Strategic Market Position and R&D Capability in Global Manufacturing Industries: Implications for Organizational Learning and Organizational Memory

Abstract

This study explores the relationship between R&D capabilities and strategic market positions in the global manufacturing industry. The findings from a study of 106 U.S. manufacturers with international business operations show that: (1) organizations with high business growth have an above average R&D capability to generate new product ideas from R&D, regardless of their level of market share; (2) organizations with high market share have an above average capability to launch line extensions, regardless of their level of business growth; and (3) organizations with both high levels of business growth and market share have an above average capability to generate new product ideas from R&D and an above average capability to launch line extensions. Implications for organizational learning and organizational memory are discussed