Eric von Hippel’s research while affiliated with Massachusetts Institute of Technology and other places

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Publications (168)


‘Systems of Use’ Innovation: Products plus Behaviors
  • Article

January 2024

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13 Reads

SSRN Electronic Journal

Eric von Hippel

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Ulrich Bartholmoes

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Erik Nohlin

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Profiting from Data Commons: Theory, Evidence, and Strategy Implications

September 2023

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37 Reads

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3 Citations

Strategy Science

We define data commons as repositories of freely-accessible, “open source” innovation-related data, information and knowledge. Data commons are and can be a significant resource for both innovating and innovation-adopting firms and individuals. First, the availability of free data and information from such commons reduces the innovation-specific private or open investment required to access the data and make the next innovative advance. Second, the fact that the data are freely accessible lowers transactions costs substantially. In this paper, we draw on the theory and empirical evidence regarding innovation commons in general and data commons in particular. Based on these foundations, we consider strategic decisions in the private and public domain: how can individuals, firms and societies profit from data commons? We first discuss the varying nature of and contents of data commons, their functioning, and the value they provide to private innovators and to social welfare. We next explore the several types of data commons extant today, and their mechanisms of action. We find that those who develop innovation-related information at private cost already have, surprisingly often, an economic incentive to freely reveal their information to a data commons. However, we also find and discuss important exceptions. We conclude with suggestions regarding needed innovation research, data commons “engineering”, and innovation policymaking that could together increase private and social welfare via enhancement of data commons. Funding: D. Harhoff was supported by Deutsche Forschungsgemeinschaft [CRC TRR 190].



A Journey into User Innovation: An Interview with Eric von HippelIn this article, Eric von Hippel provides insights into his research journey and perspectives on the importance of user innovation.

April 2023

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113 Reads

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1 Citation

Research-Technology Management

Eric von Hippel

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Nety Wu

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[...]

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Gabriel Szulanski

Overview: Eric von Hippel, a leading researcher in the field of user innovation, gave the Annual Knowledge and Innovation Foundational Scholar interview during the Strategic Management Society’s 42nd Annual Conference held in London, Sept 17–20, 2022. This article is an edited transcript of that interview in which von Hippel provides insights into his research journey and perspectives on the importance of user innovation. He defines user innovation as the process by which individuals or firms create new products, services, or behaviors for their own use rather than for sale, and contrasts it with producer innovation. This type of innovation can occur in various contexts and can range from small modifications to existing products to the development of entirely new offerings. von Hippel also discusses the strategy-related implications of this distinction and highlights the growing area of research and practice in user innovation. Finally, he reflects on his own experiences with user innovation and provides thoughts on the intriguing issues future research in this field should address.






Household Innovation and R&D: Bigger than You Think
  • Article
  • Full-text available

October 2020

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138 Reads

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6 Citations

Review of Income and Wealth

Despite recent interest in measuring household activities, investment in household R&D (or household innovation), has not been considered in any of the literatures on national‐accounts‐style measurement. Household R&D is the dedication of household resources to creating a product or process that will generate a service flow in the future; that is a household intangible asset. This paper takes a step toward valuing household innovation in the U.S. by developing time series of nominal and real investment and capital stocks for household R&D. We find that household investment in R&D was more than 11 percent of R&D funded by the private business sector in 2017 and about half of what businesses spent on R&D to develop new products for consumers. If household R&D were judged to be in scope for GDP, GDP would have been 0.2 percent higher in 2017. We conclude that household R&D is important and warrants closer attention.

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Citations (83)


... User innovations complement so-called producer innovations, which are new products, services or processes that must be sold or adopted by others, before the innovator benefits (von Hippel, 2005). User innovations are found in any part of the economy, but prevail in the household sector: generally 4 to 6% off all citizens can be considered user innovators (von Hippel, 2017; de Jong and von Hippel, 2023). Their innovations are often also valuable to other people facing similar problems or needs, and in such instances diffusion is merited. ...

Reference:

An Identity Perspective on the Diffusion of User Innovations in the Household Sector
Household innovation: its nature, measurement, applications and outlook
  • Citing Chapter
  • September 2023

... This advantage erects barriers to entry and secures a strong position in the market (Farboodi & Veldkamp, 2023). Conversely, at the opposite end, we find data commons-repositories of openly accessible data for innovation (Potts et al., 2023). Here, data serves as a raw material available for all companies to directly fuel the creation of innovative products and services. ...

