IDEAS home Printed from https://ideas.repec.org/a/spr/jknowl/v15y2024i3d10.1007_s13132-023-01548-7.html
   My bibliography  Save this article

Different Routes, Same Goal: Exploring the Impact of Innovation Policy Tools on SMEs’ Persistent Innovation—A Hybrid Study Using SEM and fsQCA

Author

Listed:
  • Ye Zheng

    (Northwestern Polytechnical University
    National Governance Collaborative Innovation Research Center, Northwestern Polytechnical University)

  • Kexin Qin

    (Renmin University of China)

  • Shijie Zhao

    (Northwestern Polytechnical University)

Abstract

Persistent innovation in enterprises poses a formidable challenge that requires a comprehensive understanding of internal and external drivers. While prior research has predominantly examined internal innovation behaviors and strategies, a gap remains in the understanding of the role of external factors, particularly innovation policy tools, in fostering persistent innovation. Hence, this study presents a novel approach by formulating research hypotheses that leverage the existing literature and conducts a questionnaire survey involving 446 small and medium-sized enterprises (SMEs) in mainland China. It empirically examines the intricate relationships among innovation policy tools, resource bricolage, environmental turbulence, and SMEs’ persistent innovation using structural equation modeling and qualitative comparative analysis. The findings highlight that regulatory, economic, and information-based policy tools positively influence persistent innovation, with information-based tools having the most significant impact. Resource bricolage and environmental turbulence mediate and moderate the relationship between innovation policy tools and persistent innovation. Consequently, the present study identifies four distinct combinations of policy tools that promote persistent innovation among SMEs. Fundamentally, this study sheds light on the mechanisms through which innovation policy tools shape persistent innovation, offering theoretical insights and practical implications for refining innovation policies and optimizing their design of innovation policy tools.

