Title: Network characteristics, absorptive capacity and technological innovation performance

Authors: Xuefeng Liu, Jinbo Wang, Dengke Ji

Addresses: School of Management, Xiamen University, Xiamen 361005, China. ' School of Economics, Xiamen University, Xiamen 361005, China. ' School of Management, Zhejiang University, Hangzhou 310058, China

Abstract: The traditional resource-based view holds the point that firm|s internal resources are the sources of competitive advantage. However, in the era of globalisation, a firm|s competitive advantage can derive not only from its internal resources, but also from all kinds of resources and capabilities that can be accessed from its embedded inter-firm networks. On the basis of the literature reviews of prior relevant researches, inter-firm networks are described by three dimensions – network intensity, network scale and network position, of which network intensity has four dimensions – sincerity of cooperation, contact intimacy, contact frequency and promise keeping. Subsequently, using data from 125 Chinese sample firms, the positive associations amongst network intensity, network scale, network position and firm technological innovation performance are confirmed, and the moderating effects of absorptive capacity on relationships between networks and firm|s technological innovation performance are also supported by the data.

Keywords: embedded networks; inter-firm networks; technological innovation; absorptive capacity; network characteristics; China; network intensity; network scale; network position.

DOI: 10.1504/IJTPM.2011.040398

International Journal of Technology, Policy and Management, 2011 Vol.11 No.2, pp.97 - 116

Published online: 25 May 2011 *

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