Open search strategies and firm performance: The different moderating role of technological environmental dynamism



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Cruz González, Jorge and López Sáez, Pedro and Navas López, José Emilio and Delgado Verde, Miriam (2015) Open search strategies and firm performance: The different moderating role of technological environmental dynamism. Technovation, 35 . pp. 32-45. ISSN 0166-4972

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Mainly driven by the rapid progress of the 'open innovation' paradigm, previous research has devoted considerable efforts in investigating how the degree of openness to external knowledge influences firms' innovation performance. However, much less is known about its impact on performance at the firm level. Moreover, the question of which open search strategy is more suitable depending on environmental features is unresolved. We focus on breadth and depth as two distinct open search strategies and claim that, besides their different benefits in terms of learning and innovation, it is also necessary to consider their costs. Based on survey data of 248 high-technology manufacturing Spanish firms, this study extends recent research about the context dependency of openness effectiveness by showing that the effect of these two open search strategies on perceived firm performance is contingent with technological environmental dynamism in a reverse fashion. While search breadth is found to be positively associated with performance in less technologically dynamic environments, it seems to hurt performance in more dynamic contexts. On the contrary, while search depth is found to have a positive effect on performance in highly technologically dynamic environments, it appears to harm firm performance in more stable contexts

Item Type:Article
Uncontrolled Keywords:Open search strategy; External search breadth; External search depth; Technological environmental dynamism; Firm performance.
Subjects:Social sciences > Economics > Business enterprises
Social sciences > Economics > Marketing
ID Code:61050
Deposited On:28 Jun 2020 11:19
Last Modified:08 Sep 2022 11:41

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