The innovation paradox of TMT political capital in transition economy firms

Xia, Tianjiao; Liu, Xiaohui

doi:10.1016/j.jbusres.2022.01.011

Cited by 9 publications

(7 citation statements)

References 80 publications

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“…Our data is from the China Stock Market and Accounting Research (CSMAR) database and China's patent database. The CSMAR database has been widely used in present research about China's context, which provides a series of firm-level, industry-level and environmental-level variables (Xia and Liu, 2022). The China's patent database contains the detailed information for the patents.…”

Section: Methodsmentioning

confidence: 99%

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Finding the right shade of embeddedness: the effect of political embeddedness on green innovation

Tang

Zhang

2022

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PurposeFew efforts have considered political embeddedness heterogeneity and examined whether different types of political embeddedness can pose different valuation effect on green innovation. Address to this concern, this paper aims to provide a more nuanced conceptualization of different types of political embeddedness and their effects on green innovation.Design/methodology/approachThis paper conducts negative binomial method to test our predicts and adopts propensity score match (PSM) and placebo test to mitigate endogeneity issues.FindingsThe interpersonal political embeddedness (IPPE) has a stronger positive effect on green innovation than the interorganizational political embeddedness (IOPE) and that such effect depends on multiple factors at an individual (i.e. Cheif executive officer (CEO) duality), firm (i.e. firm growth) and environment (i.e. industrial competition) level. Figure 1 is the research model. The relationship is more pronounced when the firm has a dual leadership structure and a high level of firm growth and is less pronounced when a firm is engaged in intensive industrial competition.Originality/valueThe authors extend political embeddedness literature by introducing and distinguishing the concept of IPPE and IOPE. The authors enrich green innovation research by revealing how corporate green innovation is effected by the IPPE and the IOPE.

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Section: Methodsmentioning

confidence: 99%

“…The research model is depicted in Figure 1. (Xia and Liu, 2022). The China's patent database contains the detailed information for the patents.…”

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confidence: 99%

Finding the right shade of embeddedness: the effect of political embeddedness on green innovation

Tang

Zhang

2022

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“…The core view of the top echelon theory suggests that TMT characteristics and experience, among others, are key variables in determining firm outcomes; TMT characteristics affect their perspectives, which in turn affect creativity and firm innovation [ 32 ]. It has been shown that functional background heterogeneity through internal job rotation promotes effective decision-making by TMTs and facilitates firms’ innovation output; furthermore, functional background heterogeneity equips TMTs with a broader cognitive scope and decision-making horizon, which facilitates firms’ innovation output by analyzing complex problems from a variety of perspectives, thus contributing to firms’ innovation performance [ 33 ].…”

Section: Theoretical Basis and Research Hypothesesmentioning

confidence: 99%

Turning inward in difficulties: R&D human resource slack, technological diversification, and independent innovation

Li,

Zhao,

et al. 2024

PLoS ONE

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Independent innovation emphasizes the self-reliance and control of all key links. Slack resources within an organization, especially for innovation, are the critical resources that are controllable for independent innovation. However, existing research still lacks evidence on the areas of slack innovation resources and independent innovation for deeper exploration. This research addresses this gap by providing an empirical analysis of the relationship between R&D human resource slack and firms’ independent innovation. Based on the unbalanced panel data of China’s listed manufacturing firms for eleven years, this research explores the effects of R&D human resource slack on firms’ independent innovation, the mediating mechanism of technological diversification, and the boundary effects of top management team functional heterogeneity. The results reveal that R&D human resource slack positively affects firms’ independent innovation; R&D human resource slack can promote firms’ independent innovation through related technological diversification, while the mediating effect of unrelated technological diversification is not statistically significant; the top management team functional heterogeneity strengthens the positive impact of R&D human resource slack on firm independent innovation.

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“…Yet, it is surprising that much less attention has been paid to the role of social dimension in top management teams (henceforth TMT) in a firm's innovation (Talke et al, 2010), even if some studies suggest that, for example, TMT heterogeneity may influence exploratory innovation (Alexiev et al, 2010) and TMT political capital can impact innovation in general (Xia and Liu, 2022). Where scholars have focused on the general TMT role in promoting innovation, they have primarily concentrated on TMT demographic and knowledge diversity (e.g., Chung et al, 2018; Boone et al, 2019; Belderbos et al, 2020), TMT research and industry orientation (e.g., Daellenbach et al, 1999; Van de Wal et al, 2020), and other TMT dispositional characteristics (e.g., Liu et al, 2012; Ahn et al, 2017).…”

Section: Introductionmentioning

confidence: 99%

How top management team social status impacts innovation

Radfard,

Pistilli,

Paccagnini

2023

R & D Management

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Scholars have investigated the effect that top management team (TMT) status has on several organizational dimensions, including strategic decision, risk propensity, and, ultimately, performance. However, the existing literature is relatively silent on the effect of TMT status on innovation. Our scope is to cover that research gap. Grounding our reasoning on two different yet intertwined literature streams – one on the TMT status and the other on innovation – we predict that TMT status should be positively correlated with innovation and its market value, but not with its scientific value. Relying on a unique, hand‐crafted dataset composed of 833 firm‐years' observations for the period 2005–2010, we can validate our hypotheses. Our study contributes to a better understanding of the relationship between TMT status and innovation generated by the respective firm. Finally, the study discusses limitations and recommendations for further research.

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The innovation paradox of TMT political capital in transition economy firms

Cited by 9 publications

References 80 publications

Finding the right shade of embeddedness: the effect of political embeddedness on green innovation

Finding the right shade of embeddedness: the effect of political embeddedness on green innovation

Turning inward in difficulties: R&D human resource slack, technological diversification, and independent innovation

How top management team social status impacts innovation

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