Learning Organization and Innovation Performance in High-Tech Small Firms

The aim of this paper is to explore the influence of processes of learning in organization on innovation performance in high-tech small firms. After reviewing the literature on learning and innovation, the author defines the concepts of knowledge management, organizational learning and learning organization and how they are interlinked. Hypotheses regarding the link between learning organization and innovation are presented. An original construct, based on 6 dimensions, is derived to evaluate the degree of learning in firms. The validities (reliability, unidimensionality and convergent validity) of the construct are assessed using confirmatory factor analysis. Then, the influence on innovation is tested through structural equation modelling (SEM) on a database of 110 US high-tech small firms from different industries. Specifically, influence on product and process innovations and financial performance are tested. The first results show that the presence of learning organization orientation and learning organization processes is related to innovativeness in our sample of high-tech small firms. The results are moderated by the degree of maturity of the industries and the strategic orientation of the CEOs. The conclusive part gives ways to ameliorate the learning organization processes and thus enhancing the innovative performance

Sustainable and traditional product innovation without scale and experience, but only for KIBS!

This study analyzes the ideal strategic trajectory for sustainable and traditional product innovation. Using a sample of 74 Costa Rican high-performance businesses for 2016, we employ fuzzy set analysis (qualitative comparative analysis) to evaluate how the development of sustainable and traditional product innovation strategies is conditioned by the business’ learning capabilities and entrepreneurial orientation in knowledge-intensive (KIBS) and non-knowledge-intensive businesses. The results indicate two ideal strategic configurations of product innovation. The first strategic configuration to reach maximum product innovation requires the presence of KIBS firms that have both an entrepreneurial and learning orientation, while the second configuration is specific to non-KIBS firms with greater firm size and age along with entrepreneurial and learning orientation. KIBS firms are found to leverage the knowledge-based and customer orientations that characterize their business model in order to compensate for the shortage of important organizational characteristics—which we link to liabilities or smallness and newness—required to achieve optimal sustainable and traditional product innovation.Peer ReviewedPostprint (published version

The ‘de-territorialisation of closeness’ - a typology of international successful R&D projects involving cultural and geographic proximity

Although there is a considerable amount of empirical evidence on inter-firm collaborations within technology-based industries, there are only a few works concerned with R&D cooperation by low-tech firms, especially SMEs. Providing further and new evidence based on a recently built database of CRAFT projects, this study analyzes the relationship between technology and proximity in international R&D networks using Homogeneity Analysis by Means of Alternating Least Squares (HOMALS) and statistical cluster techniques. The resulting typology of international cooperative R&D projects highlights that successful international cooperative R&D projects are both culturally/geographically closer and distant. Moreover, and quite interestingly, geographically distant projects are technologically more advanced whereas those located near each other are essentially low tech. Such evidence is likely to reflect the tacit-codified knowledge debate boosted recently by the ICT “revolution” emphasized by the prophets of the “Death of Distance” and the “End of Geography”.Research and Development (R&D); proximity; SMEs

Patent Strategies of Small High-tech Firms in a Broader Context: the Case of International Learning

