Companies must simultaneously focus on cost and time efficient product development as well as enabling radical and incremental innovation for long-term survival. The companies in the study from high-tech industries face the demands on innovation within their software development projects. Software development projects are often characterised by a rational approach with focus on short-term resul...

I develop a dynamic innovation model with three important features: (a) asymmetry between large and small firms (“giants” and “midgets”); (b) technology transfer by acquisition; and (c) the distinction between gradual innovation (i.e., within a certain “paradigm”) and disruptive innovation (i.e., that which induces a new paradigm). I provide conditions such that (a) greater asymmetry between gi...

According to the life cycle model of technological evolution, after the emergence of a dominant design, technological product industries undergo an “era of incremental change.” This era of incremental change is not well understood in the existing literature. Although the period is typically characterized in terms of stability and minimal innovation, we find that the era of incremental change ca...

This study examines the relationship between trust, innovation and IT assets in the context of inter-organizational relationships (IORs). We parse two dimensions of inter-organizational IT-based assets – IT-based Process Institutionalizations and IT-based Knowledge Institutionalizations – based on the purposes for which these assets are deployed by the collaborating organizations. Based on prio...

Because of the intangible and highly uncertain nature of innovation, investors may have difficulty processing information associated with a firm’s innovation and innovation search strategy. Due to cognitive and strategic biases, investors are likely to pay more attention to novel and explorative patents rather than incremental and exploitative patents. We find that firms focusing on exploitatio...

We analyzed the effects of R&D cooperation with users and the intensity/continuity of such cooperation on firms’ innovation output—whether radical or incremental. We also examined the moderating effect of firm size on these relationships. Results show that cooperation with users favours the development of both radical and incremental product innovations. In addition, we found that the higher th...

This chapter takes a dynamic view in a double sense: how do different forms of organization develop in time, and how do they perform with respect to innovation? On the basis of a theory of organizational learning, an attempt is made to explain the relative advantages of large, integrated forms and disintegrated forms of organization (networks). Disintegration and differentiation are required fo...