The effect of internal and external sources of knowledge on product innovation in Southeast Asia (original) (raw)
Related papers
R&D and non-R&D in the innovation process among firms in ASEAN countries
European Journal of Management and Business Economics, 2018
Purpose The purpose of this paper is to identify factors promoting innovation in the framework of R&D based on surveys conducted on firms in five ASEAN countries, Indonesia, Laos, Thailand, the Philippines, and Vietnam. Design/methodology/approach The analytical method divided sample firms into two categories, namely, “the R&D group” and “non-R&D group.” The analysis attempts to identify which of the internal capabilities, consisting of technology, human factors and organization factors, promote innovation. Ordered probit analysis is employed. Findings Findings from the estimations indicate that the two groups pursue product innovation differently. The R&D group promotes innovation by cross-functional teams of production, engineering, and marketing and IT use, whereas the non-R&D group promote product innovation by HRD programs for workers, group awards for suggestions or QC, and ISO9000 series. Research limitations/implications The number of samples related to the non-R&D group is ...
The Effect of Internal and External Sources on Product Innovation: Colombian Context
Procedia Computer Science, 2022
Product innovation have been recognized as an important factor to firms' survival. To develop product innovations, companies require different knowledge sources. This research aims to identify the effects of both internal and external sources on product innovation. Using logistic regression, we test the proposed model using data from the Colombian Manufacturing Industry Technological Development and Innovation Survey (TDIS). The results suggest that internal, market and free access sources have a significant positive impact on the probability of companies developing product innovation.
2018
This paper analyses the impact of different knowledge sources of product innovation in Vietnam using firm-level data. We analyze the separate impacts of internal knowledge, collaborative knowledge, and regional knowledge. The analysis reveals that internal knowledge sources from internal R&D have a positive influence on product innovation. However, not all kinds of collaborative knowledge sources have significant effects on innovation. Only collaborative knowledge gained from inside the supply chain affects product innovation positively. Apparently, the capacity to benefit from working with knowledge institutes and absorbing knowledge from the environment do not materialize in new products.
EXPLORING AND EXPLOITING EXTERNAL KNOWLEDGE: THE EFFECT OF SECTOR AND FIRM TECHNOLOGICAL INTENSITY
Innovation: Management, Policy & Practice, 2012
This paper analyses whether the technological environment in which firms operate conditions the opening up of the innovation process, or whether it is the firm's R&D efforts, regardless of the sector it operates in, that determine to a greater extent the firm's capacity to explore and exploit external knowledge. Using negative binomial models, the paper analyses the effect of external sources of knowledge on innovation outputs, and the moderator effect of technological intensity of the sector and firm. Results show that the most R&D intensive firms and sectors explore external sources of knowledge to a greater extent than those which are less R&D intensive. In contrast, no substantial differences emerge with regard to the exploitation of these sources. Results also show that opening up the innovation process is not a sectoral phenomenon, since there are significant differences in the use of external sources within the industry itself. Highly open, dynamic and innovative firms can be found in low technology-intensive sectors, indicating that heterogeneity in intra-industrial innovative behaviour should be taken into account when formulating sector-based policies to support the opening up of the innovation process.
R and non-R in the innovation process among firms in ASEAN countries
European Journal of Management and Business Economics, 2018
Purpose The purpose of this paper is to identify factors promoting innovation in the framework of R&D based on surveys conducted on firms in five ASEAN countries, Indonesia, Laos, Thailand, the Philippines, and Vietnam. Design/methodology/approach The analytical method divided sample firms into two categories, namely, “the R&D group” and “non-R&D group.” The analysis attempts to identify which of the internal capabilities, consisting of technology, human factors and organization factors, promote innovation. Ordered probit analysis is employed. Findings Findings from the estimations indicate that the two groups pursue product innovation differently. The R&D group promotes innovation by cross-functional teams of production, engineering, and marketing and IT use, whereas the non-R&D group promote product innovation by HRD programs for workers, group awards for suggestions or QC, and ISO9000 series. Research limitations/implications The number of samples related to the non-R&D group is ...
This paper investigates to what extent internal R&D efforts and different types of external knowledge sources jointly affect innovation performance of firms in emerging economies. Based on a survey about external knowledge sourcing activities of Chinese innovative firms, we categorize external knowledge sources into four groups: science-based partners; horizontal connections; value chain partners, and technology service providers. We find that both internal R&D activities and external knowledge sourcing have a positive effect on firms' innovation performance. Strong internal R&D capabilities also increase the effect of sourcing from value chain partners and horizontal connections, but we do not find support for complementarity between internal R&D and collaborations with universities and research labs. These findings jointly suggest that the mixture of different types of external knowledge partners in combination with internal R&D capabilities is crucial in understanding the role of open innovation in emerging economies.
External Linkages and Product Innovation: Theory and Empirical Evidence from Subsidiaries in Vietnam
International business literature often states that the ability to exploit external knowledge and ideas is a crucial component of the innovative performance of firms. Adopting a business network theory, we hypothesize that subsidiaries are likely to reach high levels of innovation as they engage in the networks of external linkages (i.e. backward and forward linkages) with domestic business actors. To test the proposed hypotheses, we use survey data extracted from a data set from the General Statistics Office of Vietnam for 354 subsidiaries located in Vietnam. A noticeable difference in institution-foreign firm and foreign firm-local partner relationships still remains after the 30-year period of Vietnam's revolution due to political perspectives; and this has motivated us to investigate this unique transition economy. Probit regression reveals that our hypotheses are strongly supported, in regards to controlling the characteristics of a subsidiary, a parent firm or home country. The paper provides theoretical and practical implications for international business literature. JEL Classification : F23, O31, O32
Journal of Innovation & Knowledge, 2019
This paper examines the significance of external knowledge sources as impacting factors on innovation by incorporating a variety of external sourcing strategies, the firm's internal competencies and the industry attributes, into a unique analytical framework in predicting the innovative capabilities of firms in developing countries. The World Bank Enterprise and Innovation follow-up dataset for manufacturing, service and retail firms in 11 countries in sub-Saharan Africa is utilised to assess the degree to which firms utilize external sources of information (customers, competitors, consultants, new employees and workshops) in the implementation of product, process, marketing and organizational innovation. Sectoral and country-specific estimations are performed with IV binary treatment and Tobit models, respectively. The findings demonstrate that, although internal sources are essential, external sources of information are also necessary to attain the desired level of innovativeness. These findings confirm the open innovation literature in that firms that open their innovation process and utilise distinct knowledge sources have a superior capability to introduce innovations. The paper provides significant contributions to the literature. The paper uncovers three sources of external knowledge linking indirect players in the market that are not common in the literature (consultant, new employees and workshop). The study shows that the baggage of knowledge inherent in these three sources is indeed essential to the innovative capabilities of the firms. Second, the results also reveal that the essentiality of external sources of knowledge differs conditional on the type of innovation considered (product, process, marketing or organisational), dependent variable operationalisation, sectoral, methodical configurations, and country specifics. Third, the study contributes to the understanding of how firms in emerging economies develop competencies for innovativeness through the interplay of knowledge from both direct and indirect market players. The findings offer essential insights on how management could invest in the distinct, useful and preferred external sources to best foster a compelling introduction of any innovation. The study further provides robust and novel evidence of the role of new consultants, employees and workshops on firms' propensity to innovate.