ABSTRACT

This chapter focuses on research that explores the behavioural influences on innovation practice and their association with intellectual capital (IC), especially through narratives, which are associated with communication of IC inside and outside organizations. It examines performative interactions between IC and innovation practice, includes how IC contributes towards innovation based on a continuum including radical, evolutionary, and incremental innovation. In the academic literature, the recursive contribution of innovation to business competitiveness has been widely investigated. The chapter argues that to implement and control innovation through an IC lens innovation narratives can be used as a coordination device as "they have the power to explain innovation processes so that they are comprehensible and appear legitimate". Researchers continue to seek evidence to prove the grand theory linking IC to innovation. The findings have a number of implications for IC and innovation practice, research, and policy-making.