Profiting from Data Commons: Theory, Evidence, and Strategy Implications
  • Citing Article
  • September 2023

Strategy Science

... This applies to smaller companies that do not have EJMBE 32,5 enough resources to develop this innovation process by themselves (Zhang et al., 2021) and to larger companies that want to remain competitive in highly dynamic environments (Joseph et al., 2021). This has given rise to what we understand as innovation ecosystems, i.e. networks of hierarchically heterogeneous and independent organizations that collaborate for the co-creation of a value proposition (Thomas and Ritala, 2022;Konietzko et al., 2020;Moreau et al., 2018). ...

The paradigm shift from producer to consumer innovation: implications for consumer research
  • Citing Chapter
  • February 2018

... Some of the limitations include the skewness of the manual for the use in the production industry. More recent researches have shown the need to extend the standard innovation manuals to cover the public sector (Bloch, 2013) and even to households (de Jong and von Hippel, 2013). Also, the third edition was made to measure innovation in firms with numbers of employees above five or nine, thereby edging out the informal sector which is responsible for over 75% of employment in Africa. ...

User innovation: business and consumers
  • Citing Chapter
  • June 2013

... Also, although a web survey is a reasonable method for identifying user innovations, a telephone survey would provide more opportunities to obtain open-ended descriptions (de Jong and von Hippel, 2022). A handful of recent studies have also collected video and photos (Chen et al., 2020;de Jong et al., 2018) and utilized semantic analyses (von Hippel and Cann, 2021) and machine learning techniques (von Hippel and Kaulartz, 2021) to evaluate the value of user innovations. ...

Household Innovation: Its Nature, Measurement, Applications, and Outlook
  • Citing Article
  • January 2022

SSRN Electronic Journal

... One important difference between natural resource commons and knowledge commons is that "knowledge commons arrangements usually must create a governance structure within which participants not only share existing resources but also engage in producing those resources and, indeed, in determining their character" (Frischmann et al., 2014, p. 16). The creativity, adaptability, and rule-sensitivity of the user is also emphasized in the adjacent research field of the "innovation commons" which partially overlaps with the Ostromian framework (Allen & Potts, 2016;Potts, 2019;Potts et al., 2021). Coproduction of the knowledge commons is sometimes referred to as "user innovation" (Strandburg, 2008;von Hippel, 2005von Hippel, , 2017. ...

Social welfare gains from innovation commons: Theory, evidence, and policy implications
  • Citing Article
  • January 2021

SSRN Electronic Journal

... In the literature, we found that professional autonomy and expertise (Adler et al., 2008;Engel, 1970;Mintzberg, 1979) could be key concepts to understanding how healthcare professionals, i.e., doctors, build on their specialised knowledge to choose the most appropriate way to deliver a service to their patients (Adler & Kwon, 2013). Furthermore, literature on the use recombination of digital resources (Henfridsson et al., 2018;von Hippel, 2021) served as a good starting point for understanding how healthcare professionals combine different resources that provide several options for value creation. ...

Supporting User Innovation Within ‘Systems of Use’
  • Citing Article
  • January 2021

SSRN Electronic Journal

... Since it is very much an economics topic, most articles were published in a purely 'economic' journal, The Review of Income and Wealth, which issued a total of 23 papers on intangibles, the first being "The Treatment of Intangible Resources as Capital" by Kendrick (1972). In 2020, the journal published three papers in the field of intangibles: one focused on R&D capital depreciation (Li & Hall, 2020) (Table A1), the second on the impact of intangibles on productivity in Italy (Di Ubaldo & Siedschlag, 2020), and the third on innovation and R&D in private households co-authored by Sichel and Hippel (2020), with the former article being another dominant reference in the intangibles field. Among more economics-oriented journals "Current Problems in Economics" stands out with a total of 12 papers being published. ...

Household Innovation and R&D: Bigger than You Think

Review of Income and Wealth

... To increase the richness of these two landscapes, firms must often overcome "functional fixedness," which refers to a constrained perception of the application of a familiar solution to a familiar use. A functional understanding of a need or problem can guide firms to overcome such fixedness to perform a boundary-spanning solution search (Stock-Homburg et al., 2021). Stock-Homburg et al. (2021) find that perceived solution novelty promotes need-solution pair identification. ...

Need-solution pair recognition by household sector individuals: Evidence, and a cognitive mechanism explanation

Research Policy

... This is recognised as hugely valuable, but there is a limit to its effectiveness. A key lesson learnt is that clinicians as a representative user-voice, cannot fully represent the needs of other hospital users like patients and their families (Demonaco, Oliveira and Von Hippel, 2020, Oftedal, Iakovleva and Bessant, 2019, Pereno, 2020. Therefore, as the Hub becomes more established, working with the wider hospital to integrate patient and families support groups as Hub users is necessary. ...

When Patients Become Innovators

MIT Sloan Management Review