Abstract
Evaluating enterprises’ technological innovation levels is crucial for assessing their technological capabilities and formulating technology strategy plans. Grounded in the knowledge flow theory, this study integrates patent metrics, social network analysis, and knowledge characteristics to develop a comprehensive index system for measuring enterprises’ technological innovation levels and analyzing the competitive landscape. It focuses on evaluating the technological innovation levels among enterprises in the medical equipment sector from 2012 to 2024. The findings indicate that, in the medical equipment sector, KONINKLIJKE PHILIPS ELECTRONICS N.V and FUJIFILM CORPORATION are advanced in terms of technological innovation. Moreover, the United States, Japan, and European countries constitute the core competitive landscape in this field, with the United States leading in high-tech innovations. As a relative newcomer country, China demonstrates varying degrees of technological innovation across its enterprises. Enhancing cooperation and establishing platforms for technological innovation collaboration represent effective strategies to strengthen the technological innovation capabilities of these countries.
Keywords
Introduction
The medical equipment industry is a critical technological domain for national healthcare advancement (X. Wu et al., 2023), and medical policies worldwide have fostered numerous device enterprises and stimulated technological innovation. Recent studies have examined core technologies in this sector (Cai et al., 2024), analyzed global research trends (Bai et al., 2024), and investigated innovation risks and development strategies (Z. Zhang & Rao, 2021). In the knowledge economy era, knowledge reserves and innovation resources are pivotal drivers of economic growth (Shukla, 2021), particularly in medical equipment technology. They enhance enterprises’ innovation capacity, economic strength, and sustainable development, while shaping future knowledge, technology, and market competitiveness (Haq & Davies, 2023).
Technological innovation level reflects an enterprise’s innovative output and its contribution to advancing other enterprises. Systematic evaluation of technological innovation level facilitates clarify technological standing, optimize resource allocation, and strengthen competitive advantage (Lv, 2023), enabling analysis of firm positioning, competitive landscape, and performance benchmarking against industry leaders. Research on evaluating innovation levels and competitive positioning focuses on indicator selection and methodological innovation. Indicators typically include innovation input and output (Yi et al., 2021). Methods range from traditional statistics to network analysis, improving evaluation accuracy (S. Xu et al., 2025; Q. Zhang et al., 2023). Data visualization further enables intuitive depiction of technological competition (J. Li et al., 2024; R. Z. Zhang et al., 2025).
However, the existing research on the medical equipment industry lacks sufficient analysis of the technological innovation level and landscape, which is essential for enterprises to identify strengths and weaknesses, enhance their innovation capabilities, and inform latecomer countries’ innovation strategies. Moreover, current evaluation methods overlook the knowledge elements embedded in technological innovation. Incorporating enterprise knowledge and inter-firm knowledge flows into the assessment framework can improve both innovation capability evaluation and competitive landscape analysis. This study proposes a novel framework for constructing a technological innovation measurement indicator system from a knowledge flow perspective, which provides a foundation for evaluating innovation levels and fostering high-quality development by Emphasizing the role of knowledge generated during innovation.
Literature Review
Existing research on enterprise technological innovation evaluation primarily focuses on input and output dimensions. Input indicators include R&D investment and the number of personnel (Ma et al., 2023; Cummings & Knott, 2018). However, the inherently unpredictable nature of innovation outcomes limits the validity of using R&D investment as a reliable metric. Output indicators cover patent applications and grants, citation counts (Bradley et al., 2017), new product development (K. Lee & Yoon, 2015), and economic benefits (de Melo et al., 2021). They represent tangible results of innovation activities and serve as a direct performance indicator. Furthermore, new product metrics such as categories, sales volume, and customer satisfaction, though relevant, are difficult to access due to their link to core corporate resources. Patent data, as an open and structured dataset from enterprises with relatively comprehensive and standardized information, offers a suitable alternative for analyzing technological innovation levels (Y. N. Lee, 2015; Ponta et al., 2021). Consequently, patent-based evaluation systems are more widely adopted (Yu et al., 2020).
