Knowledge Spillover at Trade Shows and Exhibitor Innovation

Abstract

Extant research indicates that trade shows provide business organizations an important platform to obtain competitive information and improve new product development; yet, only a scarcity of research has examined the effect of knowledge spillovers at trade shows and its impacts on firms' innovations. This study examined the effect of trade show strategy on innovation intention and innovation capability directly and indirectly, through the mediation of knowledge spillover at trade shows; it also analyzed the effect of innovation intention on firms' innovation capability at fieldconfiguring events, such as major trade shows. The sample consisted of 443 exhibitors at the China (Shenzhen) International Cultural Industries Fair. Findings revealed that exhibitors' trade show strategy directly affected their innovation capability, and knowledge spillover mediated the effect of trade show strategy on innovation intention, which exerted an impact on firms' innovation capability. This study indicates that, in addition to leveraging trade shows as marketing and sales venues for firms' products and services, trade shows can be used as a strategy for seeking new knowledge from competitor firms through knowledge spillover and for improving a firm's innovative ability; moreover, knowledge spillover at trade shows can affect a firm's innovation. The implication for firms participating in trade shows is to leverage the temporary clustering of people and products for the strategic purpose of knowledge acquisition and innovation.