IDEAS home Printed from https://ideas.repec.org/a/zbw/jumsac/300583.html
   My bibliography  Save this article

Innovation collaboration between family firms and startups: Insights from the German construction industry

Author

Listed:
  • Scharmann, Anne

Abstract

Seeking to increase their innovative strength, family firms increasingly collaborate with startups to explore new technologies, act upon trends, and rejuvenate their corporate culture. While family firms usually innovate incrementally, collaborating with startups allows them to take a more radical approach to innovation to explore new business models and enter untapped markets. The present study aims to contribute to the emerging research field around innovation collaboration between family firms and startups by providing insights from the German construction industry. Drawing on the findings of 40 interviews, comprising four exploratory case studies and 24 expert interviews, this study analyzes impediments, mitigation mechanisms, and prospects of family firm startup collaboration in the German construction industry. The findings reveal that impediments emerge before and during collaboration and are influenced by the construction industry's context. Involved organizations address these impediments by leveraging mitigation mechanisms, including trust-building, financial incentivization, stakeholder involvement, and communication. In this way, innovation collaboration with startups can help strengthen family-owned construction companies' future viability in an evolving industry.

Suggested Citation

  • Scharmann, Anne, 2024. "Innovation collaboration between family firms and startups: Insights from the German construction industry," Junior Management Science (JUMS), Junior Management Science e. V., vol. 9(2), pages 1384-1413.
    • Handle: RePEc:zbw:jumsac:300583
    DOI: 10.5282/jums/v9i2pp1384-1413
    as

    Download full text from publisher

    File URL: https://www.econstor.eu/bitstream/10419/300583/1/1894164679.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.5282/jums/v9i2pp1384-1413?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
    ---><---