Several methodologies are employed to measure technological innovation capability, including principal component analysis (Yin & Su, 2021), entropy-TOPSIS (Yuan & Song, 2022), IPSO-ATT-MSCNN (Q. Zhang et al., 2023), data envelopment analysis, meta-frontier, and Tobit regression (Q. Zhang et al., 2023). System complexity demands more sophisticated assessment approaches. Luo and Lin (2022) propose a hybrid evaluation model based on consistent fuzzy preference relations (CFPR) and triangular intuitionistic fuzzy numbers. Velazquez-Cazares et al. (2021) underscores the application of expert models, sufficiency coefficients, and theory of forgetting effects. Pei et al. (2024) develop a multi-attribute decision-making approach that utilizes interval type-2 trapezoidal fuzzy information measures and is propelled by trigonometric functions.
With advances in social network theory, patent and literature analyses reveal relational structures among innovation actors (S. Xu et al., 2025), including research collaboration (J. Li et al., 2024), citation linkages (H. Y. Xu et al., 2020), and technological similarity (Qiu & Wang, 2023). Network centrality captures an entity’s prominence across these relational contexts. Zhao et al. (2019) construct co-citation and co-project networks to demonstrate influence diffusion among research teams. An et al. (2023) integrate PageRank and enhanced HITS algorithms with patent citation data to assess technological and enterprise innovation impact. Synthesizing these approaches offers new pathways for measuring innovation capability. K. K. Lai et al. (2020) combine patent indicators, network centrality, and main path analysis to help enterprises identify their competitive positioning.
Integrating innovation capability metrics with competitive landscape analysis is critical for decision-makers. Chang (2012) uses patent counts and citations to model technology positioning, advancing quantitative research on technology distribution. Wang et al. (2022) extend this by incorporating market domains, R&D capability, and composite patent indicators. As technological fields become more specialized, scholars adopt advanced methods such as Recurrent Graph Neural Networks (RGNN) and Latent Dirichlet Allocation (LDA) topic models to analyze technology ownership patterns (J. Li et al., 2024; R. Z. Zhang et al., 2025). These approaches are applied to high-tech sectors including digital twin, negative carbon (J. Li et al., 2024), electronic design automation (Wang et al., 2022), and autonomous driving technologies (R. Z. Zhang et al., 2025).
Current evaluation of technological innovation capability primarily emphasizes output quantification, while landscape analyses focus predominantly on technological dominance. The developmental role of knowledge generated through innovation remains underappreciated. Yet knowledge creation underpins technological advancement and is indispensable to innovation. This study foregrounds knowledge flow and contribution, using enterprises’ core technological knowledge as the primary metric for evaluating innovation levels and mapping competitive landscapes.
Methods
Based on established indicators from the literature, this study develops a three-dimensional framework for evaluating enterprises’ technological innovation level: technological patent holdings, contribution of technological innovation, and characteri- stics of the knowledge base. Patent holdings capture quantified technological output, including authorized invention patents, patent families, and citation counts (Geisler, 2002; Guerrero-Bote et al., 2021). The knowledge base reflects the value generated by an enterprise’s knowledge stock, serving as the foundation for innovation. Innovation outcomes depend on the technical scope and research depth embedded in these achievements, signaling innovation capability (Zhou et al., 2024). Contribution to external innovation represents the translation of knowledge into outputs that are absorbed by other enterprises, shaping technological trajectories. Enterprises producing high-quality innovations occupy central positions, drive technological progress, and exert broad influence (Kamasak & Bulutlar, 2010; Whittington et al., 2009). From a systems perspective, an enterprise’s contribution integrates with and extends beyond its knowledge base, reflecting innovation level and development quality (Cricchio et al., 2025). Building on this framework, we propose a method for measuring innovation levels and analyzing competitive patterns. Figure 1 illustrates the research framework.

Research framework.
