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How Can a Firm Innovate When Embedded in a Cluster?—Evidence from the Automobile Industrial Cluster in China

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  • Shuaishuai Li

    (School of Government, Peking University, Beijing 100871, China
    The Center for Spatial Data Science, The University of Chicago, Chicago, IL 60615, USA)

  • Suyang Han

    (School of Government, Peking University, Beijing 100871, China)

  • Tiyan Shen

    (School of Government, Peking University, Beijing 100871, China)

Abstract

In the era of the knowledge economy, knowledge management is increasingly important. Knowledge management ability is one of the core factors influencing enterprise competitiveness, affecting innovation performance and sustainable development. To test the impact mechanism of the knowledge management of enterprises on innovation performance, a multilevel structural equation model was established using data from the automobile industry in China, with “knowledge management” (KM) as the independent variable, the three dimensions of absorptive capacity as the mediating variables, and “innovation performance” (IP) as the dependent variable at the firm level. At the cluster level, the innovation milieu of the cluster was introduced into the model. The results show that the three dimensions of absorptive capacity all significantly mediate the relationship between knowledge management and innovation performance. The innovation milieu of the cluster had a direct cross-level effect on the innovation performance of enterprises and a positive cross-level moderated effect on the relationship between explorative learning and innovation performance. These results support the promotion of enterprise innovation ability and the creation of an innovation milieu in the automobile industry in China.

Suggested Citation

  • Shuaishuai Li & Suyang Han & Tiyan Shen, 2019. "How Can a Firm Innovate When Embedded in a Cluster?—Evidence from the Automobile Industrial Cluster in China," Sustainability, MDPI, vol. 11(7), pages 1-17, March.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:7:p:1837-:d:217468
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    1. Lenka Ližbetinová & Peter Štarchoň & Silvia Lorincová & Dagmar Weberová & Petr Průša, 2019. "Application of Cluster Analysis in Marketing Communications in Small and Medium-Sized Enterprises: An Empirical Study in the Slovak Republic," Sustainability, MDPI, vol. 11(8), pages 1-18, April.
    2. Niki Derlukiewicz & Anna Mempel-Śnieżyk & Dominika Mankowska & Arkadiusz Dyjakon & Stanisław Minta & Tomasz Pilawka, 2020. "How do Clusters Foster Sustainable Development? An Analysis of EU Policies," Sustainability, MDPI, vol. 12(4), pages 1-15, February.
    3. Haishi Li & Xiangyi Xu & Shuaishuai Li, 2020. "Does Entrepreneurship Contribute to Innovation Performance When Considering Spatial Spillover Effects? Evidence From the Automobile Industrial Cluster in China," SAGE Open, , vol. 10(4), pages 21582440209, December.
    4. Michael Yao-Ping Peng & Ku-Ho Lin & Dennis Liute Peng & Peihua Chen, 2019. "Linking Organizational Ambidexterity and Performance: The Drivers of Sustainability in High-Tech Firms," Sustainability, MDPI, vol. 11(14), pages 1-17, July.
    5. Feng Xu & Yuli Bai & Shuaishuai Li, 2020. "Examining the Antecedents of Brand Engagement of Tourists Based on the Theory of Value Co-Creation," Sustainability, MDPI, vol. 12(5), pages 1-21, March.
    6. Ferasso, Marcos & Grenier, Corinne, 2021. "Fostering SME's co-development of innovative projects in biotech clusters: Extending the sets of enablers for the knowledge creation process," Technology in Society, Elsevier, vol. 67(C).
    7. Feng Xu & Wenxia Niu & Shuaishuai Li & Yuli Bai, 2020. "The Mechanism of Word-of-Mouth for Tourist Destinations in Crisis," SAGE Open, , vol. 10(2), pages 21582440209, May.
    8. Michael Yao-Ping Peng & Ku-Ho Lin, 2019. "Impact of Ambidexterity and Environmental Dynamism on Dynamic Capability Development Trade-Offs," Sustainability, MDPI, vol. 11(8), pages 1-18, April.
    9. Onan Marakali Siregar & Hatta Ridho & Muhammad Arifin Nasution & Muhammad Dharma Tuah Putra Nasution, 2024. "Knowledge Dynamics and Absorptive Capacity: Shaping Innovation Performance in the Service Business of Small and Medium-Sized Enterprises," International Review of Management and Marketing, Econjournals, vol. 14(5), pages 53-66, September.

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