Combination and context: Exploring the process of technological innovation Matthew McKinlay Entrepreneurship Commercialisation and Innovation Centre of the University of Adelaide Submitted: 21st September 2017 Submitted for the degree of Doctor of Philosophy Table of Contents CHAPTER 1 Introduction ................................................................................................... 17 1.0 Introduction ......................................................................................................... 17 1.1 Practical problem focus ...................................................................................... 18 1.2 Theoretical focus ................................................................................................ 21 1.3 The research questions ...................................................................................... 24 1.4 Scope of the research ......................................................................................... 24 1.4.1 Research design ..................................................................................... 25 1.5 Methodology ....................................................................................................... 26 1.6 Research outcomes ............................................................................................ 30 1.7 Summary of contributions ................................................................................... 34 1.8 Thesis overview .................................................................................................. 35 1.9 Chapter Summary ............................................................................................... 36 CHAPTER 2 Literature Review .......................................................................................... 39 2.0 Introduction ......................................................................................................... 39 2.1 Innovation as ideas ............................................................................................. 40 2.1.1 Individuals have a history of failure and success .................................... 41 2.1.2 Genius ideas are not unique to recognised “geniuses” ........................... 42 2.1.3 At certain times, ideas appear not to rely on any one particular individual ................................................................................................. 43 2.1.4 Summary ................................................................................................. 44 2.2 Innovation as systems ........................................................................................ 45 2.2.1 What is a system? ................................................................................... 46 2.2.2 Different types of innovation systems ..................................................... 46 2.3 Technological innovation systems ...................................................................... 47 2.3.1 Recent developments in technological innovation system theory ........... 47 2.3.2 Technological innovation system dynamics ............................................ 49 2.3.3 Critique of technological innovation systems function model .................. 50 2.3.4 Quasi-static methodologies ..................................................................... 50 2.3.5 Internal orientation .................................................................................. 51 2.3.6 Problems of applying the system concept at the micro level .................. 53 2.3.7 Assessment of the Technological Innovation Systems Function model . 54 2.4 Innovation as process ......................................................................................... 55 i Table of Contents 2.5 The importance of environment .......................................................................... 58 2.5.1 Combination ............................................................................................ 59 2.5.2 What is combination ................................................................................ 62 2.5.3 Exaptation as a tool of combination ........................................................ 63 2.6 Research questions and summary ..................................................................... 65 2.6.1 Research questions ................................................................................ 65 2.7 Chapter Summary ............................................................................................... 65 CHAPTER 3 Technological lifeworld model ..................................................................... 69 3.0 Introduction ......................................................................................................... 69 3.1 Prehistory lifeworld ............................................................................................. 70 3.1.1 Capacity of the lifeworld .......................................................................... 70 3.1.2 Components ............................................................................................ 73 3.1.3 Imaginative descriptions of technology ................................................... 75 3.1.4 Parallel technology .................................................................................. 76 3.1.5 Summary of prehistory lifeworld .............................................................. 77 3.2 Establishment lifeworld ....................................................................................... 78 3.2.1 Accumulation via new technologies ........................................................ 79 3.2.2 Incremental improvement creating combination and exaptation opportunities ............................................................................................ 79 3.2.3 Summary of establishment lifeworld ....................................................... 82 3.3 Development lifeworld ........................................................................................ 82 3.3.1 New entrants ........................................................................................... 83 3.3.2 Variation and selection ............................................................................ 84 3.3.3 Summary of the variation and selection work ......................................... 87 3.3.4 Summary of development lifeworld ......................................................... 89 3.4 Innovation lifeworld ............................................................................................. 90 3.4.1 Emergence of a dominant design ........................................................... 90 3.4.2 How dominant designs are formed ......................................................... 91 3.4.3 Dominant design as a process ................................................................ 92 3.4.4 Summary of the innovation lifeworld ....................................................... 93 3.5 Chapter summary ............................................................................................... 94 CHAPTER 4 Methodology .................................................................................................. 97 4.0 Introduction ......................................................................................................... 97 4.1 Philosophy of innovation ..................................................................................... 98 4.1.1 Problem of abstraction ............................................................................ 98 4.1.2 Failed innovation and successful innovation may be similar ................... 99 4.1.3 Innovation emerges over time ............................................................... 100 ii Table of Contents 4.2 Philosophy of this research ............................................................................... 101 4.2.1 Ontology – what things are ................................................................... 101 The position of this research ............................................................................. 103 4.2.2 Epistemology – the way we know things ............................................... 103 4.2.3 The role of models in innovation research and the generalisability of knowledge ............................................................................................. 103 4.3 Case study overview ......................................................................................... 104 4.3.1 Case study overview and choice ........................................................... 104 4.3.2 Boundary conditions .............................................................................. 106 4.4 Data Overview .................................................................................................. 108 4.4.1 Secondary Data .................................................................................... 108 4.4.2 Primary data .......................................................................................... 115 4.5 Data analysis .................................................................................................... 118 4.5.1 Event history analysis ........................................................................... 118 4.5.2 Ethics and participant review ................................................................ 125 4.6 Chapter Summary ............................................................................................. 125 CHAPTER 5 Case Study Overview