Transboundary search strategy and product innovation during economic transitions

Abstract

Abstract: Previous researches on the relationship between the transboundary search and innovation focus on the transboundary search of the technological knowledge, ignoring the effects of the transboundary search of the market knowledge. By using an original data set of 270 manufacturing firms in China, this study aims to examine the impacts of the transboundary search of the technological knowledge and the market knowledge on the product innovation during economic transitions and discusses the modulatory effects of two important situational variables, namely the industry competitive intensity and the ownership type. The results show that (1) the transboundary search of the technological knowledge and the market knowledge can both promote the product innovation; and (2) the industry competitive intensity and the ownership type moderate the above relationship. Specially, with the enhancing industry competitive intensity, the impact of the transboundary search of the technological knowledge on the product innovation is increasing while the impact of the transboundary search of the market knowledge on the product innovation is decreasing. In comparison, the relationship between the transboundary search of the market knowledge and the product innovation is weaker for foreign-invested firms than for domestic-invested firms. However, there is no significant difference on the relationship between the transboundary search of the technological knowledge and the product innovation for them.

Key words: product innovation, transboundary search of the technological knowledge, transboundary search of the market knowledge, industry competitive intensity, ownership type

CLC Number:

F270.2

Zhang Wenhong, Zhao Yapu. Transboundary search strategy and product innovation during economic transitions[J]. Science Research Management, 2013, 34(9): 54-63.

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