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Persistence and learning effects in design innovation: Evidence from panel data
Affiliation:1. Birmingham Business School, University of Birmingham, United Kingdom;2. University of York Management School, University of York, Church Lane Building, York YO10 5DF, United Kingdom;1. Institute of Management Research, Radboud University Nijmegen, Heyendaalseweg 141, 6525 AJ, Nijmegen, the Netherlands;1. Science Policy Research Unit, University of Sussex, Institute of Development Studies, and Open University, United Kingdom;2. Science Policy Research Unit, University of Sussex, United Kingdom;1. University of Passau, Faculty of Business, Economics, and Information Systems, Innstrasse 27, 94032 Passau, Germany;2. Coventry University London, University House, 109-117 Middlesex Street, London E1 7JF, United Kingdom;1. SILC Business School, Shanghai University, 99 Shangda Road, Shanghai 200444, PR China;2. Business School, University of Technology Sydney, Broadway NSW 2007, Australia;3. Department of Management, Feliciano School of Business, Montclair State University, 1 Normal Avenue, Montclair, NJ 07043, United States;4. College of Business, East China University of Science and Technology, 130 Meilong Road, Shanghai 200237, PR China;5. PBC School of Finance, Tsinghua University, 43 Chengfu Road, Beijing 100083, China;1. College of Management, Yuan Ze University, Taiwan;2. College of Technology Management, National Tsing Hua University, Taiwan;3. College of Management, and Center for Research in Econometric Theory and Application, National Taiwan University, Taiwan
Abstract:This paper explores persistence and learning effects in the aesthetic and symbolic dimensions of design innovation. By combining insights from innovation economics and design studies, we discuss design innovation as the result of firm-specific cumulative learning. We then conceptualise design and product innovation as complementary processes whose interplay may lead to learning effects across different dimensions of knowledge creation. We provide quantitative evidence for these insights applying dynamic probit and bivariate probit models to a longitudinal dataset of manufacturing firms based in Spain for the period 2007–2016. Our findings confirm the presence of persistence effects in design innovation, offering novel evidence in support of the view whereby design is an iterative process shaped by the knowledge generated through firms’ previous engagement with design. In addition, the results contribute to our understanding of the role of design beyond its functional dimension, pointing to mutually reinforcing effects between aesthetic and symbolic design and product innovation.
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