The more the merrier? Network portfolio size and innovation performance in Nigerian firms
DFG Research Training Program 'The Economics of Innovative Change', Friedrich Schiller Universität, Carl-Zeiss Str. 3, Jena, Germany; National Centre for Technology Management, PMB 012, Obafemi Awolowo University, Ile-Ife, Nigeria; South African Research Chair on Innovation (SARChI), Tshwane University of TechnologyPretoria, South Africa
Abstract A positive relationship between firms' networking activities and innovativeness has been consistently established in the literature on innovation. However, studies considering different innovation types, and on developing countries are scarce. This paper addresses questions concerning the relationship between networking strategies and innovativeness of firms, using innovation survey data on Nigerian firms. Quantile regression is applied to trace the link between portfolio size and innovation at different levels of innovative success. The results show a positive relationship between a firm's innovation performance and the size of its networking portfolio. This relationship varies across different innovation types and with increasing innovation performance. The findings suggest that the widely accepted portfolio approach to external search for knowledge is not necessarily always the best - its utility depends on the firm's current level of innovative success. This poses a challenge for open innovation. © 2015 Elsevier Ltd.
Developing countries; Collaboration; External knowledge; Innovative success; Networking; Nigeria; Open innovation; Innovation
DFG, Deutsche Forschungsgemeinschaft