Selection Measurement Indicators
Technology Patentometrics
Patents are direct outputs of technological innovation and the quantity and quality of which reflect an enterprise’s innovation capability. An enterprise’s patent portfolio includes granted patents, citation frequency, and patent family diversity. Granted invention patents indicate technological advancement. The frequency of patent citations indicates the extent to which technology is acknowledged and utilized by other enterprises for further technological innovations, manifesting the quality and impact of technological innovation. Patent families capture the extent to which technology serves as a barrier across markets, embodying strategic influence.
Technological Innovation Contributions
Technological innovation contribution reflects the extent to which an enterprise’s innovation output provides knowledge that advances other enterprises’ technological development. This contribution is evaluated using a knowledge flow network derived from patent citations. The network is constructed as follows:
Step 1: Patent-producing and patent-citing enterprises are treated as nodes, with citation relationships as directed edges weighted by citation counts. Edge direction indicates knowledge flow. For example, if Enterprise B cites A three times and A cites B once, the edge weights from A to B and B to A are 3 and 1, respectively (Figure 2); Step 2: Examiner citations are excluded, as they do not represent inter-enterprise knowledge flow; Step 3: Each patent family is treated as a single invention and all citations within the family are consolidated into one knowledge flow event, regardless of country; Step 4: Self-citations (where the citing and cited enterprises are the same) are removed.

The directed knowledge flow and its weight between enterprise A and B.
From the knowledge flow network, we selected four indicators to evaluate enterprises’ technological innovation contributions: indegree centrality, outdegree centrality, betweenness centrality, and closeness centrality.
Indegree centrality measures the extent and diversity of knowledge inflow to a node. High indegree nodes form numerous knowledge associations, acquire greater knowledge benefits, and enhance their knowledge reserves and quality. In a patent citation network, enterprises that absorb technical knowledge tend to generate new innovations, reflecting strong knowledge integration and transformation capabilities.
Outdegree centrality reflects a node’s influence in the knowledge flow network, indicating how often its knowledge is cited or used by others. Greater absorption and integration of an enterprise’s innovation outcomes by other nodes signals higher knowledge quality and a more prominent role in technological development.
Betweenness centrality captures a node’s role as a bridge in the network. Nodes with high betweenness access diverse critical knowledge and facilitate knowledge transfer among other nodes, contributing to overall technological innovation capacity.
Closeness centrality represents the average distance from a node to all others. Knowledge loss increases with transmission distance; thus, shorter average distances enable greater knowledge integrity to be conveyed to other nodes.
Table 1 provides detailed definitions and mathematical formulas for each indicator.
Indicators and Connotation of Technological Innovation Contributions.
In formulas (1)–(4),
Additionally, a node’s knowledge absorption capacity depends not only on the volume of its inputs but also on their quality. Incoming connections from high-quality nodes enhance a node’s importance through iterative network effects. However, indegree centrality captures only the quantity of incoming links. To better reflect node significance, the quality of upstream nodes must be considered. The PageRank algorithm addresses this by incorporating source node quality in its iterative computation. A higher PageRank value indicates greater node importance. The algorithm is formalized as follows:
where
Knowledge Base Characteristics
A strong knowledge base enables enterprises to identify and seize new opportunities, thereby enhancing innovation performance. Prior research typically characterizes knowledge bases along two dimensions: knowledge breadth and knowledge depth, reflecting horizontal and vertical development (Mannucci & Yong, 2018). We adopt this framework to assess enterprises’ knowledge base as part of their technological innovation capability.
Knowledge breadth refers to the diversity and heterogeneity of an enterprise’s expertise across technological domains, capturing the range of its knowledge content and technical proficiency (de Luca & Atuahene-Gima, 2007; J. Wu & Shanley, 2009). Following Z. B. Li et al. (2021), we measure knowledge breadth by counting the first four IPC symbols in the enterprise’s patent applications:
Knowledge depth captures the extent of an enterprise’s expertise within a specific domain, reflecting its proficiency with complex and advanced knowledge content in particular technologies or applications (de Luca & Atuahene-Gima, 2007; Jin et al., 2015). Following Liu et al. (2014), we measure knowledge depth as follows:
First, compute the ratio of patents held by enterprise i in technology field j (IPC subclass) to its total patents:
here,
where
Indicators and Weights
Following the framework in Section 3.1, we develop an indicator system (Table 2) that synthesizes technological innovation output metrics to evaluate technological innovation level of enterprises.
