The Good and Bad of Innovation in Emerging Markets

Abstract

This proposed symposium offers important implications related to the theme of the 2018 Academy of Management meeting, Improving Lives. Innovation in emerging markets has been the topic of many discussions. Innovation can contribute to the economic development of underdeveloped, developing and emerging economies, and even developed countries. For example, innovation can bring more cost effective process of production to reduce the cost of products and services, which can provide a better life for the bottom of the pyramid or any marginalized group of people. Innovation in underdeveloped or developing countries can also allow firms engage in business with other countries that can ultimately bring economic development for the country and potentially move it up the global value chain and to the stage of emerging economy with much larger prospect of development. On the other hand, many have criticized innovation in emerging and developing countries as their inventions are viewed as copying developed country firms’ processes and products, causes of path-dependency and lack of true development and indigenous innovation, cheaper production of such products and services due to factor endowment such as cheaper labor force, and contributor to social and environmental pollution due to lack of integrated institutions. Frugal Innovation from Emerging Market MNCs Presenter: Masud Chand; Wichita State U. Global Innovation Capabilities from Emerging Market: Beyond Reverse Innovation Presenter: Yi Wang; Tsinghua U. Innovation, Rural Economic Development and the Bottom of Pyramid Presenter: Majid Ghorbani; Renmin U. of China Presenter: Liyan Xuan; Renmin U. of China From Value Co-creation to Value Co-destruction? The Case of Dockless Bike Sharing in China Presenter: Juelin Yin; Xi'an Jiaotong-Liverpool U. Presenter: Lixian Qian; Xi'an Jiaotong-Liverpool U.