Unbundling dynamic capabilities for inter-organizational collaboration

Purpose The purpose of this paper is to explore two distinct subsets of dynamic capabilities that need to be deployed when pursuing innovation through inter-organizational activities, respectively, in the contexts of broad networks and specific alliances. The authors draw distinctions and explore potential interdependencies between these two dynamic capability reservoirs, by integrating concepts from the theoretical perspectives they are derived from, but which have until now largely ignored each other – the social network perspective and the dynamic capabilities view. Design/methodology/approach The authors investigate nanotechnology-driven R&D activities in the 1995–2005 period for 76 publicly traded firms in the electronics and electrical equipment industry and in the chemicals and pharmaceuticals industry, that applied for 580 nanotechnology-related patents and engaged in 2,459 alliances during the observation period. The authors used zero-truncated Poisson regression as the estimation method. Findings The findings support conceptualizing dynamic capabilities as four distinct subsets, deployed for sensing or seizing purposes, and across the two different inter-organizational contexts. The findings also suggest potential synergies between these subsets of dynamic capabilities, with two subsets being more macro-oriented (i.e. sensing and seizing opportunities within networks) and the two other ones more micro-oriented (i.e. sensing and seizing opportunities within specific alliances). Practical implications The authors show that firms differ in their subsets of dynamic capabilities for pursuing different types of inter-organizational, boundary-spanning relationships (such as alliances vs broader network relationships), which ultimately affects their innovation performance. Originality/value The authors contribute to the growing body of work on dynamic capabilities and firm-specific advantages by unbundling the dynamic capability subsets, and investigating their complex interdependencies for managing different types of inter-organizational linkages. The main new insight is that the “linear model” of generating more innovations through higher inter-firm collaboration in an emerging field paints an erroneous picture of how high innovation performance is actually achieved

Range extenders: An innovative approach to range anxiety in electric vehicles

Electric vehicles have been a source of major innovation but the problem of vehicle range persists. Range extenders, auxiliary power units that can be attached to vehicles as a trailer, seek to solve the problem by providing additional range during longer journeys. This study uses patent data, Social Network Analysis and qualitative data to examine the development of this technology. It finds that small firms have made significant progress in technological terms and have also designed credible business models. They have met resistance from larger vehicle manufacturers, however, whose preference is to wait for developments in battery density despite great uncertainty as to when these will come

Predicting Technical Value Of Technologies Through Their Knowledge Structure

This thesis tests the hypothesis that the characteristics displayed by the knowledge structure of a high technical value invention is different from that of a low technical value invention. The knowledge structure crystalizes at the inception of the invention making it ideal for evaluating new inventions. More specifically, this research investigates two characteristics of the knowledge structure: knowledge accumulation and knowledge appropriation. Knowledge accumulation is defined as the collective body of knowledge gathered in a sector over time that has contributed to the creation of the invention. A higher degree of accumulated knowledge is more likely to be associated with high technical value inventions. Knowledge appropriation describes absorption of knowledge in the creation of the invention. From knowledge structure perspective knowledge absorption is observed by the emergence of edges that connect knowledge elements together. The robustness of this emergent knowledge structure is thus an indicator of the amount of knowledge appropriated by the invention. This research introduces a new metric for the measurement of knowledge accumulation and presents structural robustness as an indicator of knowledge appropriation. Knowledge accumulation and knowledge appropriation are hypothesized to be positively correlated with the technical value of the invention. This research tests the hypotheses by examining the citation networks of patents in four sectors: thin film photovoltaics, inductive vibration energy harvesting, piezoelectric energy harvesting, and carbon nanotubes. In total 152 base inventions and over 4000 patents are investigated. This research shows that knowledge accumulation is a significant predictor of the technical value of an invention and that high value inventions show a higher level of knowledge appropriation