    References listed on IDEAS

    as
    1. Caprio, Lorenzo & Croci, Ettore & Del Giudice, Alfonso, 2011. "Ownership structure, family control, and acquisition decisions," Journal of Corporate Finance, Elsevier, vol. 17(5), pages 1636-1657.
    2. Andreas Hartmann, 2006. "The context of innovation management in construction firms," Construction Management and Economics, Taylor & Francis Journals, vol. 24(6), pages 567-578.
    3. Jeffrey G. Covin & G.T. Lumpkin, 2011. "Entrepreneurial Orientation Theory and Research: Reflections on a Needed Construct," Entrepreneurship Theory and Practice, , vol. 35(5), pages 855-872, September.
    4. Nicolas Classen & Martin Carree & Anita Gils & Bettina Peters, 2014. "Innovation in family and non-family SMEs: an exploratory analysis," Small Business Economics, Springer, vol. 42(3), pages 595-609, March.
    5. Christina Matz Carnes & R. Duane Ireland, 2013. "Familiness and Innovation: Resource Bundling as the Missing Link," Entrepreneurship Theory and Practice, , vol. 37(6), pages 1399-1419, November.
    6. Jean‐Luc Arregle & Michael A. Hitt & David G. Sirmon & Philippe Very, 2007. "The Development of Organizational Social Capital: Attributes of Family Firms," Journal of Management Studies, Wiley Blackwell, vol. 44(1), pages 73-95, January.
    7. Patricio Duran & Nadine Kammerlander & Marc van Essen & Thomas Zellweger, 2016. "Doing More with Less : Innovation Input and Output in Family Firms," Post-Print hal-02312103, HAL.
    8. Patricio Duran & Nadine Kammerlander & Marc van Essen & Thomas Zellweger, 2016. "Doing More with Less : Innovation Input and Output in Family Firms," Post-Print hal-02276703, HAL.
    9. Stuart Green & Scott Fernie & Stephanie Weller, 2005. "Making sense of supply chain management: a comparative study of aerospace and construction," Construction Management and Economics, Taylor & Francis Journals, vol. 23(6), pages 579-593.
    10. Matthias Filser & Alexander Brem & Johanna Gast & Sascha Kraus & Andrea Calabrò, 2016. "Innovation In Family Firms — Examining The Inventory And Mapping The Path," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(06), pages 1-39, August.
    11. Rafael La Porta & Florencio Lopez‐De‐Silanes & Andrei Shleifer, 1999. "Corporate Ownership Around the World," Journal of Finance, American Finance Association, vol. 54(2), pages 471-517, April.
    12. Jess H. Chua & James J. Chrisman & Pramodita Sharma, 1999. "Defining the Family Business by Behavior," Entrepreneurship Theory and Practice, , vol. 23(4), pages 19-39, July.
    13. Mohammed Fadhil Dulaimi & Florence Ling & Arun Bajracharya, 2003. "Organizational motivation and inter-organizational interaction in construction innovation in Singapore," Construction Management and Economics, Taylor & Francis Journals, vol. 21(3), pages 307-318.
    14. Hannes Lindblad & Jacob Rudolphsson Guerrero, 2020. "Client’s role in promoting BIM implementation and innovation in construction," Construction Management and Economics, Taylor & Francis Journals, vol. 38(5), pages 468-482, May.
    15. Gann, David M. & Salter, Ammon J., 2000. "Innovation in project-based, service-enhanced firms: the construction of complex products and systems," Research Policy, Elsevier, vol. 29(7-8), pages 955-972, August.
    16. Luis R. Gomez‐Mejia & Marianna Makri & Martin Larraza Kintana, 2010. "Diversification Decisions in Family‐Controlled Firms," Journal of Management Studies, Wiley Blackwell, vol. 47(2), pages 223-252, March.
    17. Arndt Werner & Christian Schröder & Simone Chlosta, 2018. "Driving factors of innovation in family and non-family SMEs," Small Business Economics, Springer, vol. 50(1), pages 201-218, January.
    18. Chris Harty, 2008. "Implementing innovation in construction: contexts, relative boundedness and actor-network theory," Construction Management and Economics, Taylor & Francis Journals, vol. 26(10), pages 1029-1041.
    19. Maria Jesus Nieto & Lluis Santamaria & Zulima Fernandez, 2015. "Understanding the Innovation Behavior of Family Firms," Journal of Small Business Management, Taylor & Francis Journals, vol. 53(2), pages 382-399, April.
    20. Block, J.H. & Spiegel, F., 2013. "Family firm density and regional innovation output: An exploratory analysis," Journal of Family Business Strategy, Elsevier, vol. 4(4), pages 270-280.
    21. David G. Sirmon & Michael A. Hitt, 2003. "Managing Resources: Linking Unique Resources, Management, and Wealth Creation in Family Firms," Entrepreneurship Theory and Practice, , vol. 27(4), pages 339-358, October.
