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The moderating effect of innovation protection mechanisms on the competitiveness of service firms

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  • Insu Cho
  • Heejun Park
  • Joseph Kim

Abstract

This empirical study examines the effectiveness of innovation protection mechanisms (IPMs) in capturing returns from innovation in service firms. To identify their effects, we set five types of IPMs (patents, other intellectual property rights, speed to market, secrecy, and complementary resources) as a moderator of the relationships between the innovation and firm competitiveness. Through a sample of service firms from the Korean Innovation Survey, the results of this study indicated that firm competitiveness cannot be influenced by service innovation alone but rather it is influenced by service innovation used in conjunction with IPMs other than patents. The results contribute to understanding innovation protection strategies for better competitiveness of service firms. Copyright Springer-Verlag 2012

Suggested Citation

  • Insu Cho & Heejun Park & Joseph Kim, 2012. "The moderating effect of innovation protection mechanisms on the competitiveness of service firms," Service Business, Springer;Pan-Pacific Business Association, vol. 6(3), pages 369-386, September.
  • Handle: RePEc:spr:svcbiz:v:6:y:2012:i:3:p:369-386
    DOI: 10.1007/s11628-012-0140-3
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    2. Witell, Lars & Snyder, Hannah & Gustafsson, Anders & Fombelle, Paul & Kristensson, Per, 2016. "Defining service innovation: A review and synthesis," Journal of Business Research, Elsevier, vol. 69(8), pages 2863-2872.
    3. Eggert, Andreas & Thiesbrummel, Christoph & Deutscher, Christian, 2014. "Differential effects of product and service innovations on the financial performance of industrial firms," jbm - Journal of Business Market Management, Free University Berlin, Marketing Department, vol. 7(3), pages 380-405.
    4. Edward Ku, 2014. "Putting forth marketing competencies strength with collaborating partners in the hotel industry," Service Business, Springer;Pan-Pacific Business Association, vol. 8(4), pages 679-697, December.

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