Suggested Citation

  • Ye Zheng & Kexin Qin & Shijie Zhao, 2024. "Different Routes, Same Goal: Exploring the Impact of Innovation Policy Tools on SMEs’ Persistent Innovation—A Hybrid Study Using SEM and fsQCA," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(3), pages 11684-11723, September.
    • Handle: RePEc:spr:jknowl:v:15:y:2024:i:3:d:10.1007_s13132-023-01548-7
    DOI: 10.1007/s13132-023-01548-7
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s13132-023-01548-7
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s13132-023-01548-7?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Ahsan, Mujtaba & Fernhaber, Stephanie A., 2019. "Multinational Enterprises: Leveraging a Corporate International Entrepreneurship Lens for New Insights Into Subsidiary Initiatives," Journal of International Management, Elsevier, vol. 25(1), pages 51-65.
    2. Yu Zhang & Yajuan Wang, 2022. "Do Managerial Ties Help or Hinder Corporate Green Innovation? The Moderating Roles of Contextual Factors," IJERPH, MDPI, vol. 19(7), pages 1-19, March.
    3. Yawson, Robert M., 2009. "The ecological system of innovation: A new architectural framework for a functional evidence-based platform for science and innovation policy," MPRA Paper 33179, University Library of Munich, Germany.
    4. Triguero, Ángela & Córcoles, David, 2013. "Understanding innovation: An analysis of persistence for Spanish manufacturing firms," Research Policy, Elsevier, vol. 42(2), pages 340-352.
    5. Vaneet Kaur, 2019. "Knowledge-Based Dynamic Capabilities," Innovation, Technology, and Knowledge Management, Springer, number 978-3-030-21649-8, September.
    6. Durand, Rodolphe & Thornton, Patricia, 2018. "Categorizing Institutional Logics, Institutionalizing Categories: A Review of Two Literatures," HEC Research Papers Series 1276, HEC Paris, revised 30 May 2018.
    7. Suyu Huang & Hanlian Lin & Yongjunbei Zhou & Haonan Ji & Naiping Zhu, 2022. "The Influence of the Policy of Replacing Environmental Protection Fees with Taxes on Enterprise Green Innovation—Evidence from China’s Heavily Polluting Industries," Sustainability, MDPI, vol. 14(11), pages 1-23, June.
    8. Miria Pigato & Simon J. Black & Damien Dussaux & Zhimin Mao & Miles McKenna & Ryan Rafaty & Simon Touboul, 2020. "Technology Transfer and Innovation for Low-Carbon Development," World Bank Publications - Books, The World Bank Group, number 33474.
    9. Tajeddini, Kayhan & Gamage, Thilini Chathurika & Tajdini, Javad & Qalati, Sikandar Ali & Siddiqui, Faiza, 2023. "Achieving sustained competitive advantage in retail and consumer service firms: The role of entrepreneurial orientation and entrepreneurial bricolage," Journal of Retailing and Consumer Services, Elsevier, vol. 75(C).
    10. Wanyue Wei & Zheng He & Lez Rayman-Bacchus & GuangMing Xiang, 2019. "Do Industrial Clusters Still Matter to Trust-Building in the Internet Era? A Network Embeddedness Perspective," SAGE Open, , vol. 9(3), pages 21582440198, August.
    11. Vadim Grinevich & Franz Huber & Mine Karataş-Özkan & Çağla Yavuz, 2019. "Green entrepreneurship in the sharing economy: utilising multiplicity of institutional logics," Small Business Economics, Springer, vol. 52(4), pages 859-876, April.
    12. Deniz Ikiz Kaya & Nadia Pintossi & Gamze Dane, 2021. "An Empirical Analysis of Driving Factors and Policy Enablers of Heritage Adaptive Reuse within the Circular Economy Framework," Sustainability, MDPI, vol. 13(5), pages 1-24, February.
    13. Mehdi Tajpour & Elahe Hosseini & Maliheh Mohammadi & Behrooz Bahman-Zangi, 2022. "The Effect of Knowledge Management on the Sustainability of Technology-Driven Businesses in Emerging Markets: The Mediating Role of Social Media," Sustainability, MDPI, vol. 14(14), pages 1-15, July.
    14. Pan, Wenrong & Xie, Tao & Wang, Zhuwang & Ma, Lisha, 2022. "Digital economy: An innovation driver for total factor productivity," Journal of Business Research, Elsevier, vol. 139(C), pages 303-311.
    15. Audretsch, David & Colombelli, Alessandra & Grilli, Luca & Minola, Tommaso & Rasmussen, Einar, 2020. "Innovative start-ups and policy initiatives," Research Policy, Elsevier, vol. 49(10).
    16. Ouyang, Xiaoling & Li, Qiong & Du, Kerui, 2020. "How does environmental regulation promote technological innovations in the industrial sector? Evidence from Chinese provincial panel data," Energy Policy, Elsevier, vol. 139(C).
    17. Ram Mudambi & Pietro Navarra & Andrew Delios, 2013. "Government regulation, corruption, and FDI," Asia Pacific Journal of Management, Springer, vol. 30(2), pages 487-511, June.
    18. Lu Qiu & Xiaowen Jie & Yanan Wang & Minjuan Zhao, 2020. "Green product innovation, green dynamic capability, and competitive advantage: Evidence from Chinese manufacturing enterprises," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(1), pages 146-165, January.
