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| The Cross-layer Nested Structure and Collaborative Mechanism of Leading-edge Enterprises' Innovation Chain: A Case Study of Huawei |
| Shao Jiyou,Sheng Zhiyun |
| (Business School,Nanjing University,Nanjing 210093,China) |
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Abstract As a rising power, China has gradually shifted its role from participating in the world economy to taking a lead in some fields.In the background of major changes in the global innovation landscape and profound adjustments in international economic and trade relations, it is a great mission for China to accelerate science and technology development andmodernization.As an important part of the national strategic scientific and technological force, leading-edge enterprises in science and technology have mastered core technologies and played a leading role in international industry competition. They shoulder the mission of speeding up the construction of an innovative country.Meanwhile, more than four decades of reform and opening-up experience also shown that leading-edge enterprises in science and technology have enhanced their competitiveness while driving the innovative development of China's economy.However, in the era of "Internet +" which emphasizes link and integration, the competition paradigm among leading-edge enterprises has undergone a huge change, from the competition among individual enterprises in the early stage to the competition among the embedded value chain constructed by leading-edge enterprises. The transformation of competition paradigm changes the innovation paradigm of leading-edge enterprises from independent innovation to collaborative innovation, and the corresponding functional structure also changes, from the earlier point-type innovation structure that relies on the firm's own resources to the chain innovation structure that takes the leading-edge enterprises as the core, and this is the innovation chain structure of leading-edge enterprises.#br#The innovation chain of leading-edge enterprises can be regarded as an industrial functional structure formed by the division of labor and cooperation of multiple entities of industry, university and research, with innovation as the common goal,andleading-edge enterprises as the dominant.There are limited studies which analyze the collaborative innovation concept and conflict resolution mechanism of innovation chain of leading-edge enterprises. The basic assumption embedded in these studies is that multiple types of entities are homogenous,which means leading firms are regarded as nodes that are homogenous with other entities. However, the development of information technology has pushed leading-edge enterprises to implement boundary changes in order to improve their environmental adaptability, thus emerging a new form of innovation chain in which both internal and external innovation participants of leading-edge enterprises are deeply integrated.At present, there is a lack of research to discuss the linkage relationship and coordination mechanism between internal and external innovation participants of leading-edge enterprises. #br#In order to enrich the existing theoretical research, this paper explores how leading-edge enterprises construct innovation chain. By using exploratory case study method, this study chooses Huawei as a typical case to analyze the unique structure and collaborative mechanism of innovation chain of leading-edge enterprises in the context of borderless organization. The findings are as below. Firstly, the innovation chain of leading-edge enterprises has a unique structure of internal and external nesting. Generally, leading-edge enterprises as a whole participate in the operation of the macro innovation chain. Meanwhile, leading-edge enterprises create an independent and complete micro-innovation chain system internally, and the business units within leading-edge enterprises lead and complete innovation activities at different stages of the innovation chain. By building a matching system of supply and demand of internal and external technical resources, leading-edge enterprises can ensure that they can precisely select external participants with specific resource endowments to join in and cooperate to complete various tasks.and thus the external participants show the characteristics of phased participation in the whole innovation chain. Generally speaking, scientific research entities such as universities and research institutes in academia are more involved in innovation activities in the stage of basic research, while commercial entities such as customers, competitors and suppliers in the industry are more involved in innovation activities in the stage of applied research and experimental development. The periodical participation of external participants in innovation activities of the innovation chain can ensure that all participants are deeply engaged in their own fields, which is conducive to giving full play to the resource endowment advantages of different participants and improving the overall technological capability of the innovation chain. Secondly, in order to achieve efficient collaboration among different types of entities in the innovation chain, leading-edge enterprises comprehensively adopt multiple synergy mechanisms, such as market contract constraint, social capital sharing, business interest bundling, internal market design and bureaucratic authority governance, to improve the overall synergy effect of the innovation chain.#br#
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Received: 22 April 2022
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