Indicators of Enterprise’s Technological Innovation Level Evaluation.
We determine indicator weights using the analytic hierarchy process (AHP) and entropy weight method. AHP integrates qualitative and quantitative methodologies, with initial weights derived from expert ratings to incorporate domain knowledge. The entropy weight method emphasizes differentiation among indicator values, enabling quantitative weighting based on patent data. Integrate the weights obtained from these two methods according to formula (9):
where ω1 and ω2 represents the indicator weight determined by AHP and entropy weight method, respectively. Thus, the enterprises’ technological innovation level is calculated as follows:
where ωi and xi represent the composite weight and value of the ith enterprise item, respectively.
Evaluation of Enterprises’ Technological Innovation Levels in Medical Equipment Industry
Data Collection and Processing
Patent Data Collection
Driven by global medical policies, the medical equipment industry has grown rapidly, fostering numerous enterprises and intensifying technological innovation. Yet, systematic analysis of technological competition in this sector remains limited. The industry integrates critical technologies—including chips, AI (W. Lai et al., 2022), materials science (Su et al., 2023), image recognition (Ibragimov & Mello-Thoms, 2024), big data, and neural networks (Mahmood et al., 2024; Rehman et al., 2024)—all vital to national development and public health. Its growth not only propels upstream high-tech sectors but also stimulates innovation in cutting-edge technologies. Hence, examining enterprise technological innovation levels in this domain is essential.
We used the Lens database, a global platform covering approximately 95% of publicly accessible patent literature. IPC classifications for the medical device industry were identified using United States Patent Classification (USPC)—North American Industry Classification System (NAICS) Consistent Correspondence Table and the USPC—International Patent Classification (IPC) Reverse Consistent Correspondence Table. Patents under IPC codes A61B, A61C, A61F, A61M, G02C, and 11 others were retrieved for 2012 to 2024, yielding 63,404 records. Patent numbers, family identifiers, priority numbers, and application dates were extracted. After sorting by patent family, we retained the earliest application within each family using a Python script, removing duplicates. This reduced the dataset to 41,701 patents, stored as Database-1.
Additional Patents’ References
We queried the Lens database using all patent numbers in Database-1, covering the period 2012 to 2024. For each patent, we retrieved its references and retained only those also present in Database-1. This process established the citation relationships among all patents in the dataset.
Precise Enterprise’s Name
Since not all patents record assignee information and the applicant represents the knowledge-producing entity, we substitute the applicant for the assignee when assignee data is missing. Patents lacking both fields are excluded. Extracting owner names from patent records presents challenges including name translation variants, country-of-origin inconsistencies, and spelling errors, causing the same entity to appear under multiple names. To address this, we apply French et al.’s (2000) method, using a Jaccard coefficient-based string similarity algorithm with character trigrams. Name pairs with similarity exceeding 0.75 are manually verified and consolidated, producing a standardized enterprise name list. This process identifies 4,166 technological innovation enterprises (including universities).
Indicator Value
Value of Technology Patentometrics Indicators
This study discusses the number of patents held by technological innovation enterprises, with the results presented in Table 3.
Value of Technology Patentometrics (Part).
Value of Technological Innovation Contribution Indicators
Using Python’s Network X library, we constructed a knowledge flow network following the method in Section 3.1.2 and computed indegree, outdegree, betweenness, and closeness centrality for each node, then normalized. Due to the large number of nodes, we only present the ego-network of the enterprise with the highest outdegree centrality—KONINKLIJKE PHILIPS ELECTRONICS N.V (Figure 3). The PageRank value was calculated using Python (Table 4) subsequently.

