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Main Characteristics of World-first Innovation in Catching-up Countries
Journal
Journal of Technology Management in China
ISSN
1746-8779
ISSN-Digital
1746-8787
Type
journal article
Date Issued
2010-01-26
Author(s)
Xie, Wei
Abstract
Purpose - Through examining the development of the video compact disc player industry in China, this article aims to explore the main characteristics of world-first innovation and identify four success factors for innovation followers to launch world-first products in catching-up countries.
Design/methodology/approach - This article takes the form of a case study
Findings - The main characteristics of world-first innovation in catching-up countries include: from the demand side, innovation is mainly pulled by the local market, rather than technology-push; from the supply side, innovation cannot isolate itself from the rest of the world - suppliers of key technologies in advanced countries play an important role; inter-firm alliances are an increasingly important way to generate world-first innovation; and downstream integration capabilities are required for followers to mix pieces of technologies together at competitive pricing. The success of followers from catching-up countries to launch world-first products hinges on the four critical factors: strengths of complementary assets; figuring out ways to meet local market demand without relying on large R&D spending; emphasizing untapped innovation opportunities by multinationals; and positioning themselves on the proper points of the globally coordinated network for innovation.
Originality/value - This article identifies the main characteristics of world-first innovation and points out four success factors for innovation followers to launch world-first products, which could be significant to managers in catching-up countries. Findings of this paper are more relevant to large catching-up countries such as India, Brazil, Mexico and Indonesia where a large domestic market could serve as important launch markets for the world-first innovation.
Design/methodology/approach - This article takes the form of a case study
Findings - The main characteristics of world-first innovation in catching-up countries include: from the demand side, innovation is mainly pulled by the local market, rather than technology-push; from the supply side, innovation cannot isolate itself from the rest of the world - suppliers of key technologies in advanced countries play an important role; inter-firm alliances are an increasingly important way to generate world-first innovation; and downstream integration capabilities are required for followers to mix pieces of technologies together at competitive pricing. The success of followers from catching-up countries to launch world-first products hinges on the four critical factors: strengths of complementary assets; figuring out ways to meet local market demand without relying on large R&D spending; emphasizing untapped innovation opportunities by multinationals; and positioning themselves on the proper points of the globally coordinated network for innovation.
Originality/value - This article identifies the main characteristics of world-first innovation and points out four success factors for innovation followers to launch world-first products, which could be significant to managers in catching-up countries. Findings of this paper are more relevant to large catching-up countries such as India, Brazil, Mexico and Indonesia where a large domestic market could serve as important launch markets for the world-first innovation.
Language
English
HSG Classification
contribution to scientific community
Refereed
Yes
Publisher
Emerald
Publisher place
Bradford UK
Volume
5
Number
2
Start page
108
End page
121
Pages
14
Subject(s)
Division(s)
Eprints ID
219970