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Abstract

Open innovation is an innovation framework proposing that established firms use external sources as pathways to new ideas, technologies, business models and markets. Within this framework, established companies can use startups, or young, growth-oriented business to help them achieve radical or breakthrough innovations. In this paper, we focus on established firms which use “corporate accelerators” to run fast-moving, competitive programs in which startup companies participate. Our purpose is to identify inhibitors to the collaboration between established firms and startups in these accelerator programs. We conducted 27 interviews with participants from startups, established companies using startups as innovators, and the accelerator management who provided the platform for this engagement. Our theoretical framework is the social realist theory of Margaret Archer. This provides a conceptualisation of the reflexivity of the participants and the “situational logic” of conflict and competition in which they find themselves. We found that collaboration will be inhibited by conflicts in basic beliefs, or propositions, about concepts such as authority, autonomy and risk, as well as competition for material resources and personal goals.

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... These resources are particularly relevant for the last phase of the innovation process, commercializing inventions and thereby turning them into innovations (Gans & Stern, 2003;van de Vrande et al., 2009). However, since 2010 1 (Heinemann, 2015) a new open innovation activity not explicitly bound to one of the innovation process phases for either organization type has rapidly gained popularity (Hochberg, 2016;Jackson & Richter, 2017;Weiblen & Chesbrough, 2015). Within corporate 1 According to Heinemann (2015, p. 18) Microsoft (USA), ImmobilienScout (Germany) and Telefónica accelerator programs incumbents and external startups collaborate in order to advance product development and thus, venture creation by making use of complementary assets (Kohler, 2016;Pauwels, Clarysse, Wright, & Van Hove, 2015). ...
... Since 2010 (Heinemann, 2015), a new open innovation activity in form of established and new firms jointly advancing entrepreneurial ideas and products has been widely adopted in practice (Hochberg, 2016;Jackson & Richter, 2017;Weiblen & Chesbrough, 2015 Gulati, 1998, p. 293). Such partnership falls between the modes of market and hierarchy (Powell, 1987) and, consequently, allows the focal firm and its partner for exchanging and recombining knowledge through regular interaction, for instance in project-based working groups (Felin & Zenger, 2014;Hagedoorn, 2002;Hagedorn, 1993;Powell, Koput, & Smith-Doerr, 1996). ...
... Unfortunately, existing research could not yet clarify the underlying motives of incumbents for initiating and utilizing such open innovation instrument.Further, successful open innovation collaboration between established and new firms in corporate accelerators is not self-evident due to ontological and competitive contradictions. The collaboration is among others challenged by power imbalances, cultural differences, divergent modes of operation as well as conflicting interests in resources(Jackson & Richter, 2017; Weiblen & Chesbrough, 2015, p. 67). So far, research has identified barriers of the collaboration between incumbents and startups, but has neither analyzed the adoption of the collaboration in such programs nor the execution itself. ...
... Business acceleration is a nascent and autonomous phenomenon, even though many scholars define accelerators as special types or enhancement of business incubators that aim to move startups as fast as possible from the idea stage to commercial exploitation (Becker and Gassmann 2006;Goswami et al. 2018;Jackson and Richter 2017;Pauwels et al. 2016). We however argue that business acceleration is an independent outside-in approach to fill existing gaps in business incubation, and we provide several distinguishing characteristics to support this statement. ...
... In simple terms, we can distinguish between corporate-run (private) and non-corporaterun (public) accelerator programs. Corporate accelerators operate on behalf of established corporations (Jackson and Richter 2017), whereas non-corporate-run accelerators are typically backed by either venture capital firms and business angels or institutions. But whether they are run by corporations or venture capital firms and institutions, accelerators seek to accomplish three goals: determine investment possibilities, match startups and corporations, and in the end, stimulate regional startupactivities inside the ecosystem (Goswami et al. 2018;Pauwels et al. 2016). ...
... The evidence from this study indicates that corporate incubators increase innovative knowledge of corporations by shifting from internal to external idea sourcing (Becker and Gassmann 2006) and produce successful firms with faster exploitation of technology (Ford et al. 2010;Mas-Verdú et al. 2015). Likewise, business accelerators offer a solution to the innovation challenges of large corporations, help close the in-novation gap and rejuvenate the corporate culture (Jackson and Richter 2017;Kohler 2016). In addition to this, accelerator and incubator graduates have overall a higher success rate compared to startups that have not participated within entrepreneurial support organizations and get funding comparably faster (Kohler 2016;Radojevich-Kelley and Hoffman 2012). ...
Thesis
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Business incubators and accelerators are both entrepreneurial development programs intended to provide startups with necessary resources and business knowledge to grow. Startups are generating considerable interest in terms of potential collaborations with corporations to overcome barriers in the course of digital transformation. However, this field still lacks theoretical and practical knowledge about classification, process models and performance measures as well as a clear differentiation between incubation and acceleration. This thesis seeks to present a literature review on definitional issues, application of key success factors and performance outcomes by critically assessing research since the year 1996 for incubators and 2005 for accelerators. Overall, most findings suggest that business incubation and acceleration support established corporations to successfully cope with digital transformation by closing innovation gaps. Our results reveal that business incubation and acceleration are two different concepts supporting new venture development. Business accelerators, though, provide more intense mentoring during a limited period of time, which better match to engage with corporations. However, very specific business incubators are more suitable for manufacturing and high-tech startups because of a longer development period. Arguably, the absence of universally accepted definitions and measurements to evaluate and assess business incubators and accelerators, as well as to examine the management role in these organizations , offers a large potential for future research, specifically in innovation and information system studies.
... This conceptualization has further been applied to the concept of CAs, described as outside-in OI programs for corporates to engage with startups [5] and as "programs of limited duration that support cohorts of startups during the new venture process via mentoring, education, and company-specific resources" [17, p.348]. However, the respective terminology has been controversially discussed in scientific literature so that results have not been uniform, and CAs remain to be dissentingly defined (e.g., [2,6,13,16,18,19]). In fact, the current scientific definitions are deemed to be problematic as "conceptualizing accelerators in terms of what they are not (i.e., not incubators) or by where they are contextually situated (differentiating between types of accelerators) fails to explain what acceleration really is" [6, p.19]. ...
... A review of the CA literature makes it evident that the design elements in the literature are partly based on the independent accelerator literature [12] or on a financial rather than strategic logic of the CAs [14]. This is in line with Jackson and Richter [18], who found that the program design of CAs is often inspired by and modeled upon independent accelerators. However, although the phenomenon of independent accelerators is highly successful, it is questionable if this approach, design, and techniques are at all transferable to the corporate context [22] and, if so, to what extent. ...
... On the other hand, within the context of CAs, as with every endeavor connected to entrepreneurship and innovation, there is a chance of failure. Common reasons for these are the competitive and ontological contradictions between corporates and startups with regard to cultural differences, power imbalances, and divergent modes of working as well as conflicting interests in resource allocation and speed [5,9,18]. In that sense, collaboration might be complicated by significant conflicts in basic beliefs as well as competitive contradictions [18]. ...
... Originally presented as a kind of incubator (n = 6), currently the research defines accelerators a distinct form of innovation intermediary (n = 24), while a number of studies focus on examining the range of services they offer through emphasizing the differences with those delivered by incubators (n = 46). Studies defining accelerators as an incubation model refer to accelerators as "a new incubation model" (Clarysse et al. 2015, p. 5), "a new form of rapid business incubation" (Jackson and Richter 2017), "a type of incubation program that are concerned with attracting, supporting and developing new ventures" (Malek et al. 2014, p. 26), and "an emerging incubation-like model" (Yang et al. 2018, p. 4) and consider that accelerators derive many of their characteristics from business incubators. The first definition attempt of the term "accelerator" dates back only 8 years ago, when Miller and Bound (2011) conducted the first in depth study on the evolution, benefits and business models of accelerators and their programmes. ...
... More confusedly, research has also found that accelerators which run similar typical interventions generate in similar contexts different outcomes for different participants. This variation in outcomes across similar interventions and contexts has been explained based on the different types of participants involvement in the process, and based on different participants' situational logic (Jackson and Richter 2017). Our analysis of outcomes identified in existing research suggests however that this variation in outcomes might also be due to the confusion between output and outcomes, and to the different time perspectives different studies may take in measuring outcomes. ...
