How open search strategies align with firms’ radical and incremental innovation: evidence from China

Abstract

The purpose of this paper is to describe the ways in which open search strategies (i.e. open search breadth and open search depth) align with firms’ radical and incremental innovation. By analysing survey data collected from 162 firms in Chinese high-tech markets, we found that a firm pursuing radical innovation benefits more from open search breadth than open search depth to achieve its performance goals; in contrast, a firm processing incremental innovation benefits more from open search depth than open search breadth to improve its performance. Based on these results, managers should pay attention to the fit between open search strategies and radical/incremental innovation. This study not only contributes to the studies of search strategies by identifying the parallel relationship of open search strategies and two types of innovation, but also enriches the theory of open innovation with an empirical analysis.

Keywords:

• open search breadth
• open search depth
• radical innovation
• incremental innovation

Acknowledgement

The authors thank the editor and the anonymous reviewers for their helpful comments and constructive suggestions.

Funding

This work was supported by National Science Foundation Committee of China [71132006 and 71302086].

Notes on contributors

Jinjuan Zang is a joint PhD candidate at Xi'an Jiaotong University and City University of Hong Kong. Her research interests are primarily in knowledge management and organisation innovation.Chenlu Zhang is an Instructor at Northwest University. Her research interests focus on innovation and strategy.Pianpian Yang is an Instructor at Chongqing University. Her research interests focus on innovation and channel relationship management.

Yuan Li is a Professor at Shanghai Jiao Tong University. His current interests include innovation and entrepreneurship. His research works have appeared in some top-tier management journals.