Interpartner learning, dependence asymmetry and radical innovation in customer-supplier relationships

Jean, R.-J. "B.", Chiou, J.-S. and Sinkovics, R. R. (2016) Interpartner learning, dependence asymmetry and radical innovation in customer-supplier relationships. Journal of Business and Industrial Marketing, 31(6), pp. 732-742. (doi: 10.1108/JBIM-10-2012-0185)

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Purpose: This study aims to explore how absorptive and joint learning can foster radical innovation. Furthermore, dependence asymmetry is investigated as a moderator of the effects of these factors on radical innovation. Radical innovation is an important source of any firm’s success. Yet, there has been a dearth of research in the literature on how different types of inter-partner learning cultivate the process of generating such innovation. Design/methodology/approach: The authors use a sample of 204 Taiwanese electronics suppliers to test the effects of joint learning and absorptive learning on radical innovation. The empirical analysis adopts a structural equations modeling approach. Findings: The authors find that a supplier’s joint learning has a stronger effect on radical innovation than its absorptive learning. However, when accounting for the moderating effect of dependence asymmetry, the analysis shows that absorptive learning does have a significant effect on radical innovation. The effect of joint learning on radical innovation is not moderated by the degree of dependence asymmetry. Practical Implications: This study broadens and deepens the understanding of how radical innovation by suppliers can be generated in customer–supplier relationships, and how this is shaped by the power-dependence structure. Originality/value: Inter-partner learning; radical innovation; power; dependence.

Item Type:Articles
Keywords:Interpartner learning, radical innovation, power, dependence, innovation, learning, value chain.
Glasgow Author(s) Enlighten ID:Sinkovics, Professor Rudolf
Authors: Jean, R.-J. "B.", Chiou, J.-S., and Sinkovics, R. R.
College/School:College of Social Sciences > Adam Smith Business School > Management
Journal Name:Journal of Business and Industrial Marketing
ISSN (Online):2052-1189

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