Abstract
A firm's internal control mechanisms may have a significant influence on the choice of innovation mode. Therefore, based on the research on the internal control mechanisms of companies, we developed a model to explore the relationship between a firm's internal control mechanisms and the choice of innovation mode. Using a sample of 585 Chinese firms, this study tests the proposed model. Results show that strategic control has a positive relationship with radical innovation, but a negative relationship with incremental innovation, while financial control has a negative relationship with radical innovation, but a positive relationship with incremental innovation.
| Original language | English |
|---|---|
| Pages (from-to) | 91-101 |
| Number of pages | 11 |
| Journal | Frontiers of Business Research in China |
| Volume | 1 |
| Issue number | 1 |
| DOIs | |
| State | Published - Feb 2007 |
Keywords
- Financial control
- Incremental innovation
- Radical innovation
- Strategic control