KONINKLIJKE PHILIPS ELECTRONICS N.V’s ego-network.
PageRank Value (Part).
To integrate indegree centrality with PageRank, we use the entropy weight method to determine their respective weights (Table 5). Table 6 presents each enterprise’s technological innovation contribution indicators.
Weight of Enterprises’ Indegree Centrality and PageRank Value.
Indicators Value of Technological Innovation Contribution of Enterprises (Part).
Value of Knowledge Base Characteristics Indicators
The characteristics of the enterprises’ knowledge base (Table 7) are calculated by formulas (6)–(8).
Characteristics of Enterprises’ Knowledge Base Characteristics (Part).
Collinearity Diagnosis of Indicators
Variance inflation factors (VIF) were calculated to ensure each indicator contributes uniquely to the composite score (Table 8). All VIF values are below 5, with outdegree centrality approaching but still near this threshold, indicating no significant multicollinearity.
Collinearity Diagnosis of Indicators.
Evaluation Results of Enterprises’ Technological Innovation Levels
Indicator Weights
We distributed electronic questionnaires to 20 experts and senior practitioners in medical device innovation. Twelve valid responses were received, from which we constructed an importance evaluation matrix. AHP weights were derived after passing consistency checks (see Appendix A for judgment matrix and test results). Entropy weights were then calculated from measurement data. Following formula (9), we assigned 0.4 weight to AHP and 0.6 to the entropy method based on expert input. Table 9 presents the final weights.
Weights of Evaluation Indicators.
Evaluation Results
Following formula (10), enterprises’ technological innovation level was calculated. Table 10 presents the partial results.
Evaluation Results of Enterprises’ Technological Innovation Levels (Part).
Based on the technological innovation evaluation results (Table 10), KONINKLIJKE PHILIPS ELECTRONICS N.V and FUJIFILM CORPORATION rank first and second, significantly outperforming others and playing a pivotal role in advancing medical equipment technology through extensive knowledge contributions. Among the top 20 firms, 10 are based in the United States, 5 in Japan, 2 in Germany, and one each in the Netherlands, Canada, and Ireland, highlighting the competitiveness of U.S. innovators. Only two universities (University of Washington and Stanford University) appear in the top 20, consistent with enterprises’ greater strength in applied innovation and patenting. The Gini coefficient of the evaluation scores is 0.24, indicating that innovation capability is not concentrated among a few leading firms. The Theil index is 0.1657 (<0.2), further confirming relatively equal innovation levels across enterprises.
To delineate the positioning of enterprises more precisely within global technological competition, we classify them into three tiers (high, medium and low) based on a 2:3:5 ratio. High-tier enterprises represent the technological forefront of their nations. Figure 4 presents the country-level distribution of these high-innovation enterprises.

Proportion of high technological innovation level enterprises in each country.
The United States has the highest concentration of high-innovation enterprises, accounting for approximately 70% of the total. Japan, China, and Germany rank second, third, and fourth, respectively. However, they lag considerably behind the U.S. in number. Figure 5 presents a heat map comparing indicator distributions across enterprise tiers.

Heatmap of indicators for technology leaders and technology followers.
Figure 5 reveals that, in technologically advanced countries, nearly all indicators are positive and possess relatively high values (1.15), establishing a virtuous cycle of “high patent output-strong network centrality-deep knowledge accumulation.” In contrast, the indicators of technologically backward countries exhibit a significant “unevenness.” The patent-related indicators and some network centrality indicators remain positive, suggesting that these countries still demonstrate positive performance in the “basic output” of innovation activities and network connections, presumably during the catch-up stage. The significant negative value of closeness centrality indicates that technologically backward countries have a marginal position in the innovation network. This situation makes it difficult for them to rapidly approach and access core knowledge sources, effecting low efficiency of knowledge flow. The concurrent negative values of “width of knowledge” and “depth of knowledge” suggest that their knowledge base is severely restricted, lacking accumulation of core technologies, and their knowledge structure is vulnerable.
