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The Impact of Innovative Technology Exploration on Firm Value Sustainability: The Case of Part Supplier Management

Author

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  • Insung Son

    (Department of Management, Gyeongsang National University, JinJu 52828, Korea)

  • Jinsu Kim

    (Department of Management, Gyeongsang National University, JinJu 52828, Korea)

  • Gwijeong Park

    (Department of Management, Gyeongsang National University, JinJu 52828, Korea)

  • Sihyun Kim

    (Department of Logistics, Korea Maritime and Ocean University, Busan 49112, Korea)

Abstract

With rapid changes driven by technical advances, innovative technology capacity is a strategic asset unique to a company allocating various tangible and intangible resources, and it promotes technological innovation. This study analyzed the technology applied to iPhone series by Apple from 2007 to 2017 and measured the information effect of innovative technology exploration on the firm value for managing global supply chain (USA, Taiwan, Japan, Korea, and Europe). Adopting the pooled OLS (Ordinary least square) and panel analysis, this study revealed that exploration technology exploring new technologies shows a positive market response in the information effect of sustaining innovation. Results identified that exploitation and exploration can give different results depending on a construct (exploration and exploitation technologies) or congruence (combination and balance). In addition, the results indicate the importance of the balance between exploitation and exploration technologies and rational part supplies management in Apple’s new product development strategy. Analyzing the impact of innovative technology exploration on the firm value for global supply chain management, this study suggests significant implications for strategic decision making for the company to build continuous innovation path through technology search and to secure sustainability of organizations facing rapid changes in technical advances.

Suggested Citation

  • Insung Son & Jinsu Kim & Gwijeong Park & Sihyun Kim, 2018. "The Impact of Innovative Technology Exploration on Firm Value Sustainability: The Case of Part Supplier Management," Sustainability, MDPI, vol. 10(10), pages 1-17, October.
    • Handle: RePEc:gam:jsusta:v:10:y:2018:i:10:p:3632-:d:174886
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    References listed on IDEAS

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    Cited by:

    1. Insung Son & Sihyun Kim, 2022. "Supply Chain Management Strategy and Capital Structure of Global Information and Communications Technology Companies," Sustainability, MDPI, vol. 14(3), pages 1-13, February.
    2. Yongan Zhang & Umair Khan & Seoyeon Lee & Madiha Salik, 2019. "The Influence of Management Innovation and Technological Innovation on Organization Performance. A Mediating Role of Sustainability," Sustainability, MDPI, vol. 11(2), pages 1-21, January.
    3. Lirios Alos-Simo & Antonio J. Verdu-Jover & Jose M. Gomez-Gras, 2020. "The Dynamic Process of Ambidexterity in Eco-Innovation," Sustainability, MDPI, vol. 12(5), pages 1-17, March.
    4. Abdelkbir Elouidani & Karim Hajar & Jamila EZ-ZAOUINE, 2022. "Study Of The Impact Of Technological Innovation On The Implementation Of A Csr Approach: The Case Of Morocco [Étude D'Impact De L'Innovation Technologique Sur La Mise En Oeuvre D'Une Démarche Rse :," Post-Print hal-04180171, HAL.

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