Quantity or Quality? The Impact of Multilevel Network Structural Holes on Firm Innovation

Abstract

Embedding collaboration networks in the context of open innovation can facilitate firm innovation. Previous studies have not considered the impact of multilevel network structural embedding on firm innovation. In this study, organizational collaboration networks, knowledge networks, and urban collaboration networks are viewed as systems to explore their impact on innovation quantity and innovation quality. We validate the research hypotheses using data from Chinese high-tech firms in the field of artificial intelligence and intelligent manufacturing equipment. The results indicate that structural holes occupied by firms in organizational collaboration networks can increase the innovation quantity and have a U-shaped effect on innovation quality. Knowledge network structural holes and urban collaboration network structural holes moderate the relationship between organizational collaboration network structural holes and innovation quantity and quality. Our findings will help firms to efficiently utilize the advantages of multilevel network structural holes to improve the innovation quantity and innovation quality.