... Regarding the other three mechanisms-validation, access and growth and innovation-there are only limited studies addressing the long-term impact of accelerators which have implemented such mechanisms. Particularly with regard to innovation, which is the most complex mechanism we identified, there is little research understanding the outcomes that such innovative accelerators have in terms of their provision of technology transfer (Bliemel et al. 2016;Byrd et al. 2017;Grilo et al. 2017), open innovation (Battistella et al. 2017;Jackson and Richter 2017), or social innovation (Iwamoto 2016) services. ...
Article
Full-text available
Online access here: https://rdcu.be/b8tZI Over the past 15 years, accelerators emerged as a popular and distinct new form of intermediary organization, playing a key role in supporting entrepreneurial and innovation activities. To date, despite significant growth in accelerators research, there is still little understanding of how different forms of accelerators operate, and what outcomes they produce across different contexts. This paper reviews the existing scholarly research on accelerators using the Context–Intervention–Mechanism–Outcome framework and is based on the analysis of 98 research papers on accelerators published in the last 15 years. The analysis identifies four mechanisms which explain how accelerators operate and the role they play in supporting entrepreneurship and innovation: the validation of ideas and products; the provision of product development and models learning; the provision of support to increase startups’ market access and growth; and the provision of support for innovation. The paper identifies the methodological and theoretical gaps in current research and provides avenues to support future research and industry practice.
... OI originated from the high tech sector but is now broadly applied in all industries and for all corporate sizes (West & Bogers, 2014). OI involves opening up corporate innovation management to sources outside the corporate boundaries (Bigliardi et al., 2020;Jackson & Richter, 2017;Nesner et al., 2020) and is accelerated by the fact that internal R&D is becoming more complex and costly (Back et al., 2019). In order to be effective OI requires a collaborative approach and idea heterogeneity (Hasche et al., 2017;Peter et al., 2020). ...
... The differences result in an omni-present conflict of OI. On the one hand it must manage the differences of involved partners but on the other hand it must let them exist in order to benefit from heterogenous perspectives (Jackson & Richter, 2017). In the OI world trust becomes an important element as it can help overcome uncertainty and make pre-investment without planned outcomes more likely (Hasche et al., 2017). ...
... Therefor corporates must manage their expectations well when it comes to OI. They should not expect immediate results but accept to invest resources in a process which will benefit them in future (Back et al., 2019;Jackson & Richter, 2017). ...
Thesis
The post-acceleration phase of corporate accelerator programs includes all activities after acceleration of a start-up and is a topic that attracts limited interest in scientific literature so far. Neither practical nor academic guidance on how to structure the post-acceleration phase currently exist. This omission is judged to be negligent since acceleration outcomes are utilized during the post-acceleration phase, when the acceleration has come to an end. Actions taken during the post-acceleration phase will therefore determine the overall success of the corporate accelerator program , which should elicit interest of researchers. The existing gap in literature and missing recommendations for implementation in practice are the main motivators for this thesis. A multiple case study analysis with four cases was performed to collect insights on how the post-acceleration phase is managed in practice and to provide recommendations for a structured post-acceleration phase management approach. The main result of the thesis is that a structured post-acceleration phase is recommended , if corporates aim for long-term collaborative partnerships with external start-ups. Areas that must be covered during post-acceleration are a joint evaluation of the acceleration success, the structured integration of acceleration outcomes into the corporate organization and the creation of entrepreneurial network structures to drive cultural change and to maintain long term relationships. The thesis demonstrates that the post-acceleration phase is an integral part of corporate acceleration and that it must be managed properly to achieve acceleration objectives. Corporates that follow the recommendations outlined in this thesis will have more long-term acceleration outcomes, will be able to improve future accelerations and will enable cultural transformation towards more entrepreneurship. This thesis lays explorative groundwork and functions as a starting point for additional research so that corporate accelerator programs can be further improved ben-efitting of corporates and participating start-ups.
... Out of these other actors, Universities, large companies and venture capital (VC) firms are highlighted. It is worth noting the transdisciplinarity of OI research, as some papers focus on with financing (Livieratos and Lepeniotis 2017), intellectual property (Belingheri and Leone 2017), transaction costs (Hsieh et al. 2016), and alliances (Jackson and Richter 2017). ...
... However, the trust could fail; in fact, sometimes start-ups perceive a lack of goodwill on the part of the collaborator and sometimes, it is the large companies that do not believe the skills of the start-up. Jackson et al. (2017) studied the barriers that hinder the collaborations between start-ups and large companies. They found that there are two significant barriers: "restrictive mindset" and "conservative decision making". ...
... In this sense, the topics recommended for further research appear to be interlinked. Indeed, many authors highlight the importance of studying how collaborations (ties) are influenced by the entrepreneur's open mindset (Eftekhari and Bogers 2015;Jackson and Richter 2017); equally important is to understand how knowledge flows between the subjects (Spender et al. 2017). Openness to external subjects allows start-ups to reach important goals and solve their initial shortcomings (Piva and Lamastra 2012;van Gils and Rutjes 2017); indeed, it is through certain collaborations that start-ups can acquire the knowledge they do not possess (Gassmann et al. 2010;van Gils and Rutjes 2017). ...
Article
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It has long been known that new firms are fundamental for economic growth. Starting new companies is one of the best ways to fight unemployment and to generate well-being. Therefore, attention is paid by the scientific community to start-ups, with particular empha-sis at how they generate, acquire and manage innovation. Initially, start-ups need to identify the resources necessary for innovation and later they will decide whether to develop them internally or acquire them externally. Being open to external sources is a crucial point for the success of new ventures; indeed, adopting Open Innovation processes allows start-ups to overcome their initial shortcomings. The goal of this research is to understand the literature status related to Open Innovation adoption by start-ups.
... They argue that corporate accelerators are involved in "corporate nurturing", a form of corporate entrepreneurship that involves business assistance to new ventures (Miles & Covin, 2002;Shankhar & Shepherd, 2018), and have so far looked at the design of corporate accelerator programs (Kohler, 2016;Kanbach & Stubner, 2016;Richter et al., 2018) and how these programs differ from other startup-engagement activities such as corporate incubation and corporate venturing (Kohler, 2016). Furthermore, corporate innovation and entrepreneurship studies have explored the different models of corporate accelerators (Kanbach & Stubner, 2016;Shankhar & Shepherd, 2018;Prexl, Hubert, Beck, Heiden, & Prügl, 2018) and their success factors and inhibitors for tapping into the startup world (Jackson & Richter, 2017;Mahmoud-Jouini, Duvert, & Esquirol, 2018). Overall, this research orientation has focused on the benefits of corporate accelerators for its corporate sponsor(s), building on the literatures on corporate entrepreneurship (Burgelman, 1983), open innovation (Chesbrough, 2003), and business or innovation ecosystems (Moore, 1996;Adner & Kapoor, 2010). ...
... Corporate innovation and entrepreneurship studies also focus on closed-system intermediation and consider the accelerator as an interface unit that matches and mediates between entrepreneurs and corporations 9 . Studies within this research orientation have paid attention to "coopetition" tensions between the ventures and the corporate sponsors (Jackson & Richter, 2017) where changes in one variable lead to changes in another variable which lead back to changes in the first variable (Bluedorn, & Denhardt, 1988;Ancona, Okhuysen, & Perlow, 2001). ...
Conference Paper
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While the widespread phenomenon of the business or seed accelerator has enjoyed increasing attention amongst scholars, the lack of a coherent and theoretically grounded understanding of this new organizational form constrains the cumulativeness and transferability of findings. By drawing on a systematic literature review, we identify four distinct research orientations on the accelerator: organizational learning and adaptation, entrepreneurial finance, entrepreneurial ecosystems, and corporate innovation and entrepreneurship. We compare and contrast these orientations along the organizational features that they attribute to the accelerator and synthesize them into an integrative typology. We further distinguish the accelerator from other established entrepreneurial support organizations and develop a research agenda that contributes to integration of the literature by building bridges between the different research orientations and linking the concept to established theories.
