Networks of Innovators

Abstract

The goal of this article is to assess the state of scholarly research on the role of networks in the innovation process. It begins with a review of the factors that have triggered the increased salience of networks. It then turns to a discussion of the analytical leverage provided by the tools of network analysis. It next reviews a number of empirical studies of the contribution of networks to the innovative output of firms. It takes up the issue of knowledge transfer, examining how the codification of knowledge can shape what is transmitted through networks. Furthermore, this article briefly discusses the governance of networks, and then concludes with an assessment of what types of organizations and settings derive the greatest impact on innovation from participation in networks.