Searching in the regulatory environment

The impact of regulatory search on firm innovativeness

Lu Jiao, Kevin Baird, Graeme Harrison

Research output: Contribution to journalArticle

Abstract

This article examines the effect of regulatory search on firm innovativeness using survey data from Chief Executive Officers (CEOs) of Australian listed and private firms. We used a self-developed scale to measure regulatory search, which consists of both reactive and proactive regulatory search. The results show that only reactive regulatory search exhibits a positive and direct association with firm innovativeness. However, the results suggest that slack moderates the relations between the two regulatory search factors and innovativeness in different ways. Specifically, under a high (low) slack environment, reactive regulatory search is negatively (positively) related to innovativeness, while, under a high (low) slack environment, proactive regulatory search is positively (negatively) related to innovativeness.

Original languageEnglish
Pages (from-to)153-171
Number of pages19
JournalAustralian Journal of Management
Volume45
Issue number1
Early online date9 Jul 2019
DOIs
Publication statusPublished - 1 Feb 2020

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Keywords

  • Innovativeness
  • proactive search
  • reactive search
  • regulatory search
  • slack

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