    22. Josep Llach & Mattias Nordqvist, 2010. "Innovation in family and non-family businesses: a resource perspective," International Journal of Entrepreneurial Venturing, Inderscience Enterprises Ltd, vol. 2(3/4), pages 381-399.
    23. John Gambatese & Matthew Hallowell, 2011. "Enabling and measuring innovation in the construction industry," Construction Management and Economics, Taylor & Francis Journals, vol. 29(6), pages 553-567.
    24. Mike Bresnen & Nick Marshall, 2000. "Partnering in construction: a critical review of issues, problems and dilemmas," Construction Management and Economics, Taylor & Francis Journals, vol. 18(2), pages 229-237.
    25. Anna Dubois & Lars-Erik Gadde, 2002. "The construction industry as a loosely coupled system: implications for productivity and innovation," Construction Management and Economics, Taylor & Francis Journals, vol. 20(7), pages 621-631.
    26. Barlow, James, 2000. "Innovation and learning in complex offshore construction projects," Research Policy, Elsevier, vol. 29(7-8), pages 973-989, August.
    27. Anne Heider & Marcel Hülsbeck & Leopold Schlenk-Barnsdorf, 2022. "The role of family firm specific resources in innovation: an integrative literature review and framework," Management Review Quarterly, Springer, vol. 72(2), pages 483-530, June.
    28. Feranita, Feranita & Kotlar, Josip & De Massis, Alfredo, 2017. "Collaborative innovation in family firms: Past research, current debates and agenda for future research," Journal of Family Business Strategy, Elsevier, vol. 8(3), pages 137-156.
    29. Fernando G. Alberti & Emanuele Pizzurno, 2013. "Technology, innovation and performance in family firms," International Journal of Entrepreneurship and Innovation Management, Inderscience Enterprises Ltd, vol. 17(1/2/3), pages 142-161.
    30. Danny Miller & Isabelle Le Breton‐Miller & Richard H. Lester, 2011. "Family and Lone Founder Ownership and Strategic Behaviour: Social Context, Identity, and Institutional Logics," Journal of Management Studies, Wiley Blackwell, vol. 48(1), pages 1-25, January.
    31. Miozzo, Marcela & Dewick, Paul, 2002. "Building competitive advantage: innovation and corporate governance in European construction," Research Policy, Elsevier, vol. 31(6), pages 989-1008, August.
    32. Franz W. Kellermanns & Kimberly A. Eddleston, 2006. "Corporate Entrepreneurship in Family Firms: A Family Perspective," Entrepreneurship Theory and Practice, , vol. 30(6), pages 809-830, November.
    33. Frambach, Ruud T. & Schillewaert, Niels, 2002. "Organizational innovation adoption: a multi-level framework of determinants and opportunities for future research," Journal of Business Research, Elsevier, vol. 55(2), pages 163-176, February.
    34. Block, Joern H., 2012. "R&D investments in family and founder firms: An agency perspective," Journal of Business Venturing, Elsevier, vol. 27(2), pages 248-265.
    35. Davide Nicolini & Richard Holti & Mark Smalley, 2001. "Integrating project activities: the theory and practice of managing the supply chain through clusters," Construction Management and Economics, Taylor & Francis Journals, vol. 19(1), pages 37-47, January.
    36. Fariborz Damanpour, 1996. "Organizational Complexity and Innovation: Developing and Testing Multiple Contingency Models," Management Science, INFORMS, vol. 42(5), pages 693-716, May.
    37. De Massis, Alfredo & Kotlar, Josip, 2014. "The case study method in family business research: Guidelines for qualitative scholarship," Journal of Family Business Strategy, Elsevier, vol. 5(1), pages 15-29.
    38. Martin Sexton & Peter Barrett, 2003. "A literature synthesis of innovation in small construction firms: insights, ambiguities and questions," Construction Management and Economics, Taylor & Francis Journals, vol. 21(6), pages 613-622.
    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. Vanessa Diaz-Moriana & Eric Clinton & Nadine Kammerlander & G. T. Lumpkin & Justin B. Craig, 2020. "Innovation Motives in Family Firms: A Transgenerational View," Entrepreneurship Theory and Practice, , vol. 44(2), pages 256-287, March.
    2. Fernando Muñoz-Bullón & Maria J. Sanchez-Bueno & Alfredo De Massis, 2020. "Combining Internal and External R&D: The Effects on Innovation Performance in Family and Nonfamily Firms," Entrepreneurship Theory and Practice, , vol. 44(5), pages 996-1031, September.
