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Open Innovation with Relational Capital, Technological Innovation Capital, and International Performance in SMEs

Author

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  • Dongwoo Ryu

    (School of Business, Yeungnam University, Gyeongsan 38541, Korea)

  • Kwang Ho Baek

    (Korea Employment Information Service, Jincheon 27740, Chungcheongbuk-do, Korea)

  • Junghyun Yoon

    (School of Business, Yeungnam University, Gyeongsan 38541, Korea)

Abstract

The importance of international markets is constantly emphasized for small and medium enterprises(SMEs). In previous studies, technological innovation capabilities were emphasized as a factor that enables SMEs to compete in the international market. To this end, SMEs need to cooperate with external partners to strengthen their technological innovation capabilities to thus improve their international performance. With the perspective view of open innovation, this research explores the effects of relational capital and technological innovation capability on international performance, with a particular focus on the moderating effect of alliance proactiveness. Building on previous literature regarding internationalization, technological innovation, and alliance proactiveness, research hypotheses were developed and tested using data collected from 175 SMEs. A hierarchical regression analysis was applied. The analysis showed that, first, relational capital had a significant effect on the technological innovation capability. Second, technological innovation capability has a significant influence on the international performance. Third, technological innovation capability mediated the relationship between relational capital and international performance. Finally, alliance proactiveness was found to moderate the relationship between technological innovation capability and international performance. The key research findings imply that relational capital and alliance proactiveness are the key factors of international performance, as they improved the development of the technological innovation capability.

Suggested Citation

  • Dongwoo Ryu & Kwang Ho Baek & Junghyun Yoon, 2021. "Open Innovation with Relational Capital, Technological Innovation Capital, and International Performance in SMEs," Sustainability, MDPI, vol. 13(6), pages 1-13, March.
    • Handle: RePEc:gam:jsusta:v:13:y:2021:i:6:p:3418-:d:520439
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    References listed on IDEAS

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    2. Javier Martínez‐Falcó & Bartolomé Marco‐Lajara & Patrocinio Zaragoza‐Sáez & Luis A. Millán‐Tudela, 2023. "Analyzing the effect of Corporate Social Responsibility on Green Innovation Performance in the Spanish wine industry: A structural equation modeling analysis," Agribusiness, John Wiley & Sons, Ltd., vol. 39(4), pages 985-1006, October.
    3. Tomasz Sierotowicz, 2022. "Sources of Intellectual Capital Acquisition," Sustainability, MDPI, vol. 14(18), pages 1-21, September.
    4. Chanchai Phonthanukitithaworn & Wutthiya Aekthanate Srisathan & Chavis Ketkaew & Phaninee Naruetharadhol, 2023. "Sustainable Development towards Openness SME Innovation: Taking Advantage of Intellectual Capital, Sustainable Initiatives, and Open Innovation," Sustainability, MDPI, vol. 15(3), pages 1-24, January.

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