The Impact of Innovative Technology Exploration on Firm Value Sustainability: The Case of Part Supplier Management

Insung Son, Jinsu Kim, Gwijeong Park and Sihyun Kim
Additional contact information
Insung Son: Department of Management, Gyeongsang National University, JinJu 52828, Korea
Jinsu Kim: Department of Management, Gyeongsang National University, JinJu 52828, Korea
Gwijeong Park: Department of Management, Gyeongsang National University, JinJu 52828, Korea
Sihyun Kim: Department of Logistics, Korea Maritime and Ocean University, Busan 49112, Korea

Sustainability, 2018, vol. 10, issue 10, 1-17

Abstract: With rapid changes driven by technical advances, innovative technology capacity is a strategic asset unique to a company allocating various tangible and intangible resources, and it promotes technological innovation. This study analyzed the technology applied to iPhone series by Apple from 2007 to 2017 and measured the information effect of innovative technology exploration on the firm value for managing global supply chain (USA, Taiwan, Japan, Korea, and Europe). Adopting the pooled OLS (Ordinary least square) and panel analysis, this study revealed that exploration technology exploring new technologies shows a positive market response in the information effect of sustaining innovation. Results identified that exploitation and exploration can give different results depending on a construct (exploration and exploitation technologies) or congruence (combination and balance). In addition, the results indicate the importance of the balance between exploitation and exploration technologies and rational part supplies management in Apple’s new product development strategy. Analyzing the impact of innovative technology exploration on the firm value for global supply chain management, this study suggests significant implications for strategic decision making for the company to build continuous innovation path through technology search and to secure sustainability of organizations facing rapid changes in technical advances.

Keywords: disruptive innovation; information effect; exploration technology; exploitation technology (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
https://www.mdpi.com/2071-1050/10/10/3632/pdf (application/pdf)
https://www.mdpi.com/2071-1050/10/10/3632/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:10:y:2018:i:10:p:3632-:d:174886

Access Statistics for this article

Sustainability is currently edited by Ms. Alexandra Wu

More articles in Sustainability from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().