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Exploring open innovation collaboration between SMEs and larger customers: The case of high-technology firms

Anita Ellen Tobiassen (Oslo Business School, Oslo and Akershus University College of Applied Sciences, Oslo, Norway)
Inger Beate Pettersen (The Mohn Centre for Innovation and Regional Development, Western Norway University of Applied Sciences, Bergen, Norway)

Baltic Journal of Management

ISSN: 1746-5265

Article publication date: 20 November 2017

Issue publication date: 3 January 2018

1348

Abstract

Purpose

The purpose of this paper is to explore open innovation (OI) collaborations between high-tech small and medium-sized enterprises (SMEs) and large customers. The research aims to add new insights into how smaller firms attract and build trusting relationships with larger customers for the purpose of innovation, and to highlight customers’ contribution in SMEs’ innovation process.

Design/methodology/approach

This exploratory research is based on three case studies and adopts a process perspective to gather qualitative data on OI collaborations, focusing on the inherent dynamics, and evolution in long-term relationships.

Findings

The study provides insights into how SMEs develop OI relationships with both industry and research customers by building trust through various mechanisms. Motivated by the potential benefits of OI in strengthening the firms’ technological edge, the SME managers proactively and strategically developed and managed their OI relationships. The results proved that large customers contributed greatly to the SMEs’ innovation processes both directly and indirectly.

Practical implications

The research provides advice for smaller firms which are considering adopting an OI strategy with customers through mechanisms such as trust building and enhancing legitimacy.

Originality/value

The research adds to the OI literature on SMEs by exploring how smaller firms manage OI challenges, exploit benefits, and develop trusting relationships with larger customers and research institutions.

Keywords

Acknowledgements

Funding: This work was supported by the Maroff Program, Research Council of Norway, and the two industry clusters of NCE Subsea and NCE Maritime.

The authors would like to thank the anonymous reviewers for their helpful comments on an earlier version of this paper.

Citation

Tobiassen, A.E. and Pettersen, I.B. (2018), "Exploring open innovation collaboration between SMEs and larger customers: The case of high-technology firms", Baltic Journal of Management, Vol. 13 No. 1, pp. 65-83. https://doi.org/10.1108/BJM-01-2017-0018

Publisher

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Emerald Publishing Limited

Copyright © 2018, Emerald Publishing Limited

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