How innovation community embeddedness impacts firms' innovation performance: Evidence from the global 3D printing industry

The acceleration of digitalization and networking in the global landscape has been prompting organizations to connect into innovation communities beyond geographic boundaries within innovation ecosystems. These communities, consisting of firms that collaborate frequently, serve as a vital sub-environment for co-innovation and value creation. Despite the significant role played by these innovation communities, the impact of a firm's embeddedness within these communities on its innovation performance remains underexplored. This paper addresses this gap by examining the effects of both within-community and cross-community embeddedness on firm innovation, with a specific focus on the contingency of collaboration complementarity. We introduce a conceptual model analyzing the effects of both relational and structural embeddedness within and across communities. An empirical study is conducted using 22 years of panel data from the global 3D printing industry. We construct patent collaboration networks among 6,109 relevant organizations over 5-year windows and identify innovation communities in each network through topological clustering algorithms. A negative binomial regression model is employed to test our hypotheses. Our findings reveal that firms benefit from both within-community and cross-community embeddedness. Notably, firms with higher collaboration complementarity experience greater benefits from within-community relational embeddedness and cross-community structural embeddedness, while those with lower complementarity gain more from cross-community relational embeddedness. This research enriches the innovation ecosystem literature by introducing an innovation community perspective and highlighting how embeddedness, coupled with collaboration orientation, drives firm-level innovation. Additionally, it offers insights into how firms can leverage collaborations and optimize their positions within innovation ecosystems to enhance their innovation performance.