Indicative studies on the performance outcome of innovation novelty
| Author(s) and year | Context and research method | Independent variable | Mediators/moderators | Dependent Variable | Theories used | Summary of findings | Indicated contribution |
|---|---|---|---|---|---|---|---|
| Hughes et al. (2021) | Survey of 2,820 Taiwanese business units | Business unit radical innovation | Absorptive capacity | Financial performance | Dynamic capabilities theory | Radical innovation is positively related to financial performance. This relationship is moderated by absorptive capacity | This mini-model contributes to understanding the conditions under which radical innovation enhances performance |
| Bustinza et al. (2019) | Survey of 370 manufacturers worldwide | Product-service innovation (servitization) | R&D intensity: In-house vs. partnership provision | Overall performance | Resource-based view | Product–service innovation positively enhances overall performance. R&D intensity and partnerships with knowledge-intensive business services enhance this relationship | Contributes to theory by reinforcing assumptions about the servitization–performance relationship by analyzing the roles of strategic partnerships and R&D intensity |
| Cefis and Marsili (2019) | Panel data of 2,329 firms in the Netherlands | New venture innovation (innovative capabilities) | Type of innovations (process, product vs. marketing, organizational) | Business survival | Resource-based view | New firms that innovate within two years of their founding enjoy a long-term adaptive survival premium during and after crises. Process and product innovations entail a more effective and enduring premium | This study contributes to understanding how organizational adaptation is shaped by the early ability of new firms to innovate and the nature of the innovation |
| Duhaylongsod & De Giovanni (2019) | Survey of 173 European organizations | Supplier integration (SI) | Innovation strategies (radical and incremental) | Operational performance (internal and external) | Resource-based view | Adopting an incremental product innovation strategy improves the relationship between internal and external operational performance and leads to more effective SI | This research suggests how the impact of SI on OP can be improved by adopting certain innovation strategies |
| Kobarg et al. (2019) | 218 Innovation projects in German manufacturing firms | Project level collaboration (breadth and depth) | Innovation performance (radical and incremental) | Knowledge-based view and resource-based view | There is an inverted U-shaped relationship between collaboration breadth and radical innovation performance and between collaboration depth and incremental innovation performance | This study contributes to our understanding of project-level open innovation and the overall performance effects of innovation collaboration | |
| Lee et al. (2019) | 856 firms from the 2014 Korean Innovation Survey | Product innovation (incremental, radical) and process innovation | Marketing innovation and organizational innovation | Firm performance | Not explicitly outlined | Process innovation encourages both radical and incremental product innovation. For high-tech firms, introducing marketing innovation increases the relationship between a new product and firm performance. In the case of low-tech firms, process innovation has direct and positive impacts on a firm’s performance with organizational innovation | The study shows that the synergy effects of innovation exist and can be changed depending on the innovativeness levels and industrial categories |
| Wang (2019) | Survey of 135 firms in Taiwan | Radical innovation and incremental innovation | Market dynamism | Firm performance | Not explicitly outlined | Radical innovation is positively associated with firm performance, while incremental innovation is negatively related to firm performance. Market dynamism moderates the positive effect of radical innovation | Highlights the mediating role of environmental dynamism when examining the relationship between innovation novelty and firm performance |
| Azar and Ciabuschi (2017) | Survey data from 218 Swedish export ventures | Innovation capabilities | Technological innovation novelty (radicalness and extensiveness) | Export performance | Socio-technical system theory and resource-based view | Organizational innovation positively affects both dimensions of technological innovation novelty. While extensiveness is positively related to export performance, radicalness is not | The study contributes to understanding how adopting innovations in the development of a foreign market benefits export performance |
| Prajogo (2016) | Survey of 207 manufacturers in Sweden | Innovation strategies (process and product) | Environmental dynamism and Environmental competitiveness | Business performance | Contingency theory and resource-based view | Dynamic environments strengthen the effect of product innovation on business performance. Competitive environments weaken the effect of product innovation on business performance but strengthen the effect of process innovation on business performance | This study appropriates the competitive value of different innovation strategies in different environments |
| Piening and Salge (2015) | Survey of 5,476 German firms | Process innovation novelty (propensity) | Technological turbulence and market turbulence | Financial performance | Dynamic capabilities | Process innovation propensity increases financial performance up to a point beyond which negative marginal returns set in | The study highlights the importance of considering the diminishing marginal benefits of innovation activities for process innovation propensity |
| Löfsten (2014) | Survey of 99 medium-sized technology firms in Sweden | Product innovation | Firm performance (sales and profitability) | Product innovation success enhances sales but does not significantly impact profitability | The study contributes to understanding product innovation processes and how innovation influences performance | ||
| Rosenbusch et al. (2011) | Meta-analysis of 42 firms | Firm innovativeness | Firm performance | The study found that innovation–performance relationship is context dependent | The study synthesized knowledge in the area based on previous studies | ||
| This study | Survey of 203 humanitarian organizations in Ghana | Innovation novelty | Innovation intensity and external communication | Operational performance (efficiency performance and disaster responsiveness) | Resource-based view and dynamic capabilities theory | Innovation novelty has a J-shaped relationship with efficiency performance. Innovation intensity and external communications play differing roles in this relationship | This study comprehensively examined when HROs benefit from innovation novelty. The curvilinear analysis provides new insights into the relationship |
