The Effect of Network Closure and Structural Hole in Technological Knowledge Exchange on Radical Innovation

기술지식 교류 네트워크의 네트워크 폐쇄와 구조적 공백이 급진적 혁신에 미치는 영향

  • Ahn, Jae-Gwang (Department of Business Administration, Kumoh National Institute of Technology) ;
  • Kim, Jin-Han (Department of Business Administration, Kumoh National Institute of Technology)
  • 안재광 (금오공과대학교 경영학과) ;
  • 김진한 (금오공과대학교 경영학과)
  • Received : 2018.04.03
  • Accepted : 2018.04.20
  • Published : 2018.04.28


This study empirically test the roles of network closure and structural hole on radical innovation in technological knowledge exchange network in Gumi cluster. In doing so, we build 2,550 firm network, transforming association*firm(2-mode) to firm*firm(1-mode) network data. In addition, in order to investigate firms' attributes, we conduct survey for 101 firms in Gumi cluster using random sampling, and finally collect 86 firm samples. For analysis, we use ridge regression since network density and efficiency, indices of network closure and structural hole respectively, has a high level of multicollinearity. The findings show that structural hole has a significant and positive impact on radical innovation, but network closure has a significant and negative impact on radical innovation. This study contributes to present an empirical evidence of debate on network closure and structural hole based on past conceptual discussions and literature review and further goes a long way towards strategy formulation to establish social capital in accomplishing radical innovation. Further research is required that pays closer attention to features of technological knowledge, innovation types and interaction between network closure and structural hole, directing efforts to structural characteristics of various networks.


Supported by : Kumoh National Institute of Technology


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