Empirical Analysis on the Mediating Role of Absorptive Capacity between Knowledge Spillover and Innovative Performance of Firms within High-tech Industry Cluster

In the recent 15 years, research about local knowledge spillovers has attracted more attention. Many earlier studies argue that local knowledge spillovers is the main factors that influence innovative performance of firms operating within high-tech industry cluster, at the same time, absorptive capacity are also important. This paper investigates how a firm's absorptive capacity (ACAP) mediates the impact of knowledge spillovers on innovation performance of firms operating within high-tech industry cluster. Our basic hypothesis is that those firms with higher absorptive capacity, not only identify more knowledge spillovers; they are also able to manage them more efficiently, and ultimately transform them into innovative outcome. The date comes from questionnaires of 102 firms in Changchun software industry cluster in China. As a result of this study, we do find empirical support that absorptive capacity mediates the impact of knowledge spillover on innovative performance of firms within high-tech industry cluster