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http://dx.doi.org/10.14386/SIME.2019.27.1.45

Effects of Platform-based Exploratory and Exploitative Technology Strategy on Firm's Performance: Nanotechnology case  

Moon, Hee-Sung (재료연구소 국가나노기술정책센터)
Shin, Juneseuk (성균관대학교 시스템경영공학과/기술경영대학원)
Publication Information
Journal of Technology Innovation / v.27, no.1, 2019 , pp. 45-77 More about this Journal
Abstract
The balance between exploration for new possibility and exploitation for existing certainty is an important issue in strategy, innovation, R&D as well as organization learning. Among the convergence trends of technologies, many firms seek to have the wider technological knowledge assets and the deeper technology capabilities for the sustainable competitive advantage at the same time. While firms plan technology portfolio strategies, they should consider the attribute of the technology. Nanotechnology, a cutting-edge technology, is a general purpose technology, unlike conventional product-oriented technologies. This empirical study was focused on how multi-national firms' exploration and exploitation strategies for nanotechnology affect their innovative and financial performance. It uses multiple regression analysis on panel data. This result shows that the more diversified and specialized nanotechnology as platform technology is positively related to their innovative and financial performance, unlike the research results for product-oriented technologies. In addition, exploratory innovation is more effective to firm performance than exploitation. This implies how global firms can manage effectively platform technology strategies under the constraints of resources.
Keywords
Exploration; Exploitation; Platform technology; Portfolio; Nanotechnology;
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