SMEs' Preference for Innovation Networks: A Choice Experimental Approach

Abstract

The objective of this paper is to evaluate the importance of selected characteristics of innovation networks in affecting the decision of food SMEs when joining such networks. The paper develops and tests a series of hypotheses through a choice experiment exercise ran on a sample of 231 firms in six EU countries. The results showed that SMEs prefer networks that are composed of manufacturers and supply chain members, where information is shared confidentially among network partners, and when the network provides support to help the firm build its own networks of partners for innovation. In addition, SMEs' choice of the network is also affected by the interaction between specific network attributes and two firm characteristics, i.e. the firm's collaborative experience and innovation objectives. Based on the results, we conclude that the success of inter‐organizational networks depends on the fit between the network's design and the innovation and networking behaviour of the firms.

Gimme shelter? Heterogeneous preferences for tangible and intangible resources when choosing an incubator

“…While choice experiments (such as DCEs) were originally designed to measure the preferences of consumers for marketing purposes, there is now an increasing interest in applying these types of methods more broadly within the social sciences (Aguinis and Bradley 2014;Shepherd 2011;Shepherd and Zacharakis 1999). Choice experiments have proven useful for understanding entrepreneurs' preferences for innovation networks (Lefebvre et al 2014); venture capitalists (Drover et al 2013); investments in innovation (Van Rijnsoever et al 2012); and the choice to make, buy, or ally strategies (van Rijnsoever et al 2017a, b). DCEs present every respondent with a series of choice tasks in which the respondents have to choose between two alternatives (in our case, two hypothetical incubators).…”

THE IMPACT OF OPENNESS ON INNOVATION IN SMEs

“…Furthermore, only 10% of the small firms and 18% of the medium-sized Turkish organisations currently invest in internal research and development activities. Here the establishment of innovation networks could help to improve the smaller firms' capacities with regard to the earlier stages of the innovation process (Lefebvre et al, 2014). As absorptive capacities are the result of a combination of external knowledge with internal processes (Hervas-Oliver et al, 2016), with the recommendation outlined before, Turkish SMEs should be encouraged to further expand their internal investments (e.g., investments in human resources) to increase the benefits of their open innovation practices.…”

How expected outcomes, stakeholders, and institutions influence corporate social responsibility at different levels of large basic needs firms

“…Although DCEs are used in a growing number of fields, their main use remains in the field of marketing (e.g., Berry, ; Ewing & Sarigöllü, ; Van Wezemael, Caputo, Nayga, Chryssochoidis, & Verbeke, ) and various subfields within economics (e.g., Kruk et al, ; Lovreglio, Borri, dell'Olio, & Ibeas, ). Experimental methods such as DCEs are still uncommon in the study of organizations but are gaining prominence (Aguinis & Bradley, ; Lefebvre et al, ; van Rijnsoever et al, ; Van Rijnsoever, Meeus, & Donders, ).…”