Innovation under Dynamic Institutional Change: How Firms Can Capture Innovation Opportunities under Institutional Uncertainty
研究制度不确定性如何影响企业数字产品创新，发现两者呈U型关系，并揭示设计迭代作为时间分散的适应性行动能帮助企业应对不确定性、捕捉创新机会，对新兴市场企业有参考价值。
Abstract This study adopts a temporal lens to integrate opportunity logic with institutional theory, examining how varying and unpredictably evolving institutions across countries shape firm innovation. Focusing on nascent industries – where institutional environments are not only diverse but also characterized by irregular and rapid change over time – we theorize a U -shaped relationship between institutional uncertainty and digital product innovation. We further explore how design iteration, as a form of temporally distributed adaptive action, enables firms to navigate uncertainty and capture innovation opportunities in dynamic institutional contexts. Drawing on a sample of 4,619 firms from 50 countries in the global mobile app industry, our empirical findings support these propositions. This research advances a dynamic, time-sensitive perspective on institutions and innovation, offering key insights for emerging markets, like China, where firms operate amid rapid and unpredictable institutional transitions.