Few studies have looked at the innovation process in the early stages of new business ventures in the context of business networks. Reporting on eight years of development of a new venture, we examine how the development of initial business relationships in an ever-changing business network affects technological innovation. We conclude that technological innovation is contingent on the development of business relationships that are a critical mechanism permitting a new venture not only to access but also to produce knowledge essential for innovating. For management this implies the need to strike a judicious balance between internal focus and closure to produce novel solutions and external focus and openness to experiment in business relationships.
|Number of pages||7|
|Journal||Industrial Marketing Management|
|Publication status||Published - 2014|
- Innovation, Business networks, Business relationships, New venturing, Customer involvement