OPEN VERSUS CLOSED INNOVATION: A MODEL OF DISCOVERY AND DIVERGENCE.
Academy of Management ReviewPublished 1 January 2010
Esteve Almirall, Ramon Casadesus‐Masanell
Citations477
SJR quartileQ1
SJR score14.40
SNIP6.11
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Abstract
When is open innovation superior to closed innovation? Through a formal simulation model we show that an open approach to innovation allows the firm to discover combinations of product features that would be hard to envision under integration. However, when partners have divergent goals, open innovation restricts the firm's ability to establish the product's technological trajectory. The resolution of the trade-off between benefits of discovery and costs of divergence determines the best approach to innovation.
Keywords
Computer ScienceBusiness, Management and Accounting
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