Abstract

This study investigate the relationship between human capital, one of the key factors in creating the firm’s competitive advantage, and the technology innovation. From an integrated approach, we divide human capital into firm specific human capital and general human capital and analyze the impact of two human capitals on technological innovation empirically. In addition, we examine when and how this relationship is more stronger or weaker. Using survey data from Korean Research for Vocational Education and Training and 2) NICE information service in Korea, first, we find that both firm specific human and general human capital can enhance the technological innovation of firm. This results suggests that the two types of human capital are crucial variables in improving technological innovation of firm as each unique and complementary resource.
 Second, the relationship between general human capital and technological innovation is more stronger as firms’ international experience increases. In particular, general human capital strengthens technological innovation when interacting with firm international experience, but we do not find the moderating variable effect of firm international experience in the relationship between firm specific human capital and technological innovation. In order to improve the technological innovation of firm, we need to consider not only the firm-specific human capital related to on-the-job training investment but also the improvement of the human capital quality through formal education outside of firm while capitalizing firm international experience. This study conduct the research to identify technological innovation from an integrated point of view, considering not only the traditionally firm-specific but also general human capital, which has recently been paying attention again. In addition, we demonstrate that the firm international experience is the crucial boundary condition, explaining detailed mechanism of the relationship between human capital and technological innovation of firm.

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