It has been a decade since the concept of open innovation (OI) was first introduced in management literature and began to be practiced in organizations. Although it has provided new insights and useful directions in the management of innovation beyond company boundaries in the areas of new products, processes, and technologies, both researchers and practitioners still face some challenges that need to be addressed. In the past, in management literature, various popular trends, approaches, or techniques (like sociotechnical systems and total quality management) have been put forward; but, today, we hardly hear about them anymore. So we could aptly ask: is OI a fact or a fad? (Chesbrough and Brunswicker, 2014; Trott and Hartman, 2009). The pioneering scholars (Ches-brough, 2003; 2006; Gassmann and Enkel, 2010; West, 2003) of OI have convincingly argued that firms are heavily dependent upon the development and adoption of OI in products and processes for gaining competitive advantage and achieving above average returns. Today we live in an increasingly interdependent global business environment where almost no single firm, even one with vast resources, can afford to stay within its company boundaries and develop all of its R&D aims without collaboration with or help from external sources. Although OI sounds appealing in theory, a critical question is whether companies can embrace this approach by allocating their scarce resources, time, and energy, and especially how they can work with other potential firms by sharing their valuable intellectual properties.
Foreword: Charles C. Snow 1. Open Innovation: Learning from Alliance Research Joel West 2. Open Innovation Business Models and the Role of Strategic Alliances Refik Culpan 3. Open Innovation through R&D Partnership: Implementation Challenges and Routes to Success Nadine Roijakkers, John Bell, Jaco Fok, and Wim Vanhaverbeke. 4. Relational Drivers for Open Innovation Alliances in Biochemistry? Emiel F.M. Wubben, Andre van Meijeren, and Vincent Blok 5. Open Innovation and Internationalization Behavior of Firms Ana M. Moreno-Menendez, and Jose C. Casillas 6. Accessing Innovation in the Supply Chains Richard R. Young 7. Genesis and Evolution of the Xerox P&G Co-Innovation Partnership: Lessons Learned Robert DeFillippi, Colette Dumas, and Sushil Bhatia 8. The Role of Open Innovation in Business-University R&D Collaborations Ravi Chinta and Refik Culpan 9. The Big Data Lever for Strategic Alliances Mariann Jelinek, Steve Barr, Paul Mugge, and Richard Kouri 10. Open Innovation and KIBS Startups: Technology- and Market-based Alliance Portfolio Configurations Brian V. Tjemkes, Eduard H. de Pineda, Marc D. Bahlmann, Ard-Pieter de Man, and Alexander S. Alexiev 11. R&D Partnership Portfolio Strategies for Breakthrough Innovations: Development of Knowledge Exchange Capabilities Scott Mooty and Ben L. Kedia 12. Corporate Groups and Open Innovation: The Case of Panasonic in Japan Hiroyuki Nakazono, Takashi Hikino and Asli M. Colpan 13. Open Innovation Ecosystems in the Software Industry Mehmet Gencer and Beyza Oba 14. Challenges and Prospects of Open Innovation through Strategic Alliances Refik Culpan
The role of universities in the development and transmission of new knowledge has been well recognized. Many cutting-edge scientific inquiries and innovations—including stem-cell applications, alternative energies, social networking, and cloud computing—have emerged as a result of university research endeavors that are often conducted in collaborations with businesses. With the widespread adoption of open innovation by business firms, universities have become a hub of new knowledge generation and have been instrumental in the development of new products and technologies.
