Hao Jiao

Environmental dynamism, innovation, and dynamic capabilities: the case of China

Purpose - Based on the resource-based view, creating and maintaining a long-term competitive advantage requires significant attention to developing and nurturing dynamic capabilities in emerging markets. With increasing research attention given to the dynamic capabilities view, the need to explore the building mechanism has continued to escalate. This study aims to consider environmental dynamism as a moderating variable, to build a theoretical model for innovation strategy and dynamic capabilities, and finally to summarize the building mechanism for dynamic capabilities. Design/methodology/approach - A total of 400 high-tech and knowledge intensive and other kind business firms in Yantz River Delta region in China were approached. In total, 158 responses were received, of which 110 were usable. To check for possible response bias, early and late respondents were compared and no response bias was found in the study. Findings - The empirical results find that the coefficient for innovation strategy is positive and significant for dynamic capabilities. However, it also finds that the interaction term between innovation strategy and environmental dynamism is not significant in predicting dynamic capabilities. Therefore, an innovation strategy can build and upgrade dynamic capabilities in both stable and rapidly changing environments. Originality/value - An empirical verification of the links between innovation strategy and dynamic capabilities is conducted, and the role of environmental dynamism on innovation strategy and dynamic capabilities in the context of an emerging market is also examined, which there is a lack of in the current literature. This study provides implications for both government and entrepreneurs in finding the right way to build dynamic capabilities through employing innovation strategy.

Dynamic capabilities, strategic stakeholder alliances and sustainable competitive advantage: evidence from China

Purpose – With increasing research focus paid to dynamic capabilities, there is an increased need to explore how dynamic capabilities can help business firms to realize corporate responsibility with stakeholders for achieving sustainable competitive advantage. The purpose of this paper is to explore the mediation effect of strategic alliance with stakeholders on the relationship between dynamic capabilities and sustainable competitive advantage in China, an emerging market, to give suggestions on how to manage corporate responsibility to address a rapidly changing environment.Design/methodology/approach – The paper tested its hypotheses on a sample in the context of China. Specifically, 700 questionnaires were sent out; 300 were collected, of which 227 were usable. The partial least squares (PLS) structural equation modeling approach was used to analyze the data and test the hypotheses.Findings – The paper has incorporated dynamic capabilities view and corporate responsibility perspective to explain the e...

Building entrepreneurs’ innovativeness through knowledge management: the mediating effect of entrepreneurial alertness

This paper explores the possible relationship between sources of knowledge acquisition and entrepreneurs’ innovativeness from the perspective of knowledge management. Specifically, it employs the partial least squares structure equation model to study the entrepreneurs’ innovativeness through knowledge acquisition. It has been found that knowledge acquisition through social networks with suppliers, manufacturers and distributors and management practices has a positive effect on entrepreneurial alertness to business ideas. Moreover, entrepreneurial alertness plays a mediating role between sources of knowledge acquisition and entrepreneurs’ innovativeness. In addition, entrepreneurial alertness plays a completely mediating role between core social network knowledge and entrepreneurs’ innovativeness, and a partial mediating role between sources of knowledge acquisition and entrepreneurs’ innovativeness. This finding has both theoretical and practical implications for entrepreneurial learning in general.

Financial marketization and corporate venturing in China

Purpose – The paper aims to empirically examine the role of intra-national institutions in business performance. In particular, the article develops hypotheses regarding financial marketization and business venturing with organizational slack and political connections as moderating variables. Design/methodology/approach – The authors choose listed firms from the pharmaceutical industry in China and focus on the period of 2001-2009. Results from the Hausman specification test indicate that the random effects model is appropriate for data. Because the dependent variable is dichotomous, the random effects logistic regression technique in Stata is used. To check the robustness of the estimation, the random-effects Tobit regression technique in Stata is also used. Overall, models are robust and statistically significant. Findings – It was found that the level of regional financial sector marketization is positively associated with the likelihood of engaging in corporate venturing by firms within the region. Mo...

Reappraisal of outbound open innovation under the policy of China’s ‘Market for Technology’

ABSTRACT China’s ‘Market for Technology’ policy has attracted much interest over the past decade. In light of a relative emphasis on the spillover effects of joint ventures, this study examines the transferring effects of Multinationals’ (MNCs) outbound open innovation in such a context. A survey of 2071 research and development (R&D) contract transactions between Chinese entities and MNCs indicates both internal factors (e.g. organisational capabilities) and external factors (e.g. the role of Intellectual Property protection) affect the transferring effects, which reformulate the focus of the Policy from the relational dimension of ‘Government vs. MNCs’ to the transactional dimension of ‘Domestic entities vs. MNCs’. We thus conclude that MNCs’ active initiative in the involvement of technology transfer and the success of domestic transaction partners combine to contribute to the technology progress within China’s ‘Market for Technology’ policy.

Who are more sensitive to procedural fairness? The impact of an innovation implementation approach, employees’ status concerns and need for control

Drawing upon research on personality, innovation and procedural justice, we examine the two-way and three-way interaction effects of peoples status concerns (SC) and need for control (NC) on the relationship between a participative innovation implementation approach (PIIA) and procedural justice perceptions. The results indicate that SC and NC moderate the aforementioned relationship in a complex three-way manner. Those who have both high SC and high NC are the most sensitive to the PIIA in terms of procedural justice perceptions. The underlying psychological mechanisms are discussed.