Radical innovation from relations‐based knowledge: empirical evidence in Spanish technology‐intensive firms

Abstract

PurposeThe present paper seeks to provide a new insight into intellectual capital classification by theoretically and empirically differentiating relations‐based knowledge into social capital and relational capital. Additionally, taking into account the key role played by radical innovation to compete in the context defined by the “knowledge‐based economy”, the aim is to empirically investigate the possible effect of both relations‐based intellectual capital components on the development of this kind of innovation by firms.Design/methodology/approachData were obtained from a questionnaire responded to by 251 Spanish high and medium‐high tech firms. Based on their answers, exploratory factor analysis and regression analysis are carried out.FindingsAs theoretically proposed, relations‐based intellectual capital can be separated into social and relational capital, with social capital as the main component. Both elements have a significantly positive influence on radical innovation developed by firms in the sample, although those relationships maintained with external agents seem to have a higher impact.Originality/valueThe research contributes to the intellectual capital field by integrating the arguments provided by social capital literature and empirically separating relations‐based knowledge into two differentiated components. The paper also contributes to the knowledge management field by highlighting the important role played by knowledge emerging from relationships around the firm (both internal and external) in the development of radical innovation, whose antecedents have received little attention in the literature.