Author(s)

Jian Chen, Yimei Hu, Yuchen Gao, Qian Wang and Zhuoran Liu

Corresponding Author

Yuchen Gao

Abstract

This study attempts to answer the research question about how does a hub firm orchestrate innovation ecosystem of complex product development through dynamic capabilities, and how to make sense of such ecosystem-based dynamic capabilities. Using an exploratory single case study, this research analyzes the electricity power industry in China, which is rising with the ambitious expansion and emergence of several magnates. The study finds that three ecosystem-based dynamic capabilities, namely environment scanning, collaborative arrangement and value integration, are important for a hub firm to orchestrate the innovation ecosystem. Furthermore, at the different stages, i.e. co-vision, co-design and co-create, of complex product development, the focus of a hub firm’s dynamic capabilities differs. Based on the case findings, this study is expected to contribute to extant innovation ecosystem literature by extending the understanding of the role of ecosystem hub firms as orchestrators and related dynamic capabilities for the orchestration. In addition, this study could provide a new perspective of considering how Chinese SOEs leading the indigenous innovation strategy by orchestrating an innovation ecosystem.

Keywords

Innovation ecosystem; dynamic capabilities; orchestration; complex product systems