Abstract
The purpose of this study is to explore the relationships between three intangible resources and the innovation performance of Chinese high-tech firms, and the moderating effect of internationalization on these relationships. We implement a hierarchical multiple regression analysis using data for 274 Chinese high-tech firms. The results show that all three intangible resources, measured by top management team diversity, research and development intensity, and government subsidies, positively influence Chinese high-tech firm innovation performance. We find the relationships between these intangible resources and the innovation performance of Chinese high-tech firms are significantly positively moderated by internationalization. These findings have important implications, as follows. First, they provide evidence of the strategic value of intangible resources and their effects on innovation performance. Second, our results show that increasing internationalization alone does not guarantee performance improvement. Firms should consider their internal and external environments and the complex relationships among factors when they make decisions about internationalization investments. Prior research does not provide an explanation for how internationalization affects performance, because it primarily focuses on the direct relationship between internationalization and performance. This study overcomes this limitation by examining the indirect effect of internationalization on performance.
Highlights
The business environment of the 21st century can be described as having the characteristics of accelerating innovation, globalization of competition, and the collapse of boundaries between industries [1]
Many firms face the need for active internationalization to acquire diverse resources that can serve as the basis for sustainable competitive advantages
In this study, we focus on examining the impacts of three intangible resources of Chinese high-tech firms—human resources, technical resources, and relational resources—on innovation performance
Summary
The business environment of the 21st century can be described as having the characteristics of accelerating innovation, globalization of competition, and the collapse of boundaries between industries [1]. Uncertainty in the business environment is intensifying due to the variation in consumer needs and deregulation. It is important for firms to acquire and utilize valuable and rare resources to continue to secure and maintain competitive advantages in this market environment, where competition levels and environmental uncertainties are increasing [2]. Many firms face the need for active internationalization to acquire diverse resources that can serve as the basis for sustainable competitive advantages. Internationalization has become a key activity for firms, in developing countries that need to acquire and utilize advanced technologies and resources. The Chinese government has encouraged and supported the internationalization of Chinese firms [5]. Through the process of market opening and privatization in the early 1990s, firms in China achieved remarkable development and growth based on government
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Free) 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
