Table 3 shows the results of the interaction effect of absorptive capacity by R&D autonomy on a firm’s innovation. Model 5, as a base model, shows that firm size (b = 0.582, p b 0.001) and previous innovation
(b = 0.002, p b 0.05) have positive associations with firm innovation, consistent with previous studies. Models 6, which includes absorptive capacity as an independent variable, shows that the absorptive capacity has a positive association with firm innovation (b= 0.006, p b 0.001).Model 7,which includes autonomous R&D climate as a moderator,
shows that autonomous R&D climate has no direct impact on firm innovation. Model 8 tests the interaction effect of absorptive capacity by autonomous R&D climate on firm innovation. As Model 8 shows, the coefficient of the interaction of absorptive capacity and autonomous R&D climate is negative and significant (b = −0.004, p b 0.01), suggesting
that the interaction effect of autonomous R&D climate on the relationship between absorptive capacity and firm innovation is negative. The result fails to support H3.