A risk worth taking? The effects of risk and prior experience on co-innovation participation

Purpose Co-innovation networks face the important challenge of cultivating collective innovation outcomes while also preserving the interests of individual contributors. Addressing this challenge requires first understanding and then managing individuals' perception of co-innovation risks. The purpose of this paper is to provide a meaningful approach to addressing co-innovation risks using a valid and reliable model to assess actors' perception of risk and examine its effect on actor co-innovation behavior. Design/methodology/approach The construct of co-innovation risk from the actor's perspective was conceptualized based on a case study of a co-innovation network. The measurement items underwent a pilot study and a field study to establish the necessary reliability and validity. This paper also empirically assesses a nomological network that illustrates the effect of risk on co-innovation behavior with a moderating effect of prior experience. Findings Co-innovation actors perceived four different individual risks: time, social, intellectual property right, and financial. The empirical results from the field study demonstrate a high degree of confidence in both translation validity and criterion-related validity. Negative effects of perceived co-innovation risk on actors' continuous intention to ideate, collaborate, and communicate in co-innovation were evident, but prior experience moderated these relationships. Originality/value Drawing from co-innovation and individual risk literature, this study develops and validates a general instrument to measure co-innovation risk from the actors' perspective. The result is a reliable and parsimonious instrument with 15 items, which contributes significantly to future empirical investigations of co-innovation behavior on virtual platforms.