Third-Party Relational Governance and Collaborative Innovation Performance: The Role of IPR Protection

Abstract

The purpose of this study is to explore the impact of third-party relational governance on the performance of collaborative innovation in China. By integrating the relational view and innovation appropriation perspectives, this paper analyses the effects of three mechanisms of third-party relational governance, namely, – co-reputation, interorganizational routines and technological norms – on collaborative innovation performance. Additionally, this paper investigates the moderating effects of intellectual property right (IPR) protection on the relationship between third-party relational governance and collaborative innovation performance. Survey data of high-technology firms in China are used to empirically test the hypotheses. The results show that third-party relational governance has a positive effect on collaborative innovation performance and that IPR protection has different moderating effects. This study contributes to the relational governance literature by adding the perspective of third parties and analyzing three mechanisms of third-party relational governance in one model. This study also contributes to the innovation appropriation literature by examining the role of IPR protection in governing collaborative innovation in China. Finally, this paper offers suggestions regarding how Chinese firms should govern their collaborative innovation to remedy the limits of weak legal IPR institution.