Abstract
This study examines, through the theoretical lens of absorptive capacity, how the interaction between investments in R&D and training moderates the influence of collaboration with public research organisations (PROs) on firm innovation performance. Using data for 1,086 innovating firms across all industry sectors in the Australian state of Tasmania in 2010, we find that there is no direct association between collaboration with PROs and firm innovation performance, and the R&D-training interaction plays a significant role in positively moderating such an association. This study contributes to the innovation management literature by demonstrating the importance of the combination of R&D and training in creating absorptive capacity. More importantly, the combination of R&D and training positively influences the successful exploitation of private–public collaboration and promotes innovation performance.
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