Network Effects on Radical Innovation and Financial Performance: An Open-mindedness Approach
Journal Title: BAR: Brazilian Administration Review - Year 2013, Vol 13, Issue 4
Abstract
This study examines how companies can achieve high performance through certain organizational behaviors (open-mindedness and social networks) and innovation. The impact of open-mindedness in defiance of basic assumptions and processes could motivate the use of internal and external networks. These social networks are the cornerstone for the creation of knowledge and the construction of radical innovations, which in turn trigger the transformation new knowledge into organizational performance. We use structural equation modelling (SEM) to test our research model and hypotheses in a sample of 324 companies from the Brazilian industrial sector. Data were collected by a regular mail survey. The study brings a proper understanding that radical innovations play a crucial role for organizational performance in emerging economies. Results also show that open-mindedness is associated with both internal networks and external social networks. In addition, the external social network mediates the effects of open-mindedness on the internal social network. Finally, external social networks have an indirect influence on radical innovations, through internal social networks, and a direct effect on organizational performance.
Authors and Affiliations
Perin, Marcelo Gattermann; Sampaio, Cláudio Hoffmann; Jiménez-Jiménez, Daniel; Cegarra-Navarro, Juan Garcia
Keywords
Related Articles
- EP ID EP40631
- DOI -
- Views 216
- Downloads 0
Narratives and Sensemaking of an Organizationally-Based Environmental Disaster
This work investigates the narratives of corporations, public agencies, politicians, unions, lawyers, public attorneys and community in different public inquiries undertaken as a response to an organizationally-based e...
The Construction of Organizational Identity: Discourses on a Brazilian Private Railroad
Considering the current organizational macro-environments, we notice that competitors have become more aggressive. At the same time, some stakeholders are expecting more from organizations in relation to social and env...
Business model analysis from the activity system perspective: A design science research
Understanding a business modelis at the core of organizationalstrategy, competitiveness,and business sustainability. Descriptive approaches to understand business models are often based on the analysis of their...
Management practices and competitiveness: A multisector study in the Brazilian industry
The Practice-Based View (PBV) is an insightful approach among alternative theories of firm competitiveness. However, it hardly addresses industry level effects on the adoption of management practices and consequent per...
A Bibliometric Study on Culture Research in International Business
National cultures and cultural differences provide a crucial component of the international business (IB) research context. We conducted a bibliometric study of articles published in seven leading IB journals over a per...