This study aims to extend transaction cost economics (TCE) to explain the effects of the strategies of internal and external R&D on innovation performance under two types of environmental ...uncertainty, namely dynamism and complexity. As a departure from conventional TCE wisdom that internally focused R&D strategy is more efficient under environmental uncertainty, this study proposes that such a strategy can be less efficient under environmental dynamism, which is another important type of uncertainty. The results from a sample of manufacturing firms in China from 2002 to 2007 show that externally focused R&D strategy leads to better innovation performance under environmental dynamism, whereas internally focused R&D strategy results in better innovation performance under environmental complexity.
Résumé
Dans la présente étude, l’économie des coûts de transaction (TCE) est élargie pour rendre compte des effets que les stratégies de R et D interne et externe ont sur la performance de l'innovation dans deux types d'incertitude environnementale, à savoir le dynamisme et la complexité. Selon l’économie des coûts de transaction, la stratégie de R et D interne est plus efficace en cas d'incertitude environnementale. Mais la présente étude montre que cette stratégie peut être moins efficace en cas de dynamisme environnemental, qui est un autre type important d'incertitude. Les résultats obtenus à partir d'un échantillon d'entreprises manufacturières implantées en Chine entre 2002 et 2007 montrent que la stratégie de R et D axée sur l'extérieur entraîne une meilleure performance en matière d'innovation lorsque l'environnement est dynamique, tandis que la stratégie de R et D axée sur l'intérieur entraîne une meilleure performance en matière d'innovation lorsque l'environnement est complexe.
PurposeIntangible resources (IRs) play an important role in enterprise innovation; previous studies find inconsistent results (positive and negative). The authors develop and test a framework to ...analyze IRs to see whether and how to impact firm innovation performance to reconcile the conflicting results.Design/methodology/approachThis study empirically examined the curvilinear effect of IRs and innovation performance (IP) based on data from the Annual Census of Chinese Industrial Enterprises. The moderating effect of institutional development (ID) and state ownership (SO) in the relationship between firms' IRs and IP was also examined.FindingsIt was found that there is a U-shaped relationship between IRs and IP. Moreover, the institutional development weakens the U-shaped relationship.Originality/valueThe U-shaped relationship explains the inconsistent results in previous studies. It offers some important implications for managers and policymakers, who must understand the role of IRs.
Although the importance of external and internal knowledge combination for innovation is well recognized, the effectiveness of different patterns of combination requires further investigation. We ...consider spillovers of foreign direct investment (FDI) and external research and development (R&D) as two sources of external knowledge to domestic firms and argue that the effectiveness of incorporating the two external sources of knowledge varies conditional upon different levels of internal knowledge development (internal R&D). We argue that learning through observation and learning through acquisition are important mechanisms making such difference. Using a sample of manufacturing firms in China from 2002 to 2007, we find that rhythmic FDI spillover and external R&D positively affect innovation performance. However, the effect of rhythmic FDI spillover is stronger, whereas the effect of external R&D is weaker for firms with a moderate level of internal R&D than firms with a low or high level of internal R&D.
We elaborate theories of indigenous innovation by explaining how internationalization choices help emerging market firms transition from dependence on external knowledge to self-reliance on internal ...knowledge. Using a 1998-2007 census dataset of Chinese manufacturing firms, we theorize and test the moderation effect of foreign equity and export orientation on the relationship between knowledge and indigenous innovation. We show that foreign equity dis-incentivizes, while export orientation incentivizes, investments in internal knowledge. We contribute by showing that internationalization choices may radically change indigenous innovation outcomes by shifting the locus of problem solving outside or inside the firm. Our study corroborates the negative direct and indirect effects of external knowledge on indigenous innovation at the firm level previously suggested by China-centric scholars but also shows how two types of internationalization choices may gradually relieve firm-level dependence on imported technology. We bridge the gap between Western research and Chinese thought and practice by introducing a do-it-yourself (DIY) explanation of how firms may implement China's indigenous innovation (zizhu chuangxin) policy. web URL: http://www.sciencedirect.com/science/article/pii/S1090951616300608
Abstract River basin cities are areas with remarkable conflicts between the human activity and the ecological environment. They are also important targets for policy implementation of sustainable and ...high-quality development (HD) in various countries around the world. This article exploits the panel data of 99 cities located in the Yellow River Basin (YRB) from 2006 to 2019 to empirically analyze the spatial effect of financial growth on HD. Spatial weights participated econometric models are utilized to analyze this spatial effect. Empirical results reveal that: (1) the HD in the YRB shows a strong positive spatial autocorrelation. (2) Financial growth exerts an N-shaped curve effect on the HD from a long-term perspective. When this influence spills out to the surroundings, it exhibits an inverted U-shaped characteristic. (3) Green innovation can be an important intermediary factor in the influence of financial growth on HD. (4) The influence of financial growth on HD appears stronger in regions with higher economic levels, where N-shaped effects can be transmitted to the surrounding regions. However, the backward economic development in low-economy regions prevents the spatial spillover of N-shaped effects. This study can be instrumental for countries to formulate financial policies that aim to promote HD in river basin cities.