To explore the proportion of countries with high, medium, and low levels of technological innovation, we conducted a country-wise analysis (Figure 6).

Proportion of countries at each innovation level.
Figure 6 illustrates that the United States exhibits the highest proportion in high-tech innovation and the lowest in low-tech innovation. Countries such as Japan, Germany, the UK, and Israel show comparable enterprise shares across innovation levels. In China and South Korea, low-tech innovation enterprises outnumber those in high-tech sectors. Leading countries occupy both ends of the “smile curve,” aiming to preserve system integration advantages. For instance, over 90% of German medical device enterprises are SMEs, yet many dominate niche markets as “hidden champions.” Government policy centers on “connectivity”—linking enterprises with universities and hospitals to build self-reinforcing innovation networks. Latecomer countries initially prioritize manufacturing scale to meet basic medical needs. In China, about 80% of medical device enterprises generate annual sales below a few million yuan, focusing on low-value-added products. While effective in the “follower innovation” stage, this strategy risks path dependency.
To identify national strengths, we further disaggregated the data by country for each secondary indicator (Figures 7–9).

Comparison of technology patentometrics indicators among different countries.

Comparison of technological innovation contributions indicators among different countries (the betweenness centrality indicator is placed on the secondary coordinate axis).

Comparison of knowledge base characteristics indicators among different countries.
A national breakdown of key indicators reveals notably that, the U.S. dominates in technological innovation outcomes within the medical device sector, leading all other countries in patent counts, citations, and patent families. It also maintains a central position in the knowledge flow network and leads in both the breadth and depth of knowledge coverage. While Japan is a significant contributor, other major players—including China, South Korea, Germany, and Israel—collectively form a second tier.
To better understand enterprises’ differences, we analyzed enterprise performance using the indicators of technological innovation (partially shown in Figure 10). It is shown that high-level enterprises scored significantly on technological innovation contributions indicators.

Comparison of indicators of technological innovation level (Part).
Ablation of Enterprises of Technological Innovation
The analysis reveals that many firms contribute minimally to medical device innovation, evidenced by sporadic patenting activity or by holding patents with incidental medical-device-related codes. To focus on significant contributors, we refined the sample. First, from the enterprise citation network, we removed edges with a weight below 10, thereby eliminating enterprises with fewer than 10 knowledge flow interactions. Isolated nodes were then excluded, yielding a core set of 1,778 enterprises with substantial contributions. For these enterprises, we retrieved their indicator values and calculated their technological innovation scores and rankings, which are presented in Table 11.
Technological Innovation Level of Enterprises After Ablation (Part).
Ablation caused minor ranking shifts among most top enterprises, except for BOSTON SCIENTIFIC SCIMED INC. Removing peripheral nodes weakened certain firms’ knowledge contributions, lowering their rankings. While post-ablation results better highlight core knowledge interactions and innovation contributions, this method overlooks firms with weaker capabilities or those focused on narrow technical niches.
Robustness Analysis
Discussion on the Proportion of Weighted Fusion
Based on expert input, AHP and entropy weights were combined at a 0.6:0.4 ratio. To assess robustness, we conducted a sensitivity analysis by varying α (Formula 9) across 0, .2, .4, .5, .6, .8, and 1. For each value, we computed and ranked enterprise innovation scores. Using α = .5 as the benchmark, we calculated Pearson correlation coefficients to evaluate ranking stability across weight combinations (Table 12).
Correlation of Evaluation and Ranking of Enterprises’ Technological Innovation Levels Under Different Weight Proportions (For Robustness Analysis).
Table 12 shows that across different AHP-entropy weight ratios, the correlation coefficients for enterprise innovation rankings consistently exceed .95, demonstrating strong stability.
Robustness Tests and Uncertainty Analysis
To assess result robustness, we performed consistency tests using varying time windows, weighting schemes, and normalization methods. Table 13 shows that rankings of technological innovation levels remain highly stable across different evaluation methods.
