Research On Innovation Mode Selection Based On Dynamic Capabilities And R&D Factors Perspectives

At present time, the economic development mode of our country is in the key period oftransformation from extensive, investment cost-driven to intensive and innovation-driven; it has greathistorical significance to further upgrade technological innovation to drive sustainable economicdevelopment for supporting innovative country construction. For enterprises, technological innovationis an important mean to maintain market position and obtain competitive advantage under thebackground of rapidly development knowledge economy; it can be done by incremental and disruptiveinnovation. However, in our country, most enterprises’ innovation activities are still confined tofollow-type incremental innovation, only few enterprises set their sights on disruptive innovation whichin lead future enterprise development. This phenomenon causes many kinds of products from Chineseenterprises lag behind the enterprises from developed western countries in core technology, whichmakes Chinese products lack of international competitive advantage. This thesis deems that ourcountry’s enterprises lack of disruptive innovation power, there are two reasons include realistic andtheoretical. The realistic reasons include:(1) in traditional incremental innovation thinking mode, riskaversion consciousness in many enterprises relatively intensive, most enterprises tend to incrementalinnovation with low risk and relative stable profits, they unwilling to carry out disruptive innovationwhich is high-risk and profit–uncertain;(2) disruptive innovations will bring a series of changes tointernal and external environment of enterprises, and these changes usually have deep and uncertaintyeffects, an enterprise in developing disruptive innovation needs to deal with obstacles before a series ofactivities, this requires the enterprise to do a lot of prophase work;(3) the disruptive innovationresearch relatively lags behind, enterprises lack of scientific, systematic theoretical guidance ininnovation mode selection, a lot of enterprises to avoid disruptive innovation, because it can cause lose if disruptive innovation is improper managed and operated. Theoretical reasons are closely related withrealistic reasons:(1) since most enterprises with incremental innovation, empirical study on disruptiveinnovation lack of a number of samples, this led to few scholars have attention on disruptive innovationresearch in the past;(2) the cycle of disruptive innovation usually very long, long-term follow-up studyis necessary, however, the interaction of current research funds inadequacy and academia blunderingstyle makes long tracking study lack of support. A number of studies have shown that, disruptiveinnovation and incremental innovation are conflicts in nature, it is very difficult to carry out these twoinnovation modes in the same enterprise. Therefore, the enterprise needs to make reasonable choiceunder the condition of limited resources and competence.This paper holds that, in odder to relieve the present situation of enterprises in our country withweak disruptive innovation ability, it is necessary to establish and perfect the theory system ofdisruptive innovation, the key issue is to do deep and systematical research on rationality of innovationmode selection. The existing literatures show that, innovation mode selection of existing researchconcentrates on connotation and differences of two innovation modes, and the influence factors ofinnovation mode selection, but few studies have done from dynamic capabilities and R&D factorsperspectives. Due to dynamic capabilities are the foundation of technology innovation in enterprise,R&D factors are crucial to the success of technological innovation, this thesis conducted empiricalstudy and theoretical analysis on innovation mode selection from dynamic capabilities and R&Dfactors perspectives. In empirical study, this thesis takes market orientation (MO)/entrepreneurialorientation (EO), and organization learning as the entry points, using survey data of285small andmedium-sized high-tech enterprises from long triangle, the effect mechanism of dynamic capabilitieson innovation mode selection was deeply expounded. In theoretical analysis, this thesis analyzedeffects of some internal and external R&D factors on innovation mode selection with evolutionarygame theory. Therefore, the conclusions of this thesis can be summed up from empirical study andtheoretical analysis.The conclusions of empirical study include:(1) dynamic capabilities have significant positive butdifferent effects on disruptive and incremental innovation;(2) EO has fully mediated dynamic capabilities and disruptive innovation but partially mediated dynamic capabilities and incrementalinnovation;(3) MO has fully mediated dynamic capabilities and incremental innovation;(4)explorative learning and exploitative learning have different positive effects on dynamic capabilities;(5)explorative learning has positive effect on disruptive innovation, and exploitative learning has positiveeffect on incremental innovation;(6) dynamic capabilities fully mediated the relationship betweenexplorative learning and disruptive innovation, but partly mediated the relationship betweenexploitative learning and incremental innovation.The conclusions of theoretical analysis include:(1) no matter which type of innovation mode theenterprise selects, enhancement of absorptive capacity and endogenous spillovers will encourage theenterprise to increase R&D investment;(2) with the enhancement of absorptive capacity andendogenous spillovers, the expected revenue of two innovative modes increase, but the expectedrevenue of disruptive innovation mode increases more significant;(3) with the enhancement ofabsorptive capacity and endogenous spillovers, the enterprise will select disruptive innovation mode inhigher possibility and select incremental innovation mode in lower possibility; while with increase ofR&D investment, the enterprise will select incremental innovation mode in higher possibility and selectdisruptive innovation mode in lower possibility;(4) either innovation input subsidy or subsidy forinnovative products, increasing standards of these two innovation subsidies will cause the enterprise toselect disruptive innovation mode in higher probability and select incremental innovation mode inlower probability, otherwise the results are reverse; under different balance of product price andmarginal cost, impact significance of two innovation subsidies on innovation mode selection aredifferent;(5) the R&D strategies of upstream enterprise will be affected by innovation mode selectionof downstream enterprise.The innovations of this thesis includes:(1) taking market orientation/entrepreneurial orientation asentry points, this thesis conducted an empirical study on impact mechanism of dynamic capabilities oninnovation mode selection, so this study not only deepens the traditional conclusions on relationship ofdynamic capabilities and technological innovation, but also makes this research field more fruitful;(2)this thesis introduced organizational learning into the relationship analytical framework of dynamic capabilities and two innovation modes, based on which, an empirical study has done on relationshipsamong organizational learning, dynamic capabilities and two innovation modes, the findings confirmedthat dynamic capabilities is a different mediate role in different "learning style-innovation mode"relationships, which further opened the relationship "black box" of organizational learning andinnovation mode selection;(3) based on evolutionary game theory, this thesis deeply analyzedrelationships among some R&D factors under different innovation mode, which expanded thetraditional research conclusions;(4) this thesis introduced innovation subsidies and R&D strategies ofupstream enterprise into the model, and analyzed impacts of these two on innovation mode selection.To some extent, this thesis expanded the academic perspective of existing studies.At last, this thesis has two contributions to management practice:(1) in our empirical study, therelationship of dynamic capabilities and innovation mode selection was deeply analyzed, the findingsof this empirical study can provide theoretical guidance for innovation mode selection and competitiveadvantages construction which based on different innovation mode;(2) based on evolutionary gametheory, this thesis deeply discussed relationships of internal and external R&D factors on innovationmode selection, the conclusions of this study not only can provide advices for enterprises to developR&D strategies, but also can provide basis for the government to formulate relevant policies.