| Author(s) and year | Context and research method | Independent variable | Mediators/moderators | Dependent Variable | Theories used | Summary of findings | Indicated contribution |
|---|---|---|---|---|---|---|---|
| Survey of 2,820 Taiwanese business units | Business unit radical innovation | Absorptive capacity | Financial performance | Dynamic capabilities theory | Radical innovation is positively related to financial performance. This relationship is moderated by absorptive capacity | This mini-model contributes to understanding the conditions under which radical innovation enhances performance | |
| Survey of 370 manufacturers worldwide | Product-service innovation (servitization) | R&D intensity: In-house vs. partnership provision | Overall performance | Resource-based view | Product–service innovation positively enhances overall performance. R&D intensity and partnerships with knowledge-intensive business services enhance this relationship | Contributes to theory by reinforcing assumptions about the servitization–performance relationship by analyzing the roles of strategic partnerships and R&D intensity | |
| Panel data of 2,329 firms in the Netherlands | New venture innovation (innovative capabilities) | Type of innovations (process, product vs. marketing, organizational) | Business survival | Resource-based view | New firms that innovate within two years of their founding enjoy a long-term adaptive survival premium during and after crises. Process and product innovations entail a more effective and enduring premium | This study contributes to understanding how organizational adaptation is shaped by the early ability of new firms to innovate and the nature of the innovation | |
| Survey of 173 European organizations | Supplier integration (SI) | Innovation strategies (radical and incremental) | Operational performance (internal and external) | Resource-based view | Adopting an incremental product innovation strategy improves the relationship between internal and external operational performance and leads to more effective SI | This research suggests how the impact of SI on OP can be improved by adopting certain innovation strategies | |
| 218 Innovation projects in German manufacturing firms | Project level collaboration (breadth and depth) | Innovation performance (radical and incremental) | Knowledge-based view and resource-based view | There is an inverted U-shaped relationship between collaboration breadth and radical innovation performance and between collaboration depth and incremental innovation performance | This study contributes to our understanding of project-level open innovation and the overall performance effects of innovation collaboration | ||
| 856 firms from the 2014 Korean Innovation Survey | Product innovation (incremental, radical) and process innovation | Marketing innovation and organizational innovation | Firm performance | Not explicitly outlined | Process innovation encourages both radical and incremental product innovation. For high-tech firms, introducing marketing innovation increases the relationship between a new product and firm performance. In the case of low-tech firms, process innovation has direct and positive impacts on a firm’s performance with organizational innovation | The study shows that the synergy effects of innovation exist and can be changed depending on the innovativeness levels and industrial categories | |
| Survey of 135 firms in Taiwan | Radical innovation and incremental innovation | Market dynamism | Firm performance | Not explicitly outlined | Radical innovation is positively associated with firm performance, while incremental innovation is negatively related to firm performance. Market dynamism moderates the positive effect of radical innovation | Highlights the mediating role of environmental dynamism when examining the relationship between innovation novelty and firm performance | |
| Survey data from 218 Swedish export ventures | Innovation capabilities | Technological innovation novelty (radicalness and extensiveness) | Export performance | Socio-technical system theory and resource-based view | Organizational innovation positively affects both dimensions of technological innovation novelty. While extensiveness is positively related to export performance, radicalness is not | The study contributes to understanding how adopting innovations in the development of a foreign market benefits export performance | |
| Survey of 207 manufacturers in Sweden | Innovation strategies (process and product) | Environmental dynamism and Environmental competitiveness | Business performance | Contingency theory and resource-based view | Dynamic environments strengthen the effect of product innovation on business performance. Competitive environments weaken the effect of product innovation on business performance but strengthen the effect of process innovation on business performance | This study appropriates the competitive value of different innovation strategies in different environments | |
| Survey of 5,476 German firms | Process innovation novelty (propensity) | Technological turbulence and market turbulence | Financial performance | Dynamic capabilities | Process innovation propensity increases financial performance up to a point beyond which negative marginal returns set in | The study highlights the importance of considering the diminishing marginal benefits of innovation activities for process innovation propensity | |
| Survey of 99 medium-sized technology firms in Sweden | Product innovation | Firm performance (sales and profitability) | Product innovation success enhances sales but does not significantly impact profitability | The study contributes to understanding product innovation processes and how innovation influences performance | |||
| Meta-analysis of 42 firms | Firm innovativeness | Firm performance | The study found that innovation–performance relationship is context dependent | The study synthesized knowledge in the area based on previous studies | |||
| Survey of 203 humanitarian organizations in Ghana | Innovation novelty | Innovation intensity and external communication | Operational performance (efficiency performance and disaster responsiveness) | Resource-based view and dynamic capabilities theory | Innovation novelty has a J-shaped relationship with efficiency performance. Innovation intensity and external communications play differing roles in this relationship | This study comprehensively examined when HROs benefit from innovation novelty. The curvilinear analysis provides new insights into the relationship |
Source(s): Authors’ own work
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