    3. Arndt Werner & Christian Schröder & Simone Chlosta, 2018. "Driving factors of innovation in family and non-family SMEs," Small Business Economics, Springer, vol. 50(1), pages 201-218, January.
    4. Francesca Maria Cesaroni & Gail Denisse Chamochumbi Diaz & Annalisa Sentuti, 2021. "Family Firms and Innovation from Founder to Successor," Administrative Sciences, MDPI, vol. 11(2), pages 1-19, May.
    5. Francesco Aiello & Lidia Mannarino & Valeria Pupo, 2024. "Family firm heterogeneity and patenting. Revising the role of size and age," Small Business Economics, Springer, vol. 63(1), pages 105-133, June.
    6. Shu, Jinhao, 2021. "The M&A Behavior of Family Firms," Junior Management Science (JUMS), Junior Management Science e. V., vol. 6(4), pages 673-699.
    7. Sherlock, Chelsea & Dibrell, Clay & Memili, Esra, 2023. "The impact of family commitment on firm innovativeness: The mediating role of resource stocks," Journal of Family Business Strategy, Elsevier, vol. 14(3).
    8. Lorenzo Ardito & Antonio Messeni Petruzzelli & Federica Pascucci & Enzo Peruffo, 2019. "Inter‐firm R&D collaborations and green innovation value: The role of family firms' involvement and the moderating effects of proximity dimensions," Business Strategy and the Environment, Wiley Blackwell, vol. 28(1), pages 185-197, January.
    9. Wen-Ting Lin & Linda C. Wang, 2021. "Family firms, R&D, and internationalization: the stewardship and socio-emotional wealth perspectives," Asia Pacific Journal of Management, Springer, vol. 38(1), pages 91-119, March.
    10. Sami Basly & Amira Hammouda, 2020. "Family Businesses and Digital Entrepreneurship Adoption: A Conceptual Model," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 29(2), pages 326-364, September.
    11. Christina Guenther & Maksim Belitski & Nada Rejeb, 2023. "Overcoming the ability-willingness paradox in small family firms’ collaborations," Small Business Economics, Springer, vol. 60(4), pages 1409-1429, April.
    12. César Camisón-Zornoza & Beatriz Forés-Julián & Alba Puig-Denia & Sergio Camisón-Haba, 0. "Effects of ownership structure and corporate and family governance on dynamic capabilities in family firms," International Entrepreneurship and Management Journal, Springer, vol. 0, pages 1-34.
    13. Diéguez-Soto, Julio & Garrido-Moreno, Aurora & Manzaneque, Montserrat, 2018. "Unravelling the link between process innovation inputs and outputs: The moderating role of family management," Journal of Family Business Strategy, Elsevier, vol. 9(2), pages 114-127.
    14. Mueller, Simon, 2023. "Innovation Performance of Family and Founder Firms: Empirical Evidence from German Listed Companies," Junior Management Science (JUMS), Junior Management Science e. V., vol. 8(2), pages 333-357.
    15. César Camisón-Zornoza & Beatriz Forés-Julián & Alba Puig-Denia & Sergio Camisón-Haba, 2020. "Effects of ownership structure and corporate and family governance on dynamic capabilities in family firms," International Entrepreneurship and Management Journal, Springer, vol. 16(4), pages 1393-1426, December.
    16. María Jesús Rodríguez-Gulías & Sara Fernández-López & David Rodeiro-Pazos, 2024. "Disentangling the Effects of Knowledge Spillovers and Family Firm Nature on Innovative Performance: a Multilevel Approach," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(2), pages 6362-6389, June.
    17. Feranita, Feranita & Kotlar, Josip & De Massis, Alfredo, 2017. "Collaborative innovation in family firms: Past research, current debates and agenda for future research," Journal of Family Business Strategy, Elsevier, vol. 8(3), pages 137-156.
    18. Montserrat Manzaneque & Alfonso A. Rojo-Ramírez & Julio Diéguez-Soto & Maria J. Martínez-Romero, 2020. "How negative aspiration performance gaps affect innovation efficiency," Small Business Economics, Springer, vol. 54(1), pages 209-233, January.
    19. Katrin Hussinger & Abdul-Basit Issah, 2019. "Firm Acquisitions by Family Firms: a Mixed Gamble Approach," DEM Discussion Paper Series 19-16, Department of Economics at the University of Luxembourg.
    20. Ivan Miroshnychenko & Alfredo De Massis & Danny Miller & Roberto Barontini, 2021. "Family Business Growth Around the World," Entrepreneurship Theory and Practice, , vol. 45(4), pages 682-708, July.

    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:zbw:jumsac:300583. 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: ZBW - Leibniz Information Centre for Economics (email available below). General contact details of provider: https://jums.academy/en/ .

    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.