Journal article

Publication year: 2018

Pages: 865-889

Journal: Journal of Product Innovation Management

Volume number: 35

Issue number: 6

ISSN: 0737-6782

eISSN: 1540-5885

DOI Link: https://doi.org/10.1111/jpim.12450

Publisher: Wiley

Abstract: 
An increasing body of research has emphasized that managerial social networks are crucial for innovation. However, empirical research has yielded inconclusive results which have stimulated an ongoing debate about which type of networks are most conducive to innovation: bonding (cohesive) or bridging (diverse) networks? To resolve this debate, a growing number of scholars have argued that whether cohesive or diverse networks are more beneficial for innovation depends on the context. To extend this stream of research, this study draws on social network and institutional theory to examine the moderating role of both formal and informal institutional environments. Using several meta-analytic techniques to integrate findings from 88 studies, thereby spanning 26 different countries and 20 years of research, the results of this study reveal that institutional environments significantly moderate the impact bonding and bridging networks have on innovation. In particular, the findings indicate that cohesive networks are more effective to stimulate innovation in weak political, regulatory, and financial institutions as well as in collectivistic cultures, whereas diverse networks are more beneficial for innovation in strong political and regulatory institutions as well as in individualistic cultures. This study thus extends prior research on managerial networks and innovation by uncovering how formal and informal institutions influence whether bridging or bonding networks are more beneficial for innovation. For practitioners, the results provide important insights as they reveal how top managers can cope with different formal institutions and cultural settings through specific types of networks to best promote innovation.

Harvard Citation style: Kraft, P. and Bausch, A. (2018) Managerial Social Networks and Innovation: A Meta-Analysis of Bonding and Bridging Effects across Institutional Environments, Journal of Product Innovation Management, 35(6), pp. 865-889. https://doi.org/10.1111/jpim.12450

APA Citation style: Kraft, P., & Bausch, A. (2018). Managerial Social Networks and Innovation: A Meta-Analysis of Bonding and Bridging Effects across Institutional Environments. Journal of Product Innovation Management. 35(6), 865-889. https://doi.org/10.1111/jpim.12450