Innovation is the distinctive characteristic of modern
economies and has been the common factor for sustainable economic
development since the industrial revolution.1 How
companies innovate, however, is changing.
Firms have traditionally approached innovation as a closed,
proprietary structure. Under this traditional approach, a firm
performs each stage of the research and development (R&D)
process on its own, under the direction and control of its central
management team.2 Firms create new knowledge through
their own research using the firm's existing knowledge
resources. Knowledge emanating from this R&D process is then
owned by the firm, since it created the knowledge.3 The
open innovation movement materialized as an alternative innovation
structure. With open innovation, firms seek external ideas to
combine with their own internal ideas. Open innovation accelerates
innovation by increasing firms' access to knowledge. Knowledge
is widely distributed throughout
