Research No: 7


Research No: 7

Antecedents and Consequences of Indigenous Innovation: Evidence from Mobile Phone Producers in Turkey



Abstract

Knowledge intensive processes are being deployed as the conditions of the market evolve according to the needs of the customers. Firms need to adopt their production systems to catch up the latest technology and this challenge involves intensive use of innovation. However, innovation is accepted to be a risky and costly process as it includes the use of venture capital not for being more profitable in the short term. Thus, the economic outcomes of innovation is more important for firms as the position of the firm mostly depends on it. In mobile device production, the situation discussed above is more prominent as everyone can remember the case of Nokia. Once a company can be the leader of the market, but it can lose its position in a short time. Therefore, continuous effort is vital for the firms in this sector. Moving fromhere, we conducted the present research on the Turkish mobile device producers. We investigated the antecedents and consequences of indigenous innovation as these firms are deploying many efforts in this context. A sample of 272 practitioners are asked to fill in questionnaire forms the items of which are adopted froma previous study. Succinctly, we have found that business performance is being affected by indigenous innovation. In addition, we found empirical evidence that supports the idea that intellectual capital and university knowledge are the antecedents of indigenous innovation. Lastly, we found that environmental uncertainty and dysfunctional competition is affective on the antecedents of indigenous innovation. In conclusion, we provide some research implications and policy directions for the practitioners.


Keywords: Indigenous Innovation, Antecedents, Consequences.


