IDEAS home Printed from https://ideas.repec.org/a/bpj/erjour/v6y2016i1p75-109n1.html
   My bibliography  Save this article

Managing Innovation Networks for Knowledge Mobility and Appropriability: A Complexity Perspective

Author

Listed:
  • Corral de Zubielqui Graciela

    (Entrepreneurship, Commercialisation and Innovation Centre (ECIC), The University of Adelaide, Adelaide, South Australia, Australia)

  • Jones Janice

    (Flinders Business School, Flinders University, Adelaide, South Australia, Australia)

  • Statsenko Larissa

    (Entrepreneurship, Commercialisation and Innovation Centre (ECIC), The University of Adelaide, Adelaide, South Australia, Australia)

Abstract

Despite widespread recognition that an enterprise’s critical resources may extend beyond the enterprise’s traditional boundaries, with the focal enterprise drawing upon the resources of other firms and institutions through networks, there is a dearth of empirical research on knowledge mobility and appropriability patterns among innovative Australian small and medium-sized enterprises (SMEs) through the lens of complexity science. We address this gap, by examining what, how, and why innovation-related knowledge flows from networks into SMEs, and how SMEs protect intellectual property (IP) and appropriate value. Based on a survey of 838 SMEs, we find patterns of internal and external knowledge flows with SMEs searching for ideas internally, and via market-based networks, with internally sourced ideas having the strongest impact on innovativeness. The results also show SMEs are most likely to network with market-based agents relative to localised learning networks. Further, networking with suppliers increases innovativeness, as does sourcing knowledge as part of a package with the purchase of new equipment, underscoring the importance of the vertical supply chain network. Despite limited interaction with localised learning networks, outsourcing R&D to these networks increases innovativeness. We also find that informal IP, in particular, secrecy, complexity of product design, and frequent and rapid changes to products/services increases innovativeness, as do formal copyrights and trademarks. In addition to protecting IP, these practices are product market strategies, enabling SMEs to commercialise innovations and appropriate value. But while appropriability mechanisms provide innovation benefits to individual agents, from the perspective of complexity science, IP mechanisms act as barriers to effective knowledge flows (e.g. information sharing) preventing innovative networking through the mechanism of a positive feedback loop to evolve to the state where distributed intelligence comes into play and facilitates break-through innovations.

Suggested Citation

  • Corral de Zubielqui Graciela & Jones Janice & Statsenko Larissa, 2016. "Managing Innovation Networks for Knowledge Mobility and Appropriability: A Complexity Perspective," Entrepreneurship Research Journal, De Gruyter, vol. 6(1), pages 75-109, January.
    • Handle: RePEc:bpj:erjour:v:6:y:2016:i:1:p:75-109:n:1
    DOI: 10.1515/erj-2015-0016
    as