... They argue that corporate accelerators are involved in "corporate nurturing", a form of corporate entrepreneurship that involves business assistance to new ventures (Miles & Covin, 2002;Shankhar & Shepherd, 2018), and have so far looked at the design of corporate accelerator programs (Kohler, 2016;Kanbach & Stubner, 2016;Richter et al., 2018) and how these programs differ from other startup-engagement activities such as corporate incubation and corporate venturing (Kohler, 2016). Furthermore, corporate innovation and entrepreneurship studies have explored the different models of corporate accelerators (Kanbach & Stubner, 2016;Shankhar & Shepherd, 2018;Prexl, Hubert, Beck, Heiden, & Prügl, 2018) and their success factors and inhibitors for tapping into the startup world (Jackson & Richter, 2017;Mahmoud-Jouini, Duvert, & Esquirol, 2018). Overall, this research orientation has focused on the benefits of corporate accelerators for its corporate sponsor(s), building on the literatures on corporate entrepreneurship (Burgelman, 1983), open innovation (Chesbrough, 2003), and business or innovation ecosystems (Moore, 1996;Adner & Kapoor, 2010). ...
... Corporate innovation and entrepreneurship studies also focus on closed-system intermediation and consider the accelerator as an interface unit that matches and mediates between entrepreneurs and corporations 9 . Studies within this research orientation have paid attention to "coopetition" tensions between the ventures and the corporate sponsors (Jackson & Richter, 2017) where changes in one variable lead to changes in another variable which lead back to changes in the first variable (Bluedorn, & Denhardt, 1988;Ancona, Okhuysen, & Perlow, 2001). ...
... In return, the companies can benefit from the innovations that are created by the startups to respond faster to market changes (Weiblen and Chesbrough, 2015) or create an ecosystem around the company (Pauwels et al., 2016). In fact, accelerators allow the company to think out of the box by taking advantage of the entrepreneurial ideas of the startups and exploiting the talents and resources of these startups (Jackson and Richter, 2017). ...
... Despite the recognizable popularity of accelerators and the increasing trend of using their services, academic research on accelerators in general and corporate accelerators in particular are still in their infancy. The extant literature on corporate accelerators focus on the raising concern on the potential tensions that can happen between the startups and the company due to the underlying differences in work practices, modes of operation and cultural differences between large and small firms, and provide advices on to how to avoid them (Jackson and Richter, 2017;Kohler, 2016;Weiblen and Chesbrough 2015). ...
Thesis
Full-text available
Mobile platforms offer an opportunity for creating and distributing apps through app stores. Many developers, in the form of startups, have joined these platforms with economic motivations. However, they face several challenges on the way to creating a business. Firstly, the startup nature of the businesses implies a scarcity of financial resources and a dearth of business experience in developing and selling apps. Secondly, the popularity of the platforms has resulted in fierce competition among apps, hence difficulty in bringing an app to the attention of users. Thirdly, the startups are compelled to operate within the app store structures under the market-making rules of the platform owner. Finally, the contextual factors related to the type of an app may create additional difficulties. For example, game developers must cope with the heterogeneity of users' expectations, users' reluctance to wait for a game to be fixed in the case of problems, and the mainstream freemium monetization model which makes revenue-making more complex. This dissertation explains how early-stage mobile game startups operate in order to succeed. It uses the qualitative classic Grounded Theory Methodology for both analyzing and theory building. The data is collected through semi-structured interviews with 20 international game startups that were participating in a business accelerator – founded by a platform-owner – in Finland. The main research question asks 'What are the dynamics of success for early-stage mobile game startups?' The two more specific research questions ask how startups utilize the facilities of an accelerator, and how they excel in the market after publishing their games. The theoretical contributions of the dissertation are threefold. Firstly, it contributes to the literature on the role of the platform owner in the activities of startups. It discusses the role of the accelerator as a social boundary resource in improving the capabilities of startups in terms of game design, access to resources, and improved market activities, as well as providing an opportunity for the startups to impact the platform owner's decisions and to access resources from other members of the ecosystem. Secondly, it contributes to the literature on experimentation in software startups by explaining how mobile game startups follow an experimentation approach and use game analytics to discover areas of improvement and new potential markets. Thirdly, the developed theoretical model of 'dynamics of success for early-stage mobile game startups' explains that by utilizing the accelerator's facilities and taking an experimentation approach, startups aimed to iteratively raise game quality, visibility and user engagement in the pursuit of initial success for future expansion to other platforms. Moreover, the findings provide practical implications for mobile game developers, platform owners and business accelerators.
... The same applies to the structural component. Figure 14:Morphogenetic cycle between t0 and t1, in accordance with Archer (1995: 323) and (Schein 1985;Ekvall 1996) Conforming to Archer (1995), social and socio-cultural interactions are visible manifestations of the cultural system (Jackson and Richter 2017). In an organization, the social and sociocultural interactions take place within the employees' working environment and can, therefore, from the ontological perspective of climate research, serve as a basis for the employees' perception of their working environment (Schein 1985;Amabile et al. 1994;Archer 1995;Ekvall 1996). ...
Book
Companies in a wide range of industries increasingly build corporate incubators to meet the growing challenge of exploration and innovation while remaining efficient and productive on existing products. Particularly important for these incubators is ensuring and maintaining the relationship with the hosting company without compromising the incubator’s exploration capabilities, which is a particular challenge, owing to the structural separation of the two entities. As a result, incubators try not only to achieve the highest possible benefit for the hosting company through a wide variety of objectives and strategies, but also through a combination of different activities, which has led to a myriad of different incubation concepts. In addition to the promotion of business model innovations and the maximization of revenues, the activities mainly serve the exchange of knowledge and values, as well as the promotion of innovation behavior and the hosting company’s innovation culture and climate. All these activities are of the greatest relevance for the success of corporate incubators, but they involve many risks, causing a large number of corporate incubators to shut down or restructure continuously. In particular, researchers have, thus far, hardly investigated the activities directly aimed at the hosting company, such as knowledge and value exchange, the stimulation of innovation behavior, and the improvement of the innovation culture and climate. Especially lacking is a comprehensive classification of corporate incubators according to their different goals and strategies, such that scholars can compare them from a research perspective. It is not clear how incubators can find and promote ideas and select those with the most potential. In this context, there has been insufficient research into innovation platforms in particular how to stimulate innovation behavior. Moreover, it is not clear how a cultural change in the hosting company could materialize if its supervisors do not support it. This dissertation contributes to close these research gaps by analyzing corporate incubators’ most essential activities from a postpositivist perspective. Using three different data sets on individual, group, and incubator level including platform, longitudinal, multi-level, as well as quantitative and qualitative data, this dissertation contributes to the understanding of, first, what constitutes corporate incubators and their performance, second, how corporate incubators affect employees’ motivational processes and their subsequent innovative behavior, third, how corporate incubators can support idea generation and reflective idea selection processes, and fourth, how corporate incubators contribute to a behavioral change of innovation climate. This dissertation’s overall findings, moreover, lead to a generic model of centralized incubation. Its effects on various other research areas with similar incubation processes are discussed.
... Recent research indicates that in some emerging countries, foreign subsidiaries are integrated with research partners, client companies and suppliers, and sometimes, government agencies support their innovation process (Kafouros and Forsans, 2012). Open innovation has also been achieved by MNCs through online platforms (Hossain, 2013) and/or corporate accelerators (Jackson and Richter, 2017;Kohler, 2016) where innovative solutions are sought from their foreign subsidiaries located in emerging markets and then implemented in the country of their headquarters or other subsidiaries. ...
Article
We investigated the role of open innovation in the reverse innovation process. Reverse innovation is an innovation initially launched in a developing country and later introduced to an advanced country. Von Zedtwitz et al. (2015) developed a typology of global innovation with sixteen innovation flows between advanced and emerging countries, ten of which are reverse innovation flows. We argue that their typology can be expanded. By adopting an inductive case study, we provided a nuanced analysis of open innovation as a trigger for reverse innovation based on an in-depth case analysis of a foreign subsidiary and its network of local partners in an emerging market. Our research extended the typology of Von Zedtwitz et al. (2015) by identifying open innovation occurring in emerging markets and influencing the process of reverse innovation in multinational companies. By adding analyses of open innovation, we theorised that new reverse innovation configurations emerge. The managerial contributions are related to how multinational companies can benefit from open innovation and leverage the potential of reverse innovation to increase innovation performance and competiveness in the global setting.
... Recent research indicates that in some emerging countries, foreign subsidiaries are integrated with research partners, client companies and suppliers, and sometimes, government agencies support their innovation process (Kafouros and Forsans, 2012). Open innovation has also been achieved by MNCs through online platforms (Hossain, 2013) and/or corporate accelerators (Jackson and Richter, 2017;Kohler, 2016) where innovative solutions are sought from their foreign subsidiaries located in emerging markets and then implemented in the country of their headquarters or other subsidiaries. ...
