What type of obstacles in innovation activities make firms access university knowledge? An empirical study of the use of university knowledge on innovation outcomes

This article verifies which types of obstacles in innovation activities cause firms to access universities as a knowledge source and exemplifies the impact of the use of university knowledge on the outcomes of innovation activities. The survey used in this study examines 1001 Japanese companies that have achieved product innovation. The study finds that various obstacles to innovation activities determine the frequency of access to university knowledge. Obstacles in finances, technology and market demands are likely to prompt firms to access university knowledge. When companies facing a technological obstacle use university knowledge, they tend to gain technological superiority. However, regardless of the types of obstacles faced by companies, the greater the number of competitors, the more difficult it is to develop technological superiority. Moreover, this article reports that although access to university knowledge partly increases technological superiority, it is unlikely to result in a profitable innovation. When firms face financial obstacles, university knowledge can increase the income derived from product innovations. However, when firms face other obstacles, product innovations created with the other external knowledge tend to result in a much higher income.