• Title/Summary/Keyword: Potential absorptive capacity

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The Effect of Absorptive Capacity on Technology Collaboration Performance: Focusing on the Moderating Roles of Innovation Intermediaries

  • Hyungju Lee;Geonil Ko;Namjae Cho
    • Journal of Information Technology Applications and Management
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    • v.31 no.2
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    • pp.15-34
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    • 2024
  • This study aims to analyze the effect of absorptive capacity on technology collaboration performance and the moderating effect of innovation intermediaries. We set absorptive capacity (potential, realized) as independent variables and technology collaboration performance (relative technology level, development period, cost savings, new product development, collaboration satisfaction) as dependent variables, with innovation intermediaries as a moderating variable. We conducted a survey of 145 ICT companies that experienced technology collaboration and analyzed the data using 101 valid responses. The results show that potential absorptive capacity has a significant effect on new product development and collaboration satisfaction, while realized absorptive capacity has a significant effect on relative technology level, cost savings, and new product development. Furthermore, innovation intermediaries have a moderating effect between realized absorptive capacity and new product development. The contribution of this study to academia and industry is that it highlights absorptive capacity as a key factor influencing technology collaboration performance. The limitations of this study include the lack of accurate measurement of absorptive capacity and innovation intermediaries, as well as a lack of control over external factors. These limitations should be addressed through more in-depth research by systematically defining and measuring them in future follow-up studies.

The Effect of Technology Start-up Companies' Absorption Capacity on Start-up Performance: Focusing on the Mediating Effect of Patent Activities (기술창업기업의 흡수역량이 창업성과에 미치는 영향: 특허활동의 매개효과를 중심으로)

  • Kim Jong Sik;Nam Jung Min
    • Asia-Pacific Journal of Business Venturing and Entrepreneurship
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    • v.18 no.3
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    • pp.191-209
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    • 2023
  • Amid rapid changes in technological innovation due to the influence of the 4th Industrial Revolution and COVID-19, research related to absorption capacity and patent activities to promote technological innovation of Korean technology start-ups is important in this uncertain environment. This study aims to examine the effects on entrepreneurial performance and patent activities by reconstructing absorptive capacity, an organizational capability, for technology-based startups in fields such as BT and ICT with less than seven years of establishment, distinguishing between potential absorptive capacity and realized absorptive capacity. The study also seeks to develop a theoretical research model. To accomplish this, data was collected from managerial executives, including CEOs of 215 technology startups. The following hypotheses were tested: Firstly, potential absorptive capacity had a significant impact on patent activities, while realized absorptive capacity did not. Secondly, potential absorptive capacity had a significant impact on technological performance, while realized absorptive capacity did not. Thirdly, both potential and realized absorptive capacity had a significant impact on financial and non-financial performance. Fourthly, patent activities indirectly influenced potential absorptive capacity and technological performance, but did not affect realized absorptive capacity. Fifthly, patent activities indirectly influenced potential absorptive capacity and financial performance, but did not affect realized absorptive capacity. Lastly, patent activities indirectly influenced potential absorptive capacity and non-financial performance, but did not affect realized absorptive capacity. The practical significance of this study lies in providing useful guidelines for building the core capabilities of organizations through absorptive capacity and patent activities. Furthermore, it is expected that startups that have not recognized the formation process of absorptive capacity for patent activities will perceive the formation mechanism of absorptive capability anew and show considerable interest in future potential and realized absorptive capacity as part of their management strategies. This is anticipated to play an important role in adapting to rapidly changing technological advancements, the startup ecosystem, and securing sustainable competitive advantages.