Article
We investigated the role of open innovation in the reverse innovation process. Reverse innovation is an innovation initially launched in a developing country and later introduced to an advanced country. Von Zedtwitz et al. (2015) developed a typology of global innovation with sixteen innovation flows between advanced and emerging countries, ten of which are reverse innovation flows. We argue that their typology can be expanded. By adopting an inductive case study, we provided a nuanced analysis of open innovation as a trigger for reverse innovation based on an in-depth case analysis of a foreign subsidiary and its network of local partners in an emerging market. Our research extended the typology of Von Zedtwitz et al. (2015) by identifying open innovation occurring in emerging markets and influencing the process of reverse innovation in multinational companies. By adding analyses of open innovation, we theorised that new reverse innovation configurations emerge. The managerial contributions are related to how multinational companies can benefit from open innovation and leverage the potential of reverse innovation to increase innovation performance and competiveness in the global setting.
... The second literature stream empirically assesses the impact of business accelerator programs. This literature stream is also divided into two main sub-streams: the first analyzes the impact of accelerators on ecosystems (Fehder and Hochberg, 2014;Frimodig and Torkkeli, 2017;Hochberg, 2016), whereas the second attempts to study the impact of accelerator programs on accelerated startups (Battistella et al., 2017;Hallen et al., 2016;Jackson and Richter, 2017), with ambiguous results so far (Stayton and Mangematin, 2018). We contribute to this latter literature sub-stream. ...
... According to them an incumbent running a corporate accelerator have to set transparent and aligned goals between corporation and startups, recruit an independent team that view themselves as advocates for the startups, secure a large and committed external network, set a long term objectives and secure topmanagement backing. Following these indications should reduce tensions inherent in the collaboration between established firms and startups analysed by Jackson and Richter (2017). According to them "these tensions are not only competitive contradiction arising from disputes about resources or fairness within the some general structure, they are constraining contradictions between the elements of cultural and structural system themselves" (Jackson and Richter, 2017, 18). ...
Conference Paper
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In recent years a new model of start-up assistance appeared in the innovation landscape: the accelerators. Considered a new generation of business incubators accelerators present different characteristics. Notwithstanding the proliferation of accelerators the literature on such topic is surprisingly scarce. In order to fill this gap we performed a systematic literature review on the topic of accelerators drawing from the three academic databases ISI web of science, Scopus and EBSCO. The results of our analysis highlight that the literature is articulated in three main streams namely the Definition of business accelerators and description of accelerator programs the Impact of business accelerator programs and Business accelerators as an open innovation tool. Drawing from these findings we contribute to the emerging literature on accelerators clarifying the boundaries of such emerging phenomenon, pointing out the importance and effectiveness of such programs and identifying three areas of potential research.
... The analysis was carried out on the basis of Margaret Archer's social realist theory, which enables the conceptualization of participants' reflections, competition, and the "situational logic" of the conflict in which the participants reside. The main sources of conflict, as research has shown, are differences over core beliefs, power, autonomy, risk, and competition for resources and personal goals [Jackson and Richter, 2017]. ...
Article
Full-text available
Accelerators have been becoming increasingly popular among young entrepreneurs interested in developing products, attracting investors, or establishing relations with industry represented by large companies. The focus of the studies is to conduct literature review due to the small number of scientific articles are available on this topic. The article aims to show the current state of knowledge about startup accelerators and the support they provide. It outlines what added value accelerators offer in their programs for young innovative companies. To achieve the stated aim, the authors combine a systematic literature review with a bibliometric analysis. The results of this research will be helpful in better matching the developed project with existing accelerator programs on the market. It can contribute to a better understanding of the principles governing the programs, program expectations of the accelerator and its partners with respect to the proposed solutions (corporations, business angels, and venture capital funds).
... Such outward-looking approaches to innovation are commonly referred to as open innovation (Chesbrough, 2003). Within the open innovation context, startup organisations can be important partners for incumbents, especially when sourcing new or radical innovations and technologies (Hyytinen et al., 2015;Jackson and Richter, 2017;O'Connor, 2006;Zingales, 2000). Engaging in joint innovation endeavours can be promising for both the incumbent and the startup organisation. ...
Article
Full-text available
In recent years, the phenomenon of open innovation has been on the rise in established firms, especially in terms of collaboration with startups. While the success factors of open innovation endeavors have been researched intensively, how collaborations are established is not well understood. Furthermore, there is a lack of research regarding asymmetric partnerships in open innovation, as occurs when incumbents and startups collaborate. This study used a qualitative research design to approach the question of how incumbents select startups as partners in open innovation. The data incorporate the perspectives of both incumbents and startups along with the views of external experts. The findings are consolidated into a process model of partner selection for open innovation.
... The same applies to the structural component. Figure 1:Morphogenetic cycle between t0 and t1, in accordance with Archer (1995: 323) and (Schein 1985;Ekvall 1996) Conforming to Archer (1995), social and socio-cultural interactions are visible manifestations of the cultural system (Jackson and Richter 2017) and can therefore be considered as a basis for the employees' perception of their working environment from the ontological perspective of climate research (Schein 1985;Amabile et al. 1994;Archer 1995;Ekvall 1996). Accordingly, for the purposes of this study, we define organizational climate as the perceptions of the work environment which result from the employees' collective behavior and mindset as a product of social and socio-cultural interactions (Abbey and Dickson 1983;Archer 1995;Ekvall 1996). ...
Conference Paper
The organizations' innovation climate is an indispensable means to promote innovation, as it can suppress any innovation or directly promote even the weakest ideas. This paper examines the influence of employees' behavioral changes on their department's innovation climate by participating in centralized innovation activities of corporate venture units. As a theoretical basis we use social realist theory, which-unlike the often invoked Lewinian Theory-assumes that employees and social systems can be analyzed separately with the help of analytical dualism. First and foremost, however, this theoretical rationale makes it possible to investigate the employees' impact on the innovation climate in a way that has not yet been analyzed before. We hypothesize that corporate venture units affect the participating individuals' knowledge and values by means of centralized activities such as workshops, trainings, and talks which indirectly affect the overall innovation climate of their department. To test our hypothesis, we use a longitudinal two-stage control function approach with 248 participants nested in 97 organizational units of a large, international science and technology company with several instrument variables to avoid selection-bias. Results show that the activities are capable of affecting the department's innovation climate by means of employees' behavior. This way, we contribute to the still unexplored field of climate and incubator research especially on innovation climate change through employee behavior. In addition, we contribute to broadening the perspective of social realist theory and expand research on corporate venture units by investigating further effects to influence the hosting company's innovativeness.
... The aspects mentioned above describe various challenges for established companies, all can be explained by the inability of established companies to respond to an underlying change (Chatterji et al., 2016). One of the core competencies of established companies is to realize economies of scale and scope, apply management systems and ultimately increase efficiency in existing businesses (Jackson & Richter, 2017). With regard to change, however, employees perceive change as a threat to existing core competencies and try to avoid actions outside existing patterns (O'Connor, 1998;Wolfe, Wright & Smart, 2006). ...
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A Corporate Accelerator (CA) is increasingly being considered as a bridge between established companies and start-ups. However, there is still little known about objectives and benefits of establishing CAs. Therefore, the aim of this study is to investigate both objectives and benefits of organizations implementing CAs. Moreover, we aim to shed further light on how those CAs are implemented in organizational structure and executed in corporate practice. We deliver findings based on data from five different cases in the German market. Using a multi case study approach, we find that CAs serve as so-called resource matchmakers between established companies and start-ups. Additionally, we propose that CAs trigger the organizational learning process. Therefore, we contribute to a better understanding of CAs, because prior research on this topic is limited. We discuss these findings in the light of prior research and with regard to management practice. Based on the limitations of our study, we provide avenues for further research.
... In this regard, Kanbach and Stubner (2016), Moschner et al. (2019), Prexl, Hubert, Beck, Heiden and Prügl (2019), and Shankar and Shepherd (2019) derived different CA types. Others outlined factors related to the facilitation, success, and efficiency of CAs (e.g., Connolly, Turner & Potocki, 2018;Kohler, 2016;Kupp et al., 2017;Mahmoud-Jouini, Duvert & Esquiro, 2018;Richter et al., 2018), as well as factors constraining CAs (Jackson & Richter, 2017). Surprisingly, to the best of our knowledge, research focused on the particular context of CAs in family firms is non-existent, i even though family firms have increasingly started to set up CAs. ...
