Leveraging firm innovation performance through alliance portfolios in emerging economies: the role of absorptive capacity

Firms are increasingly engaging in alliance portfolios/networks -AP/Nets -to leverage their innovation performance -IP -and thus boost their competitiveness.Most studies, with a few exceptions especially from emerging countries, found a positive relationship between AP/Net and IP, depending on portfolio characteristics and firm absorptive capacity -AC.This article undertakes an empirical investigation of the AP/Net -IP relationship and AC´s potentially moderating role in this relationship in an emerging country: Brazil.Statistical testing of hypotheses regarding these relationships, and AC´s role, corroborated the exceptions.However, it confirmed how important it is that firms in an emerging country ensure a high level of AC to mitigate the negative effects of AP/Net diversity on IP.Some managerial and policy implications were also formulated.