How an Open Innovation Strategy for Commercialization Affects the Firm Performance of Korean Healthcare IT SMEs

The impact of intellectual property protection on the development of digital economy and regional entrepreneurial activity: Evidence from small and medium enterprises

Substantial intellectual property management (IPM) is vital in retaining competitive advantage and managing outbound open innovation (OI), which may enhance an organization's commercialization and entrepreneurial performance. Thus, the objective of this study was to develop an understanding of the impact of intellectual property protection on the development of the digital economy, regional entrepreneurial activity, and explore how IPM can enhance the entrepreneurial performance (EP) through open innovation (OI) and commercialization performance (CP) in the context of small and medium enterprises (SMEs) in Mainland China. Our study also shows how open innovation model constraints (OIMC) and information communication technology (ICT) enhance the performance. Using the organizational performance theory, we developed our research framework and collected usable data from 530 respondents from the management of SMEs in Mainland China. Data analyses were performed using SPSS, and structural equation modeling was performed using Amos 24 to test the hypothesis. Our results highlighted the significant effect of IPM on OI, CP, and EP. This study suggests various conclusions, stressing the mediating function of CP in improving EP and the direct and indirect effects of OI and CP on EP. This study also emphasizes that business managers need to ensure collaboration among SMEs since it is the best strategy to use each other's resources, including OI ideas, to improve the EP, and it should be done utilizing ICT.

Aris H, Nazri MA, Jannat T, Shah Alam S. Does the relationship marketing orientation of an entrepreneur support agency improve performance? Evidence from small- and medium-size enterprises in Malaysia

Entrepreneur support agencies are highly important in the development of small-and medium-size businesses of entrepreneurs. There are a number of studies on support agencies, but studies on entrepreneurial performance from the perspective of a relationship marketing orientation (RMO) between support agencies and entrepreneurs are lacking. This study aimed to investigate the hypothesized relationships between the RMO of an entrepreneur support agency and the financial and nonfinancial performances of small- and medium-size entrepreneurs (SMEs). A total of 276 valid SMEs survey responses based on purposive sampling were collected and analyzed using partial least squares structural equation modeling (PLS-SEM). Findings indicate that trust and reciprocity are the significant factors to financial performance of SMEs. Meanwhile, trust, communication, empathy, and reciprocity indicate a significant positive relationship with nonfinancial performance of SMEs. To the best of the authors’ knowledge, this is the first study to provide an interesting avenue to understand the relationship between an entrepreneur support agency and entrepreneurs to work on synergistic relationship approaches in order to remain sustainable in the market. This study has also drawn specific implications for SMEs and government agencies for entrepreneur and policy planning to coordinate appropriate entrepreneurship development programs and strengthen the entrepreneurship ecosystem.

Rebuilding a Cluster While Protecting Knowledge within Low-Medium-Tech Supplier SMEs: A Spanish and French Comparison

Most of SMEs are engaged in open innovation practices, but they do not benefit from open innovation or from patenting in the same way as larger firms do. At the same time SMEs, as territorialized suppliers, play a crucial role within evolving regional specialization. In this context the purpose of our study is to examine how low and medium technology supplier SMEs learn and organize themselves at a territorial level to address the challenge of IP protection in an open innovation paradigm. We used a qualitative method with a longitudinal multi-case study involving 27 companies with a historical lance to compare the territorial dynamics of knowledge protection within clustered supplier SMEs in two European regions. The results show they protect their knowledge by learning how to design, in a direct relationship with clients, customized complex technological products to develop a new organizational matrix of multidisciplinary knowledge that reveals itself difficult to imitate within the clusters. They also cope with other supplier firms across sectors even if they show societal path dependencies in the way to build cooperation. This dynamic has given birth to changing structural relationships among regionally clustered SMEs and between them and large firms.

Is Innovation a Driver of Sustainability? An Analysis from a Spanish Region

1. Background. It is well-known that innovation contributes to economic growth, improves productivity and enables competitive advantage. However, beyond these matters, it would be of interest to know what role innovation plays in relation to sustainability. This paper focuses on whether innovation is a driver of sustainability in its three dimensions: social, economic and environmental. 2. Methods. The study was conducted with companies in the Valencian community (Spain) to analyze whether they significantly contribute to sustainability as innovators. Economical sustainability was assessed based on economic and financial profitability; social sustainability was assessed by employment generation. To determine whether companies contributed to environmental sustainability, we considered those which, apart from a reputation (“label”) in innovation, had some kind of environmental certification. 3. Results. Our results indicate that innovative companies are more profitable and generate more employment. However, there are no differences in terms of performance and employment generation between innovative companies and those that are also environmentally sensitive. 4. Conclusion. Innovation is a driving force of economic and social sustainability in the studied area, but environmental sensitivity is not a driver for economic and social sustainability.