The current paper explores the patenting behavior of small high-tech firms in a wider strategic context. It particularly addresses why small high-tech firms apply for patents and what makes them not to do so, and connects this with international learning. The general idea is that small high-tech firms suffer from shortage in resources causing them to be reluctant in application for patents. However, not having protected their inventions by patents may weaken their position in attracting investment capital and in establishing strategic relationships, including learning relationships abroad. Drawing on the literature and on survey data of 100 academic spin-off firms, the influence of patent behavior (among other factors) on adoption of international learning is estimated. It appears that half of the spin-off firms works with inventions protected by patents and that a slightly larger share (60%) has adopted the strategy of international learning. Our explorative analysis using a logit model of international learning indicates that not having protected inventions through patents tends to block learning in international networks.Artykuł porusza istotną rolę ochrony patentowej firmach technologicznych. Autorzy stawiają pytania: Jakie są przesłanki wnioskowania o ochronę patentową w małych firmach? Dlaczego jedne firmy starają się działać w oparciu o ochronę własności przemysłowej a drugie nie?, na które starają się udzielić odpowiedzi w oparciu o badania. Ważnym zagadnieniem poruszanym w rozdziale jest międzynarodowy proces uczenia się firm ochrony własności intelektualnej. Generalna idea publikacji podkreśla niechęć małych firm technologicznych w aplikowaniu o ochronę patentową. Jednakże można wyraźnie zauważyć, w przypadku braku strategii ochrony patentowej, utratę atrakcyjności inwestycyjnej małych firm ukierunkowanych na rynek międzynarodowy. Artykuł opiera się na analizie źródeł wtórnych i pierwotnych. 100 firm akademickich zostało zbadanych by zidentyfikować wpływ strategii ochrony patentowej na zachowanie się na rynku międzynarodowym. Analiza oparta jest o model wykładniczy uczenia się na rynkach międzynarodowych. Połowa małych firm technologicznych chroni swoją własność przemysłowa patentem a wśród nich trzy na pięć firm adoptuje wiedzę z rynków międzynarodowych. Te firmy, które nie stosują ochrony patentowej niewątpliwie blokują sobie możliwości uczenia się na rynkach zagranicznych.Druk materiałów sfinansowano ze środków Ministerstwa Nauki i Szkolnictwa Wyższego w ramach projektu „Kreator innowacyjności – wsparcie innowacyjnej przedsiębiorczości akademickiej”

Entrepreneurial Capabilities and Resources: Sustainable Competitive Advantage through Innovation and Opportunism

Firm resource theory specifies the conditions under which resources and capabilities may lead to sustainable competitive advantage. Using the emerging organization as an example, we use firm resource theory to identify some of the resources important to the entrepreneurial capabilities of innovation and opportunism

El capital social como enfoque teórico en Dirección Estratégica

[EN] The objective of this research paper is to investigate, from a theoretical point of view, the strategic relevance of social capital. In recent years, academic literature in this field has witnessed remarkable growth, recognizing social capital as a key element for companies, due to its contribution to the creation of competitive advantages. However, it might be said that its development is still emerging, given the number of discrepancies among researchers regarding its definition, measurement, and its positive or negative impact on other variables. For this reason, a set of empirical studies that show the social capital effect on diverse types of organizational results have been reviewed, taking as a reference the definition and dimensions proposed by Nahapiet and Ghoshal (1998). Additionally, different theoretical links between social capital and four related Strategic Management approaches are presented, such as the Intellectual Capital-Based View, the Knowledge-Based View, the Resource-Based View and the Dynamic Resource-Based View. A main conclusion drawn from this review is that social capital, being a knowledge-based resource, enables access to both internal and external resources and thus a firm’s competitive advantage and, consequently, its value creation can be generated from the combination of both areas. Going in depth and clarifying this strategic linkage are thus a challenge to address in future studies.[ES] El principal objetivo de este trabajo es mostrar la relevancia estratégica del capital social organizacional desde un punto de vista teórico. En los últimos años, la literatura académica relacionada con este concepto ha experimentado un notable crecimiento, reconociendo que el capital social es un elemento fundamental para que las empresas generen ventajas competitivas. Sin embargo, se podría afirmar que su desarrollo es todavía incipiente al existir multitud de discrepaciancias entre los investigadores acerca de su conceptuación, la medición de sus dimensiones o los efectos positivos o negativos que podría tener sobre otras variables. Por este motivo, tomando como referencia la definición y dimensiones propuestas por Nahapiet y Ghoshal (1998), se ha realizado una revisión de las investigaciones que, de manera empírica, han estudiado las relaciones entre el capital social y distintos tipos de resultados organizacionales. Igualmente, se exponen diferentes nexos teóricos encontrados entre el capital social y los principales enfoques en Dirección Estratégica como son Enfoque Basado en el Capital Intelectual, el Enfoque Basado en el Conocimiento, el Enfoque Basado en los Recursos y el Enfoque Basado en las Capacidades dinámicas. Se concluye que el capital social, como recurso basado en el conocimiento, podría permitir el acceso a otros recursos internos o externos, y que la creación de valor y la generación de ventajas competitivas de una empresa puede provenir de la combinación de ambos ámbitos. Así, futuros estudios deben encaminarse hacia la profundización y clarificación de este nexo estratégico

