Architectural innovation and the emergence of a dominant design: The effects of strategic sourcing on performance

Woo-yong Park, Young K. Ro, Nam Woon Kim

Research output: Journal article publicationJournal articleAcademic researchpeer-review

9 Citations (Scopus)

Abstract

This study investigates four different sourcing strategies employed by firms in order to successfully deal with a new architectural innovation hitting the market. The four sourcing approaches reflect the varying degrees of internalization of component design and manufacturing: make, in-house design, long-term supplier, and new supplier, where make implies the highest and new supplier the lowest degree of internalization of the firm's component sourcing in a spectrum. Comparing and contrasting the innovation performance of the four sourcing approaches in the pre- and post-dominant design eras, we suggest theoretical implications for the critical path of strategic sourcing decisions over time for a new architectural innovation. By doing so, we suggest an integrated framework of stage-contingent sourcing strategies and provide the associated empirical results that demonstrate normative strategic guidance for managers.
Original languageEnglish
Pages (from-to)326-341
Number of pages16
JournalResearch Policy
Volume47
Issue number1
DOIs
Publication statusPublished - 1 Feb 2018

Keywords

  • Architectural innovation
  • Dominant design
  • In-house design
  • Long-term relationship
  • Make strategy
  • New supplier relationship

ASJC Scopus subject areas

  • Strategy and Management
  • Management Science and Operations Research
  • Management of Technology and Innovation

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