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Breakthrough innovation in international business: The impact of tech-innovation and market-innovation on performance

Graça Miranda Silva, Chris Styles and Luis Filipe Lages

International Business Review, 2017, vol. 26, issue 2, 391-404

Abstract: The literature suggests that the greater the perceived novelty of a firm’s products and markets, the greater the potential value to the user (Lepak et al., 2007). In this study we analyze the extent to which breakthrough innovation (both tech-innovation and market-innovation) has a positive impact on both economic and strategic export performance. Tech-innovation incorporates technological developments to improve customer benefits versus existing alternatives in the market. Our findings reveal that tech-innovation has a positive impact on the economic and strategic export performance of firms. This relationship becomes stronger when more human resources are available and the exporter becomes more oriented toward the importer. In less competitive markets, the positive relationship between tech-innovation and both types of export performance becomes even stronger.

Keywords: Tech-innovation; Market-innovation; Export performance; Exporting; Value creation (search for similar items in EconPapers)
Date: 2017
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Handle: RePEc:eee:iburev:v:26:y:2017:i:2:p:391-404