Patent analysis as an input to strategy: case of electric vehicle industry

This research work examines technological developments of an emerging field from the perspective of patented innovations and major industry players. The selected domain of the study is the electric vehicle (EV) industry, which represents an emerging technological field driven by innovations. Patent-to-patent citation information and entities associated with each patent (i.e. patent holder, technology field, country) were utilized for the visualization of the relationship between patents in the form of a network. Bibliographic coupling (BC) is the methodology used to establish these relationships. From the viewpoint of companies, this relationship indicates similarities in the technological development direction and areas of R&D activities, suggesting for possible competition or cooperation. From the perspective of patented technology, the association indicates that the technologies or their applications are closely related. The focus of the study is placed on the possibilities and limitations provided by patent analysis based on BC, so to facilitate further exploration and application of this methodology as a valuable tool for the support of managers' assessment of technological environment in real time and planning of the R&D projects within an emerging field. Managers can use patent maps as an additional source of information and communication support in the strategic decision-making process. Using the bibliographic information of patents, the technological landscape and recent developments in EV sector during the recent six years were analyzed based on the statistical examination and the graph theory provided by social network analysis. Citation networks were divided into clusters, the patent assignee in each cluster were tracked, and citation networks with characteristic technology field for each cluster were analyzed. Overall structural changes of the EV industry were explored by categorizing patent assignees into four main groups, i.e. automotive OEMs, suppliers, infrastructure providers and other players, and exploring the changes in patenting activities between these groups. Analysis of patent network dynamics reveals the changes in the structure of innovation landscape within an emerging field of EVs. Expert opinion of a Finnish automaker was included in the analysis of this study. Limitations of the methodology and suggestions for further research directions are discussed

Entry and Patenting in the Software Industry

To what extent are firms kept out of a market by patents covering related technologies? Do patents held by potential entrants make it easier to enter markets? We estimate the empirical relationship between market entry and patents for 27 narrowly defined categories of software products during the period 1990-2004. Controlling for demand, market structure, average patent quality, and other factors, we find that a 10% increase in the number of patents relevant to market reduces the rate of entry by 3-8%, and this relationship intensified following expansions in the patentability of software in the mid-1990s. However, potential entrants with patent applications relevant to a market are more likely to enter it. Finally, patents appear to substitute for complementary assets in the entry process, as patents have both greater entry-deterring and entry-promoting effects for firms without prior experience in other markets.

NETWORK MODELS OF REGIONAL INNOVATION CLUSTERS AND THEIR IMPACT ON ECONOMIC GROWTH

This research uses social network analysis to develop models of regional innovation clusters using data from patent applications and other sources. These new models are more detailed than current industry cluster models, and they reveal actual and potential relationships among firms that industry cluster models cannot. The network models can identify specific clusters of firms with high potential for manufacturing job growth where business retention and expansion efforts may be targeted. They can also identify dense clusters of talent where innovation and entrepreneurial efforts may be targeted. Finally, this research measures relationships between network structure at the time of patent application and manufacturing job growth in subsequent years. This will permit the translation of a wide range of network-building activities into the ubiquitous "jobs created" metric. These new tools will help economic developers focus resources on high-yield activities, and measure the results of networking activities more effectively. There are three parts to this research. First, it evaluates the uses of social network analysis (SNA) in planning, reviewing the literature and empirical research where SNA has been used in planning related studies. Second, it presents the construction if innovation network models, covering methodology, data, results and direct applications of the network models themselves. Models are constructed for Pennsylvania between 1990 and 2007. The methodology presents a significant innovation in how networks and geography are modeled, embedding counties in the network as place nodes. The resulting network models more accurately reflect the complex and multiple relationships that firms and inventors have with each other and the locations where they interact. This approach makes it possible to evaluate relationships between innovation and economic growth at a smaller geographic level (counties) than previous research. Third, this research presents an econometric model that evaluates the influence of network structure on county-level manufacturing employment and value added. Network structure is measured in the year of patent application, with manufacturing employment and value added being measured annually for each subsequent year. Differences in network structure generally reflect differences in the level of social capital embedded in different parts of the network. I find that network structure influences manufacturing employment within three years (longer for medical devices and pharmaceuticals) but does not influence value added

Mind the Gap: Advancing Evolutionary Approaches to Regional Development with Progressive Empirical Strategies

Explaining the persistently uneven spatial patterns of development remains a central goal of economic geography and regional science. Recognizing that regional development is a process of ongoing change, many scholars now approach the topic from an evolutionary perspective that identifies knowledge recombination processes and institutions as key drivers of change. However, research has not yet fully integrated the various theoretical perspectives and empirical data streams that characterize evolutionary approaches. The present contribution identifies how an evolutionary approach centered on knowledge and institutions can be integrated with complementary forms of evidence gathered from a variety of sources to advance our understanding of regional development. Expanding and integrating the evidence base used to study regional change has important implications for making effective and responsive policy instruments.European Commission Horizon 2020European Research CouncilScience Foundation Irelan