    Download full text from publisher

    File URL: https://doi.org/10.1515/erj-2015-0016
    Download Restriction: For access to full text, subscription to the journal or payment for the individual article is required.
    File URL: https://libkey.io/10.1515/erj-2015-0016?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Mina, Andrea & Bascavusoglu-Moreau, Elif & Hughes, Alan, 2014. "Open service innovation and the firm's search for external knowledge," Research Policy, Elsevier, vol. 43(5), pages 853-866.
    2. Scott, Allen J., 1995. "The Geographic Foundations of Industrial Performance," Mathematical Social Sciences, Elsevier, vol. 30(3), pages 319-320, December.
    3. David J. TEECE, 2008. "Profiting from technological innovation: Implications for integration, collaboration, licensing and public policy," World Scientific Book Chapters, in: The Transfer And Licensing Of Know-How And Intellectual Property Understanding the Multinational Enterprise in the Modern World, chapter 5, pages 67-87, World Scientific Publishing Co. Pte. Ltd..
    4. Claudia Werker & Suma Athreye, 2004. "Marshall’s disciples: knowledge and innovation driving regional economic development and growth," Journal of Evolutionary Economics, Springer, vol. 14(5), pages 505-523, December.
    5. Ash Amin, 1999. "An Institutionalist Perspective on Regional Economic Development," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 23(2), pages 365-378, June.
    6. Anne L.J. Ter Wal, 2013. "Cluster Emergence and Network Evolution: A Longitudinal Analysis of the Inventor Network in Sophia-Antipolis," Regional Studies, Taylor & Francis Journals, vol. 47(5), pages 651-668, May.
    7. Ron Martin & Peter Sunley, 2011. "Conceptualizing Cluster Evolution: Beyond the Life Cycle Model?," Regional Studies, Taylor & Francis Journals, vol. 45(10), pages 1299-1318, November.
    8. Tomlinson, Philip R., 2010. "Co-operative ties and innovation: Some new evidence for UK manufacturing," Research Policy, Elsevier, vol. 39(6), pages 762-775, July.
    9. Robert Huggins & Piers Thompson, 2015. "Entrepreneurship, innovation and regional growth: a network theory," Small Business Economics, Springer, vol. 45(1), pages 103-128, June.
    10. Michael Fritsch & Pamela Mueller, 2004. "Effects of New Business Formation on Regional Development over Time," Regional Studies, Taylor & Francis Journals, vol. 38(8), pages 961-975.
    11. Thomä, Jörg & Bizer, Kilian, 2013. "To protect or not to protect? Modes of appropriability in the small enterprise sector," Research Policy, Elsevier, vol. 42(1), pages 35-49.
    12. John Foster, 2005. "From simplistic to complex systems in economics," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 29(6), pages 873-892, November.
    13. Levén, Per & Holmström, Jonny & Mathiassen, Lars, 2014. "Managing research and innovation networks: Evidence from a government sponsored cross-industry program," Research Policy, Elsevier, vol. 43(1), pages 156-168.
    14. Michael Fritsch & Pamela Mueller & Antje Weyh, 2005. "Direct and indirect effects of new business formation on regional employment," Applied Economics Letters, Taylor & Francis Journals, vol. 12(9), pages 545-548.
    15. He, Zheng & Rayman-Bacchus, Lez & Wu, Yiming, 2011. "Self-organization of industrial clustering in a transition economy: A proposed framework and case study evidence from China," Research Policy, Elsevier, vol. 40(9), pages 1280-1294.
    16. André Spithoven & Wim Vanhaverbeke & Nadine Roijakkers, 2013. "Open innovation practices in SMEs and large enterprises," Small Business Economics, Springer, vol. 41(3), pages 537-562, October.
    17. Franco Malerba & Richard Nelson, 2011. "Learning and catching up in different sectoral systems: evidence from six industries," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 20(6), pages 1645-1675, December.
    18. Leiponen, Aija & Byma, Justin, 2009. "If you cannot block, you better run: Small firms, cooperative innovation, and appropriation strategies," Research Policy, Elsevier, vol. 38(9), pages 1478-1488, November.