Entrepreneurial Ventures and the Developmental State: Lessons from the Advanced Economies

A basic intellectual challenge for those concerned with the poverty of nations is to come to grips with the nature and causes of the wealth of the world?s wealthier nations. One might then be in a position to inform the poorer nations how they might achieve similar outcomes. This paper is organized around what I call ?the theory of innovative enterprise?, a perspective derived from the historical and comparative study of the development of the advanced economies. The theory of innovative enterprise provides the essential analytical link between entrepreneurship and development. Section 2 offers, as a point of departure, a contrast between entrepreneurship in rich and poor nations. Section 3 outlines the theory of the innovating firm in which entrepreneurship has a role to play. Section 4 identifies the roles of entrepreneurship in new firm formation in terms of the types of strategy, organization, and finance that innovation requires, and emphasizes the ?disappearance? of entrepreneurship with the growth of the firm. In Section 5 I argue that, in the advanced economies, successful entrepreneurship in knowledge intensive industries has depended heavily upon a combination of business allocation of resources to innovative investment strategies, and government investment in the knowledge base, state sponsored protection of markets and intellectual property rights, and state subsidies to support these business strategies. One cannot understand national economic development without understanding the role of the developmental state. At the same time, the specific agenda and ultimate success of the developmental state cannot be understood in abstraction from the dynamics of innovative enterprise. It is through the interaction of the innovative enterprise and the developmental state that entrepreneurial activity inserts itself into the economic system to contribute to the process of economic development.entrepreneurship, innovative enterprise, developmental state

The Danish Model and the Globalizing Learning Economy: Lessons for Developing Countries

Although Denmark shares with the other four Nordic countries certain attributes, such as pragmatic protestant religion, small and homogenous population, strong social democratic parties and ambitious welfare states, it also has its own characteristics. High degree of specialization in the so-called low-tech sectors, combined with high mobility and income security in labour markets (flexicurity), contributes to making the Danish system unique in the world. Denmark has experienced some stagnation in its growth over the last decade but still ranks among the top ten in the world in terms of GNP per capita, registered unemployment is less than 2 per cent (as of June 2008) while the inflation rate has remained moderate. These goals for economic policy have been realized in an environment with a high degree of income equality. In this paper we use the concepts .innovation system., .the learning economy. and .learning modes. to analyse the evolution of the Danish model and what can be learnt from it.economic development, welfare state, social cohesion, innovation

Innovation Policies for Small and Medium Size Enterprises in Asia: An Innovation Systems Perspective

The point of departure for this chapter is that in developing countries SMEs2 are responsible for the largest part of employment and a significant share of added value. And that innovation policy supporting the particularities of SMEs has been widely ignored (occasionally SMEs have even been discriminated). This chapter aims at shedding soe light on the immensely complicated issue of innovation policy for SMEs in developing countries, or more specifically Asian SMEs. The chapter applies the so-called regional innovation systems approach. In this paper, we analyze four clusters of SMEs that have been especially successful in entering the global market; special attention is paid to the so-called soft infrastructure, the industry specific needs for cluster (e.g. interaction) and RIS dynamics/polices (e.g. needs for devolution; industry specific needs for building knowledge creating institutions).The chapter is structured as follows. After introducing stylized facts on SMEs innovative performance attention is turned to the theoretical framework. Taking into account the localized nature of SMEs economic activity, our level of analysis is the regional system of innovation (RIS). We provide a general introduction, contextualize this to Asian situation, and introduce the industry differences (inspired by Pietrobelli and Rabelotti’s typology). Then we turn to the empirical section where special attention is paid to the four cases. Finally, we turn to drawing general conclusions on innovation policies and need for restructuring of Asian innovation systems (the accent is on the former).Innovation Policy; Developing countries; Innovation systems