Research On The Relationships Of Risk Preference,Innovation Decision And Performance

Exploratory innovation and exploitative innovation are two different ways of innovation,risk preference affect innovation decision of the enterprise,and then affect the final performance of these innovation activities.However,our understanding of the influence factors for these two kinds of innovation and the results of these two kinds of innovation still remains ambiguous.Existing research focuses on the difference between exploratory innovation and exploitative innovation,and the influence of the organizational structure,resources and management factors.The influence of risk preference on the innovation activities still needed further discussion.This study further investigates the relationship between risk preference,exploratory innovation,exploitative innovation and performance under the condition of environmental uncertainty.External environment is the survival condition of the enterprise,the environment factors must be considered when the enterprise making innovation decision.Therefore,the environmental conditions can affect the final results of innovation.Under different external environment conditions,this study investigate how risk preferences affect the decision-making and output of these two kinds of innovation.By analyzing the existing literature,on the basis of existing theory,this study put forward a conceptual model of the relations between risk appetite,innovation and performance.Using empirical methods,this study analysis the relationships of risk preference?exploratory innovation and exploitative innovation under different environment conditions.Using the method of questionnaire,we obtain data of relevant variables.On the basis of collecting data,by using the combined method of regression analysis and structural equation model we test the conceptual model.The results show as follows:First,The matching relation between risk appetite and environmental conditions:risk preference can promote exploratory innovation,and environmental uncertainty act as a regulatory role.In dynamic environment,risk preference act as a more significant role in promoting the exploratory innovation.In complex environmental,risk preference act as a more significant role in promoting the exploratory innovation.Under the condition of the competitive environment,the role of risk preference in promoting exploratory innovation is not significant.Under the condition of stable environment,the role of risk preference in promoting exploratory innovation is not significant.Therefore,only under the corresponding environment condition,risk preference can make a more obvious role in promoting the exploratory innovation or exploitative innovation.Second,The matching relation between innovation forms and environmental conditions:the final performance of exploratory innovation and exploitative innovation will be affected by environmental uncertainty.Only under the corresponding environmental condition,the final performance of exploratory innovation and exploitative innovation can be better.Environmental dynamics have positive effects on exploratory innovation,under the condition of dynamic environment,exploratory innovation activities are more effective.Environment Competitiveness have positive effects on exploratory innovation,under the condition of competition environment,exploratory innovation is more beneficial to the organization's performance.Environmental complexity have positive effects on exploratory innovation,under the condition of dynamic environment,exploratory innovation activities are more effective.In conclusion,under different environment conditions,the action mechanism of exploratory innovation and exploitative innovation are different.Under the condition of the dynamic environment,innovation path of the enterprise is:strong preference for risk-exploratory innovation-performance.Under the condition of competition environment,innovation path of the enterprise is:weak preference for risk-exploitative innovation-performance.Under the condition of complex environment,innovation path of the enterprise is:strong preference for risk-exploratory innovation-performance.Under the condition of relatively stable environment,innovation path of the enterprise is:weak preference for risk-exploitative innovation-performance.