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Technological capability building through networking strategies within high-tech industries

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Author Info

  • Duysters, Geert

    ()
    (UNU-MERIT)

  • Vanhaverbeke, Wim

    ()
    (Technical University Eindhoven)

  • Beerkens, Bonnie

    ()
    (Technical University Eindhoven)

Abstract

Learning through networks has been considered as an important research topic for several years now. Technological learning is more and more based on a combination of internal and external learning and firms need to develop both technological and social capital for that purpose. This paper analyses the relationship between both types of capital and their impact on the technological performance of companies in high-tech industries. We claim and find empirical evidence for decreasing marginal returns on social capital. Technological capital and social capital mutually reinforce each other's effect on the rate of innovation for companies with small patent and alliance portfolios. However, when the patent portfolio and network of alliances are extensive, companies risk to over-invest since optimal levels of social capital become smaller at higher levels of technological capital and the marginal benefits of investing in technological capital decreases the higher the levels of social capital. Finally, we find empirical evidence that companies that explore novel and pioneering technologies have higher levels of innovation performance in subsequent years than companies that solely invest in incremental innovations.

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File URL: http://www.merit.unu.edu/publications/wppdf/2007/wp2007-018.pdf
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Bibliographic Info

Paper provided by United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT) in its series MERIT Working Papers with number 018.

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Date of creation: 2007
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Handle: RePEc:unm:unumer:2007018

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Keywords: Strategic Alliances; Networks; Innovation;

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  16. repec:fth:harver:1473 is not listed on IDEAS
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Cited by:
  1. B.M. Sadowski. & G.M. Duysters & G.Sadowski-Rasters, 2005. "On the termination of strategic technology alliances: An exploratory study," Working Papers 05.12, Eindhoven Center for Innovation Studies.
  2. René Belderbos & Martin Carree & Boris Lokshin, 2006. "Complementarity in R&D Cooperation Strategies," Review of Industrial Organization, Springer, vol. 28(4), pages 401-426, June.
  3. LOPES BENTO Cindy & HOTTENROTT Hanna, 2012. "Quantity or Quality? Collaboration Strategies in Research and Development and Incentives to Patent," CEPS/INSTEAD Working Paper Series 2012-29, CEPS/INSTEAD.
  4. Aken, van J., 2001. "Improving the relevance of management research By developing tested and grounded technologiCAL RULES," Eindhoven Center for Innovation Studies (ECIS) working paper series 01.19, Eindhoven Center for Innovation Studies (ECIS).
  5. Lim, A., 2002. "Standards Setting Processes in ICT: The Negotiations Approach," Working Papers 02.19, Eindhoven Center for Innovation Studies.
  6. Wilfried Zidorn & Marcus Wagner, 2012. "Too Much of a Good Thing: The Role of Alliance Portfolio Diversity for Innovation Output in the Biotechnology Industry," DRUID Working Papers 12-10, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
  7. Jose M Barrutia & Carmen Echebarria & Ainhize Gilsanz, 2011. "Social capital and innovation: an empirical analysis in the context of European regions," ERSA conference papers ersa10p1347, European Regional Science Association.
  8. Magdalena, Olczyk & Marzena, Starnawska & Izabela, Richter, 2011. "Improvement of cooperation among SMEs and other stakeholders as means of fostering innovation," MPRA Paper 33654, University Library of Munich, Germany, revised 2011.

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