Explore the vast range of titles available.

Research Summary: This study contributes to the literature on strategic alliances by examining the impact of collaboration on competition between partners in product markets. We integrate the alliance learning and social network perspectives to examine how different combinations of exploratory and exploitative alliances between a firm and its partner influence the firm’s competition against its partner in product markets. Using a longitudinal dataset collected in the U.S. pharmaceutical industry (1984–2003), we find an inverted U‐shaped relationship between relative exploration (i.e., the proportion of exploratory alliances in the collaborative portfolio between a firm and its partner) and the firm’s competition against its partner. This relationship is negatively moderated by firms’ relational and structural embeddedness, but positively moderated by their positional embeddedness. Managerial Summary: This study examines how different combinations of exploratory and exploitative alliances between two firms affect their competition in the product market. Using a 20‐year dataset collected in the U.S. pharmaceutical industry, we find that the proportion of exploratory alliances (i.e., joint development of critical innovations) in the alliance portfolio between a firm and its partner increases the firm’s competition against its partner, up to a tipping point at which such competition starts to decline. Given a certain combination of the two types of alliances, such competition is stronger if the firm has more alternative allies than its partner but weaker if the firm and its partner have previously collaborated or share common allies in their networks.

Based on Resource Based Theory (RBT), the competitiveness of Small and Medium-sized Enterprises (SMEs) depends on the uniqueness of resources used in the production and delivering of goods and services. Moreover, the innovation capability of SMEs is critical in enhancing their uniqueness. Various factors, however, could potentially influence SME innovation performance. This present study thus focuses on how SME innovation performance could be enhanced through the three dimensions of network embeddedness (relational, structural and cognitive). Founded on Resource Dependency Theory (RDT), the study seeks to demonstrate how SMEs could tap into the rich external resources within the networks they are embedded in. The study was based on 388 SMEs selected using a purposive sampling technique. A structured questionnaire was used for the data collection, with the data analyzed by structural equation modeling performed in Amos (v.20). The findings revealed that relational, structural and cognitive embeddedness had a positive effect on innovation performance, while structural embeddedness had the greatest impact on SME innovation performance. As such, SMEs seeking to improve their innovation performance through networks should pay critical attention to the network tie and density. Past studies on network embeddedness and innovation performance have shown conflicting results, and therefore this present study makes a notable contribution to the ongoing debate. Past studies have indicated a positive, negative, inverted u-shape, and even no significant relationship at all between the various dimensions of network embeddedness and innovation performance.

Economic transitions in countries that move from state planning and redistribution to market exchange create business opportunities but also uncertainty, because many interdependent factors—modes of exchange, types of products, and forms of organizations—are in flux. Uncertainty is even greater when the country's political institutions remain authoritarian because the rule of law is weak and state bureaucrats retain power over the economy. This study of listed firms in China, which has recently seen economic transition but persistent authoritarianism, shows that in such contexts, firms can reduce uncertainty by developing relationships with state bureaucrats, which help firms learn how state bureaucracies operate and engender trust between firms and bureaucrats. Together, knowledge and trust stabilize operations and help persuade bureaucrats to lighten regulatory burdens, grant firms access to state-controlled resources, and improve government oversight. Our results show that as economic transitions proceed and uncertainty increases, business-state ties increasingly improve firm performance. We also investigate two likely contingencies, industry and firm size, and two important causal mechanisms, access to bank loans and protection from related-party loans, and show that the value of business-state relations varies over time, depending on the trajectory of both economic and political institutions.

PurposeThe purpose of this study was to identify if network embeddedness and innovation performance relationship, which has been largely studied in multinational enterprises (MNEs) and large corporations, was also applicable in the context of small and medium-sized enterprises (SMEs). Secondly, the authors also sought to identify the moderating role of innovation openness in the relationship between network embeddedness and SMEs' innovation performance.Design/methodology/approachEmpirical analysis was based on 388 SMEs in Ghana. Various validity and reliability checks were conducted before the presentation of the actual analysis, which was conducted using the structural equation modeling in Amos (v.23).FindingsFindings revealed that, in the context of SMEs, network embeddedness had significant positive effect on innovation performance. The authors further identified that SMEs with both high levels of network embeddedness and innovation openness had a much higher performance in their innovation, compared to SMEs that relied solely on network embeddedness.Research limitations/implicationsThe current study found innovation openness to further strengthen the relationship between network embeddedness and SMEs' innovation performance. The relationship between network embedded and SME's innovation could, however, be mediated by knowledge transfer mechanisms, so future studies should pay particular attention to the mediating mechanisms.Practical implicationsManagement of SMEs is advised to develop conducive organizational structures, such as trust, openness to collaboration and so on, for effective innovative knowledge transfer and transformation.Originality/valuePast research studies on network embeddedness and innovation performance have dominantly resided in MNE and large corporations. This current study extends the body of knowledge by extending the network embeddedness and innovation performance research studies to SME context.

Based on a qualitative multiple-case study, this article focuses on the effect that multiple embeddedness—that is, both local and family embeddedness—has on the entrepreneurial orientation of small and medium-sized family businesses. The study’s results indicate that whereas local embeddedness influences small family businesses’ entrepreneurial orientation, especially in terms of their adherence to local customs and traditions and attention to local legitimisation, family embeddedness exerts particular influence on their adherence to family history and their replication of family rules and roles within the firm. The varying extents to which local embeddedness and family embeddedness manifest in the sampled businesses suggest four types of entrepreneurial behaviours: prudent, conservative, brave and pioneering.

