Innovation Objectives, Strategies and Firm Performance: A Study of Emerging Market Firms

Abstract

Emerging market firms pursue multiple innovation objectives to counter the effects of environmental complexity and uncertainty. The innovation objectives so selected define the innovation strategy adopted by the firm. Innovation strategies however are characterised by innovation objective trade-offs based on a collection of positively and negatively impacted objectives. The research identifies the various trade-off baskets for each innovation strategy and the impact of these strategies on the innovation performance of the firm. Firms can accordingly balance the positively and negatively impacted objectives by carefully selecting a suitable strategy and achieve superior innovation performance.