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The Contrary Forces Of Innovation A Conceptual Model For Studying Networked Innovation Processes

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Executive Summary

Innovation processes represent a particular challenge to industrial network theory, given its emergence from a focus on explaining why businesses tend to be much more intertwined in stable collaborative networks than what can reasonably be associated with the fundamental assumptions underlying the general equilibrium market theory of mainstream of economics. Given this emphasis on relative interrelatedness, interdependency and stability, observed radical changes and innovations must, however, also be properly accounted for. To do so, a particular concept of "Friction" has been introduced which identifies controversy between the forces of whatever has been put in place and the forces of whatever movements, changes and efforts that somehow interacts with such an established order (H?kansson & Waluszewski 2001).

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