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A study of the relationship of Entrepreneurship, Absorptive capacity and Creative product (기업가정신, 흡수역량과 창의성과 간의 관계에 관한 연구)

  • Han, Byung-Cheol;Cho, Yong-Hwa;Song, Chan-sub;Kim, Eun-Kyeong;Lee, Sun-Kyu
    • Journal of Digital Convergence
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    • v.16 no.10
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    • pp.187-197
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    • 2018
  • To improve Organization's creative product by using external knowledge and information. This study suggests the procedure among Entrepreneurship, absorptive capacity(Potential absorptive capacity, Realized absorptive capacity), Creative product. To the empirical analysis of the theoretical relationship, The research model was set up through literature research. method Empirical analysis was conducted using total 487 questionnaires from worker of electronic industry in Kyung-buk region. the results of this study are as followings; First, Entrepreneurship related positively to Creative product. Second, Creative product was affected through process in order of Entrepreneurship, Potential absorptive capacity, Realized absorptive capacity. This results contribute to the improvement of organization's Creativity and the utilization of external knowledge.

Transfer of Marketing Knowledge within Multinational Corporations and Its Impact on Performance: Moderating Effects of Absorptive Capacity, Socialization, and Local Knowledge

  • Lee, Byung-Hee
    • Journal of Global Scholars of Marketing Science
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    • v.18 no.4
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    • pp.277-306
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    • 2008
  • Knowledge1 is considered to be a key element of understanding how organizations gain and sustain competitive advantages. But very few firms are capable of creating the requisite knowledge and thus, firms should acquire and exploit new knowledge through knowledge transfer processes. The empirical part of this study involves examining relationships among adaptability of knowledge and knowledge transfer and marketing performance and testing the moderating roles of absorptive capacity, socialization and local marketing knowledge. This study is organized as follows: (1) Previous literature on knowledge, knowledge transfer and absorptive capacity is summarized, followed by the development of hypotheses derived from the knowledge-based view and absorptive capacity. (2) The hypotheses are tested with data collected from MNCs' subsidiaries performing marketing activities in Korea.Thestudyisclosedwithfindings,implications,andconclusions. Following six research hypotheses are drawn from literature review in related areas: H1: Adaptability of knowledge transferred from the MNCs' headquarters and other subsidiaries is positively associated with knowledge inflows into the receiving subsidiary. H2: The level of marketing knowledge transferred from the MNCs' headquarters and other subsidiaries is positively associated with marketing performance of the receiving subsidiary. H3: Increases in potential absorptive capacity will enhance the relationship between adaptability of knowledge and the level of marketing knowledge transfer. H4: Increases in realized absorptive capacity will enhance the relationship between the level of knowledge transfer and marketing performance of the receiving subsidiary. H5: Increases in socialization activity among the headquarters and subsidiaries will enhance the relationship between adaptability of knowledge and the level of marketing knowledge transfer. H6: Increases in the level of locally developed marketing knowledge will enhance the relationship between the level of knowledge transfer and marketing performance of the receiving subsidiary. The research framework that illustrates the proposed hypotheses is presented in figure 1. The unit of analysis for this study is knowledge transfer from the MNCs' headquarters and other subsidiaries to their subsidiaries operating in South Korea. The population for this study consists of subsidiaries established either as joint ventures or as wholly-owned subsidiaries. A group of 603 foreign firms were drawn from diverse industry organizations and business societies. After personal contact, telephone, fax, and e-mail to request that the respondents complete the questionnaire, 282 valid questionnaires from 133 initial sample companies were collected. The results of the empirical analyses significantly support all of the proposed hypotheses except hypothesis 3. Adaptability of external knowledge promotes knowledge transfer and the relationship is moderated by a firm's potential knowledge absorptive capacity. On the other hand, knowledge transfer improves a firm's marketing performance and a firm's realized knowledge absorptive capacity and local marketing knowledge moderate the relationship. The theoretical and practical implications of the findings in this study are as follows: (1) firms must take seeking, transferring, sharing and exploiting of external knowledge into serious consideration, while simultaneously creating knowledge to support the necessary business operations, remain competitive, and achieve superior performance. (2) Firms should continuously seek to develop their knowledge absorptive capacity (both potential and realized capacity) to absorb, learn and utilize valuable external knowledge. (3) Firms should emphasize not only absorptive capacity, but also development of local knowledge. Firms with strong absorptive capability and local knowledge can learn and transfer more external knowledge, which can be translated into greater levels of competence and performance.

