Implementation of an open innovation strategy for a radical innovation project at Jaguar

Abstract

This study contributes to the theoretical development of a contingency and relational perspective on open innovation strategy at the project level. An in-depth case study at Jaguar (UK) reveals that there are multiple and interdependent contingency forces at work which make it necessary under certain conditions to either close or open the innovation model during the course of a single radical innovation project. The case study indicates that the stages of the New Product Development (NPD) project, the strength of the appropriability regime and the use of informal appropriation instrument (i.e. secrecy) are key contingencies which influence the decision to either close or open the innovation model during the project. In addition, the risks of losing control and objectivity over the project, compounded with the risks of opportunism and loss of intellectual capital, are the underlying reasons which explain why Jaguar developed non-embedded and guarded relationships with the external partners during this part...