Granting of exclusive rights is an important consideration for firms using licensing as a mode of entry into foreign markets, as exclusive contracts reduce licensors' flexibility in a given market ...during the term of the agreement. By granting exclusivity to a licensee with greater technological potential, the exchange partners can increase the potential transactional value of the licensing agreement. At the same time, a licensee with strong technological potential will increase the threat of transactional hazards due to underinvestment and rent appropriation. In this paper, we develop and empirically test a model that evaluates the balancing of transactional value and transaction costs in exclusive licensing. In particular, we identify the conditions under which exclusive contracts are likely to be granted to foreign licensees with strong technological potential. Empirical results from a multilevel model, based on 375 international licensing agreements of US firms in high-technology industries during 1995-2008, show that licensees with a stronger technological potential are more likely to be granted exclusive rights in countries with strong intellectual property rights protection, and in industries with a high rate of technological change; but are less likely to be granted exclusive rights when there is a high degree of overlap between licensor and licensee products.
Summary Background Neisseria meningitidis serogroup B is a major cause of invasive meningococcal disease, but a broadly protective vaccine is not currently licensed. A bivalent recombinant factor ...H-binding protein vaccine (recombinant lipoprotein 2086) has been developed to provide broad coverage against diverse invasive meningococcus serogroup B strains. Our aim was to test the immune response of this vaccine. Methods This randomised, placebo-controlled trial enrolled healthy adolescents from 25 sites in Australia, Poland, and Spain. Exclusion criteria were previous invasive meningococcal disease or serogroup B vaccination, previous adverse reaction or known hypersensitivity to the vaccine, any significant comorbidities, and immunosuppressive therapy or receipt of blood products in the past 6 months. Participants were randomly assigned with a computerised block randomisation scheme to receive ascending doses of vaccine (60, 120, or 200 μg) or placebo at 0, 2, and 6 months. Principal investigators, participants and their guardians, and laboratory personnel were masked to the allocation; dispensing staff were not. Immunogenicity was measured by serum bactericidal assays using human complement (hSBA) against eight diverse meningococcus serogroup B strains. The co-primary endpoints were seroconversion for the two indicator strains (PMB1745 and PMB17) analysed by the Clopper-Pearson method. Local and systemic reactions and adverse events were recorded. The study is registered at ClinicalTrials.gov , number NCT00808028. Findings 539 participants were enrolled and 511 received all three study vaccinations—116 in the placebo group, 21 in the 60 μg group, 191 in the 120 μg group, and 183 in the 200 μg group. The proportion of participants responding with an hSBA titre equal to or greater than the lower limit of quantitation of the hSBA assays (reciprcocal titres of 7 to 18, depending on test strain) was similar for the two largest doses and ranged from 75·6 to 100·0% for the 120 μg dose and 67·9 to 99·0% for the 200 μg dose. Seroconversion for the PMB1745 reference strain was 17 of 19 (89·5%) participants for the 60 μg dose, 103 of 111 (92·8%) participants for the 120 μg dose, 94 of 100 (94·0%) participants for the 200 μg dose, and four of 73 (5·5%) participants for placebo. For the PMB17 reference strain seroconversion was 17 of 21 (81·0%) participants for the 60 μg dose, 97 of 112 (86·6%) participants for the 120 μg dose, 89 of 105 (84·8%) participants for the 200 μg dose, and one of 79 (1·3%) participants for placebo. The hSBA response was robust as shown by the high proportion of responders at hSBA titres up to 16. Mild-to-moderate injection site pain was the most common local reaction (50 occurrences with the 60 μg dose, 437 with the 120 μg dose, 464 with the 200 μg dose, and 54 with placebo). Systemic events, including fatigue and headache, were generally mild to moderate. Overall, adverse events were reported by 18 participants (81·8%) in the 60 μg group, 77 (38·9%) in the 120 μg group, 92 (47·2%) in the 200 μg group, and 54 (44·6%) in the placebo group. Fevers were rare and generally mild (one in the 60 μg group, 24 in the 120 μg group, 35 in the 200 μg group, and five in the placebo group; range, 0–6·3% after each dose). Incidence and severity of fever did not increase with subsequent vaccine dose within groups. One related serious adverse event that resolved without sequelae occurred after the third dose (200 μg). Interpretation The bivalent recombinant lipoprotein 2086 vaccine is immunogenic and induces robust hSBA activity against diverse invasive meningococcus serogroup B disease strains and the vaccine is well tolerated. Recombinant lipoprotein 2086 vaccine is a promising candidate for broad protection against invasive meningococcus serogroup B disease. Funding Wyeth, Pfizer.
