Exploration and exploitation innovation processes: The role of organizational slack in R & D intensive firms

The Relationship between Slack Resources and Performance: An Empirical Study from China

“…Penrose also pointed out that the attainments of excess resources are: indivisibility of resources, reuse of resources under different circumstances, and continual establishment of new productive services [14]. Based on the analysis all above, For the purposes of this study, slack resources will be defined as the resources readily available to an organization that are in excess of the minimum necessary to produce a given level of organizational output as well as the resources that are recoverable from being embedded in the firm [22], which is potentially utilizable resources that can be diverted or redeployed for the achievement of organizational goals [16].…”

Exploratory learning and new product performance: The moderating role of cognitive skills and environmental uncertainty

“…First, the IT industry is characterized by extremely short product life cycles and rapidly changing technologies. This compels firms to involve themselves heavily in exploration and NPD activities in response to the changes (Geiger & Makri, 2006). Second, Taiwan-made IT products dominate the global marketplace in many categories, and most of them share over 50% of the worldwide market (Lu & Yang, 2004).…”

“…Firm size was measured as the natural logarithm of the number of fulltime employees. Similarly, large firms tend to have greater slack resources with which to enhance their innovation and NPD efforts (Geiger & Makri, 2006;Nohria & Gulati, 1996). Firm age is measured by the number of years elapsed after founding until the year 2007.…”

“…Hence, NPD is portrayed as a process of learning to acquire and exploit new knowledge as well as market opportunities (Adams, Day, & Dougherty, 1998;Atuahene-Gima & Murry, 2007;Shane, 2000). Two primary types of learning imbued into the NPD process are exploitation and exploration (Geiger & Makri, 2006;He & Wong, 2004;March, 1991;Rothaermel & Deeds, 2004). The form of learning determines the pattern by which a firm devotes effort and attention to NPD activities, which in turns influences its ultimate performance (Hurley & Hult, 1998;Kessler, Bierly, & Gopalakrishnan, 2000).…”

Industry Influences On Organizational Slack

“…These arguments are based on the notion that slack has either positive or negative impact on firm outcomes. Other research has hypothesized contingency (Geiger & Makri, 2006) or curvilinear (Nohria & Gulati, 1996) relationships between slack and firm outcomes. In aggregate, however, research on slack and firm outcomes remains largely equivocal (for a relatively recent meta-analysis and review, see Daniel et al, 2004).…”