A Multi-Level Network Theory of Organizational Innovation in Large Biopharmaceutical Firms, 1990-2006

• In Event: 058 - Regular Session. Organizations: Networks and Innovation

Abstract

Explanations of innovation are typically based on an examination of one or two stages, but these explanations undertheorize success across the stages of innovation. In this paper I build on the network theory of organization innovation to explain success across stages. The argument I develop is that network activity at increasingly higher levels of analysis is associated with success at subsequent stages of innovation. Specifically, firm patent inventors influence product invention, successful product development and implementation are associated with dyadic-level relationships between strategic alliance partners, and product success is impacted by a firm’s central location in its entire network of strategic alliances. Results from regression models based on a sample of 113 large biopharmaceutical firms provide broad support for this explanation.

Author

• Eric C. Dahlin, Brigham Young University