    19. Sébastien Rioux & Genevieve LeBaron & Peter J. Verovšek, 2020. "Capitalism and unfree labor: a review of Marxist perspectives on modern slavery," Review of International Political Economy, Taylor & Francis Journals, vol. 27(3), pages 709-731, May.
    20. Stephen X. Zhang & Elco Burg, 2020. "Advancing entrepreneurship as a design science: developing additional design principles for effectuation," Small Business Economics, Springer, vol. 55(3), pages 607-626, October.
    21. Die Li & Sumin Hu, 2021. "How Does Technological Innovation Mediate the Relationship between Environmental Regulation and High-Quality Economic Development? Empirical Evidence from China," Sustainability, MDPI, vol. 13(4), pages 1-20, February.
    22. Ferriani, Simone & Lazerson, Mark H. & Lorenzoni, Gianni, 2020. "Anchor entrepreneurship and industry catalysis: The rise of the Italian Biomedical Valley," Research Policy, Elsevier, vol. 49(8).
    23. Sun, Jinyun & Maksimov, Vladislav & Wang, Stephanie Lu & Luo, Yadong, 2021. "Developing compositional capability in emerging-market SMEs," Journal of World Business, Elsevier, vol. 56(3).
    24. Nathalia Suchek & João J. Ferreira & Paula O. Fernandes, 2022. "A review of entrepreneurship and circular economy research: State of the art and future directions," Business Strategy and the Environment, Wiley Blackwell, vol. 31(5), pages 2256-2283, July.
    25. Alberto Bertello & Alberto Ferraris & Paola Bernardi & Bernardo Bertoldi, 2022. "Challenges to open innovation in traditional SMEs: an analysis of pre-competitive projects in university-industry-government collaboration," International Entrepreneurship and Management Journal, Springer, vol. 18(1), pages 89-104, March.
    26. Mostafa A. Ali & Nazimah Hussin & Hakeem Hammood Flayyih & Hossam Haddad & Nidal Mahmoud Al-Ramahi & Tareq Hammad Almubaydeen & Sahraa Anwer Hussein & Areej Saad Hasan Abunaila, 2023. "A Multidimensional View of Intellectual Capital and Dynamic Innovative Performance," JRFM, MDPI, vol. 16(3), pages 1-28, February.
    27. Geels, Frank W., 2004. "From sectoral systems of innovation to socio-technical systems: Insights about dynamics and change from sociology and institutional theory," Research Policy, Elsevier, vol. 33(6-7), pages 897-920, September.
    28. Sarpong, David & Boakye, Derrick & Ofosu, George & Botchie, David, 2023. "The three pointers of research and development (R&D) for growth-boosting sustainable innovation system," Technovation, Elsevier, vol. 122(C).
    29. Agnes Asemokha & Jackson Musona & Lasse Torkkeli & Sami Saarenketo, 2019. "Business model innovation and entrepreneurial orientation relationships in SMEs: Implications for international performance," Journal of International Entrepreneurship, Springer, vol. 17(3), pages 425-453, September.
    30. Kamal, Muhammad Mustafa & Mamat, Rosnida & Mangla, Sachin Kumar & Kumar, Patanjal & Despoudi, Stella & Dora, Manoj & Tjahjono, Benny, 2022. "Immediate return in circular economy: Business to consumer product return information sharing framework to support sustainable manufacturing in small and medium enterprises," Journal of Business Research, Elsevier, vol. 151(C), pages 379-396.
    31. Love Kumar & Farah Nadeem & Maggie Sloan & Jonas Restle-Steinert & Matthew J. Deitch & Sohail Ali Naqvi & Avinash Kumar & Claudio Sassanelli, 2022. "Fostering Green Finance for Sustainable Development: A Focus on Textile and Leather Small Medium Enterprises in Pakistan," Sustainability, MDPI, vol. 14(19), pages 1-24, September.
    32. Ruixin Su & Bojan Obrenovic & Jianguo Du & Danijela Godinic & Akmal Khudaykulov, 2022. "COVID-19 Pandemic Implications for Corporate Sustainability and Society: A Literature Review," IJERPH, MDPI, vol. 19(3), pages 1-23, January.
    33. Long, Shaobo & Pei, Hongxia & Tian, Hao & Li, Fangfang, 2021. "Asymmetric impacts of economic policy uncertainty, capital cost, and raw material cost on China’s investment," Economic Analysis and Policy, Elsevier, vol. 72(C), pages 129-144.
    34. Yadong Luo, 2022. "New connectivity in the fragmented world," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(5), pages 962-980, July.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. ErShang Tian & Sung Ook Park, 2024. "Environmental Protection Tax (EPT) and Its Influence on Firms’ Financial Health and Innovation Capabilities: Evidence from Chinese Listed Companies," Sustainability, MDPI, vol. 16(23), pages 1-16, December.
