Interorganizational networking impact to innovation

Purpose – to distinguish main inter-organizational networking characteristics and emphasize impact to innovation within the company and between related actors. Network formation is one of the essential factors to effective business performance and fostering competitiveness. The emergency of growing competition and influence of globalization leads companies to effectively use inner-sources and capabilities in order to be ahead of competitors. Design/methodology/approach – scientific literature analysis. Findings – the paper emphasizes the role and the value of networking that leads to innovation in order to succeed in a fast changing environment. Research limitations/implications – the research on networking and innovation impact to service sector has not been thoroughly implemented yet. Practical implications – the inter-organizational networking is a strategy of management and a powerful tool for development, solving of problems and acceptance or exchange of innovations. Innovation is a crucial element in the development of companies as well as their competition with rivals. Innovation enables companies to continuous adaptation to the global economy. Originality/Value – the paper stresses the importance of innovation that is seen as a highly significant factor and an impetus to modernization in the rapidly changing and increasingly more competitive business environment. The paper focuses on the significance of inter-organizational networks and its impact on innovation development.