As firms increasingly use licensing to exploit knowledge-based assets in global technology markets, appropriate structuring of these agreements has become an important line of research inquiry. One ...area that has received less attention is the nature of rights granted in inter-firm licensing relationships, although it is an important clause that has implications for profit generation from licensing of proprietary assets. Conceptualizing licensing rights in terms of number of licenses granted and exclusivity rights given to a licensee in a foreign market, this paper examines the determinants of these rights based on monopoly rents and transaction costs associated with different types of licensing contracts. Hypotheses are empirically tested through two studies, one based on large US manufacturing firms and the other on a cross-national sample of medium-sized firms actively involved in international technology licensing. Results from both studies show a greater propensity to use non-exclusive/multiple licensing when the licensed technology has greater potential to produce differentiated products, or when there is greater threat of substitutive technologies entering the market. On the other hand, innovative technologies and a higher degree of asset-specific investments required of the licensee for the technology are related to the use of single/exclusive licensing agreements.
Summary Background Bivalent rLP2086 is a recombinant factor H binding protein-based vaccine approved in the USA for prevention of meningococcal serogroup B disease in 10–25-year-olds. We aimed to ...assess the persistence of bactericidal antibodies up to 4 years after a three-dose schedule of bivalent rLP2086. Methods We did this randomised, single-blind, placebo-controlled, phase 2 trial at 25 sites in Australia, Poland, and Spain. In stage 1 of the study (February, 2009–May, 2010), healthy adolescents (aged 11–18 years) were randomly assigned, via an interactive voice and web-response system with computer-generated sequential random numbers, to receive either ascending doses of vaccine (60 μg, 120 μg, and 200 μg) or placebo at months 0, 2, and 6. Dispensing staff were not masked to group allocation, but allocation was concealed from principal investigators, participants and their guardians, and laboratory personnel. In stage 2 of the study (reported here), we enrolled healthy adolescents who had received three doses of 120 μg bivalent rLP2086 (the optimum dose level identified in stage 1) or saline. Immunogenicity was determined in serum bactericidal antibody assay using human complement (hSBA) by use of four meningococcal serogroup B test strains expressing vaccine-heterologous factor H binding protein variants: PMB80 (A22), PMB2001 (A56), PMB2948 (B24), and PMB2707 (B44). Immunogenicity in stage 2 was assessed at months 6, 12, 24, and 48 post-vaccination. We did analysis by intention to treat. This trial is registered as ClinicalTrials.gov number NCT00808028. Findings Between March 17, 2010, and Feb 8, 2011, 170 participants who received 120 μg of bivalent rLP2086 and 80 participants who received placebo in stage 1 of the study were entered into stage 2; 210 participants completed stage 2 up to 48 months. 1 month after the third vaccination, 93% (n=139/149) to 100% (n=48/48) of vaccine recipients achieved protective hSBA titres equal to or greater than the lower limit of quantification to each test strain, compared with 0% (n=0/25) to 35% (n=8/23) of control recipients. Despite initial declines in seroprotective hSBA titres for all four test strains, for three test strains (A22, A56, and B24), more than 50% of bivalent rLP2086 recipients continued to achieve titres equal to or greater than the lower limit of quantification at months 6 (57% n=93/163 to 89% n=42/47), 12 (54% n=84/155 to 69% n=33/48), 24 (53% n=26/49 to 54% n=82/152), and 48 (51% n=24/47 to 59% n=79/134); corresponding values in the control group were 14% (n=11/80) to 22% (n=5/23) at month 6, 13% (n=10/78) to 29% (n=22/76) at month 12, 16% (n=12/74) to 36% (n=8/22) at month 24, and 24% (n=16/68) to 35% (n=8/23) at month 48. For test strain B44, hSBA titres equal to or greater than the lower limit of quantification were shown in 37% (n=18/49) of vaccine recipients at 6 months, in 29% (n=14/48) at 12 months, in 22% (n=11/49) at 24 months, and in 20% (n=10/49) at 48 months, compared with 0% (n=0/25) of control recipients at month 6, 4% (n=1/25) at months 12 and 24, and 12% (n=3/25) at month 48. Adverse events were reported in seven (4%) of 170 participants in the bivalent rLP2086 group and two (3%) of 80 participants in the control group; no event was deemed related to vaccine. Interpretation After three doses of bivalent rLP2086, protective hSBA titres above the correlate of protection (≥1/4) were elicited up to 4 years in more than 50% of participants for three of four meningococcal serogroup B test strains representative of disease-causing meningococci expressing vaccine-heterologous antigens. Further studies will be needed to assess possible herd immunity effects with meningococcal serogroup B vaccines and the need for a booster dose to sustain individual protection against invasive meningococcal disease. Funding Pfizer.
PDF
