Leveraging Internal Resources and External Business Networks for New Product Success: A Dynamic Capabilities Perspective

Junfeng Zhang, Wei-Ping Wu

Research output: Contribution to journal › Article

16 Citations (Scopus)

Abstract

Internal resources such as technological and human capital, together with a firm's business network, are vital sources of knowledge for new product development. Previous studies largely assume that a firm's internal resources and its external resources embedded in a business network are complementary in new product development. This study draws on the dynamic capabilities perspective to take the existing literature one step further. Our hypotheses were tested using a sample of 130 Chinese manufacturing firms in high-technology industries. Interestingly, the findings reveal a more complex picture of resource interplay between internal resources and external resources embedded in a firm's business network. More specifically, the findings show that a firm's power in its business network influences the effect of its internal resources on its ability to sense and seize opportunities, a vital dynamic capability. More importantly, the findings suggest that such dynamic capability plays a pivotal role in translating the benefits of resource-interplay into new product success.
LanguageEnglish
Pages170-181
JournalIndustrial Marketing Management
Volume61
Early online date8 Jun 2016
DOIs
Publication statusPublished - Feb 2017

Fingerprint

Resources
Business networks
New product success
Dynamic capabilities
New product development
Manufacturing firms
Human capital
High technology industry

Keywords

  • New product success
  • Dynamic capabilities
  • Network power
  • Technological capital
  • Human capital

Cite this

Zhang, Junfeng ; Wu, Wei-Ping. / Leveraging Internal Resources and External Business Networks for New Product Success: A Dynamic Capabilities Perspective. In: Industrial Marketing Management. 2017 ; Vol. 61. pp. 170-181.
@article{bfd2cc38548b4299a3457d6d4a36c15a,
title = "Leveraging Internal Resources and External Business Networks for New Product Success: A Dynamic Capabilities Perspective",
abstract = "Internal resources such as technological and human capital, together with a firm's business network, are vital sources of knowledge for new product development. Previous studies largely assume that a firm's internal resources and its external resources embedded in a business network are complementary in new product development. This study draws on the dynamic capabilities perspective to take the existing literature one step further. Our hypotheses were tested using a sample of 130 Chinese manufacturing firms in high-technology industries. Interestingly, the findings reveal a more complex picture of resource interplay between internal resources and external resources embedded in a firm's business network. More specifically, the findings show that a firm's power in its business network influences the effect of its internal resources on its ability to sense and seize opportunities, a vital dynamic capability. More importantly, the findings suggest that such dynamic capability plays a pivotal role in translating the benefits of resource-interplay into new product success.",
keywords = "New product success, Dynamic capabilities, Network power, Technological capital, Human capital",
author = "Junfeng Zhang and Wei-Ping Wu",
year = "2017",
month = "2",
doi = "10.1016/j.indmarman.2016.06.001",
language = "English",
volume = "61",
pages = "170--181",
journal = "Industrial Marketing Management",
issn = "0019-8501",
publisher = "Elsevier",

}

Zhang, J & Wu, W-P 2017, 'Leveraging Internal Resources and External Business Networks for New Product Success: A Dynamic Capabilities Perspective', Industrial Marketing Management, vol. 61, pp. 170-181. https://doi.org/10.1016/j.indmarman.2016.06.001

Leveraging Internal Resources and External Business Networks for New Product Success: A Dynamic Capabilities Perspective. / Zhang, Junfeng; Wu, Wei-Ping.

In: Industrial Marketing Management, Vol. 61, 02.2017, p. 170-181.

Research output: Contribution to journal › Article

TY - JOUR

T1 - Leveraging Internal Resources and External Business Networks for New Product Success: A Dynamic Capabilities Perspective

AU - Zhang, Junfeng

AU - Wu, Wei-Ping

PY - 2017/2

Y1 - 2017/2

N2 - Internal resources such as technological and human capital, together with a firm's business network, are vital sources of knowledge for new product development. Previous studies largely assume that a firm's internal resources and its external resources embedded in a business network are complementary in new product development. This study draws on the dynamic capabilities perspective to take the existing literature one step further. Our hypotheses were tested using a sample of 130 Chinese manufacturing firms in high-technology industries. Interestingly, the findings reveal a more complex picture of resource interplay between internal resources and external resources embedded in a firm's business network. More specifically, the findings show that a firm's power in its business network influences the effect of its internal resources on its ability to sense and seize opportunities, a vital dynamic capability. More importantly, the findings suggest that such dynamic capability plays a pivotal role in translating the benefits of resource-interplay into new product success.

AB - Internal resources such as technological and human capital, together with a firm's business network, are vital sources of knowledge for new product development. Previous studies largely assume that a firm's internal resources and its external resources embedded in a business network are complementary in new product development. This study draws on the dynamic capabilities perspective to take the existing literature one step further. Our hypotheses were tested using a sample of 130 Chinese manufacturing firms in high-technology industries. Interestingly, the findings reveal a more complex picture of resource interplay between internal resources and external resources embedded in a firm's business network. More specifically, the findings show that a firm's power in its business network influences the effect of its internal resources on its ability to sense and seize opportunities, a vital dynamic capability. More importantly, the findings suggest that such dynamic capability plays a pivotal role in translating the benefits of resource-interplay into new product success.

KW - New product success

KW - Dynamic capabilities

KW - Network power

KW - Technological capital

KW - Human capital

U2 - 10.1016/j.indmarman.2016.06.001

DO - 10.1016/j.indmarman.2016.06.001

M3 - Article

VL - 61

SP - 170

EP - 181

JO - Industrial Marketing Management

T2 - Industrial Marketing Management

JF - Industrial Marketing Management

SN - 0019-8501

ER -

Zhang J, Wu W-P. Leveraging Internal Resources and External Business Networks for New Product Success: A Dynamic Capabilities Perspective. Industrial Marketing Management. 2017 Feb;61:170-181. https://doi.org/10.1016/j.indmarman.2016.06.001

Access to Document