• Journal of Korea Technology Innovation Society
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• v.10 no.3
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• pp.509-530
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• 2007

This paper examined the relationship between innovation and firm performance by integrating industry competitive context and firm-level knowledge constructs. After controlling for firm site, age, and the presence of a union, cross-section analysis of survey data from 1,419 medium sized manufacturing firms yielded following findings. The first was the expected positive relationship between firm-level innovation and firm knowledge and also industry dynamism, as measured by the intensity of industry-level R&D. This results indicate that industries with greater aggregate levels of R&D intensity are home to higher rates of firm-level innovative activity and managers must increase their numbers of technical staff and the level of training. But the interaction between firm knowledge and industry dynamism was non-significant. Second, innovation was not significantly related to firm performance, as measured by revenue growth. This relationship was not moderated by industry dynamism and firm level knowledge. In high and low technology sectors, the relationship between innovation and performance was non-significant, consistent with the full-sample analysis. The results suggest that the effects of firm-level knowledge assets and investments in training don't work in different ways in different industry settings. This research used three control variables to analyze innovation and firm performance. Firm age was negatively associated with firm performance and did not significantly predict innovation. Firm size was positively associated with innovation and performance in the low-technology sector. The presence of a labor union was not a significant with respect to innovation.

• Asia-Pacific Journal of Business
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• v.11 no.3
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• pp.47-61
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• 2020

Purpose - This study investigates the relationship between firm-specific, general human capital and corporate innovation performance. Also, we examine when this relationship is more salient. Design/methodology/approach - We collected 1,195 survey data related to a sample of corporate innovation performance and human capital from 1) Korea Research for Vocational Education and Training and 2) NICE information service in Korea. In order to examine the corporate innovation performance, we use the ordered logit model. Findings - First, we find robust supports for our hypothesis that firm-specific and general human capital increase corporate innovation performance. Second, the effect of general human capital on corporate innovation performance is stronger when this relationship is combined with the firm international experience. Research implications or Originality - By integrating the human capital theory and corporate innovation literature, we propose that firm-specific and general human capital are the important determinant of innovation performance. The firm-specific human capital may increase innovation efficiencies. Also, retaining higher-quality general human capital is considered as an important innovation strategy since firms with higher-quality general human capital make greater innovation performance. Further, we show that the firm international experience is the crucial boundary condition. As a firm's experience in internationalization increases, firms can enhance the opportunities to develop new products by combining the skills and knowledge derived from general human capital with the experience gained through internationalization.

• Journal of Korea Society of Digital Industry and Information Management
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• v.9 no.2
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• pp.151-163
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• 2013

It goes without saying that the technology innovation plays an important role in the sustainable growth of the firm in the global economy. It, however, is not easy to fulfill this simple and obvious fact. Because there are a lot of barriers hindering innovation activities of firms and innovations are interrupted or don't even attempts by this barriers. So in this paper, I study barriers of firms that try to innovation and how much negative impact exist on firm's innovation performance by that. And also I try to find influence on firm's performance because of declined innovation activities. To prove this, KIS(Korean Innovation Survey) 2008, which was surveyed by STEPI(Science and Technology Policy Institute), is used to find relationships among variables; innovation barriers, innovation activities and firm's performance. In the result, I find that financial barrier influence negatively to the process innovation with small business, capable barrier influence negatively to the process innovation with large business and organizational barrier influence negatively to the process innovation with both small and large business. And, it also appear that organizational barrier has not moderating effect but process efficiency has moderating effect significantly with small business that have more positive effect.

• Journal of the Korea Safety Management & Science
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• v.15 no.2
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• pp.263-271
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• 2013

This paper reviewed the relationship between innovation(organization innovation, personnel innovation, product innovation, process innovation) and firm performance in small business. Based on the responses from 218 firms, the results of multiple regression analysis showed that personnel innovation, product innovation, and process innovation effect positively on all firm performance(sales, profit, market share, customer satisfaction), and organization innovation effects positively only on market share and customer satisfaction. The results of hierarchical regression analysis showed that technical innovation(product innovation, process innovation) effects more positively on sales, profit and customer satisfaction than administrative innovation(organization innovation, personnel innovation).

• Asia pacific journal of information systems
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• v.30 no.4
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• pp.758-784
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• 2020

In today's dynamic and hypercompetitive business environment, knowledge and innovation have emerged as bases for sustained competitive advantage. This paper addresses two specific research questions. First, we ask, "What is the effect that firm interactivity has on various types of innovation?" As we address this question, we explain that interactivity helps firms create knowledge, which then promotes and enables innovation. Second, we ask, "How do the various types of innovation impact firm performance?" We develop a research model and a set of hypotheses from the basis of organizational knowledge creation theory and the knowledge-based view of the firm. We test this model using survey data, and find that interactivity is positively associated with innovation. We also find that several types of innovation, including service innovation, process innovation, and organizational innovation have a positive impact on firm performance.