References

  1. Appelbaum, R. P., Gebbie, M. A., Han, X., Stocking, G., & Kay, L. (2016). Will China’s Quest for Indigenous Innovation Succeed? Some Lessons from Nanotechnology. Technology in Society, 46(August 2016), 149–163.
  2. Baark, E. (2019). China’s Indigenous Innovation Policies. East Asian Policy, 11(2), 5–12.
  3. Bichler, J., & Schmidkonz, C. (2012). The Chinese Indigenous Innovation System and Its Impact on Foreign Enterprises (No. 2012–01; Working Paper Series).
  4. Carlson, B., & Dreher, T. (2018). Introduction: Indigenous Innovation in Social Media. Media International Australia, 169(1), 16–20.
  5. Chen, J., Jin, X., He, Y., & Yao, W. (2006). TIM based Indigenous Innovation: Experiences from Haier Group. 2006 IEEE International Conference on Management of Innovation and Technology, 207–210.
  6. Chow, D. C. K. (2013). China’s Indigenous Innovation Policies and the World Trade Organization. Northwestern Journal of International Law & Business, 34(1), 81–124.
  7. Conway, D. M. (2011). Promoting Indigenous Innovation, Enterprise, and Entrepreneurship through the Licensing of Article 31 Indigenous Assets and Resources. SMU Law Review, 64(3), 1095–1126.
  8. Cronbach, L. J. (1971). Test Validation. In R. Thorndike (Ed.), Educational Measurement (2nd ed., p. 443). American Council on Education.
  9. Drahos, P. (2011). When Cosmology Meets Property: Indigenous People’s Innovation and Intellectual Property. Prometheus, 29(3), 233–252.
  10. Fu, X., & Gong, Y. (2011). Indigenous and Foreign Innovation Efforts and Drivers of Technological Upgrading: Evidence from China. World Development, 39(7), 1213–1225.
  11. Grimes, S., & Du, D. (2013). Foreign and Indigenous Innovation in China: Some Evidence from Shanghai. European Planning Studies, 21(9), 1357–1373.
  12. Guan, J. C., Mok, C. K., Yam, R. C. M., Chin, K. S., & Pun, K. F. (2006). Technology Transfer and Innovation Performance: Evidence from Chinese Firms. Technological Forecasting and Social Change, 73(6), 666–678.
  13. Hair, J., Black, W., Babin, B., Anderson, R., & Tatham, R. (2016). Multivariate Data Analysis (6th ed.). Pearson Prentice Hall.
  14. Herrerias, M. J., Cuadros, A., & Luo, D. (2016). Foreign versus Indigenous Innovation and Energy Intensity: Further Research across Chinese Regions. Applied Energy, 162(15 January 2016), 1374–1384.
  15. Howell, A. (2015). ‘Indigenous’ Innovation with Heterogeneous Risk and New Firm Survival in a Transitioning Chinese Economy. Research Policy, 44(10), 1866–1876.
  16. Howell, A. (2020). Industry Relatedness, FDI Liberalization and the Indigenous Innovation Process in China. Regional Studies, 54(2), 229–243.
  17. Jiang, M. S., Branzei, O., & Xia, J. (2016). DIY: How Internationalization Shifts the Locus of Indigenous Innovation for Chinese Firms. Journal of World Business, 51(5), 662–674.
  18. Lazonick, W. (2007). Foreign Direct Investment, Transnational Migration, and Indigenous Innovation in the Globalization of High-Tech Labor. http://citeseerx.ist.psu.edu/viewdoc/download?d oi=10.1.1.112.8828&rep=rep1&type=pdf
  19. Li-Ying, J., & Wang, Y. (2015). Find Them Home or Abroad? The Relative Contribution of International Technology In-licensing to “Indigenous Innovation” in China. Long Range Planning, 48(3), 123–134.
  20. Liu, C., & Jayakar, K. (2016). Globalisation, Indigenous Innovation and National Strategy: Comparing China and India’s Wireless Standardisation. Technology Analysis & Strategic Management, 28(1), 76–95.
  21. Liu, X., & Cheng, P. (2014). National Strategy of Indigenous Innovation and Its Implication to China. Asian Journal of Innovation and Policy, 3(1), 117–139.
  22. Long, V., & Laestadius, S. (2016). An Indigenous Innova tion: An Example from Mobile Communication Technology. Oxford Development Studies, 44(1), 113–133.
  23. Luo, S., Lovely, M. E., & Popp, D. (2017). Intellectual Returnees as Drivers of Indigenous Innovation: Evidence from the Chinese Photovoltaic Industry. The World Economy, 40(11), 2424–2454.
  24. Matthews, J. R. (2017). Understanding Indigenous Innovation in Rural West Africa: Challenges to Diffusion of Innovations Theory and Current Social Innovation Practice. Journal of Human Development and Capabilities, 18(2), 223–238.
  25. Miltner, B. C., & Coomes, O. T. (2015). Indigenous Innovation Incorporates Biochar into SwiddenFallow Agroforestry Systems in Amazonian Peru. Agroforestry Systems, 89(2015), 409–420.
  26. Phelps, E. (2018). The Dynamism of Nations: Toward a Theory of Indigenous Innovation. Journal of Applied Corporate Finance, 30(3), 8–26.
  27. Taubman, A. (2012). Indigenous Innovation: New Dialogues, New Pathways. In P. Drahos & S. Frankel (Eds.), Indigenous Peoples’ Innovation: Intellectual Property Pathways to Development (pp. XV–XXIV). Australian National University E-Press.
  28. Ukwuoma, O., Adelowo, C. M., Adebowale, B. A., & Akinwale, Y. O. (2018). Harnessing Indigenous Innovation for Economic Development in Nigeria. Sokoto Journal of the Social Sciences, 8(3), 290–303.
  29. Vinig, T., & Bossink, B. (2015). China’s Indigenous Innovation Approach: The Emergence of Chinese Innovation Theory? Technology Analysis & Strategic Management, 27(6), 621–627.
  30. Wang, P., Kwak, J., & Lee, H. (2014). The Latecomer Strategy for Global ICT Standardization: Indigenous Innovation and Its Dilemma. Telecommunications Policy, 38(10), 933–943.
  31. Xie, Y., Gao, S., Jiang, X., & Fey, C. F. (2015). Social Ties and Indigenous Innovation in China’s Transition Economy: The Moderating Effects of Learning Intent. Industry and Innovation, 22(2), 79–101.
  32. Zhang, F., & Wu, F. (2012). “Fostering Indigenous Innovation Capacities”: The Development of Biotechnology in Shanghai’s Zhangjiang HighTech Park. Urban Geography, 33(5), 728–755.
  33. Zhang, M., Lettice, F., & Pawar, K. (2019). Effects of Intellectual Capital and University Knowledge in Indigenous Innovation: Evidence from Indian SMEs. Production Planning & Control, 30(10–12), 799–812.

Research No: 7

Antecedents and Consequences of Indigenous Innovation: Evidence from Mobile Phone Producers in Turkey



Contact

​📍​ Lecturer Oğuz Emre BALKAR, Erzincan University, Yalnızbağ Campus, Vocational College, 24000, Erzincan, TÜRKİYE

📧​ info@oguzemrebalkar.com | 📞​ +90 446 226 66 03 – 43295