Heterogeneous Partners, R&D cooperation and corporate innovation capability: Evidence from Chinese manufacturing firms. (February 2023)

• Record Type: Journal Article
• Authors: Liu, Ming; Shan, Yanfei; Li, Yemei
• Is Part Of: Technology in society. Volume 72(2023)
• Publication Date: 2023-02
• Subjects: Heterogeneous partners -- R&D cooperation -- Innovation capability; Technology -- Social aspects -- Periodicals; 303.483
• DOI: 10.1016/j.techsoc.2022.102183
• Languages: English
• ISSNs: 0160-791X

Abstract

Abstract: In this paper, we examine the differential impact of cooperation with heterogeneous partners on firms' innovation capabilities. We use the number of joint patent applications of Chinese manufacturing firms from 2008 to 2018 to measure cooperation with different types of partners and the number of corporate patents to measure the innovation capability of firms. The results indicate that R&D cooperation with other enterprises, universities, and research institutions all have a significantly positive impact on the innovation capability of enterprises. However, R&D cooperation with universities or research institutions has a higher positive impact on innovation capability than that with other firms. Different internal and external factors moderate the relationship between heterogeneous partners and the innovation capability of firms. Specifically, firms with higher absorptive capacity will benefit more from R&D cooperation with corporate partners. In contrast, in industries with higher market concentration or where firms are at the technological frontier, cooperation with universities will positively impact their innovation capabilities. Further research demonstrates that absorptive capacity has a more positive moderating effect when the cooperation is between firms in the same industry, compared to R&D cooperation between firms in different industries. Highlights: Precise patents classification makes the estimation results more accurate. We study the different effects of heterogeneous partners on firms' R&D capabilities. Different internal and external factors moderate the above relationship. A similar knowledge base is required for absorptive capacity to function.