    19. Robert Huggins & Andrew Johnston, 2009. "Knowledge Networks in an Uncompetitive Region: SME Innovation and Growth," Growth and Change, Wiley Blackwell, vol. 40(2), pages 227-259, June.
    20. Mark Freel & Richard Harrison, 2006. "Innovation and cooperation in the small firm sector: Evidence from 'Northern Britain'," Regional Studies, Taylor & Francis Journals, vol. 40(4), pages 289-305.
    21. Rosenbusch, Nina & Brinckmann, Jan & Bausch, Andreas, 2011. "Is innovation always beneficial? A meta-analysis of the relationship between innovation and performance in SMEs," Journal of Business Venturing, Elsevier, vol. 26(4), pages 441-457, July.
    22. Jason Owen-Smith & Walter W. Powell, 2004. "Knowledge Networks as Channels and Conduits: The Effects of Spillovers in the Boston Biotechnology Community," Organization Science, INFORMS, vol. 15(1), pages 5-21, February.
    23. Ron Boschma, 2004. "Competitiveness of Regions from an Evolutionary Perspective," Regional Studies, Taylor & Francis Journals, vol. 38(9), pages 1001-1014.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Martín-Rojas, Rodrigo & García-Morales, Victor J. & Garrido-Moreno, Aurora & Salmador-Sánchez, Maria Paz, 2021. "Social Media Use and the Challenge of Complexity: Evidence from the Technology Sector," Journal of Business Research, Elsevier, vol. 129(C), pages 621-640.
    2. Lei Xu & Ronggui Ding & Lei Wang, 2022. "How to facilitate knowledge diffusion in collaborative innovation projects by adjusting network density and project roles," Scientometrics, Springer;Akadémiai Kiadó, vol. 127(3), pages 1353-1379, March.
    3. Sonal Khurana & Sunil Luthra & Abid Haleem & Anil Kumar & Bisma Mannan, 2022. "Can sustainability be achieved through sustainable oriented innovation practices? Empirical evidence of micro, small and medium scale manufacturing enterprises," Sustainable Development, John Wiley & Sons, Ltd., vol. 30(6), pages 1591-1615, December.
    4. Anabel Ortega-Fernández & Rodrigo Martín-Rojas & Víctor Jesús García-Morales, 2020. "Artificial Intelligence in the Urban Environment: Smart Cities as Models for Developing Innovation and Sustainability," Sustainability, MDPI, vol. 12(19), pages 1-26, September.
    5. Víctor Jesus García-Morales & Rodrigo Martín-Rojas & Raquel Garde-Sánchez, 2020. "How to Encourage Social Entrepreneurship Action? Using Web 2.0 Technologies in Higher Education Institutions," Journal of Business Ethics, Springer, vol. 161(2), pages 329-350, January.
    6. Martín-Rojas, Rodrigo & Garrido-Moreno, Aurora & García-Morales, Víctor J., 2020. "Fostering Corporate Entrepreneurship with the use of social media tools," Journal of Business Research, Elsevier, vol. 112(C), pages 396-412.
    7. Yang, Jialei & Hurmelinna-Laukkanen, Pia, 2022. "Evolving appropriability – Variation in the relevance of appropriability mechanisms across industries," Technovation, Elsevier, vol. 118(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Robert Huggins & Piers Thompson, 2015. "Entrepreneurship, innovation and regional growth: a network theory," Small Business Economics, Springer, vol. 45(1), pages 103-128, June.
    2. Martine Gadille & Juan Ramón Gallego-Bono, 2021. "Rebuilding a Cluster While Protecting Knowledge within Low-Medium-Tech Supplier SMEs: A Spanish and French Comparison," Sustainability, MDPI, vol. 13(20), pages 1-35, October.
    3. João Lopes & Mário Franco, 2019. "Review About Regional Development Networks: an Ecosystem Model Proposal," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 10(1), pages 275-297, March.
    4. Graciela Corral de Zubielqui & Janice Jones & David Audretsch, 2019. "The influence of trust and collaboration with external partners on appropriability in open service firms," The Journal of Technology Transfer, Springer, vol. 44(2), pages 540-558, April.
    5. Huiying Zhang & Xiguang Chen, 2022. "Open Innovation and Sustainable Innovation Performance: The Moderating Role of IP Strategic Planning and IP Operation," Sustainability, MDPI, vol. 14(14), pages 1-15, July.
