The reverse tragedy of the commons: an exploratory account of incentives for under-exploitation in an open innovation environment

Abstract

This paper presents an empirical account of a phenomenon that we refer to as the 'reverse tragedy of the commons' in open innovation. The name signifies the 'under-exploitation' of intellectual property under weak appropriability. The name is this graphic because the tragedy is costly, and can also render intellectual property effectively worthless and block innovation in the short to medium term. We propose that the tragedy is borne out of the interaction between enterprise characteristics, a competitive setting and the framework that is set by the policy intervention. This finding is pertinent to policy makers with regard to the design of research, development and innovation instruments, as well as managers who must determine how to implement open practices in innovation.

Socio‐Emotional Wealth, Innovation Environment, and Innovative Investment Path of Family Enterprises: Implications for Environmental Accountability

“…Based on the analysis of the previous article, the profit and loss of social emotional wealth is an important decision point for family enterprises to increase innovation investment. However, the strategic decisions of enterprises are the result of a combination of internal and external environments, and differences in external environments can lead to differences in the social emotional wealth [ 21 ], which in turn makes the level of innovation investment of family enterprises different. In areas with a poor innovation environment, family businesses often face problems such as insufficient innovative talents, single financing channels, and imperfect legal environment, which will increase the risk of enterprise innovation activities.…”