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How does the second-order learning process moderate the relationship between innovation inputs and outputs of large Korean firms?

  • Hyojung Kim


  • Namgyoo Park


  • Jeonghwan Lee


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    We investigate how the second-order learning process moderates the relationship between innovation performance and two types of knowledge seeking behavior, namely exploration and exploitation. We reinvestigate the second-order learning process of the top 100 Korean firms from 1997 to 2007 by capturing CEO turnover, board turnover, and R&D alliances. We argue that the current findings about exploration and exploitation should be reclassified in terms of innovation input and output. We suggest that researchers investigate the organizational learning process to understand the link between innovation inputs and outputs. Our empirical results show that while innovation inputs are not related to exploratory outputs, the second-order learning process reshapes the relationship between both exploration/exploitation type innovation inputs and exploratory innovation outputs, and that the new focus of organizational learning process can refine current innovation literature. Copyright Springer Science+Business Media New York 2014

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    Article provided by Springer in its journal Asia Pacific Journal of Management.

    Volume (Year): 31 (2014)
    Issue (Month): 1 (March)
    Pages: 69-103

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    Handle: RePEc:kap:asiapa:v:31:y:2014:i:1:p:69-103
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    1. Breusch, T S & Pagan, A R, 1980. "The Lagrange Multiplier Test and Its Applications to Model Specification in Econometrics," Review of Economic Studies, Wiley Blackwell, vol. 47(1), pages 239-53, January.
    2. Louise A. Nemanich & Robert T. Keller & Dusya Vera, 2007. "Managing The Exploration/Exploitation Paradox In New Product Development: How Top Executives Define Their Firm'S Innovation Trajectory," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 4(03), pages 351-374.
    3. Burgelman, Robert A., 2002. "Strategy as Vector and the Inertia of Co-evolutionary Lock-in," Research Papers 1745, Stanford University, Graduate School of Business.
    4. Autio, Erkko & Kanninen, Sami & Gustafsson, Robin, 2008. "First- and second-order additionality and learning outcomes in collaborative R&D programs," Research Policy, Elsevier, vol. 37(1), pages 59-76, February.
    5. Atul Nerkar, 2003. "Old Is Gold? The Value of Temporal Exploration in the Creation of New Knowledge," Management Science, INFORMS, vol. 49(2), pages 211-229, February.
    6. Wesley M. Cohen & Richard R. Nelson & John P. Walsh, 2002. "Links and Impacts: The Influence of Public Research on Industrial R&D," Management Science, INFORMS, vol. 48(1), pages 1-23, January.
    7. Yan Zhang & Haiyang Li & Michael A Hitt & Geng Cui, 2007. "R&D intensity and international joint venture performance in an emerging market: moderating effects of market focus and ownership structure," Journal of International Business Studies, Palgrave Macmillan, vol. 38(6), pages 944-960, November.
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