Rank Consistency Test (For Robustness Analysis).
Method Comparison and Benchmark Testing
To demonstrate the advantages of our method, we compared it with two alternatives: ranking based solely on patent and citation counts, and the mainstream TOPSIS method (Table 14). Table 15 presents the ranking correlations across methods.
Ranking of Enterprises’ Technological Innovation Level Evaluation by Various Methods (For Robustness Analysis).
Correlation of Evaluation Ranks of Enterprises’ Technological Innovation Levels by Different Methods (For Robustness Analysis).
Note. The correlation is significant at the .01 level of confidence (two-tailed).
p < 0.01.
Table 15 shows significant correlations across methods. Though rankings based solely on patent and citation counts correlate relatively weakly with our results, the correlation with TOPSIS—a mainstream evaluation method—is .987, indirectly supporting the scientific validity of our proposed approach.
Summary
This study constructs a knowledge flow network from patent citations in the medical device sector to measure enterprise technological innovation levels. From patentometric, innovation contribution, and knowledge-based perspectives, we developed nine tertiary indicators. Weights were assigned using a combined AHP and entropy weight method. We assessed innovation capabilities based on their contributions to industry advancement. The results inform competitive landscape analysis and guide enterprise innovation strategy.
Research Conclusions and Discussion
Research Conclusions
This study assessed the technological innovation levels of 4,116 medical device enterprises with patents from 2012 to 2024. Although robustness checks using the 2020 to 2024 window confirmed our core findings, evaluating innovation capabilities requires capturing long-term innovation activities and knowledge accumulation. A longer period also ensures greater completeness of citation data. Thus, our main conclusions are based on the 2012 to 2024 window.
The medical device sector is highly competitive, with technology-driven firms concentrated in the U.S., Japan, and Europe. Based on innovation level assessments, these enterprises dominate the market, exhibiting a significant lead over others. They serve as key drivers and benchmarks for global technological advancement.
Latecomer countries also demonstrate strong innovation capacity. Evaluation results show that most leading firms were established earlier and have extensive R&D experience in medical technology such as KONINKLIJKE PHILIPS ELECTRONICS N.V (founded 1891). Meanwhile, SHANGHAI UNITED IMAGING HEALTHCARE CO LTD from China is ranked 29th, founded in 2011, achieving rapid technological growth within just 13 years.
Although many enterprises participate in the knowledge flow network, their contributions remain limited. Technological innovation levels follow a long-tail distribution, with substantial disparities across enterprises. Beyond the top 20, all firms score below 0.1.
Discussion
1. By integrating patent statistics with knowledge flow and knowledge base considerations, this study highlights the role of knowledge in enterprise innovation. From a social network perspective (Coleman, 2000), enterprises with high centrality acquire technological knowledge and resources more efficiently, expanding innovation search breadth and improving external knowledge utilization (Ahuja et al., 2008). Betweenness centrality, reflecting an enterprise’s bridging function, enables it to control knowledge flow between subnetworks, facilitating exploratory innovation and breakthrough recombination (Zaheer & Bell, 2005). In fast-paced information environments, network topology proximity matters, but position effects must be interpreted alongside knowledge flow mechanisms. Our results assign weight (0.297) to knowledge base indicators, consistent with knowledge-based theory. Diverse knowledge elements create broader recombination opportunities, increasing breakthrough potential (Katila & Ahuja, 2002) and knowledge depth enhances innovation reliability and forms core problem-solving capabilities (Rosenkopf & Nerkar, 2001). From the perspective of dynamic capabilities, knowledge depth sustains competitive advantage on mature technological trajectories (Teece et al., 1997).
It should be noted that our interpretation of the ranking results through the lenses of Social Network Theory and the Knowledge-Based View is intended to illustrate structural correlations and theoretical alignment between the indicators and the evaluation results, rather than inferring causal effects of network position or knowledge base on innovation performance.