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Corporate accelerators (CAs) have become increasingly popular in both research and practice. In the past, analyses of CAs have centered on organizations in general, but those analyses focused on the particularities of CAs rather than the firms’ contexts. With regard to firm-specific contexts, a growing number of family firms in Germany have started CAs in recent years. Family firms are known for their idiosyncrasies due to the family’s involvement, which is argued to affect cooperation between family firms and start-ups. We claim that CAs also differ in the context of family firms. Taking a family firm specific perspective on corporate entrepreneurship, we argue that the design of family firms’ CAs is influenced by these firms’ idiosyncrasies. By connecting this perspective with general CA design dimensions, we conceptually derive family firm specific CA designs and discuss their implications for CAs in general and for CAs in the context of family firms.
... Moreover, development of employees' self-efficacy can lead to employee engagement, organizational commitment, job satisfaction, and organizational citizenship behaviors, resulting in employees having a good quality of work life or work-life balance. In addition, development of employees' self-efficacy can also lead to effective and open innovation for organizations [80]. According to Yun, et al. [81], open innovation is helpful for organizations to adapt themselves to rapidly changing environment in the present and to respond well to customer satisfaction. ...
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This research aims to study the direct and indirect influence of self-efficacy on organizational citizenship behavior transmitted through employee engagement, organizational commitment and job satisfaction, and to examine employee engagement, organizational commitment and job satisfaction as partial or full mediators. The study samples were 400 employees in the automobile parts manufacturing industry. The study instruments used by previous researchers were applied and back translation was conducted on all questionnaire items. Content validity and reliability was then tested prior to using them for data collection. Direct and indirect influences and mediators were analyzed with the Hayes Model 81 using the PROCESS Program. Results revealed that self-efficacy had a direct influence on organizational citizenship behavior with statistical significance, with an indirect influence transmitted through employee engagement, organizational commitment and job satisfaction. Employee engagement, organizational commitment and job satisfaction functioned as partial mediators between self-efficacy and organizational citizenship behavior with statistical significance. The model was based on the theory of self-efficacy to express organizational citizenship behavior. However, the study results showed that employee engagement, organizational commitment and job satisfaction play roles as mediators in transmission of effective organizational citizenship behavior. Therefore, these mediators are important factors that can accurately explain organizational citizenship behavior.
... Studies of open innovation have recently underscored the potential benefits for incumbent firms of working with small entrepreneurial firms (e.g., De Groote and Backmann, 2020; Jackson and Richter, 2017;Kohler, 2016;Richter et al., 2018;Weiblen and Chesbrough, 2015;Wikhamn, 2020), as mutual synergies can emerge through combining the large and small firms' complementary differences. Large firms can engage with small firms in many forms of collaboration, for example, through strategic alliances (Teng, 2007), corporate venturing (Narayanan et al., 2009), business incubators (Grimaldi and Grandi, 2005), corporate accelerators (Pauwels et al., 2016), and orchestrating broader innovation ecosystems (Rohrbeck et al., 2009). ...
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There is increasing scholarly interest in how large corporations engage in open innovation with small entrepreneurial firms, with synergies potentially producing positive outcomes for both the involved parties and the surrounding ecosystem. “Lightweight models” of open innovation (LOIs) have recently been introduced, governed by trust and relationships rather than by equity ownership and transactional control. This paper introduces a design framework and an alignment model for LOIs, based on 19 inductively generated and highly interrelated design elements associated with five design themes. The study uses empirical data from 18 LOI initiatives in Sweden, and the framework explains important differences in their motives, value propositions, innovation localizations, involved participants, and forms of interactions. Applying a value perspective to open innovation highlights two different value logics, suggesting that LOI initiatives can approach value by emphasizing either value creation or value capture. These logics may greatly influence other important design elements of LOIs.
... Entrepreneurship links to startups, innovation, business accelerator, and ecosystem, open innovation links to corporate accelerators, corporate entrepreneurship, corporate venture, and acceleration. These links support theories that state that organizations developed their acceleration program to promote open innovation using acceleration programs (Jackson and Richter, 2017;Kupp, Marval and Borchers, 2017). In addition to the diagram, we also did the co-occurrence network analysis of the author's keywords (Erro! ...
Conference Paper
Practical and theoretical interest in startups grown significantly in recent years, and this phenomenon brings accelerators as a suitable option for the development of these firms. Our study aims to analyze the research field's development on accelerators and present perspectives and opportunities for future research. We use a bibliometric analysis, a systematic literature review, and a content analysis to present the principal studies and references in the area and highlight that entrepreneurship and open innovation are frequently associated with accelerators. Accelerators can be viewed as organizations or as acceleration processes, meaning that acceleration can be used by firm to open innovate and accelerators will need to develop unique characteristics. Finally, we developed four research streams for future studies that have the potential of a better comprehension of the field.
... It was supposed to identify inhibitors to the collaboration between such companies and start-ups within the frames of acceleration programs in the context of the social realist theory by Margaret Archer, which provided for a conceptualisation of the reflexivity of the participants and the situational logic of conflict and competition in which they find themselves. The authors discover that col-laboration is inhibited by conflicts in basic beliefs or authority issues, autonomy and risk, as well as competition for resources and personal goals (Jackson et al., 2017). ...
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Purpose: The paper presents a review of the literature concerning start-up accelerators and a classification of related research untill August 2021. Approach/Methodology/Design: While elaborating the classification, the authors coded works according to the type of accelerator and implemented acceleration program. Furthermore, the paper identifies the countries, research bodies and authors who focus on research on the functioning of accelerators. The authors present how various accelerator forms operate and how they perform. Findings: The paper systematizes knowledge related to start-up accelerators available in the Scopus base and suggests directions for future research. Practical Implications: Recently a clear phenomenon is shown that is the development of a start-up ecosystem, in particular creation and professionalization of the new form of organisation that is a start-up accelerator. This entity acts as a bridge between start-ups and corporations and big enterprises, promoting success of both sides-conclusion of business contracts. More start-ups and corporations decide to collaborate with accelerators that, with their acceleration programs involving big companies, support them both. By monitoring the corporate-start-up collaboration, accelerators actively promote both parties, also in terms of generating necessary innovations to support, for instance, production, sales or service processes in big companies. An evergrowing number of accelerators and accelerator programs worldwide translates into more interest in research in this field. Originality/Value: Despite the increasing research trend related to start-up accelerators, no precise research classification has been available to date.
Chapter
Collaboration between startups and established firms often fail, not only because of the motivation or capability of the participants, but also because of a poor understanding of the required management processes. This chapter examines corporate accelerators from the perspective of program management process and provides a checklist for the construction of a suitable framework.
Chapter
Entrepreneurship is crucially important for the introduction of disruptive and radical innovation. However, in Germany entrepreneurship and disruptive innovation are consistently low whereas the USA, for example, performs very well in these areas. This chapter offers insights into the relevance of entrepreneurship for a national innovation system. It illustrates the effects of policy interventions on potential entrepreneurs and shows pathways to encourage entrepreneurial behaviour and startups.
Chapter
There are substantial differences in the objectives, working culture and work practices of established companies and startups, and these differences have, until now, been little researched. This chapter presents the most important differences in order to demonstrate how these may influence the ability of these firms to work together to produce successful innovations that benefit both parties. Such differences include attitudes to risk, change and the future. Interviews were conducted with representatives from 20 firms engaged in collaborative projects. The interviews were directed at understanding their objectives in the partnerships, the structural properties of the collaboration, working culture and processes, and the work environment. The results showed specific and common, though not universal, differences, which lead to divergent expectations and behaviour, and therefore provide a basis for improving the partnership.
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Corporate accelerators are organizational devices designed to bring together innovative new ventures and startups with specialist knowledge and creativity with the experience and funding of established companies. The main goal for the use of an accelerator program by an established corporation is to open up the innovation process and actively profit from the innovative capacity of new ventures. However, until now there has been little empirical investigation of the characteristics of this particular model of “open innovation”. This paper outlines the key features of corporate accelerator programs and presents empirical data on their characteristics. The existing literature generally reflects positive results from this form of innovation but displays a lack of empirically and theoretically grounded research of how accelerator programs work. Using a standard, holistic taxonomy for programs, covering such components as strategy, resources, roles and structure, we analyzed and assessed data from stakeholders engaged in this approach to innovation in order to understand the expectations and reasoning behind these programs.
