The tension between open innovation and appropriability in marine renewable energy SMEs: Examining the role of the Chief Executive Officer
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Date
2025-09-17
Authors
Barrett, Gillian
Crowley, Frank
Noonan, Lisa
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Abstract
Marine renewable energy small and medium-sized enterprises (SMEs) are vital in addressing climate change through radical innovation in a complex, high cost, and high-risk sector. Open innovation (OI) is a strategic approach for SMEs to acquire external knowledge, important for creating their radical devices. However, OI strategies may result in R&D leakage, requiring SMEs to consider the balance between appropriation and OI. Founders/CEOs play a critical role in managing this tension, yet little is known about how they manage the OI–appropriation nexus. This study examines whether appropriability enables or hinders OI and how the founder/CEO's background influences the relationship. Using an explanatory, sequential mixed-methods design, a positive relationship between appropriation and OI is identified. The founders/CEOs' education, passion, and practical experience have a strong influence on OI adoption. This study advances the OI–appropriation literature, shining a light on the neglected but important human-side context of SME innovation management.
Description
© 2025, The Author(s). Business Strategy and the Environment published by ERP Environment and John Wiley & Sons Ltd.This is an open access article under the terms of the Creative Commons Attribution License, which permits use, distribution and reproduction in any medium,provided the original work is properly cited.
Keywords
SDG 7 - Affordable and Clean Energy , SDG 9 - Industry, Innovation, and Infrastructure , SDG 13 - Climate Action , Appropriability , CEO , Mixed methods , Open innovation , Small- and medium-sized enterprises , [CUBS] , Business and International Management , Geography, Planning and Development , Strategy and Management , Management, Monitoring, Policy and Law
Citation
Barrett, G, Crowley, F & Noonan, L 2025, 'The tension between open innovation and appropriability in marine renewable energy SMEs : Examining the role of the Chief Executive Officer', Business Strategy and the Environment, vol. 35, no. 1, pp. 945-966. https://doi.org/10.1002/bse.70200
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