The “similarity” and “heterogeneity” theses in studying innovation: evidence from the end-of-life vehicle case

Abstract

The paper seeks to understand how eight companies in the European car industry responded to changing business conditions under the threat of regulation on the waste problem of end-of-life vehicles. It was observed that the companies pursued diverging innovation tracks in dealing with the regulatory pressure, although competing in the same markets and subject to similar regulatory pressure. The case is interesting to consider in the light of recent discussions of differences in styles of innovation. The question then is whether any sort of style of innovation may be distinguished in the diverging innovation tracks. The objective of the paper is to add to these discussions by considering the results of this case study in the light of “similarity” and heterogeneity hypotheses that may be advanced around “styles” of innovation.