Title: Innovators' 'imitation': whether and how does reactive search affect the performance of incumbent firms? Evidence from China

Authors: Yanting Guo; Wanru Deng; Shan Hu; Gang Zheng

Addresses: School of Management, Xiamen University, No. 422. South Siming Road, Xiamen 361005, China ' School of Management, Zhejiang University, No. 866.Yuhangtang Road, Hangzhou 310058, China ' Vivo Mobile Communication Co., Ltd., No. 1004. Chuangye 1st Road, Shenzhen 518000, China ' School of Management, Zhejiang University, No. 866.Yuhangtang Road, Hangzhou 310058, China

Abstract: The competitive interaction between incumbents and new entrants has been a central topic in the field of strategic management. This study examines whether and under what conditions reactive search activities help incumbent firms avoid dethronement in the face of external challenges caused by the entry of new entrants. Based on a sample of 236 Chinese firms, we find that both reactive technology search and reactive market search positively affect firm performance. Moreover, the dynamic capability of established firms strengthens the relationship between reactive technology search and innovative performance, as well as that between reactive market search and operational performance. These findings contribute to the literature on competitive dynamics and knowledge search.

Keywords: reactive search; dynamic capability; performance; competitive dynamics; incumbent.

DOI: 10.1504/IJTM.2022.125971

International Journal of Technology Management, 2022 Vol.90 No.3/4, pp.216 - 242

Accepted: 22 Nov 2021
Published online: 05 Oct 2022 *

Full-text access for editors Full-text access for subscribers Purchase this article Comment on this article