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The Network Embeddedness of New, Technology-Based Firms: Developing a Systemic Evolution Model

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  • Yli-Renko, Helena
  • Autio, Erkko

Abstract

The present paper focuses on the interactive relationship between new, technology-based firms and their network environment. The paper analyzes the mechanisms through which new, technology-based firms become immersed in innovation and manufacturing networks. The concept of embeddedness is developed and used to depict such mechanisms. A systemic evolution model of new, technology-based firms is proposed. The model depicts the evolution of new, technology-based firms in manufacturing and innovation networks. The model emphasizes the catalyzing role of new, technology-based firms in national systems of innovation. Network embeddedness is empirically explored in five case studies of Finnish new, technology-based firms. The systemic evolution model serves as an interpretative scheme for the case studies. The analysis of the organic relationship between new, technology-based firms and their systemic environment also serves to reveal the implications of embeddedness for new, technology-based firms. Copyright 1998 by Kluwer Academic Publishers

Suggested Citation

  • Yli-Renko, Helena & Autio, Erkko, 1998. "The Network Embeddedness of New, Technology-Based Firms: Developing a Systemic Evolution Model," Small Business Economics, Springer, vol. 11(3), pages 253-267, November.
    • Handle: RePEc:kap:sbusec:v:11:y:1998:i:3:p:253-67
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    Cited by:

    1. Pontus Braunerhjelm, 2008. "Specialization of Regions and Universities: The New Versus the Old," Industry and Innovation, Taylor & Francis Journals, vol. 15(3), pages 253-275.
    2. Jens Grundei & Till Talaulicar, 2002. "Company Law and Corporate Governance of Start-ups in Germany: Legal Stipulations, Managerial Requirements, and Modification Strategies," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 6(1), pages 1-27, March.
    3. Yagüe-Perales, R.M. & March-Chorda, I., 2013. "Performance analysis of NTBFs in knowledge-intensive industries: Evidence from the human health sector," Journal of Business Research, Elsevier, vol. 66(10), pages 1983-1989.
    4. Braunerhjelm, Pontus, 2006. "Regional Specialization and Universities: The New Verus the Old," Working Paper Series in Economics and Institutions of Innovation 55, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
    5. Barthelemy Chollet & Mickaël Géraudel & Caroline Danièle Mothe, 2013. "Generating Business Referrals for SMEs: The Contingent Value of CEOs' Social Capital," Grenoble Ecole de Management (Post-Print) hal-00915173, HAL.
    6. Braunerhjelm, Pontus, 2005. "Madonna and the Music Miracle The genesis and evolution of a globally competitive cluster," Working Paper Series in Economics and Institutions of Innovation 29, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
    7. Indujeeva Peiris & Michèle Akoorie & Paresha Sinha, 2012. "International entrepreneurship: A critical analysis of studies in the past two decades and future directions for research," Journal of International Entrepreneurship, Springer, vol. 10(4), pages 279-324, December.
    8. Olga Dziubaniuk, 2016. "Ethical responsibilities of R&D organizations: networking business and society," Proceedings of Business and Management Conferences 3406018, International Institute of Social and Economic Sciences.
    9. Dina Cunha & Sandra T. Silva & Aurora A.C. Teixeira, 2013. "Are Academic Spin-Offs necessarily New Technology-Based firms?," FEP Working Papers 482, Universidade do Porto, Faculdade de Economia do Porto.
    10. van Rijnsoever, Frank J., 2020. "Meeting, mating, and intermediating: How incubators can overcome weak network problems in entrepreneurial ecosystems," Research Policy, Elsevier, vol. 49(1).
    11. Junghyun Yoon & Sanghyun Sung & Dongwoo Ryu, 2020. "The Role of Networks in Improving International Performance and Competitiveness: Perspective View of Open Innovation," Sustainability, MDPI, vol. 12(3), pages 1-16, February.
    12. J. Augusto Felicio & Eduardo Couto & Jorge Caiado, 2009. "Interrelationships between human capital and social capital in small and medium sized firms: The effect of age and sector of activity," CEMAPRE Working Papers 0905, Centre for Applied Mathematics and Economics (CEMAPRE), School of Economics and Management (ISEG), Technical University of Lisbon.
    13. Aki Harima & Fabrice Periac & Tony Murphy & Salomé Picard, 2021. "Entrepreneurial Opportunities of Refugees in Germany, France, and Ireland: Multiple Embeddedness Framework," International Entrepreneurship and Management Journal, Springer, vol. 17(2), pages 625-663, June.
    14. Jukka Partanen & Sylvie K. Chetty & Arto Rajala, 2014. "Innovation Types and Network Relationships," Entrepreneurship Theory and Practice, , vol. 38(5), pages 1027-1055, September.
    15. Raul Serrano & Natalia Dejo‐Oricain & Juan Ferrer & Vicente Pinilla & Silvia Abella‐Garcés & Maria Teresa Maza, 2023. "Domestic clustered networks and internationalization of agrifood SMEs," Agribusiness, John Wiley & Sons, Ltd., vol. 39(1), pages 167-195, January.
    16. Jack, Sarah L., 2010. "Approaches to studying networks: Implications and outcomes," Journal of Business Venturing, Elsevier, vol. 25(1), pages 120-137, January.
    17. Bliemel Martin J. & McCarthy Ian P. & Maine Elicia M.A., 2014. "An Integrated Approach to Studying Multiplexity in Entrepreneurial Networks," Entrepreneurship Research Journal, De Gruyter, vol. 4(4), pages 367-402, October.
    18. Ritch L. Sorenson & Cathleen A. Folker & Keith H. Brigham, 2008. "The Collaborative Network Orientation: Achieving Business Success through Collaborative Relationships," Entrepreneurship Theory and Practice, , vol. 32(4), pages 615-634, July.

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