    6. Graciela Corral de Zubielqui & Noel Lindsay & Wendy Lindsay & Janice Jones, 2019. "Knowledge quality, innovation and firm performance: a study of knowledge transfer in SMEs," Small Business Economics, Springer, vol. 53(1), pages 145-164, June.
    7. Uwe Cantner & Holger Graf, 2011. "Innovation Networks: Formation, Performance and Dynamics," Chapters, in: Cristiano Antonelli (ed.), Handbook on the Economic Complexity of Technological Change, chapter 15, Edward Elgar Publishing.
    8. Ayerbe, Cécile & Boulos, Caroline & Castellaneta, Francesco, 2024. "Navigating protection mechanisms and innovation models: A literature-based configurational framework of intellectual property strategies," Technovation, Elsevier, vol. 137(C).
    9. Jiatao Li & Zhenzhen Xie, 2016. "Governance Structure and the Creation and Protection of Technological Competencies: International R&D Joint Ventures in China," Management International Review, Springer, vol. 56(1), pages 123-148, February.
    10. Christoph Grimpe & Wolfgang Sofka & Andreas P. Distel, 2022. "SME participation in research grant consortia—the emergence of coordinated attention in collaborative innovation," Small Business Economics, Springer, vol. 59(4), pages 1567-1592, December.
    11. Graciela Corral De Zubielqui & Janice Jones & Laurence Lester, 2017. "KNOWLEDGE INFLOWS FROM MARKET- AND SCIENCE-BASED ACTORS, ABSORPTIVE CAPACITY, INNOVATION AND PERFORMANCE: A STUDY OF SMEs," World Scientific Book Chapters, in: Joe Tidd (ed.), Promoting Innovation in New Ventures and Small- and Medium-Sized Enterprises, chapter 15, pages 359-391, World Scientific Publishing Co. Pte. Ltd..
    12. Pippel, Gunnar, 2012. "The Impact of R&D Collaboration Networks on the Performance of Firms and Regions: A Meta-Analysis of the Evidence," IWH Discussion Papers 14/2012, Halle Institute for Economic Research (IWH).
    13. Marcel Seip & Carolina Castaldi & Meindert Flikkema & Ard-Pieter de Man, 2019. "A taxonomy of firm-level IPR application practices to inform policy debates," LEM Papers Series 2019/03, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    14. Astrid Heidemann Lassen & Daniel Ljungberg & Maureen McKelvey, 2020. "Promoting Future Sustainable Transition by Overcoming the Openness Paradox in KIE Firms," Sustainability, MDPI, vol. 12(24), pages 1-14, December.
    15. Mounir Amdaoud & Christian Bas, 2021. "Patent Determinants for SMEs in Least-Developed Countries: How Enterprise Size Makes the Difference," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 12(2), pages 943-961, June.
    16. Taglialatela, Jonathan & Barontini, Roberto, 2024. "SMEs and patents: Is it worth it? A longitudinal analysis of the patent-performance relationship," Journal of Economics and Business, Elsevier, vol. 128(C).
    17. Yang, Jialei & Hurmelinna-Laukkanen, Pia, 2022. "Evolving appropriability – Variation in the relevance of appropriability mechanisms across industries," Technovation, Elsevier, vol. 118(C).
    18. Jiang Wei & Minfei Zhou & Mark Greeven & Hongyan Qu, 2016. "Economic governance, dual networks and innovative learning in five Chinese industrial clusters," Asia Pacific Journal of Management, Springer, vol. 33(4), pages 1037-1074, December.
    19. Miozzo, Marcela & Desyllas, Panos & Lee, Hsing-fen & Miles, Ian, 2016. "Innovation collaboration and appropriability by knowledge-intensive business services firms," Research Policy, Elsevier, vol. 45(7), pages 1337-1351.
    20. Charlie Karlsson, 2012. "Entrepreneurship, social capital, governance and regional economic development: an introduction," Chapters, in: Charlie Karlsson & Börje Johansson & Roger R. Stough (ed.), Entrepreneurship, Social Capital and Governance, chapter 1, pages 1-26, Edward Elgar Publishing.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bpj:erjour:v:6:y:2016:i:1:p:75-109:n:1. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Peter Golla (email available below). General contact details of provider: https://www.degruyter.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.