Product innovation: When should suppliers begin to collaborate?

Abstract

This study analyzes how Spanish manufacturing firms' technological collaboration with suppliers affects these firms' product innovation. This research also considers innovation novelty (radical versus incremental). Using the 2007–2010 data from the ESEE (Business Strategies Survey), logistic regression analysis shows that technological collaboration with suppliers is an important factor in the innovation process. Novelty degree is also an important factor because collaboration's effect varies over time: early supplier involvement is not always essential.