Degree assortativity in collaboration networks and breakthrough innovation: the moderating role of knowledge networks

Abstract

Collaboration networks are widely recognized as essential channels for accessing innovation resources and facilitating creative activities by enabling the exchange of knowledge and information. However, there is little known about whether and how the similarities and dissimilarities between actors forming ties in a collaboration network can either stimulate or inhibit firms’ breakthrough innovation. This study explores the relationship between degree assortativity in collaboration networks and breakthrough innovation performance, considering the moderating role of knowledge network characteristics. Using a sample of 80,129 semiconductor patents from the United States Patent and Trademark Office database spanning the years 1975 to 2007, we constructed both the internal collaboration network and the knowledge network of firms. To test our hypotheses, we employed a negative binomial regression model. Our findings demonstrate that firms with lower degree assortativity in their collaboration networks tend to exhibit higher levels of breakthrough innovation performance compared to those with higher degree assortativity. Moreover, the number of direct ties in the knowledge network strengthens the negative relationship between collaboration network degree assortativity and breakthrough innovation. Conversely, the number of non-redundant ties in the knowledge network mitigates the negative relationship between collaboration network degree assortativity and breakthrough innovation. This study provides practical guidance for firms aiming to enhance their innovation capabilities by simultaneously developing internal collaboration networks and knowledge networks.