Abstract
The resource based view of the firm has not been systematically applied to strategising innovation and inter-firm collaboration. By examining the role of organisational capabilities in innovation and business relationship management we attempt, in this paper, to put forward a collaboration-innovation-advantages model, synthesising the various findings in the literature on 'market oriented innovation' from a resource-based view. We deploy the conceptual framework to assess firm competitive market posture and performance advantages through organisational innovation and inter-firm collaboration capabilities within 327 Finnish firms across different industries both in the manufacturing and service sector. Our empirical results reinforce the claim that a balanced managerial and technological innovation capability profile plays an essential role in understanding how positional and performance advantages are generated in a competitive context. However, appropriate business relationship management capabilities are needed, facilitating the preceding interface in a positive manner. We discuss the implications of these findings for theory and practice.
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