Conference Paper
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Corporate venturing has gained much attention due to challenges and changes that occur because of discontinuous innovations-which seem to be promoted by digitalization. In this context, open innovation has become a promising tool for established companies to strengthen their innovation capabilities. While the external opening of the innovation process has gained much attention, the internal opening lacks on investigations. Especially new organizational forms, such as Internal Corporate Accelerators, have not been investigated sufficiently. This study, which is based on 13 interviews from two German tech-companies, contributes to a better understanding of this new form of corporate venturing and the resulting effects on the organizational renewal.
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ملخص أظهرت العديد من الدراسات فعالية استراتيجيات الابتكار المفتوح حيث ركزت بشكل كبير على آثار الاستعانة بمصادر خارجية في الحصول على المعرفة الابتكارية، التعاون مع مؤسسات الطرف الثالث والتسويق الخارجي للتكنولوجيا؛ كما ركّز العديد من الكتاب على نموذج الاعمال كأداة تحليل لقياس مدى تحقيق الممارسات والآثار المختلفة لفلسفة الابتكار المفتوح في المؤسسات، وتتناول العديد من الادبيات الأنظمة البيئية والقدرات الديناميكية في إطار مناقشة تبني الابتكار المفتوح. من هذا المنطلق تحاول هذه الاطروحة أن تدرس العلاقة بين استراتيجيات الابتكار المفتوح وتحسين الأداء التنافسي، يتم ذلك بتحديد القضايا الإدارية الرئيسية النابعة من ممارسات وتطبيقات الابتكار المفتوح التي تساهم في تحسين الأداء التنافسي، تم الاعتماد على منهج دراسة حالة متعددة، وضحت النتائج وجود تأثير إيجابي لأنشطة الابتكار المفتوح على الأداء التنافسي، كما أظهرت تأثيرات إيجابية لاستراتيجية حجر الزاوية وللأنماط الابتكار المفتوح البيئية على نموذج الاعمال المفتوح، ودور معدّل للقدرات الديناميكية في هذه العلاقة. ABSTRACT Various studies have shown the effectiveness of Open Innovation strategies; basically they focused on the impact of outsourcing innovation knowledge, collaborations with third parties and external commercialization of technology. Other scholars emphasize on Business Model as an analyze tool to achieve different open innovation practices and implications, literature discusses ecosystems and dynamic capabilities in the context of adopting Open Innovation strategies. This study tries to assess the relationship between Open Innovation strategies and the competitive performance. We do that by identifying the managerial issues stemming from Open Innovation and positively enhance competitive performance; Multiple case study methodology is adopted; the results indicates a positive relation between different Open Innovation strategies, and the competitive performance, and also by the open Business Model, The keystone strategy and the open innovation ecosystem modes appear to have a positive impact on the open business model, dynamic capabilities positively moderates the relation.
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The COVID-19 pandemic has affected the world in drastic ways, disrupting the normal operation of the world's economic activity. Every aspect of life as we know it has changed. The business and entrepreneurship landscapes have been deeply altered. As innovation intermediaries support entrepreneurship, accelerators have become progressively prominent in the entrepreneurial ecosystem of several countries. Their development is on an upward trajectory. However, literature is scant on this newer acceleration phenomenon, particularly in some regions. Furthermore, literature on the effects of the pandemic on accelerators is non-existent. In recent years, the acceleration model has grown rapidly in South America. In this rapid response paper, we build from current literature, trends and expected post-COVID-19 scenarios to investigate how accelerators in South America will need to evolve to support start-ups in a post-COVID-19 world. We developed a conceptual model, the Post-COVID-19 World Accelerator Model, to guide business accelerator managers, researchers, policymakers and entrepreneurs. We conclude by offering future research areas urgently needed to further our understanding of emerging trends affecting accelerators and start-ups in what will be a very different business landscape post-COVID-19.
Article
In search of innovation, incumbent firms are leveraging the creativity, knowledge and capabilities of corporate accelerators and are boosting their innovation engines by collaborating with startups. While this form of collaboration network with its heterogeneous partners is theoretically compelling and growing in popularity practically, the majority of corporate accelerators fails to deliver the desired results. Existing research still lacks an in-depth exploration of corporate accelerators explaining and suggesting how failure and challenges of incumbent firms can be overcome. Twenty-eight semi-structured interviews were conducted with managers and innovation experts across industries and within one of Europe’s biggest corporate accelerators. This study contributes to the field of open innovation and collaboration networks by expanding our knowledge about challenges of corporate accelerators and in particular to decode the difficulties that occur during the different phases of accelerator programmes. Based on the findings, guidelines for practitioners are presented to enhance organisational learning and innovation performance for incumbent firms.
Chapter
Innovations that originate outside the corporate boundaries, increasing global competition as well as the need for corporate renewal drive the growth in collaborations of established companies with start-ups. A path to understand this collaboration is provided by Chesbrough with his findings on the open innovation phenomenon. Various types of collaboration with start-ups can be used to implement open innovation in a corporate setting. An interesting and growing topic in the intersection of open innovation and corporate entrepreneurship research is the corporate accelerator phenomenon. This publication presents an overview of this phenomenon, the current design configurations and typologies. It is intended to spark the interest of the reader in corporate accelerators and should serve as basis for the implementation in practice.
Article
Accelerators are the crucial foundations that influence development of the entrepreneurial ecosystem and new venture creations. Although about 10 years have passed since the establishment of the first accelerator in the United States, there are still many dark spots about the accelerator’s operations and services as well as their position and value in the entrepreneurial ecosystem. In this study, an attempt has been made to systematically review the articles published in the field of start-up accelerators to shed light on the dark spots. To this end, 51 articles and review articles published in the Q1 and Q2 journals of the Scopus citation database, were systematically and deeply studied. Parts of the main results of this research include the process of acceleration, the accelerator’s services, the investing framework of accelerators, the success and risk factors of accelerators, and eventually antecedents as well as consequences of an accelerator. Finally, inspired by the Porter's value chain model, the accelerator value chain is presented as the final model of this study.
Chapter
The chapter aims at investigating the different implementation modes of open innovation (OI) adopted by companies when engaging with startups. In the last years, a significant body of literature has been published on OI-related issues. Research on OI is multidisciplinary and scattered among different fields of research. Based on this, the authors perform a comprehensive and systemized literature review to identify and describe the most critical issues to be considered when companies engage with startups. Specifically, they aim to identify the main barriers to corporate-startup collaboration and, in doing so, to provide a comprehensive framework able to shed new light on the proposed issue and to provide guidance to future research directions.
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This article aims to identify the innovation management practices used by companies worldwide and referenced in the scientific literature. This study employed a scoping review methodology proposed by Manchado et al. (Medicina y seguridad del trabajo 55:12–19, 2009). A total of 322 documents were located and screened by two reviewers. After we applied the inclusion and exclusion criteria, 19 articles were analysed in depth. This article identifies the innovation management practices used by different kinds of companies, focusing on small and medium-sized enterprises. The review found a total of 116 practices, grouped into 13 categories. These categories were classified based on the innovation management process. The practices most frequently cited by authors were the application of project management fundamentals, product changes and process improvements, idea generation techniques, and practices related to human talent management for innovation. This article provides a framework of good practices for companies that wish to improve their innovation management process.
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Despite differences in definitions, researchers understand that radical innovation within an organization is very different from incremental innovation and that it is critical to the long-term success of firms. Unfortunately, research has also shown that it is often difficult to get support for radical projects in large firms, where internal cultures and pressures often push efforts toward more low risk, immediate reward, incremental projects. Interestingly, we know considerably less about the effective management of the product development process in the radical than in an incremental context. The purpose of this study is to explore the process of radical new product development from a strategic perspective, and to outline key observations and challenges that managers face as they move these projects to market. The findings presented here represent the results of a longitudinal (since 1995), multidisciplinary study of radical innovation projects. A multiple case study design was used to explore the similarities and differences in management practices applied to twelve radical innovation projects in ten large, established North American firms. The findings are grouped into three high-level strategic themes. The first theme, market scope, discusses the challenges associated with the pursuit of familiar versus unfamiliar markets for radical innovation. The second theme of competency management identifies and discusses strategic challenges that emerge as firms stretch themselves into new and unfamiliar territory. The final theme relates to the people issues that emerge as both individuals and the project teams themselves try to move radical projects forward in organizations that are not necessarily designed to support such uncertainty. A breadth of subtopics emerge within and across this framework relating to such ideas as risk management, product cannibalization, team composition, and the search for a divisional home. Taken together, our observations reinforce the emerging literature that shows that project teams engaging in radical innovation encounter a much different set of challenges than those typically faced by NPD teams engaged in incremental innovation.
