The Empirical Study on Innovation Adoption in Shipbuilding Industry

Abstract

This study demonstrates the effect of structural fold, which is a position in a network of companies adopting the same engine for innovation. The data comprises an index calculated from a network of 110 shipbuilding companies in the world in 2009, using the same engine adopters with a tie. Using multivariate analysis of a negative binomial regression model, this study demonstrated that the structural fold facilitated a company's adoption the engine. The theoretical contribution of this study to network theory is using archival data to demonstrate that recruitment by companies located in the structural fold is important for the diffusion of innovation.