IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v14y2022i24p16571-d999655.html
   My bibliography  Save this article

The Impact of TMT Experience Heterogeneity on Enterprise Innovation Quality: Empirical Analysis on Chinese Listed Companies

Author

Listed:
  • Rao Ma

    (Business School, University of International Business Economics, Beijing 100029, China)

  • Wendong Lv

    (Business School, University of International Business Economics, Beijing 100029, China)

  • Yao Zhao

    (Business School, University of International Business Economics, Beijing 100029, China)

Abstract

High-quality innovation can solve the “bottleneck” problem of key enterprise technologies and drive the high-quality development of enterprises. Therefore, how to improve innovation quality has become a growing concern in the academic industry. In previous studies, the impact of TMT experience heterogeneity on enterprise innovation quality has not been well explored. Based on the panel data of Chinese A-share listed companies, this paper explored how TMT experience heterogeneity affects enterprise innovation quality. The following constitutes our findings: (1) TMT functional experience heterogeneity positively affects partner diversity to promote innovation quality, while industrial experience heterogeneity shows the opposite result. (2) Enterprise partner diversity partially mediates the relationship between TMT experience heterogeneity and innovation quality. (3) TMT technological participation positively regulates the relationship between TMT experience heterogeneity and enterprise partner diversity. This paper gave theoretical support for enterprises to play the role of TMT experience heterogeneity in enhancing innovation quality, and we extended the research on TMT heterogeneity based on empirical analysis. This study also provided new micro evidence for enterprises to use diverse partners to improve innovation quality.

