Evaluation Of Corporate Innovation Capability Under Open Innovation Paradigm

Self-determined innovation is not only the strategic keystone of the development of science and technology,but also the central link of industrial reconstructing and the transformation of economic development mode.Being a transitional economy,China is suffering from poor firm-level technology catching-up and innovation capability improvement,of which the reason lies in the lack of self-determined innovation capability.As the economic globalization deepens,a new paradigm of open innovation emerges,which differs itself from traditional closed innovation by utilizing both internal and external resources and knowledge.Firms use this network between interior and exterior to break the limits of its own resources and make great improvements in innovation capability.Naturally,this new paradigm shows a promising way to building self-determined innovation capability for Chinese firms.Understanding the content and structure of firm's innovation capability under open paradigm,mastering its measuring and evaluating method will help firms assess its innovation capability reasonably and will help government monitor the innovation activities of firms,industries and regions to implement appropriate guiding policies.Therefore,this paper reviews extant research on open innovation and innovation capability,bases its theory on knowledge management,absorptive capacity and dynamic capability,present the innovation capability model from a knowledge exploration,retention and exploitation view.After interviewing Hi-tech firms in Zhejiang Province,we develop a scale to measure innovation capability and combine it with the innovation practice of ordinary machinery firms to build an index system,followed by pilot evaluation,in order to provide reference for the decision-making process of both firms and government.