Esfandyarpour, A. orcid.org/0000-0002-0793-2842, Arasti, M.R. orcid.org/0000-0002-6407-3300, Farazi, M.S. orcid.org/0000-0003-1001-2059 et al. (1 more author) (2024) From depth and breadth of knowledge to technological capability: a journey inside a firm's intellectual capital. R&D Management, 54 (4). pp. 864-881. ISSN 0033-6807
Abstract
In the current knowledge-intensive economy, a firm's intellectual capital refers to its idiosyncratic internal and external knowledge-related assets. While technological knowledge is a major constituent of intellectual capital, past research has often equated it with technological capability. However, technological capability includes not only codified knowledge, but also tacit know-how that is not captured by formal intellectual property. We argue that while a firm's patents might serve as a proxy for measuring its base of technological knowledge, they are not a good proxy for a firm's technological capabilities. Therefore, we offer a novel approach based on a machine learning technique to capture a biopharmaceutical firm's technological capabilities using the clinical trials that it carries out. Picturing a hypothetical journey where firms transform and exploit technological knowledge to move towards building technological capabilities, we address a research gap on the link between a firm's depth and breadth of technological knowledge on the one hand, and its technology diversity on the other. Analyzing a sample of 204 biopharma firms from 2006 to 2018, we find a positive relationship between the breadth of technological knowledge and technology diversity in a firm. In contrast, the relationship between the depth of technological knowledge and technology diversity is negative. We also find that in the presence of product/market diversification, the positive relationship between the breadth of technological knowledge and technology diversity is stronger. Implications for research and practice are also discussed.
Metadata
Item Type: | Article |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | © 2024 RADMA and John Wiley & Sons Ltd. |
Dates: |
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Institution: | The University of Sheffield |
Academic Units: | The University of Sheffield > Faculty of Social Sciences (Sheffield) > Management School (Sheffield) |
Depositing User: | Symplectic Sheffield |
Date Deposited: | 23 Jan 2024 08:22 |
Last Modified: | 07 Nov 2024 15:55 |
Status: | Published |
Publisher: | Wiley |
Refereed: | Yes |
Identification Number: | 10.1111/radm.12669 |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:208083 |