Abstract
PurposeThe purpose of this paper is to investigate three issues: how does an innovative search (local search and boundary-spanning search) impact firm innovation performance of latecomers; how does capability reconfiguration (capability evolution and capability substitution) mediates the relationship between innovative search and firm innovation performance; and how does the technological leapfrogging process (initial stage, following stage, synchronization stage and leading stage) moderate the relationship between capability reconfiguration and firm innovation performance.Design/methodology/approachA “resource-capability-performance” theoretical framework was developed to explore the relationships between local/boundary-spanning search, capability reconfiguration and firm innovation performance. The data were collected by sending out surveys to managers and employees in various industries in mainland China. These hypotheses were tested using structural equation models and hierarchical regressions.FindingsThe results showed that: innovative search has a direct causal relationship to capability reconfiguration; local search and boundary-spanning search are conducive to improve the innovation performance of latecomers; the impact of local search and boundary-spanning search on innovation performance is realized through the completion of mediating role of capability reconfiguration; there are differences in the path of local search and boundary-spanning search affecting the capability reconfiguration of enterprise innovation performance; and the relationship between innovative search, capability reconfiguration and enterprise innovation performance evolves with the enterprise in different stages of technological leapfrogging.Originality/valueThis study explores the relationship and the path of innovative search to firm innovation performance and analyzes the path difference between local search and boundary-spinning search, which enriches the research of organizational search and enterprise innovation. This paper reveals the whole path of innovative search affecting innovation performance, discusses the important role of capability reconfiguration and makes incremental contributions to dynamic capability theory. It studies the evolution of innovative search on innovation performance under the background of technological leapfrogging, which provides a new perspective for the study of organizational search and capability-based theory.
Highlights
It is widely recognized that sustainable innovation capability plays an important role in enhancing a firm’s competitive advantage (Wang and Feng, 2019; Wuryaningrat, 2013; Zhang and Xu, 2014)
The respondents are asked to answer the current state of the enterprise’s technological capability and there were four items: we are copying the technology of other advanced enterprises or are looking for replicable target enterprises; we are digesting and absorbing the technology of advanced enterprises and we have made some initial innovation on the basis of imitation; we have equal research and development (R&D) cooperation with other leading peers or we mainly focus on our own technology patents and integrate other technologies; we have the capability to innovative technologies and have independent intellectual property rights
The path coefficients of local search and boundary-spinning search on innovation performance are not significant, indicating that innovative search has no direct impact on innovation performance
Summary
It is widely recognized that sustainable innovation capability plays an important role in enhancing a firm’s competitive advantage (Wang and Feng, 2019; Wuryaningrat, 2013; Zhang and Xu, 2014). Acquiring new technological skills in the neighborhood of current knowledge base is both reliable and low-cost (Wu and Liu, 2018; Helfat, 1994; Martin and Mitchell, 1998; Rosenkopf and Almeida, 2003), too frequent local search tends to cognitive biases and myopic behavior (Snihur and Wiklund, 2019; Wu and Liu, 2018; March, 1991; Levinthal and March, 1993). Subsequent literature reveals the impact of search across scientific and technological boundaries (Hu et al, 2018; Sofka and Grimpe, 2010; Zhang and Zhao, 2013), geographical boundaries (Zhang et al, 2014; Phene et al, 2006) and market boundaries (Zhang and Li, 2010) on enterprise innovation
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