Abstract

It is well acknowledged that innovation has become a strategic source in creating sustainable competitive advantages for firms. Since innovation is increasingly related to a firm’s ability to assimilate and exploit external knowledge, firms are facing challenges of accessing knowledge and sources of innovation. One of the sources for accessing external knowledge is the knowledge generated in universities. Therefore, the objective of this article is to review the literature on university-industry interactions and to identify the characteristics of firm which influence its ability in utilizing scientific knowledge transferred from universities. A number of factors are discussed which may influence the knowledge firms obtain from interactions with university researchers. They include: (1) Size; 2) Absorptive capacity; 3) R&D intensity; 4) Structure; 5) Strategy; 6) Culture; and 7) Trust. It is believed that this framework can provide a useful organizing scheme for understanding the existing literature on academic research, explaining the determinants on obtaining knowledge and guiding future studies on this issue.

Key words: Knowledge transfer, industry-university interactions, innovation.