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Effects of Absorptive Capacity on Innovation Performance: Evidence from Small and Medium Enterprises in Vietnam

  • NGUYEN, Dan Thi Thanh
    • The Journal of Asian Finance, Economics and Business
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    • v.9 no.6
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    • pp.139-149
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    • 2022
  • The article investigates the impact mechanism of absorption capacity (potential absorptive capacity - PAC and realized absorptive capacity - RAC) on the innovation efficiency of enterprises through the intermediate variable of dual innovation (exploratory innovation- INOR and exploitative innovation- INOI), based on the actual situation of Vietnam's small and medium enterprises (SMEs). A survey of Vietnam's SMEs was conducted from August 2020 to April 2021. The data was collected through interviews and questionnaires, and 146 valid questionnaires were received. The following results were acquired using SPSS 20.0 software to do correlation and regression analysis of data results.: The results show that the absorptive capacity of enterprises has a positive impact on innovation performance and dual innovation acts as a mediator in how absorptive capacity affects innovation performance. This study deepens the understanding of how absorptive capacity affects innovation performance and provides important new evidence for developing absorptive capacity and dual innovation in both theories and practice in Vietnam's SMEs. The study also proposes several solutions and recommendations to help Vietnam's small and medium enterprises improve their innovation capacity, competitiveness, and performance.

The Effect of Individual's on Absorptive Capacity on Process and Product Innovation (개인의 흡수 역량이 프로세스 및 제품 혁신에 미치는 영향에 대한 연구)

  • Jang, Jae-Seung;Lee, Junyeong;Kwak, Chanhee;Lee, Heeseok
    • Knowledge Management Research
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    • v.17 no.1
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    • pp.135-154
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    • 2016
  • Absorptive capacity has been increasingly thought of as a potential source of innovation. From the knowledge management perspective, absorptive capacity is composed of a set of activities dealing with acquisition, assimilation, transformation, and exploitation of external and internal knowledge. This study investigates what relationship the absorptive capacity of individuals who have technical knowledge in the organization has with process innovation and product innovation. Mobile based survey was conducted from the employees working for the largest electronics manufacturer in Korea. The analyzed data was based on 156 responses from 199 participants. The analysis result shows that four phases of absorptive capacity such as acquisition, assimilation, transformation and exploitation have different effects on process innovation and product innovation, respectively. Specifically, transformation is found to be most critical in leading to innovation.

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The Impact of Existing Relationship and IT-based collaboration activities on the Performance of Supply chain: Focused on Absorptive Capacity (공급 사슬 참여 기업간 기존 거래 관계와 IT 기반 협업 활동이 공급 사슬 성과에 미치는 영향: 흡수 역량을 중심으로)

  • Lee, Won Jun;Bock, Gee-Woo;Kang, Youn Jung
    • Knowledge Management Research
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    • v.19 no.4
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    • pp.77-98
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    • 2018
  • The purpose of this paper is examine the existing relations structure and IT use for collaboration activities on supply chain and their impacts on the performance of supply chain. This study made a design of the research model that was further constructed by integrating the relationship structure, IT exploration, IT exploitation, supply chain collaboration, absorptive capacity, and knowledge creation, efficiency and efficient. The survey data were collected from 378 companies, where firms are facing increased global competitive pressure and heavily utilize SCM to retain their competitive advantages. The authors validated a measurement model with structural equation modelling and tested eight hypotheses. As a result, the absorptive capacity was closely related to trust, IT exploitation and IT exploration, but supply chain collaboration. Examining the effect of supply chain collaboration with two types of absorptive capacity, the authors found positive effect on potential absorptive capacity, but a non-significant effect on realized absorptive capacity. This finding suggests that the improving performance of supply chain not only is related to the relations structure and IT use on supply chain, but also is closely related to the absorptive capacity.

