Complementary Resources and the Exploitation of Technological Innovations

David King, Marquette University
Jeffrey Covin, Indiana University - Bloomington
W. Harv Hegarty, Indiana University - Bloomington

King, DR, Covin, JG, & Hegarty, WH. 2003. Complementary Resources and the Exploitation of Technological Innovations, Journal of Management, 29(4): 589-606.

Abstract

Technological innovation often results when the resources of a small firm are combined with those of a large one. This is because small and large firms characteristically possess complementary resources whose combination can facilitate innovation success. The possession of complementary innovation-producing resources by small and large firms helps explain patterns of interaction among firms in dynamic, technology-based industries. Propositions are developed that outline how typical resources of small and large firms can be used to explain industry-level phenomena surrounding technological change.