External knowledge search, absorptive capacity and radical innovation in high-technology firms

Boundary‐spanning search and firms' green innovation: The moderating role of resource orchestration capability

“…With a high level of resource orchestration capability, the relationships of search breadth with exploitative and exploratory green innovations are flattened and still inverted U‐shaped, but the relationships between search depth with exploitative and exploratory green innovations are almost linear and no longer inverted U‐shaped. The result is similar with the results of Chiang and Hung (), Garriga, Von Krogh, and Spaeth (), and Flor et al (), who think that firms' capability to integrate, combine, and reconfigure external and internal knowledge resources is very important, which helps firms effectively reap the advantage of external knowledge breadth and depth to conduct radical innovation. This result implies that resource orchestration capability is an important organizational capability that orchestrates knowledge to facilitate exploitative and exploratory green innovations, which can help firms to efficiently utilize the knowledge acquired from boundary search.…”

“…Regarding the link between search breadth and innovation, some research suggests that search breadth positively affects innovation (Leiponen & Helfat, ; Martínez‐Ros & Kunapatarawong, ; Zhang et al, ). As previously proposed, search in a wide range may increase a firm's knowledge diversity and enrich its knowledge base, provide the firm with more options to solve problems (March, ), and obtain new insights to facilitate exploratory innovation (Flor et al, ). However, some researchers suggest that knowledge breadth negatively impacts on innovation (Terjesen & Patel, ).…”

“…Hence, resource orchestration capability may play a role in the curvilinear relationship between boundary‐spanning search and green innovation. For example, Flor et al () found that absorptive capacity has a positive impact on the relationship between external knowledge search breadth and depth and radical innovation. Albort‐Morant et al () proposed that the firm's capability to integrate external knowledge is vital to green innovation.…”

Turning green subsidies into sustainability: How green process innovation improves firms' green image

“…Some studies have indicated that green subsidies have a positive impact on firms' green process innovation practices (Horbach, ; Liao, ), whereas others have suggested that green subsidies result in disadvantages coming from overexpansion and overinvestment (Feng & Liao, ). Following the knowledge‐based view (KBV), absorptive capacity might be a significant factor that influences firms' green innovation (Engelen, Kube, Schmidt, & Flatten, ; Flor, Cooper, & Oltra, ; Galbreath, ; Liao, Chen, Hu, Chung, & Yang, ). Additionally, as Arfi, Hikkerova, and Sahut () indicate, a firm's absorptive capacity of transforming external knowledge into internal skills is indispensable to successful green innovation.…”

“…Following the knowledge-based view (KBV), absorptive capacity might be a significant factor that influences firms' green innovation (Engelen, Kube, Schmidt, & Flatten, 2014;Flor, Cooper, & Oltra, 2018;Galbreath, 2017;Liao, Chen, Hu, Chung, & Yang, 2017). Additionally, as Arfi, Hikkerova, and Sahut (2018) indicate, a firm's absorptive capacity of transforming external knowledge into internal skills is indispensable to successful green innovation.…”