How Knowledge Services Clustered Firms Leverage Different Channels of Local Knowledge Spillovers for Service Innovation

• Published in: Management and organization review 2022-12, Vol.18 (6), p.1116-1138
• Main Authors: Ngo, Thi (Alice) N. B., Thornton, Sabrina
• Format: Article
• Language: English
• Subjects: Absorptive capacity; Developing countries; Innovations; Knowledge; LDCs; Manufacturing; Outsourcing; Product development; Spinoffs
• ISSN: 1740-8776; 1740-8784
• DOI: 10.1017/mor.2022.7

Built upon configuration theory, this study performs a Qualitative Comparative Analysis (QCA) to delineate alternative and sufficient configurations of local knowledge spillover (LKS) channels, that is, how informal interactions and spinoff, and absorptive capacity are combined to facilitate service innovation. Primary data was collected from the largest software outsourcing cluster in Vietnam in 2018, which provides a sample size of 42 firms. The findings imply that multiple configurations of different channels of LKS in conjunction with absorptive capacity can lead to service innovation. This study makes three important contributions. First, it contributes to the debate over the critical role of LKS and absorptive capacity in innovation by offering a more holistic, yet nuanced understanding of the causal mechanisms underlying service innovation. Second, this study sheds light on viable and equifinal pathways for enhancing innovation capabilities, therefore contributing to the literature on cluster upgrading and global service sourcing. Third, it provides some managerial implications for indigenous spinoff firms in developing countries seeking to innovate through the strategic use of LKS. 本文基于配置理论使用了量化比较分析的方法来区分两种本地只是溢出渠道的配置方法—可供替代的和充足的配置，也即非正式交往和衍生品，应如何与组织吸收能力相结合来促进服务创新。作者于2018年在越南最大的软件外包集群搜集了42家公司的数据。分析表明存在本地知识溢出不同渠道的多种配置方式，都可以与公司的吸收能力加以组合来达到服务创新的目的。