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Firms’ Innovative Performance: The Mediating Role of Innovative Collaborations

  • Lee, Lena
  • Wong, Poh Kam

While existing studies have provided many insightful discussions on the antecedents to innovative collaborations and the benefits of collaborative behavior, few studies have focused on the mediating role of innovative collaborations in enhancing the firm’s technological innovative performance. In this paper, we investigate the mediating role of the firm’s innovative collaborations in the relation between government innovation support and the firm’s product and process innovation intensities. As a mediating factor in the innovation process, innovative collaborations form part of the innovative inputs that contribute to the firm’s product and process innovation intensities. Using arguments derived from the resource-based theory, we found that while receipts of government innovation support help increase the firm’s level of innovative inputs as observed in its collaboration intensity, it is equally important for firms to internalize management practices that encourage maximum leverage of government innovation support for pursuits of innovative collaborations. In a similar vein, while innovative collaborations are necessary for realizing innovative outputs including product and process innovations, it is not a sufficient condition for achieving strong innovative performance. The firm’s internal capabilities as observed in its learning, R&D, resource allocation, manufacturing, marketing, organizing, and strategic planning abilities have a positive influence on the relationship between innovative collaborations and innovative outputs.

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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 16193.

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Date of creation: 19 Jun 2009
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Handle: RePEc:pra:mprapa:16193
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  1. David Audretsch, 2004. "Sustaining Innovation and Growth: Public Policy Support for Entrepreneurship," Industry and Innovation, Taylor & Francis Journals, vol. 11(3), pages 167-191.
  2. Cohen, Wesley M. & Levin, Richard C., 1989. "Empirical studies of innovation and market structure," Handbook of Industrial Organization, in: R. Schmalensee & R. Willig (ed.), Handbook of Industrial Organization, edition 1, volume 2, chapter 18, pages 1059-1107 Elsevier.
  3. Sakakibara, Mariko, 1997. "Evaluating government-sponsored R&D consortia in Japan: who benefits and how?," Research Policy, Elsevier, vol. 26(4-5), pages 447-473, December.
  4. Pierre Mohnen & Lars-Hendrik Röller, 2000. "Complementarities in Innovation Policy," CIG Working Papers FS IV 00-18, Wissenschaftszentrum Berlin (WZB), Research Unit: Competition and Innovation (CIG).
  5. Johan Hauknes, . "Norwegian Input-Output Clusters and Innovation Patterns," STEP Report series 199815, The STEP Group, Studies in technology, innovation and economic policy.
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  7. Fritsch, M. & Meschede, M., 1998. "Product Innovation, Process Innovation, and Size," Papers 98/13, Bergakademie Freiberg, Faculty of Economics and Business Administration.
  8. Becker, Wolfgang & Dietz, Jurgen, 2004. "R&D cooperation and innovation activities of firms--evidence for the German manufacturing industry," Research Policy, Elsevier, vol. 33(2), pages 209-223, March.
  9. Wakelin, Katharine, 1998. "Innovation and export behaviour at the firm level," Research Policy, Elsevier, vol. 26(7-8), pages 829-841, April.
  10. Hollenstein, Heinz, 1996. "A composite indicator of a firm's innovativeness. An empirical analysis based on survey data for Swiss manufacturing," Research Policy, Elsevier, vol. 25(4), pages 633-645, June.
  11. Tripsas, Mary & Schrader, Stephan & Sobrero, Maurizio, 1995. "Discouraging opportunistic behavior in collaborative R & D: A new role for government," Research Policy, Elsevier, vol. 24(3), pages 367-389, May.
  12. J. Scott Long & Jeremy Freese, 2006. "Regression Models for Categorical Dependent Variables using Stata, 2nd Edition," Stata Press books, StataCorp LP, edition 2, number long2, November.
  13. Yam, Richard C. M. & Guan, Jian Cheng & Pun, Kit Fai & Tang, Esther P. Y., 2004. "An audit of technological innovation capabilities in chinese firms: some empirical findings in Beijing, China," Research Policy, Elsevier, vol. 33(8), pages 1123-1140, October.
  14. Jay B. Barney, 1986. "Strategic Factor Markets: Expectations, Luck, and Business Strategy," Management Science, INFORMS, vol. 32(10), pages 1231-1241, October.
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