Factors Affecting Outbound Open Innovation Performance in Bio-Pharmaceutical Industry-Focus on Out-Licensing Deals

Due to the high risk in development process, the bio-pharmaceutical industry has transformed itself into an open innovation framework in order to overcome economic risk. This study examines the relationship between outbound open innovation and financial performance in bio-pharmaceutical industry. Specifically, this study extends knowledge-based view to link the open innovation performance and licensor’s sustainability. In order to provide empirical evidence, this study uses econometric methodology with several databases including bio-pharmaceutical firms. The analysis shows firm’s desorptive capabilities have a significant effect on financial performance, confirming the application of knowledge capacity framework. The result of the study can suggest the way how the licensors can maintain the sustainability of competitiveness in bio-pharmaceutical industry.

Can user innovation grow a firm? The case of the Korean smart media industry

With the rapid development of information and communications technology (ICT), smart society has arrived. The emergence of smart media has changed the user’s role. Broader communication coverage, faster Internet speeds, and an expanding application market promote user participation. Therefore, the role of users in innovation has become more important than ever. In this rapidly changing environment, it has become important for firms to consider the role of users when developing innovation strategies. It is hard for a firm to maintain all abilities and resources amid this sudden change; therefore, firms have to develop their strategy considering the user’s role. For that reason, firms need to network with universities, researchers, firms, and users from the open innovation perspective. This study divides firm strategy into exploitation and exploration strategies in the value chain and identifies the effects of utilization strategy, exploration strategy, and the role of users in the smart media industry on firm performance.

Construction of Open Innovation Ecology on the Internet: A Case Study of Xiaomi (China) Using Institutional Logic

The characteristics of collaborative innovation and interactions among core enterprises, users, and partners are critical. Research is lacking on how to construct open innovation ecology through institutional design. This study explores how core enterprises effectively motivate users and partners to participate in innovation activities on the Internet and successfully constructing open innovation ecology, using the institutional logic theory and an exploratory case study of Xiaomi, a famous Chinese Internet enterprise. The findings are as follows: (1) three main characteristics of innovation carried out by core enterprises, users, and partners in the open innovation ecology—iterative innovation, social innovation, and joint innovation; (2) three new institutional practices—following, leading, and symbiotic mechanisms—which provide an effective institutional guarantee for interaction and innovation; (3) two kinds of institutional logic—administrative logic and social logic, which core enterprises follow to construct open innovation ecology on the Internet, and its change in innovation characteristics. Therefore, a full understanding of the changing rules of the institutional logic is fundamental for successfully building open innovation ecology. This study enriches both the open innovation ecology theory as well as the institutional logic theory. In addition, Xiaomi’s open innovation ecological development model proves that core enterprises can take the approach of building open innovation ecology. It provides a strong example to other enterprises on innovations on the Internet.

Do International Capabilities and Resources Configure Firm’s Sustainable Competitive Performance? Research within Pakistani SMEs

Market conditions in emerging economies are often reported as less stable and volatile. The business sector, especially Small and Medium Enterprises (SMEs) in emerging economies, face several shortcomings including lack of resources, lack of finance, lack of support and lack of human skills, etc. Hence, they look to international support and resources to survive in a long run in the dynamic markets. This research examines the role of international finance, international technology, international experience and international network in SME firms’ Sustainable Competitive Performance (SCP) in Pakistan. SMEs are a major source of employment and value creation and, therefore, are very relevant to Pakistan economic and social development and improved sustainability. Hypotheses were tested on the data set collected from 304 emerging SMEs. After Structural Equation Modelling (SEM) was applied in Analysis of a Moment Structures (AMOS), the results indicate that international finance, international experience and international network significantly positively contribute to SCP, but international technology is not a significant predictor of SCP. This research recommends top managers and policy makers to give enough attention to the particular international resources and capabilities in order to configure their firm survival in the turbulent market.