EconPapers    
Economics at your fingertips  
 

The Capability-Related and Network-Related Causes for Innovation Failure and Success

Tiia Vissak

Chapter Chapter 9 in Innovation Systems in Small Catching-Up Economies, 2012, pp 159-175 from Springer

Abstract: Abstract Innovations are often associated with substantial risks and failure is not rare. It is, therefore, important to study what causes innovation failure, how to reduce the risk of failing and how to increase the chance of innovation success. The paper aims to study how network relationships (or the lack of them) and (the lack of) capabilities lead to innovation failure or success in Estonian firms. Based on survey results from 95 firms and the evidence from 48 interviews, it concludes that the lack of capabilities and network relationships may lead to innovation failure. Network relationships may also constrain innovation: for example, if foreign owners do not allow a firm to do (substantial) R&D because its main role is production or if a company’s customers or subcontractors are not interested in innovative products or solutions. For this reason, firms should pay more attention to participating in those networks that could advance their innovative capabilities and increase the success of their innovation efforts. At the same time, they should take into account that participating in networks does not automatically guarantee success: some relationships or their dissolution may also lead to innovation failure. Consequently, partners should be selected very carefully.

Keywords: Foreign Firm; Innovation Activity; Innovation Project; Foreign Owner; Network Relationship (search for similar items in EconPapers)
Date: 2012
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

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:spr:innchp:978-1-4614-1548-0_9

Ordering information: This item can be ordered from
http://www.springer.com/9781461415480

DOI: 10.1007/978-1-4614-1548-0_9

Access Statistics for this chapter

More chapters in Innovation, Technology, and Knowledge Management from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().

 
Page updated 2025-04-01
Handle: RePEc:spr:innchp:978-1-4614-1548-0_9