• Journal of the Korean Operations Research and Management Science Society
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• v.40 no.1
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• pp.5-19
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• 2015

Literatures on open innovation have two major limitations. First, either on a firm level or on an industry level did they analyze the open innovation issues. The results of a firm's innovation can be diffused through the whole network and the firm can learn back from the network knowledge. Prior literatures did not consider the feedback loop among firms and network in which the firms are involved. Second, most open innovation research had a static perspective on firm's innovation performance. Since the diffusion, spill-over and learning among network members are involved over time, the open innovation is intrinsically dynamic. From the dynamic perspective, we can appreciate the fundamental attributes of the open innovation network which involves diverse firms, research institutes, and universities. In order to overcome the limitations, we suggest a dynamic model for open innovation network. We build an agent-based model which consists of heterogeneous firms. The firms are connected through a scale-free network which is formed by preferential attachment. Through the diverse scenario of simulation, we collect massive data on the firm level and analyze them both on firm and industry level. From the analysis, we found that, on industry level, the overall performance of open innovation increases as the internal research capability, absorptive capacity, and learning curve coefficient increase. Noticeably, as the deprecation rate of knowledge increases, the variability of knowledge increases. From the firm level analysis, we found that the industry-level variables had a significant effect on the firm's innovation performance lasting through all the time, whereas the firm-level variables had only on the early phase of innovation.

• Journal of Information Technology Services
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• v.14 no.2
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• pp.195-229
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• 2015

Service innovation is considered a new way to gain competitive advantage and enhance firm performance. However, service innovation does not always guarantee the desired outcome. The effective organization and management of well-planned service innovation practices, which are consistent with the firm's business environment, become a critical challenge for service innovation success. In addition, an increasing number of studies have focused on the role of information technology (IT) capability in service innovations. Most studies on service innovation have focused on the influences of the strategic alignment and IT capability separately. In contrast, the current study combines them by investigating the positive moderating effect of IT capability on the alignment between business strategy and service innovation strategy. Based on data collected from 183 service firms in Korea, we first explore the effect of service innovation strategies when coupled with different business strategies on better firm performance. We then investigate the moderating effect of IT capability on the relationship between strategic alignments and firm performance. Empirical evidence indicates that a synergistic effect between alignment and IT capability on firm performance exists. Firms that have aligned service innovation strategy with business strategy should consider improving their organizational IT capability to ensure substantial leverage.

• Journal of Korean Society for Quality Management
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• v.38 no.3
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• pp.363-377
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• 2010

Although the importance of the service sector has been highlighted recently, service innovation remain under-researched by scholars. Innovation research based on manufacturing sector suggests that innovation strategy varies according to the objectives of innovation and has a positive influence on firm performance. To investigate the path that links the objectives of innovation, innovation strategy used and firm performance, this study develops a conceptual model of service innovation from the literature and tests the Structural Equation Model(SEM) using STEPI (Korea's Science and Technology Policy Institute) data. We could identify the causal relationships both between the objectives of innovation and innovation strategy and between innovation strategy and firm performance in service as in manufacturing, but we also found that the results of the empirical study for the service industry, in particular, the empirical results on the relationship between the aims of innovation and innovation strategy used, are quite different from those for manufacturing.

• The Journal of Asian Finance, Economics and Business
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• v.6 no.3
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• pp.295-304
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• 2019

The study aims to investigate the determinant factors in the organisation of a firm's innovative activities, and the impact of innovation capability on firm's performance of electronic firms in Ho Chi Minh city, Vietnam. How is the performance of electronic companies after delivering an innovation project? How will innovation capability affect firm's performance in electronic companies? This study aims to seek the answer of these questions. We employ a Structural Equation Model and the PLS technique in order to validate the theoretical model proposed in this study. With observation of 374 valid firms, based on Cronbach's Alpha analysis, EFA analysis, CFA analysis and SEM analysis, this study discovers 5 groups of factors including: (i) Institution factors; (ii) Attitude of leadership factors; (iii) Marketing factors; (iv) Technological resources factors; (v) Combination factors, which have direct impact on innovation capability of firms. There are 4 groups of factors that have positive impacts on financial performance of electronic firms, with descending order of importance as follows: (1) Attitude of leadership factors; (2) Quality of human resources factors; (3) Innovation capability; (4) Marketing activities factors. Research results are important implications for Government administrative agencies for business to consult and introduce effective support policies.

• Journal of Korea Technology Innovation Society
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• v.1 no.2
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• pp.192-207
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• 1998

This paper focuses on the relationship between innovation and export performance of technology-based firms in Korea. This study analyses the relationship between innovative activity and firm's performances using a sample of 760 technology-based firms in Korea. As for the firm's performance indicators, export is employed. The empirical results support that innovation has a positive effect on firm's export performance. However, for small and medium firms, the relationship between innovative activity and export performance is an U-shape quadratic form, which shows that small firms takes a minimum innovative expenditure in order to access the abroad market. Also, with product differentiation, innovative firms tends to devot more to domestic market than to abroad market. Therefore, it can be concluded that innovative activity builds market power and accelerates export performance. And product differentiation through advertising expenditure make innovative firms less exporting.