The Effect of Boundary-spanning Leadership on Self-efficacy, Extra-role Behavior, and Absorptive Capacity (경계연결리더십이 조직구성원의 자기효능감, 역할 외 활동, 그리고 흡수역량에 미치는 영향)

  • Kwon, Jung-Eon;Woo, Hyung-Rok
    • Knowledge Management Research
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    • v.20 no.1
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    • pp.133-153
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    • 2019
  • Due to the uncertainty of dynamic business environment, modern organizations have been giving attention to dynamic capabilities beyond traditional notion of core competence. Among them, absorptive capacity and boundary-spanning activity are considered the most important. The former refers to activities regarding acquisition, assimilation, transformation and exploitation of internal and external knowledge. The latter is composed of boundary-loosening and boundary-tightening activities to detect internal or external information and then to preserve, protect, or acquire resources. Thus, both have achieved wide recognition as a potential source of change and innovation. This study investigated the cross-level relation between boundary-spanning leadership at team level and absorptive capacity at individual level. We also explored self-efficacy and extra-role behavior that can affect employees' absorptive capacity. To test multi-level analysis, the survey data were collected from 862 members in 137 teams of different firms. Results revealed that boundary-spanning leadership had the positive cross-level impact on absorptive capacity in the team context. Moreover, absorptive capacity was positively associated with self-efficacy and extra-role behavior at individual level. Based on these findings, we provided theoretical and practical implications to address rapidly changing environments and discussed limitations of this paper for further research.

R&D Spillovers with Endogenous Absorptive Capacity: Lessons for Developing Countries

  • Bae, Chankwon
    • East Asian Economic Review
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    • v.20 no.2
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    • pp.191-228
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    • 2016
  • This paper analyzes the role of absorptive capacity in R&D spillovers through strategic R&D investments in a game-theoretic framework. In the model, a firm's effective R&D is composed of idiosyncratic R&D, which produces its own innovations, and identical R&D, which improves absorptive capacity. The model shows that in the presence of absorptive capacity firms have a tendency to underinvest (overinvest) in idiosyncratic (identical) R&D relative to the social optimum. As the spillover becomes larger, firms decrease their own R&D while they become more inclined towards strategic exploitation of rivals' efforts. Since the former effect overpowers the latter, the total amount of R&D decreases as the spillover increases. This is socially undesirable, providing a potential justification for a governmental subsidy for idiosyncratic R&D and a tax on identical R&D. The findings may have important implications for newly industrialized or emerging countries that consider a redirection of national R&D policy and intellectual property rights (IPR) regime.

Relationship between Absorptive Capacity, Technology Collaboration Performance, and Innovation Intermediaries: A Grounded Theory Approach (기술흡수역량과 기술협력 성과, 혁신중개의 관계에 관한 근거이론적 접근)

  • Hyungju Lee;Namjae Cho
    • Journal of Information Technology Applications and Management
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    • v.31 no.3
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    • pp.105-117
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    • 2024
  • This study conducted in-depth interviews with 8 ICT companies experienced in technology transfer and collaboration with government-funded research institutions, employing Grounded Theory methodology. From these interviews, 139 episodes were extracted and categorized into 29 sub-categories across the companies. Validation by independent coders further classified these into 5 categories: potential absorptive capacity, realized absorptive capacity, technology collaboration activities, technology collaboration performance, and innovation intermediaries. The validation results suggest that companies with higher absorptive capacity are more actively involved in technology collaboration. Moreover, companies utilizing innovation intermediaries demonstrate increased collaboration frequencies. The study contributes to academia and industry by providing insights for companies to improve competitiveness and foster smooth technology collaboration, enhancing collaborative outcomes. Future research should focus on quantitatively validating these findings.