In Search Of A Theoretical Framework For Reverse Innovations

Abstract

Despite the increased strategic importance of reverse innovation, an inspection of the literature suggests that there is still confusion as to what it is, how it is related to, yet distinct from, other types of innovation (e.g., frugal or disruptive innovation), and what factors are needed for it to occur successfully. Best practices and underlying conceptual frameworks appear to be lacking or somewhat scarce in both academic and practitioner literature. In this paper, we propose that reverse innovation shares some common underpinnings with the well-established concept of reverse knowledge transfer. This provides a robust foundation upon which to study the phenomenon of reverse innovation. An added benefit of this perspective is that it enhances the generalizability of research on reverse knowledge transfer. By connecting reverse knowledge transfer and reverse innovation under a general perspective of global competence creation and transfer, we believe we provide a framework that allows all firms, regardl...