The role of reward systems in product innovations

an examination of new product development products

Focusing on new product development projects, this study suggests that the effect of a market orientation on innovation performance relationships may differ depending on whether the market orientation is responsive or proactive. This study argues that process-based and outcome-based rewards moderate the effect. Based on a survey of 186 new product development projects in 122 high-tech firms, this study found that responsive and proactive market orientations have positive influences on incremental innovation performance and radical innovation performance, respectively. In addition, the positive effect of a proactive market orientation on performance is strengthened by process-based rewards, whereas the positive effect of a responsive market orientation on performance is positively moderated by outcome-based rewards.
member content locked

Log in or join PMI to gain access

or Join

Advertisement

Advertisement

Related Content

  • PM Network

    Biting Back member content locked

    By Parsi, Novid The world's deadliest animal doesn't have claws or teeth—and it's tiny. Each year, blood-sucking mosquitoes kill 830,000 people by carrying and spreading disease. Malaria is by far the deadliest…

  • PM Network

    Bright Idea member content locked

    By Thomas, Jen Though Paris, France lays claim to the nickname "City of Light," for 53 days each year, Amsterdam, the Netherlands finishes a close second. Featuring nearly 30 original installations crafted by…

  • PM Network

    Hot Property member content locked

    By Hendershot, Steve For decades, buying or selling property has followed the same well-worn path: a commercial or residential listing, an agent showing and a mountain of manual paperwork. Even as technological upheaval…

  • PM Network

    Smart Wheels member content locked

    By Ali, Ambreen Wheelchair design has remained stagnant for decades. That's a problem, considering people with disabilities still can't always access everyday infrastructure. In Paris, France, for instance, only…

  • PM Network

    Mining for Fresh Takes member content locked

    Contaminated water and soil. Lengthy vertical shafts hidden by overgrown vegetation. Hazardous machinery submerged in stagnant water. Closed mines and quarries can be dangerous—even deadly—but…

Advertisement

Publishing or acceptance of an advertisement is neither a guarantee nor endorsement of the advertiser's product or service. View advertising policy.