Open innovation and innovation performance: The mediating role of network embeddedness

The objective of this paper is to understand the contribution of networks embeddedness to innovation openness and performance. This study developed and simultaneously tested three hypotheses about:(1) The impact of open innovation on innovation performance, (2) The impact of open innovation on network embeddedness, (3) The impact of network embeddedness on innovation performance. Based on survey from 212 high-tech enterprises, LISREL software was used to test the hypotheses. The results indicated that open innovation both directlyand indirectly through network embeddedness affected innovation performance. Consequently, enterprises should concentrate on cultivation and maintaining network embeddedness if they lead to improvements in innovation.