Suggested Citation

  • Rao Ma & Wendong Lv & Yao Zhao, 2022. "The Impact of TMT Experience Heterogeneity on Enterprise Innovation Quality: Empirical Analysis on Chinese Listed Companies," Sustainability, MDPI, vol. 14(24), pages 1-22, December.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:24:p:16571-:d:999655
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/14/24/16571/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/14/24/16571/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Asa Romeo Asa & Harold Campbell & Johanna Pangeiko Nautwima, 2022. "A Critical Review of Organizing Knowledge Management for Innovation," International Journal of Management Science and Business Administration, Inovatus Services Ltd., vol. 8(2), pages 7-15, January.
    2. Mehrabi, Hamed & Coviello, Nicole & Ranaweera, Chatura, 2021. "When is top management team heterogeneity beneficial for product exploration? Understanding the role of institutional pressures," Journal of Business Research, Elsevier, vol. 132(C), pages 775-786.
    3. Liu, Xuan & Tong, De & Huang, Jiangming & Zheng, Wenfeng & Kong, Minghui & Zhou, Guohui, 2022. "What matters in the e-commerce era? Modelling and mapping shop rents in Guangzhou, China," Land Use Policy, Elsevier, vol. 123(C).
    4. Kanchanabha, Bhawini & Badir, Yuosre F., 2021. "Top management Team's cognitive diversity and the Firm's ambidextrous innovation capability: The mediating role of ambivalent interpretation," Technology in Society, Elsevier, vol. 64(C).
    5. Amason, Allen C. & Shrader, Rodney C. & Tompson, George H., 2006. "Newness and novelty: Relating top management team composition to new venture performance," Journal of Business Venturing, Elsevier, vol. 21(1), pages 125-148, January.
    6. Ensley, Michael D. & Pearson, Allison W. & Amason, Allen C., 2002. "Understanding the dynamics of new venture top management teams: cohesion, conflict, and new venture performance," Journal of Business Venturing, Elsevier, vol. 17(4), pages 365-386, July.
    7. Linfeng Xu & Xuan Liu & De Tong & Zhixin Liu & Lirong Yin & Wenfeng Zheng, 2022. "Forecasting Urban Land Use Change Based on Cellular Automata and the PLUS Model," Land, MDPI, vol. 11(5), pages 1-16, April.
    8. Shaikh, Maha & Levina, Natalia, 2019. "Selecting an open innovation community as an alliance partner: Looking for healthy communities and ecosystems," Research Policy, Elsevier, vol. 48(8), pages 1-1.
    9. Cheng, Cong & Wang, Limin, 2022. "How companies configure digital innovation attributes for business model innovation? A configurational view," Technovation, Elsevier, vol. 112(C).
    10. Martin Kilduff & Reinhard Angelmar & Ajay Mehra, 2000. "Top Management-Team Diversity and Firm Performance: Examining the Role of Cognitions," Organization Science, INFORMS, vol. 11(1), pages 21-34, February.
    11. Duan, Yunlong & Yang, Meng & Huang, Lei & Chin, Tachia & Fiano, Fabio & de Nuccio, Elbano & Zhou, Li, 2022. "Unveiling the impacts of explicit vs. tacit knowledge hiding on innovation quality: The moderating role of knowledge flow within a firm," Journal of Business Research, Elsevier, vol. 139(C), pages 1489-1500.
    12. Vivian W. Fang & Xuan Tian & Sheri Tice, 2014. "Does Stock Liquidity Enhance or Impede Firm Innovation?," Journal of Finance, American Finance Association, vol. 69(5), pages 2085-2125, October.
    13. Karen A. Bantel & Susan E. Jackson, 1989. "Top management and innovations in banking: Does the composition of the top team make a difference?," Strategic Management Journal, Wiley Blackwell, vol. 10(S1), pages 107-124, June.
    14. Si, Deng-Kui & Li, Xiao-Lin & Huang, Shoujun, 2021. "Financial deregulation and operational risks of energy enterprise: The shock of liberalization of bank lending rate in China," Energy Economics, Elsevier, vol. 93(C).
    15. Talke, Katrin & Salomo, Søren & Kock, Alexander, 2011. "Top ManagementTeam Diversity and Strategic Innovation Orientation: The Relationship and Consequences for Innovativeness and Performance," Publications of Darmstadt Technical University, Institute for Business Studies (BWL) 63286, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL).
    16. Mao, Connie X. & Zhang, Chi, 2018. "Managerial Risk-Taking Incentive and Firm Innovation: Evidence from FAS 123R," Journal of Financial and Quantitative Analysis, Cambridge University Press, vol. 53(2), pages 867-898, April.
    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. Jinlong Chen & Weipeng Wu & Yiqun Zhuang, 2023. "Impact of Digital Supply Chain on Sustainable Trade Credit Provision: Evidence from Chinese Listed Companies," Sustainability, MDPI, vol. 15(15), pages 1-23, August.
    2. Xiaoxu Zhang & Xinyu Du, 2023. "Industry and Regional Peer Effects in Corporate Digital Transformation: The Moderating Effects of TMT Characteristics," Sustainability, MDPI, vol. 15(7), pages 1-22, March.
    3. Yingna Wu & Liang Ding & Xuan Song & Jun Chen, 2023. "Top Management Team Heterogeneity and the Performance of Cross-Border M&A," SAGE Open, , vol. 13(2), pages 21582440231, June.

