Optimal Cognitive Distance and Absorptive Capacity

descriptionPublicationkeyboard_double_arrow_right Article , Report , Research , Other literature type , Preprint 01 Aug 2005 Netherlands English Publisher:Elsevier BVJournal:SSRN Electronic Journal (eissn: 1556-5068,

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Authors: Nooteboom, B.; Vanhaverbeke, W.P.M.; Duijsters, G.M.; Gilsing, V.A.; Oord, A.;

doi: 10.2139/ssrn.903745 , 10.1016/j.respol.2007.04.003 , 10.5465/ambpp.2005.18783564

handle: 1871.1/31ce1424-e1c9-4163-aac6-b12067ca930a

Optimal Cognitive Distance and Absorptive Capacity

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Abstract

This paper tests hypotheses that in inter-firm alliances innovative performance is an inverted-U shaped function of cognitive distance, that the resulting optimal cognitive distance is higher for exploratory than for exploitative learning, and that optimal cognitive distance depends on absorptive capacity. Most hypotheses are confirmed for 994 alliances in several industries, in the period 1986-1996. The results indicate a new hypothesis that with more knowledge one needs larger cognitive distances to find novelty.

Country

Netherlands

Related Organizations

Eindhoven University of Technology
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Keywords

innovation; inter-firm alliances; cognitive distance; absorptive capacity; exploration and exploitation, absorptive capacity, exploration and exploitation, innovation;inter-firm alliances;cognitive distance;absorptive capacity;exploration and exploitation, innovation, inter-firm alliances, inter-finn alliances, cognitive, distance, cognitive distance, jel: jel:D21, jel: jel:L22, jel: jel:O31, jel: jel:L24, jel: jel:L14, jel: jel:O32

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