Expanding the open innovation concept: the case of TOTVS S / A

Abstract

The aim of this study is the process of open innovation in the growth development of a technology-based company. We used the case study method to research Totvs, a company that is the largest producer of information systems in Latin America, for medium and small businesses, as an illustrative case to support the evidences of new approaches to implement the open innovation processes. The main conclusions regarding the expansion of the open innovation concept can be seen taking the following distinct factors into account: (a) technological dominion, not business protection, is the main motivator for acquisition of external technologies, directly or through other enterprises acquisition, (b) adherence to technological footprint is the main inducer of the open innovation processes, (c) market pull technologies determines the length and range of technological dominion, and (d) incremental instead of radical type of innovation would be the preferred way to implement the open innovation process.