Boundary spanning through external technology acquisition: The moderating role of star scientists and upstream alliances

Abstract

Building on the theories of knowledge recombination, we argue that the external acquisition of technologies acts as a boundary spanning mechanism that impacts on the recipient firm’ subsequent technology development. The effect is moderated by two additional mechanisms, namely the retention of star scientists and the experience in upstream strategic alliances. We tested our hypotheses on a sample of 6208 USPTO patented technologies acquired by 350 biotechnology firms over the period 1980–2012. Findings reveal an inverted U-shaped effect of the pioneering nature of the acquired technology on firm's subsequent developments, in terms of (self) citations of firm's subsequent patents to the acquired one. Moreover, the main relationship is negatively moderated by the retention of star scientists, while the experience in upstream alliances demonstrates to be a positive moderator.