Book
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Preface "No reality please. We're economists". This heading to a couple of commentaries in a recent edition of The Times Higher Education Supplement (March, 1994), captures an increasingly widely held perception. According to it modern economics is largely irrelevant to an understanding of real world matters. Needless to say this view is not accepted by all economists. And it does seem prima facie implausible as a characterisation of an academic discipline that is often represented as a social science. Yet, my assessment set out below is that it is not wholly mistaken; there is a sense in which social reality is neglected in much of modern economics. I shall indicate furthermore how this neglect is debilitating of the subject, with unfortunate repercussions for the multitude of further activities that draw upon it. My purpose here, however, is not merely to identify limitations of the discipline but also to work towards transcending them. My overall aim, if somewhat unfashionably, is to bring reality (or more of it) back into economics. Of course, in formulating my goal in this way, and in acknowledging some validity to the perception of the discipline noted above, I am not wanting to suggest that modern economics is devoid of a conception of reality altogether. Indeed, it could not be. For the adoption of any method, practice or goal, presupposes a world-view, even if it is left implicit and unexamined. The feature of modern economics which is remarkable here is the minimal concern that is shown either for tailoring methods to insights available regarding the nature of the social world, or for explicitly determining the sorts of conditions under which chosen methods would be appropriate. This is despite a dearth of successes according to criteria which the discipline sets itself. Rather, methods and procedures are formulated according to the nature or degree of their technical sophistication, or their conformity with a priori conceptions of proper practice, or some such. The majority of economists seem merely to take it for granted that if ever real world problems or situations are to be studied the chosen methods will necessarily `fit'. It is in this sense that reality is neglected in modern economics. And we will see that it is just the presumption that methods of economic analysis can be fashioned without explicit regard to the nature of social phenomena that accounts for the subject's numerous failings. In short, contemporary economics is marked by an effective neglect of ontology, by a lack of attention to elaborating the nature of (social) being or existence. And the project reported here is motivated by a desire to compensate for this neglect. The objective is to determine a sustainable account of natural and social reality with a view both to explaining and resolving numerous problems which beset the discipline and to gaining an informed vantage-point on the sort of practices that are likely to bear fruit. Theories which address these sorts of concerns and involve commitments to the reality of features elaborated are usually collected under the heading of philosophical (or ontological) realism. The position sustained in this book, then, is an explicitly realist one. The book constitutes a realist theory of and for economics.
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This paper critically examines available theoretical models which have been derived from statistically established patterns of association between contextual and organizational variables. These models offer an interpretation of organizational structure as a product of primarily economic constraints which contextual variables are assumed to impose. It is argued that available models in fact attempt to explain organization at one remove by ignoring the essentially political process, whereby power-holders within organizations decide upon courses of strategic action. This `strategic choice' typically includes not only the establishment of structural forms but also the manipulation of environmental features and the choice of relevant performance standards. A theoretical re-orientation of this kind away from functional imperatives and towards a recognition of political action is developed and illustrated in the main body of the paper.
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This article applies ideas drawn from the work of Archer and Wuthnow to strategic and organizational change in the UK brewing industry from 1950 to 1990. Changes to the management of public houses formed part of the ideology of a group of ‘modernizers’ linked to broader discourses. However, these changes brought in their trail logical entailments that were seized upon by other actors to foster the growth of managerial trade unionism. From Archer are drawn ideas about contradictions between ideas at the level of what she terms the ‘cultural system’ and their relationship to conflict at the sociocultural level. From Wuthnow is taken a focus on processes of the production of culture. These ideas can contribute to broader institutionalist approaches by, in particular, helping to deepen the ‘cultural turn’ and by providing an alternative to the focus on institutional entrepreneurship.
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Innovation, always at the forefront of technological progress, has become a predominant business issue. Globalization has forced companies to constantly adapt to a changing environment, and has made competition fiercer. The need to innovate—in terms of products, manufacturing processes, or internal corporate organization—is constant.
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We present a model that explains how established firms create breakthrough inventions. We identify three organizational pathologies that inhibit breakthrough inventions: the familiarity trap – favoring the familiar; the maturity trap – favoring the mature; and the propinquity trap – favoring search for solutions near to existing solutions. We argue that by experimenting with novel (i.e., technologies in which the firm lacks prior experience), emerging (technologies that are recent or newly developed in the industry), and pioneering (technologies that do not build on any existing technologies) technologies firms can overcome these traps and create breakthrough inventions. Empirical evidence from the chemicals industry supports our model. Copyright © 2001 John Wiley & Sons, Ltd.
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This research, based on four in-depth case studies, probes an overlooked unit of analysis in innovation management literature, namely management action and cognition, and offers a new qualitative contribution into resource allocation approaches that support radical innovation. The interpretivist approach revealed that a management team’s resource dependencies and prevailing mental models underpin resource allocation routines which prevent managers from pursuing radical innovations; of particular interest were innovations that disrupt and re-shape the exiting terms of economic engagement in established industries. It was found that managers with restrictive mental models will adopt up to five disruptive innovation rejection strategies: rewarding incrementalism, ignoring the positive aspects of disruptive innovations, focusing on historical perceptions of success creating perceptions of success with high effort and holding beliefs in the face of disconfirming information. Initial longitudinal data suggests that rejection strategies can be overcome with holistic portfolio approaches.
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This paper is concerned with identifying universal criteria for prequalification and bid evaluation, and the means by which different emphases can be accommodated to suit the requirements of clients and projects. The information, assessment and evaluation strategies currently used by procurers for screening contractors are considered, and the results are reported of an extensive literature review and a Delphic interview study with a small select sample of construction professionals with extensive experience in prequalification and bid evaluation processes. The findings indicate that the most common criteria considered by procurers during the prequalification and bid process are those pertaining to financial soundness, technical ability, management capability, and the health and safety performance of contractors.
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Corporate incubators for technology development are a recent phenomenon whose functioning and implications are not yet well understood. The resource-based view can offer an explanatory model on how corporate incubators function as specialised corporate units that hatch new businesses. While tangible resources, such as the financial, physical and even explicit knowledge flow, are all visible, and therefore easy to measure, intangible resources such as tacit knowledge and branding flow are harder to detect and localise. Managing the resource flow requires the initial allocation of resources to the corporate incubator during its set-up as well as a continuous resource flow to the technology venture and, during the harvest phase, also from it. Two levels of analysis need to be distinguished: (1) the resource flow between the corporate incubator and the technology venture and (2) the resource flow interface between the corporate incubator and the technology venture. Our empirical findings are based on two phases: First, in-depth case studies of 22 companies through 47 semi-structured interviews that were conducted with managers of large technology-intensive corporations' corporate incubators in Europe and the U.S., and second, an analysis of the European Commission's benchmarking survey of 77 incubators.
Book
A central question of social theory is: How do society's objective features influence its members to reproduce or transform society through their actions? This volume examines how objective social conditioning is mediated by the subjective reflexivity of individuals. On the basis of a series of in-depth interviews, Margaret S., Archer identifies the mediatory mechanism as "internal conversations" that are expressed in forms governing agents’ responses to social conditioning, their individual patterns of social mobility, and whether or not they contribute to social stability or change.
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Recent evidence of entrepreneurship's significant contribution to economic growth and development challenges the dominance of general equilibrium theory in macroeconomic thought. Microeconomics has long criticized the assumptions of the neoclassical economic model which underlies general equilibrium theory but has not swayed the grasp that general equilibrium theory has over macroeconomic policy formulation. Yet, general equilibrium theory does not incorporate entrepreneurship; on the contrary, the assumptions of this model exclude entrepreneurship as an economic variable. Now, however, as microeconomic research finds more and more evidence confirming the importance of new business formation and growth, general equilibrium theory remains incapable of adapting to this reality. And, this theory frequently produces policy prescriptions that favor large, established firms over new, small firms. This paper describes the weaknesses of general equilibrium theory that are relevant to entrepreneurship. Then, after reviewing the growing evidence supporting entrepreneurship, it describes Schumpeter's model of creative destruction and demonstrates how entrepreneurship empirical research supports this model. It concludes by urging economists to desert general equilibrium theory and search for a new macro-theory that incorporates entrepreneurship.
