Abstract
This study explores how boundary-spanning demand-side search (BSDSS) fuels radical innovations as well as how innovation appropriability moderates this relationship in China. In particular, based on Teece's (1986) argument regarding the appropriability of innovation, we divide factors to influence innovation appropriability into two types: external institution related and internal capability related. Using a sample of 150 high-tech manufacturing firms in China, we find that BSDSS has a positive effect on radical innovations. Further, we find that dysfunctional competition and political ties negatively moderate the main effect, whereas firms legal and IPRs protection capabilities positively moderate the main effect. These results provide some new insights into the drivers of radical innovations.
Published Version
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