    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. Nuscheler, Daniela & Engelen, Andreas & Zahra, Shaker A., 2019. "The role of top management teams in transforming technology-based new ventures' product introductions into growth," Journal of Business Venturing, Elsevier, vol. 34(1), pages 122-140.
    2. Kaiser, Ulrich & Müller, Bettina, 2013. "Team Heterogeneity in Startups and its Development over Time," IZA Discussion Papers 7284, Institute of Labor Economics (IZA).
    3. Christopher Kurzhals & Lorenz Graf‐Vlachy & Andreas König, 2020. "Strategic leadership and technological innovation: A comprehensive review and research agenda," Corporate Governance: An International Review, Wiley Blackwell, vol. 28(6), pages 437-464, November.
    4. Deniz Ucbasaran & Andy Lockett & Mike Wright & Paul Westhead, 2003. "Entrepreneurial Founder Teams: Factors Associated with Member Entry and Exit," Entrepreneurship Theory and Practice, , vol. 28(2), pages 107-128, March.
    5. Alex Coad & Bram Timmermans, 2012. "Two's Company: Human Capital Composition and Performance of Entrepreneurial Pairs," SPRU Working Paper Series 201, SPRU - Science Policy Research Unit, University of Sussex Business School.
    6. Schubert, Torben & Tavassoli, Sam, 2019. "Product Innovation and Educational Diversity in Top and Middle Management Teams," Papers in Innovation Studies 2019/3, Lund University, CIRCLE - Centre for Innovation Research.
    7. Juan Pablo Diánez-González & Carmen Camelo-Ordaz, 2016. "How management team composition affects academic spin-offs’ entrepreneurial orientation: the mediating role of conflict," The Journal of Technology Transfer, Springer, vol. 41(3), pages 530-557, June.
    8. Elli Diakanastasi & Angeliki Karagiannaki & Katerina Pramatari, 2018. "Entrepreneurial Team Dynamics and New Venture Creation Process: An Exploratory Study Within a Start-Up Incubator," SAGE Open, , vol. 8(2), pages 21582440187, June.
    9. Monica A. Zimmerman, 2008. "The Influence of Top Management Team Heterogeneity on the Capital Raised through an Initial Public Offering," Entrepreneurship Theory and Practice, , vol. 32(3), pages 391-414, May.
    10. Codou Samba & Daan Van Knippenberg & C. Chet Miller, 2018. "The impact of strategic dissent on organizational outcomes: A meta‐analytic integration," Strategic Management Journal, Wiley Blackwell, vol. 39(2), pages 379-402, February.
    11. Olson, Bradley J. & Bao, Yongjian & Parayitam, Satyanarayana, 2007. "Strategic decision making within Chinese firms: The effects of cognitive diversity and trust on decision outcomes," Journal of World Business, Elsevier, vol. 42(1), pages 35-46, March.
    12. Anastasiia Laskovaia & Galina Shirokova & Michael H. Morris, 2017. "National culture, effectuation, and new venture performance: global evidence from student entrepreneurs," Small Business Economics, Springer, vol. 49(3), pages 687-709, October.
    13. Lin Song & Li Jing, 0. "Strategic orientation and performance of new ventures: empirical studies based on entrepreneurial activities in China," International Entrepreneurship and Management Journal, Springer, vol. 0, pages 1-24.
    14. Sangyun Han & Soo Kyung Park & Kyu Tae Kwak, 2021. "Workforce Composition of Public R&D and Performance: Evidence from Korean Government-Funded Research Institutes," Sustainability, MDPI, vol. 13(7), pages 1-17, March.
    15. Tali Hadasa Blank & Abraham Carmeli, 2021. "Does founding team composition influence external investment? The role of founding team prior experience and founder CEO," The Journal of Technology Transfer, Springer, vol. 46(6), pages 1869-1888, December.
    16. Maw-Der Foo, 2011. "Teams developing business ideas: how member characteristics and conflict affect member-rated team effectiveness," Small Business Economics, Springer, vol. 36(1), pages 33-46, January.
    17. Li, Ganglei & Shao, Yunfei, 2023. "How do top management team characteristics affect digital orientation? Exploring the internal driving forces of firm digitalization," Technology in Society, Elsevier, vol. 74(C).
    18. Sonja Sperber & Christian Linder, 2018. "The impact of top management teams on firm innovativeness: a configurational analysis of demographic characteristics, leadership style and team power distribution," Review of Managerial Science, Springer, vol. 12(1), pages 285-316, January.
    19. Wenyuan Liu & Ting Ren & Weishan Tang, 2021. "Teachers in the Top Management Team and Corporate Social Responsibility," Sustainability, MDPI, vol. 13(24), pages 1-23, December.
    20. Na Li, 2023. "Measuring the combining effects of financial stability and climate risk for green economic recovery," Economic Change and Restructuring, Springer, vol. 56(2), pages 1225-1241, April.

    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:gam:jsusta:v:14:y:2022:i:24:p:16571-:d:999655. 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: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.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.