    2. Marcos Carchano & Jean-Marie Cardebat & Angela Gonzalez & Inmaculada Carrasco, 2024. "Moving toward environmental sustainability through green entrepreneurship: assessing the moderating role of managerial environmental commitment," International Entrepreneurship and Management Journal, Springer, vol. 20(3), pages 2209-2240, September.
    3. ZHANG, Huan & MI, Lili & SHAO, Xuefeng & BU, Juan, 2024. "Demystifying pathways of composition-based international strategies under the de-globalization world: A configurational approach," Journal of International Management, Elsevier, vol. 30(2).
    4. Liao, Zhongju & Chen, Jie & Chen, Xueli & Song, Malin, 2024. "Digital platform capability, environmental innovation quality, and firms’ competitive advantage: The moderating role of environmental uncertainty," International Journal of Production Economics, Elsevier, vol. 268(C).
    5. Marcel Bednarz & Tom Broekel, 2020. "Pulled or pushed? The spatial diffusion of wind energy between local demand and supply," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 29(4), pages 893-916.
    6. Weking, Jörg & Desouza, Kevin C. & Fielt, Erwin & Kowalkiewicz, Marek, 2023. "Metaverse-enabled entrepreneurship," Journal of Business Venturing Insights, Elsevier, vol. 19(C).
    7. Zhang, Xu & Wang, Pengmian & Xu, Qiuxiang, 2024. "Corporate environmental governance under the coordination of fiscal and financial policies: The case of green credit subsidy policy," Finance Research Letters, Elsevier, vol. 64(C).
    8. Liu, Duan & Yu, Nizhou & Wan, Hong, 2022. "Does water rights trading affect corporate investment? The role of resource allocation and risk mitigation channels," Economic Modelling, Elsevier, vol. 117(C).
    9. Piotr Lis & Zuzanna Rataj & Katarzyna Suszyńska, 2022. "Implementation Risk Factors of Collaborative Housing in Poland: The Case of ‘Nowe Żerniki’ in Wrocław," JRFM, MDPI, vol. 15(3), pages 1-12, February.
    10. Ana Filipa Fonseca & Fabíola Polita & Lívia Madureira, 2024. "How Agroecological Transition Frameworks Are Reshaping Agroecology: A Review," Land, MDPI, vol. 13(11), pages 1-15, November.
    11. Mahzouni, Arian, 2019. "The role of institutional entrepreneurship in emerging energy communities: The town of St. Peter in Germany," Renewable and Sustainable Energy Reviews, Elsevier, vol. 107(C), pages 297-308.
    12. Dayuan Li & Jialin Jiang & Lu Zhang & Chen Huang & Ding Wang, 2023. "Do CEOs with Sent-Down Movement Experience Foster Corporate Environmental Responsibility?," Journal of Business Ethics, Springer, vol. 185(1), pages 147-168, June.
    13. Valerio Della Corte & Stefano Federico & Giacomo Oddo, 2024. "Trade in low-carbon technology products: macro and micro evidence for Italy," Questioni di Economia e Finanza (Occasional Papers) 882, Bank of Italy, Economic Research and International Relations Area.
    14. Zhaohui Yan & Mingli Wang & Yumeng Sun & Zihui Nan, 2023. "The Impact of Research and Development Investment on Total Factor Productivity of Animal Husbandry Enterprises: Evidence from Listed Companies in China," Agriculture, MDPI, vol. 13(9), pages 1-21, September.
    15. Francesco Lamperti & Giovanni Dosi & Mauro Napoletano & Andrea Roventini & Alessandro Sapio, 2018. "And then he wasn't a she : Climate change and green transitions in an agent-based integrated assessment model," Working Papers hal-03443464, HAL.
    16. Ran, Qiying & Yang, Xiaodong & Yan, Hongchuan & Xu, Yang & Cao, Jianhong, 2023. "Natural resource consumption and industrial green transformation: Does the digital economy matter?," Resources Policy, Elsevier, vol. 81(C).
    17. Åkerman, Maria & Kilpiö, Aino & Peltola, Taru, 2010. "Institutional change from the margins of natural resource use: The emergence of small-scale bioenergy production within industrial forestry in Finland," Forest Policy and Economics, Elsevier, vol. 12(3), pages 181-188, March.
    18. Francesca Nocca & Martina Bosone & Manuel Orabona, 2024. "Multicriteria Evaluation Framework for Industrial Heritage Adaptive Reuse: The Role of the ‘Intrinsic Value’," Land, MDPI, vol. 13(8), pages 1-26, August.
    19. Saima Javed & Yu Rong & Hafiz Muhammad Ihsan Zafeer & Samra Maqbool & Babar Nawaz Abbasi, 2024. "Unleashing the potential: a quest to understand and examine the factors enriching research and innovation productivities of South Asian universities," Palgrave Communications, Palgrave Macmillan, vol. 11(1), pages 1-15, December.
    20. Naouri, Mohamed & Kuper, Marcel & Hartani, Tarik, 2020. "The power of translation: Innovation dialogues in the context of farmer-led innovation in the Algerian Sahara," Agricultural Systems, Elsevier, vol. 180(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:jknowl:v:15:y:2024:i:3:d:10.1007_s13132-023-01548-7. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.