2. Our findings engage in multiple dialogues with existing theories and literature. First, the sustained leadership of U.S., Japanese, and European firms supports the national innovation systems (NIS) theory, whereby institutional advantages underpin technological dominance (Ferrer-Serrano et al., 2021; Pavitt, 1998). Second, the coexistence of latecomer catch-up and incumbent path dependence reflects the complexity of medical device innovation. Emerging market firms pursue niche catch-up through new technological trajectories (K. Lee & Malerba, 2017), while incumbents leverage complementary assets and accumulated experience to sustain advantages (Kang & Li, 2025). Third, the long-tail distribution of innovation performance—where most firms contribute minimally despite network participation—quantifies extreme innovation asymmetry. Knowledge influence remains concentrated among core hubs (e.g., the U.S.), as reflected in high betweenness centrality, leaving peripheral countries with a significant knowledge transfer gap (Corsino et al., 2019). Collectively, these findings depict a global innovation ecosystem shaped by structural advantages, differentiated catch-up paths, and concentrated knowledge power.
Suggestions
Fostering collaboration is essential for enhancing technological innovation, especially for latecomer firms. In China, for example, medical device companies are often small, numerous, and lack dominant players, core innovations, or visible contributions. Leveraging the strengths of these micro and small enterprises, particularly by integrating them into larger firms’ innovation ecosystems, can facilitate knowledge flow and base expansion through collaboration. This would generate high-quality innovation outputs and strengthen overall technological capabilities.
Well-structured innovation networks foster enterprise development and high-quality research environments, which enhance technological capabilities. For instance, broadening collaboration channels, embracing open innovation, and building robust international platforms to connect innovators across countries. Establishing innovation alliances, such as vertical alliances spanning raw materials, R&D, production, and application, and encouraging state-owned medical institutions to adopt domestic innovations can facilitate global knowledge circulation through coordinated efforts.
Enterprises with low innovation levels should collaborate with high-betweenness firms. In knowledge flow networks, such partners provide access to cutting-edge technological knowledge that can be absorbed and transformed through cooperation, which is a key pathway for low-innovation firms to accumulate knowledge, enrich their innovation base, and strengthen network embeddedness.
Research Limitations and Future Research Directions
Research Limitations
Given data acquisition constraints, this study constructs a knowledge flow network solely from patent citations to assess technological innovation, introducing several limitations. First, patents capture only explicit innovation; tacit innovations, such as process improvements, remain unobserved. What’s more, enterprises may withhold patents for confidential or software-related innovations. Second, knowledge flows which are generated from collaboration, personnel mobility, and IP transfers are not captured here. Third, reliance on patent data may underrepresent universities and research institutions strong in theoretical contributions. Finally, this study does not incorporate temporal dynamics.
Future Research Directions
Therefore, considering the above limitations, we propose several future research directions. First, incorporating clinical data on medical devices would enhance evaluation accuracy, although these data are difficult to obtain. Second, to construct more comprehensive knowledge flow networks, diverse data sources such as scientist mobility and enterprise collaboration should be integrated. Third, including datasets from theoretical research could broaden the scope of innovation assessment. Finally, introducing temporal dynamics would enable richer insights. For instance, constructing rolling 5-year networks to visualize structural evolution, or designing event studies around major technological breakthroughs or policy shifts can examine changes in enterprise knowledge acquisition and integration patterns. Such approaches would reveal network dynamics and provide temporal evidence extending our current cross-sectional findings.
Footnotes
Appendix A
Acknowledgements
This study does not include third-party institutions that require acknowledgments.
Ethical Considerations
This study does not involve experiments on humans or animals.
Funding
The authors disclosed receipt of the following financial support for the research, authorship, and/or publication of this article: This work was supported by the [Philosophy and Social Science Foundation of China] under Grant [21&ZD119].
Declaration of Conflicting Interests
The authors declared no potential conflicts of interest with respect to the research, authorship, and/or publication of this article.
Data Availability Statement
Data sharing not applicable to this article as no datasets were generated or analyzed during the current study.