Open innovation has become a popular topic in management literature since Chesbrough published his book with the same title in 2003 (Chesbrough, 2003). Consequently, no longer does it only exist in the realm of conceptualization; at numerous companies it has been applied. Chesbrough (2003) suggests that companies using the closed innovation paradigm are fundamentally inwardly focused when it comes to the development of new ideas, knowledge, and creativity; the notion of the closed innovation paradigm is not unlike that of a castle or silo. The underlying logic of this approach implies a need for vertical integration with the aim of centralized, internal research and development. But the logic underlying the closed innovation paradigm has been challenged in the transformative era of e-business and social media, due to the interdependence of various firms on other firms for critical technologies and other resources. In an information economy, firms are operating in a more open, fast-paced global environment, where firms can create ideas for external or internal use and can access ideas from outside as well as from within. The availability and quality of these external ideas have changed the logic that once led to the formation of internal, centralized R&D silos and that have now evolved with the open innovation paradigm that enables a firm to leverage and share distributed knowledge. Now firms must manage innovation in an uncertain world, and they must adopt an open innovation paradigm and become strategically agile and aligned by leveraging multiple paths to market their in-house technologies, by sharing ideas and intellectual property (IP), and by accessing and integrating external knowledge through strategic alliances and collaborative partnerships.
We develop a model of the multifirm collaborative innovation process using data on Blade.org, a collaborative community of more than 200 firms in the computer server industry. We argue that a collaborative community is a new way of organizing for open innovation, following the three established approaches of alliances, static networks, and outsourcing. A collaborative community of firms is a powerful organizational form for firms wanting to pursue product/service and market opportunities in environments where knowledge is complex and widely distributed. We expect this organizational form to be used increasingly in knowledge-intensive industries where continuous innovation is a strategic objective.
The purpose of this paper is to examine common dilemmas faced by corporate innovators in a conceptual model and demonstrate their decision challenges in reference to three specific cases. Toward this end, this paper will offer a literature review on innovators' dilemmas, a new conceptual model, and types of innovators' dilemmas with company examples. Unlike previous studies, we focused on firm-level and inter-firm level innovations. We argue that managerial decision dilemmas usually comprise such common dilemmas as incremental innovation versus radical innovation, sole profit maximization emphasis versus balancing economic and social objectives, and sole venturing versus collaborative venturing for innovation.
This study examines managerial views on management information systems in strategic planning process. A survey conducted with top managers revealed that most managers are using MIS in the development and implementation of corporate strategies. The findings also show that the use of MIS in strategic planning does not differentiate significantly according to type of industry, size of company budget, or the companys MIS budget allocation. Furthermore, problems associated with use of MIS are discussed, and suggestions are made to narrow the gap between MIS developers and users.
Multinational companies (MNCs) from emerging economies have received increasing attention in recent years. We studied the entrepreneurial growth of two family-controlled MNCs, namely Tata Group in India and Sabanci Holding in Turkey and compared their growth patterns. Building on the resource-based view (RBV) of the firm, we developed a conceptual framework by which we demonstrated how core competencies of these two conglomerate companies have led to their competitive advantages. Finally, we concluded that the success factors in becoming a MNC from a local company in an emerging economy depend on strategic and visionary leadership, smooth succession of the founders, strong value system and business ethics, multiple paths for growth and the establishment of strategic alliances with western companies. This study not only advances our understanding of historical and entrepreneurial developments in multinationality of firms from emerging countries, but also provides insights for future research.
This article reviews the current state of strategic alliances between and among firms by discussing the confusion concerning their epistemology and taxonomy; it offers a plain definition and typology of such ventures. Also examined are their evolution and theoretical foundations and important research questions reflected in the extant literature. After clarifying existing misconceptions and presenting a systematic treatment of strategic alliances, it aims at delineating new research issues and stimulating further research for advancement of the current body of knowledge on interfirm cooperation.
This paper provides a critical analysis of "coopetition" a coin word created to describe the occurrence of interfirm collaboration and competition at the same time. To do so, it develops a conceptual model in which the antecedents and consequences of coopetition as a strategic tool are defined and examined. Moreover, it defines the theoretical underpinnings of coopetition to put the concept in a proper context. Furthermore, it presents the practical examples of coopetition to demonstrate its strategic significance. Finally, theoretical and managerial implications of coopetition are discussed. It concludes that coopetition should be considered as an alternative strategic tool for firms striving for additional or new resources to obtain or sustain their competitive advantages in today's highly volatile and complex global marketplace
This paper examines major business environmental changes influencing a strategic shift of automobile manufacturing firms in Turkey. Within a conceptual model consisting of environmental forces, strategic shift, and mediating variables, including firm size, ownership pattern, and market entry mode, it empirically investigates how such market changes influenced the business strategies of automotive firms in Turkey. The findings indicate that the multinational automotive firms in Turkey have shifted their strategic focus from relying solely on the domestic market to balancing domestic and export markets because of environmental forces. The paper concludes with discussions and suggestions for further research on the subject.