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When it comes to agility, startups have an edge over large corporations – whereas large corporations sit on resources which startups can only dream of. The combination of entrepreneurial activity with corporate ability seems like a perfect match, but can be elusive to achieve. This article examines how large corporations from the tech industry have begun to tap into entrepreneurial innovation from startups. Prominent examples are used to inductively derive a set of four models commonly used to engage with startups and to describe their characteristics, challenges, and rationales. While corporate equity is the key mechanism behind more established models, newer approaches replace equity with shared technology to connect both worlds with fewer organizational costs and greater speed and agility. We construct a typology of corporate mechanisms to engage with startups that balance speed and agility against control and strategic direction, to map the ways companies can bridge the gap between themselves and the startup world.
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Radical innovation (RI) barriers are a complex phenomenon on which our understanding remains rather limited. Through a systematic analytical review on the extant research on RI barriers comprising a content analysis of 103 articles, this study develops a classification of barriers covering external barriers grouped by firms' influence potential, and internal barriers grouped by, for example, distinct RI competences. External barriers related to customer resistance and an undeveloped network and ecosystem, and the internal barrier relating to restrictive mindset have the widest influence. The results reveal that innovation barriers do not differ between radical innovations with different degrees of novelty, but that they vary according to the characteristics of firms, markets, and along the innovation process. This article contributes by generating an integrative framework of RI barriers, providing several propositions for further research, and developing implications for overcoming the barriers.
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OVERVIEW: Current approaches to open innovation can be characterized in two general categories: open-boundary innovation and open-source innovation. Open-boundary innovation is designed to source new technology and concepts broadly without surrendering control of the innovation process, while open-source innovation is a more radical model that challenges fundamental assumptions about the nature of the corporation. The appropriate corporate response to open-source innovation is difficult to define, as the risks are unknown. However, as open-source movements gather steam, corporate innovators will need to consider whether and how to approach open-source innovation.
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Critical realism is emerging as a viable philosophical paradigm for conducting social science research, and has been proposed as an alternative to the more prevalent paradigms of positivism and interpretivism. Few papers, however, have offered clear guidance for applying this philosophy to actual research methodologies. Under critical realism, a causal explanation for a given phenomenon is inferred by explicitly identifying the means by which structural entities and contextual conditions interact to generate a given set of events. Consistent with this view of causality, we propose a set of methodological principles for conducting and evaluating critical realism-based explanatory case study research within the information systems field. The principles are derived directly from the ontological and epistemological assumptions of critical realism. We demonstrate the utility of each of the principles through examples drawn from existing critical realist case studies. The article concludes by discussing the implications of critical realism based research for IS research and practice.
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This paper reviews research on open innovation that considers how and why firms commercialize external sources of innovations. It examines both the “outside-in” and “coupled” modes of open innovation. From an analysis of prior research on how firms leverage external sources of innovation, it suggests a four-phase model in which a linear process—(1) obtaining, (2) integrating, and (3) commercializing external innovations—is combined with (4) interaction between the firm and its collaborators. This model is used to classify papers taken from the top 25 innovation journals, complemented by highly cited work beyond those journals. A review of 291 open innovation-related publications from these sources shows that the majority of these articles indeed address elements of this inbound open innovation process model. Specifically, it finds that researchers have front-loaded their examination of the leveraging process, with an emphasis on obtaining innovations from external sources. However, there is a relative dearth of research related to integrating and commercializing these innovations.
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There is little conceptual and empirical research dealing with the fundamental orientation of firms. Drawing on the resource based view and findings from cognitive psychology on character traits, the author presents the corporate mindset as an inherent element of a firm's disposition towards innovating activities. Building on the seminal work of Venkatraman [Venkatraman, N., 1989. Strategic orientation of business enterprises: the construct, dimensionality, and measurement. Management Science 35, 942–962] the author suggests both a definition and a measurement model for the corporate mindset from a market and a technology perspective. In addition, the impact of the corporate mindset on new product performance is analyzed, while controlling for the moderating effect of product innovativeness. The results support the measurement model and indicate that a pronounced analytical, proactive and aggressive but risk-averse posture towards the market and technology is positively related to new product performance. This relationship becomes even more critical when firms deal with radical innovations.
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Industrial innovation is becoming more open, requiring changes in how firms manage innovation. External sources of knowledge become more prominent, while external channels to market also offer greater promise. This complicates the evaluation of early-stage technology projects, which often involve significant technical and market uncertainty. In such circumstances, companies need to "play poker" as well as chess. Mea surement errors (fa lse positives, false negatives) are likely to arise from judgments about the commercial potential of early-stage projects. Most companies' policies consciously limit "false positives" in assessing a project's commercial potential, but few companies take steps to mana ge the risk of "false negatives." New metrics may help a firm focus more upon external sources of innovation to enhance its business model, and enable the firm to salvage value from false negatives that otherwise would be lost.
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Does customer input play the same key role in every successful new-product development (NPD) project? For incremental NPD projects, market information keeps the project team focused on customer wants and needs. Well-documented methods exist for obtaining and using market information throughout the stages of an incremental NPD project. However, the role of market learning seems less apparent if the NPD project involves a really new product—that is, a radical innovation that creates a line of business that is new not only for the firm but also for the marketplace. In all likelihood, customers will not be able to describe their requirements for a product that opens up entirely new markets and applications.To provide insight into the role that market learning plays in NPD projects involving really new products, Gina Colarelli O'Connor describes findings from case studies of eight radical innovation projects. Participants in the study come from member companies of the Industrial Research Institute, a consortium of large company R&D managers. With a focus on exploring how market learning for radical innovations differs from that of incremental NPD projects, the case studies examine the following issues: the nature and the timing of market-related inquiry; market learning methods and processes; and the scope of responsibility for market learning, and confidence in the results.Observations from the case studies suggest that the market-related questions that are asked during a radical innovation project differ by stage of development, and they differ from the questions that project teams typically ask during an incremental NPD effort. For example, assessments of market potential, size, and growth were not at issue during the early stages of the projects in this study. Such issues came into play after the innovations were proven to work under controlled conditions and attention turned to finding applications for the technology.For several projects in the study, internal data and informal networks of people throughout relevant business units provide the means for learning about the hurdles the innovation faces and about markets that are unfamiliar to the development group. The projects in this study employ various techniques for reducing market uncertainty, including offering the product to the most familiar market and using a strategic ally who is familiar with the market to act as an intermediary between the project team and the marketplace.
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The article addresses the commercialization activities of biotechnology-based companies in a European context and discusses whether these companies are able to gain adequate market perceptions and set adequate marketing processes, taking into account three analytical steps: strategic marketing definition, marketing implementation, and evolution of strategy and implementation. A methodological approach was developed, considering the specific nature of the technology and the companies. The case of Portuguese companies was used to test this methodology.The findings support the hypothesis that marketing issues constitute a problem for these companies, since most of them had serious difficulties in going through the marketing process. Marketing deficiencies were largely connected to the access to human resources with relevant management and marketing capabilities and were particularly felt by companies introducing discontinuous innovations.The research confirms that this methodology is useful in the assessment of the marketing management process in biotechnology-based companies.
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Moneyball (Lewis, 2003), a New York Times bestseller, is a book about baseball. When read through a broader lens, however, Moneyball is also a book about innovation, resistance to change, competitive advantage, achieving excellence, and, of most relevance here, human resource management. While many would agree that the radical innovation described in Moneyball represents a “new vision of management” in baseball, this article describes how Moneyball lessons might contribute to a “new vision of HRM” in various types of organizations. The focus of the article is on what HR executives and scholars can learn from the Moneyball phenomenon. More specifically, the authors address a number questions related to the Moneyball story that have relevance to successfully implementing HRM innovations; these questions have to do with overcoming resistance to the implementation of radical innovation and how HRM innovation can contribute to sustainable competitive advantage. © 2006 Wiley Periodicals, Inc. Peer Reviewed http://deepblue.lib.umich.edu/bitstream/2027.42/49274/1/20100_ftp.pdf