2023. "The Ethics of Sharing: Does Generosity Erode the Competitive Advantage of an Ecosystem Firm?," Journal of Business Ethics, Springer, vol. 187(4), pages 821-839, November.

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