Does R&D offshoring lead to SME growth? Different governance modes and the mediating role of innovation Articles
Overview
published in
- STRATEGIC MANAGEMENT JOURNAL Journal
publication date
- August 2016
start page
- 1734
end page
- 1753
issue
- 37
volume
- 8
Digital Object Identifier (DOI)
full text
International Standard Serial Number (ISSN)
- 0143-2095
Electronic International Standard Serial Number (EISSN)
- 1097-0266
abstract
- In this article, we address the role of R&D offshoring strategies in the sales growth of small- and medium-sized enterprises (SMEs). We propose that different governance modes of - offshoring-insourcing versus outsourcing-may lead to growth, but that they differ in their effects. In turn, we argue that innovation mediates the relation between international R&D sourcing strategies and sales growth. Based on a large database of SME manufacturing enterprises in Spain, we find that offshore outsourcing positively affects sales growth both directly and indirectly, while offshore insourcing only affects sales growth indirectly via innovation results. The analysis reveals different contributions of each governance mode to sales growth and the mediating role of innovation in the relation between offshoring and firm growth.
Classification
subjects
- Mechanical Engineering
keywords
- sales growth, offshore r&d insourcing, offshore r&d outsourcing, innovation; mediation, sme