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Abstract

In a context of increasingly intense competition, creating a unique mix of value through innovation has been considered one tenet for creating a competitive advantage (Porter, 1996). During the past decades, innovation has become a central issue of strategic management (Nag et al., 2007). The literature has identified several problems in relation to firm failure innovation decisions, focusing on the supply-side (organizational competence, Henderson 2006; dependence of actual most profitable customers, Christensen, 1997; out-of-date competence due to technological breakthroughs, Tushman & Anderson, 1986), and on the demand-side (market turbulence, Abernathy & Clark 1985; institutional environment, Chesbrough, 2001).

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