Effective assimilation of intra‐technology spillover as a key to sustainable functionality

Purpose - A virtuous cycle between effective utilization of external resources and functionality development can be constructed. Given that the timely emergence of new functionality in an efficient way is crucial to a firm's competitive strategy in an era of mega‐competition, construction of such a virtuous cycle is a key element with regard to a firm's technopreneurial strategy. The purpose of this paper is to identify a trigger for such a virtuous cycle. Design/methodology/approach - Empirical comparative analysis taking copying machines development trajectories in Canon and Ricoh and the patent data analysis were conducted. Findings - Cumulative learning from preceding relevant technology development is found to stimulate intra‐technology spillover. Timely intra‐technology spillover from preceding innovation plays a triggering role. Practical implications - Attempting a broad and comprehensive learning exercise should be strongly encouraged for the effective utilization of external resources for innovation. Fruitful effects of learning should be pursued to the hybrid management of technology fusing indigenous strength and the effects of the comprehensive learning. Originality/value - Aiming at identifying the trigger emerging a virtuous cycle between effective utilization of external resources and functionality development, core technologies instilled in the copying machines just short of the emergence of functionality development were investigated. In order to anticipate thorough capturing of all dimensions of color technologies utilized for the emergence of new functionality development through indigenous development as well as utilization of externally developed technologies,F‐term retrieval of patent registration data was attempted.