Impact of different strategic orientations on incremental innovation and radical innovation

This paper studies the innovative choice from the perspective of enterprise's strategic orientation. It analyzes the differences in the degree of innovation between entrepreneurial orientation and market orientation from aspects of strategic thinking and organizational learning, then, proposes a conceptual model and theory hypothesis. By analyzing the effective sample data from 463 enterprises of different industries in more than 10 provinces, we have confirmed the theoretical model. The results indicate that market orientation is helpful for incremental and radical innovation, entrepreneurial orientation is more helpful for radical innovation; and entrepreneurial orientation helps the enterprise to cultivate market orientation, thus can also promote incremental innovation; while a enterprise with an alignment of market and entrepreneurial orientation has a better technological innovation performance than that of either market orientation or entrepreneurial one.