Determinants of Radical Product Innovations
Journal
European Journal of Innovation Management
ISSN
1460-1060
ISSN-Digital
1758-7115
Type
journal article
Date Issued
2006
Author(s)
Abstract
Time and time again companies with leading positions in the market place lose their dominance when a radical change occurs in the technological basis. In some cases, the survival of companies is in jeopardy because old technology-investments hinder managers from adopting new technologies. Following on from the resource-based view, the purpose of this paper is to develop an approach which explains the ability of a company to generate radical product innovations through the willingness of managers and employees to put aside their existing knowledge and acquire new skills. The paper uses a causal analytic model to demonstrate the key influences on radical product innovations. The model incorporates formative indicators and the researchers use a partial least squares approach to fit it. Since the central termini of this approach embody hypothetical constructs, causal modeling is the best-suited approach to capture complex theoretical phenomena. The results show that the willingness to abandon investments strongly determines radical product innovations.
Language
English
HSG Classification
not classified
Refereed
Yes
Publisher
Emerald
Publisher place
Bingley
Volume
9
Number
1
Start page
20
End page
43
Pages
24
Subject(s)
Eprints ID
31152