The purpose of this paper is to introduce a conceptual framework of a collaborative community of firms and to analyse Blade.org as an example. As a collaborative community, Blade.org focuses on the development and adoption of open blade server platforms (a computer server technology) through the participation of more than 100 member firms. We assert that this new community-based organisation design enables numerous firms with a common interest, but different resources and capabilities, to collaborate with one another to achieve open innovation. In this sense, Blade.org has been creatively designed to emulate the characteristics and processes of a community of individuals. We argue that the community of firms organisational model increasingly will be found in situations where continuous innovation is a strategic objective. The implications of this new organisational form are discussed for further research and practice.
This paper explores the business strategies of Turkish apparel firms (which are mostly small-sized companies) by examining the competitive conditions which have guided the industry over decades. It presents the current state of the industry as manifested in the companies' core strategies within a strategic fit framework and resource-based view. It identifies the current problems faced by Turkish apparel manufacturers and marketers, with a particular reference to the small- and medium-sized firms in this internationally competitive industry. Then, the paper offers some recommendations to foster the competitiveness of these firms. Finally, it draws conclusions by assessing and comparing the business behaviours and strategies of the Turkish firms and by considering industrial and firm-specific factors.
This article offers a critical assessment of the role of strategic alliances in gaining sustainable competitive advantage through building knowledge assets. To do so, it develops a conceptual model, in which three key concepts: the role of "knowledge assets" in gaining "sustainable competitive advantage" via "strategic alliances" between firms are defined and related to each other. It argues core competencies and dynamic capabilities of firms depend on knowledge assets of the firm. In turn, knowledge assets of the firm determine its sustainable competitive advantage. Furthermore, it explicates how knowledge assets can be exploited or explored in a strategic alliance context. In addition, by offering a new conceptual model, this article contributes to our understanding of the linkages among knowledge building and collaborative ventures between firms and stimulates further research on strategic alliances.
This paper explores the Turkish apparel industry and business strategies of firms by examining the core paradigms that have guided the industry over decades.It presents the current state of industry as manifest in the companies' core strategies within a strategic fit framework.It identifies the current problems faced by Turkish clothing manufacturers and marketers in this international industry.Then the paper offers some recommendations to foster the competitiveness of Turkish apparel firms.Finally, it draws conclusions by comparing the business behavior and strategies of Turkish firms by defining the structural and firm-specific factors.
Business and Society ReviewVolume 110, Issue 1 p. 59-76 Applying the Agency and Stakeholder Theories to the Enron Debacle: An Ethical Perspective REFIK CULPAN, REFIK CULPAN Pennsylvania State University at HarrisburgSearch for more papers by this authorJOHN TRUSSEL, JOHN TRUSSEL Pennsylvania State University at HarrisburgSearch for more papers by this author REFIK CULPAN, REFIK CULPAN Pennsylvania State University at HarrisburgSearch for more papers by this authorJOHN TRUSSEL, JOHN TRUSSEL Pennsylvania State University at HarrisburgSearch for more papers by this author First published: 27 January 2005 https://doi.org/10.1111/j.0045-3609.2005.00004.xCitations: 24Read the full textAboutPDF ToolsRequest permissionExport citationAdd to favoritesTrack citation ShareShare Give accessShare full text accessShare full-text accessPlease review our Terms and Conditions of Use and check box below to share full-text version of article.I have read and accept the Wiley Online Library Terms and Conditions of UseShareable LinkUse the link below to share a full-text version of this article with your friends and colleagues. Learn more.Copy URL Share a linkShare onFacebookTwitterLinked InRedditWechat Citing Literature Volume110, Issue1February 2005Pages 59-76 RelatedInformation