This study advances our understanding of the contextualization of the effects of cultural intelligence (CQ). Drawing from trait activation theory and institutional theory, we develop a multi-level model showing how host countries’ informal and formal openness towards foreigners facilitate or constrain the importance of expatriates’ CQ in becoming embedded in the host organization. Furthermore, this study positions organizational embeddedness as a mediator in the association between expatriates’ CQ and a central element of expatriates’ jobs – knowledge sharing in the foreign workplace. Results from a cross-lagged survey of 1327 expatriates from 100 different nations residing in 30 host countries combined with secondary data indicate expatriate CQ relates positively to organizational embeddedness. Cross-level interaction analyses further suggest that in-group collectivism, the proxy for host countries’ informal openness towards foreigners, facilitates the importance of CQ as a predictor of expatriates’ organizational embeddedness. In contrast, CQ was not found to interact with the proxy for host countries’ formal openness towards foreigners, i.e. national immigration policies. Consistent with predictions, we identified that CQ relates positively to knowledge sharing and that organizational embeddedness carries an indirect effect. We discuss the implications for theory and practice.

PurposeThis study aims at developing a better understanding of the relationship between network embeddedness and incremental innovation capability and further examines the moderating effect of open innovation.Design/methodology/approachThis paper adopts hierarchical regressions to validate the theoretical model and collect the patent data of the top 54 firm patentees in the smartphone industry as empirical sample. Using patent citation network data, this paper estimates the relationship between open innovation, network embeddedness and incremental innovation capability.FindingsThis paper empirically shows that structural embeddedness exerts a negative effect on incremental innovation capability, while relational embeddedness is positively related to incremental innovation capability. And open innovation strengthens the relationship between network embeddedness and incremental innovation capability.Originality/valueThis paper shifts the focus of the determinants of incremental innovation capability from internal factors to the external network features by exploring the linkage between network embeddedness and incremental innovation capability. A counterintuitive conclusion is that structural embeddedness shows a negative effect on firm's incremental innovation capability. Furthermore, in contrast to most previous studies, which only focus on the direct effect of open innovation on the firm's incremental innovation capability, our study examines the moderating effect of open innovation on the relationships between network embeddedness and incremental innovation capability. At last, the results provide practical guidance for firms to occupy the beneficial network positions and adopt appropriate open innovation strategies to improve their incremental innovation capability.

Defining embeddedness as a psychological construct that influences individuals to stay, we draw on conservation of resources theory to develop and test a model of the influence of contextual social support resources on both organizational and community forms of embeddedness. In addition to the direct relationship between support and embeddedness, we also assess the mediating influence of organizational and community psychological safety and the moderating impact of need to belong. Using a multisource sample of employees and coworkers (N = 165), we found support for most of the hypotheses. Social support resources emanating from the organization and the community were positively associated with embeddedness in each domain, and psychological safety mediated these relationships. We also found that need to belong was an important boundary condition in the determination of organizational embeddedness. We discuss the theoretical contributions and practical implications of our findings.

Purpose This paper aims to investigate the relationship between the level of subsidiaries’ internal and external relational embeddedness and the degree of subsidiaries’ knowledge transfer. More specifically, the aim is to explore dual embeddedness of subsidiaries involved in the knowledge transfer process within multinational corporations’ (MNCs) network. Design/methodology/approach The authors empirically analyse 165 European subsidiaries to demonstrate the crucial role of dual relational embeddedness in the transfer of knowledge within MNCs. Data were collected via a close-ended questionnaire and processed through an ordinary least squares regression model. Findings Results show that internal embeddedness directly and positively influences the degree of subsidiaries’ knowledge transfer, whereas external embeddedness does not. Notwithstanding, a higher level of both types of embeddedness – known as dual embeddedness – generates multiplicative and positive effects on the degree of subsidiaries’ knowledge transfer. Practical implications Best practices and relevant knowledge follow a reverse transfer of knowledge from the subsidiaries to the internal MNC network that is facilitated by the relational embeddedness of subsidiaries. This has resulted in developing a dual embeddedness, which introduces new routines and scripts, as well as more relational links. Originality/value The research emphasises the relevance of the knowledge transfer process in multiple directions, evoking the central role of dual-embedded subsidiaries.

Purpose This study aims to analyze the mediating effect of the open innovation processes of knowledge acquisition and exploitation as external embeddedness strategy on the relationships between strategic orientation toward digitalization and the three dimensions of the innovation capability: client, marketing and technology. Design/methodology/approach The research model was tested using a structural equation modeling design based on survey data from a financial and insurance sector multinational enterprise with direct operations in seven emerging countries. This sector is classified as being highly digitalized. Findings The results show that strategic orientation toward digitalization has an effect on innovation capability, with a greater impact on the client and technology dimensions than on the marketing dimension. However, the relationships with clients and technology are partially mediated by acquisition, while the one with marketing is mediated by exploitation. Originality/value This finding widens the current purpose and theoretical sense of external embeddedness as a type of inter-organizational arrangement key for digitalization in the literature, which is focused on the adaptation of digital technology of the head office to the needs of the subsidiaries and the systems of their local allies. By contrast, the study results show that external embeddedness is key for the multinational to be able, from its global way of creating value through digital technologies, not only to improve operating efficiency, but also to meet costumer experience expectations in each host country and innovate in local commercialization strategies, on account of the knowledge transfer between the multinational and the local players on customer preferences and technology uses in local markets.