The Impact Of Innovation Network On The Enterprises Selection Of Innovation Balance Mode

With the strong competition of market and the rapid development of society and science, an enterprise should engage in exploration to ensure its future competitive capacity on one hand, and engage in exploitation to ensure its current profit-making capacity on the other. How to select the appropriate mode of balancing exploration and exploitation has become an important problem to the manager. Innovation network is becoming an important form of cooperation innovation organizations, because of the advantages in promoting the access to external knowledge to break through the bottleneck of innovation. It has become a hot topic in business and academic communities that how the enterprise chooses the right innovation balance mode in the innovation network. On the basis of internal and foreign research, this paper makes a combination use of research methods, such as evolutionary game, agent-based modelling, text analysis and multiple regressions. It reveals that knowledge transfer has an important influence on the enterprises’ selection of innovation balance mode in the innovation networks. It also analyses the impact of the enterprise innovation network on the selection of the balance mode from three dimensions of network structural properties, network relational properties and network nodal properties.Based on the collating and summarizing relevant research, this paper defines the meaning of innovation network and innovation balance mode. It analyses the characteristics of these concepts. After describing the influence of knowledge transfer on the selection of innovation balance mode, this paper discusses impact of the innovation work on the knowledge transfer from the network structure, network relationships and network node, thereby the impact on the balance mode selection. In this way, the paper constructs analysis architecture of the influence of innovation network on the selection of balance mode from the perspective of knowledge transfer, which provides theory bases.This paper analyses the impact of knowledge transfer on enterprises’ innovation balance mode selection in the innovation netwoks. By the method of evolutionary game, this paper builds an evolutionary game model. By solving model and analyzing equilibrium state and its stability of the system, this paper explores the influence mechanisms of the knowledge transfer on the selection between ambidexterity and punctuated equilibrium in the innovation network. The result shows that when the level of the knowledge transfer is low, enterprise selecting punctuated equilibrium can get a higher innovation performance; when the level of the knowledge transfer is high, the enterprise selecting ambidexterity will get a high performance.This paper analyses the influence of the network structure on the balance mode selection from the perspective of knowledge transfer. Based on fitness landscape theory and complex network theory, this paper examines how the network structure effects the selection of the balance mode by the simulation method. The results show that, when the network structure is conductive to access to external knowledge, the enterprise selecting ambidexterity can improve the innovation performance; when the network structure is not conductive to access to external knowledge, the enterprise selecting punctuated equilibrium will get a high short-term performance, and ambidexterity will lead a high long-term performance. The results also show that the innovation complexity or environment dynamics does not influence the selection of the balance mode.This paper analyses the influence of the network relations on the balance mode selection from the perspective of knowledge transfer. This paper introduces the tie strength to the simulation model, and examines how the network relation effects the selection of the balance mode by the simulation method. The results show that, when the tie strength is strong, the enterprise selecting ambidexterity will get a higher performance; when the tie strength is weak, the enterprise selecting punctuated equilibrium will get a high short-term performance, and ambidexterity will lead a high long-term performance. The results also show that the innovation complexity or environment dynamics does not influence the relation between the tie strength and the balance mode selection.Finally, this paper analyses the influence of the network node on the balance mode selection from the perspective of knowledge transfer. This paper chooses absorptive capacity and openness as the network nodal properties. By text analysis, we extract information from the annual reports of 260 listed companies in the information technology industry and the electronics manufacturing industry, machinery industry and the pharmaceutical and biotech instrumentation products industry, to measure innovation balance mode. It also tests the hypothesis by hierarchical regression. The result shows that when the network nodal properties are conductive to access to external knowledge(high level of absorptive capacity or openness), enterprise who selects ambidexterity can achieve higher performance than those select punctuated equilibrium; when the network nodal properties are not conductive to access to external knowledge(low level of openness), the enterprise who selects punctuated equilibrium can achieve higher performance.