Exploration and exploitation of technological knowledge in R&D cooperation – An analysis of patent citations by German manufacturing firms

Abstract

Using the concept of exploration and exploitation, this paper investigates whether R&D cooperation increases the existing knowledge base of a company by exploiting knowledge or by creating new knowledge with the partner. We study 1391 R&D collaborations of German manufacturing firms in the years 1990-2000 by patent citations data. Rather than building on both partner’s knowledge, companies tend to generate new knowledge in those collaborations. Furthermore, exploring new knowledge does not seem to require cooperating with new partner firms.