Coping with uncertainty - exploration, exploitation, and collaboration in R%D

Hanna Kuittinen, Kaisu Puumalainen, Ari Jantunen, Kalevi Kyläheiko and Satu Pätäri

International Journal of Business Innovation and Research, 2013, vol. 7, issue 3, 340-361

Abstract: This paper studies the formation of and the motives for research and development (R%D) activities. In it, we explore the linkages between explorative and exploitative R%D activities and the different types of governance structures firms use when organising R%D. Additionally, we analyse the relationship between different kinds of firm-external uncertainties arising from the operating environments and the organisation of R%D activities. Finally, we scrutinise the impact of the collaboration mode on a firm's innovative performance, and stress the important role of knowledge sharing as a generator of success in innovative performance. We employ survey data from our sample of 299 Finnish companies. The findings indicate that a firm's choice of R%D governance structure is partly affected by the selection of an explorative or exploitative strategy, which in turn depends on the degree of firm-internal uncertainty. External dynamism is an additional factor affecting the choice of the preferred governance structure.

Keywords: research and development; R%D; survey; research exploration; research exploitation; environmental dynamism; research cooperation; innovation performance; knowledge sharing; governance structures; collaboration; Finland; uncertainty; organisational structure. (search for similar items in EconPapers)
Date: 2013
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Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:ids:ijbire:v:7:y:2013:i:3:p:340-361

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