Showing papers by "Copenhagen Business School published in 2016"

The sharing economy: Why people participate in collaborative consumption

Abstract: Information and communications technologies ICTs have enabled the rise of so-called "Collaborative Consumption" CC: the peer-to-peer-based activity of obtaining, giving, or sharing the access to goods and services, coordinated through community-based online services. CC has been expected to alleviate societal problems such as hyper-consumption, pollution, and poverty by lowering the cost of economic coordination within communities. However, beyond anecdotal evidence, there is a dearth of understanding why people participate in CC. Therefore, in this article we investigate people's motivations to participate in CC. The study employs survey data N=168 gathered from people registered onto a CC site. The results show that participation in CC is motivated by many factors such as its sustainability, enjoyment of the activity as well as economic gains. An interesting detail in the result is that sustainability is not directly associated with participation unless it is at the same time also associated with positive attitudes towards CC. This suggests that sustainability might only be an important factor for those people for whom ecological consumption is important. Furthermore, the results suggest that in CC an attitude-behavior gap might exist; people perceive the activity positively and say good things about it, but this good attitude does not necessary translate into action.

Managing for political corporate social responsibility: : New challenges and directions for PCSR 2.0

Abstract: This article takes stock of the discourse on ‘political CSR’ (PCSR), reconsiders some of its assumptions, and suggests new directions for what we call ‘PCSR 2.0’. We start with a definition of PCSR, focusing on firms’ contribution to public goods. We then discuss historical antecedents to the debate and outline the original economic and political context. The following section explores emerging changes in the institutional context relevant to PCSR and reconsiders some of the assumptions underlying Habermas’ thesis of the postnational constellation. This highlights some neglected issues in previous works on PCSR, including the influence of nationalism and fundamentalism, the role of various types of business organisations, the return of government regulation, the complexity of institutional contexts, the efficiency of private governance, the financialization and digitalization of the economy, and the relevance of managerial sensemaking. Finally, we discuss the contributions to this special issue and relate them to the newly emerging research agenda.

Global value chains from a 3D printing perspective

Abstract: This article outlines the evolution of additive manufacturing technology, culminating in 3D printing and presents a vision of how this evolution is affecting existing global value chains (GVCs) in production. In particular, we bring up questions about how this new technology can affect the geographic span and density of GVCs. Potentially, wider adoption of this technology has the potential to partially reverse the trend towards global specialization of production systems into elements that may be geographically dispersed and closer to the end users (localization). This leaves the question of whether in some industries diffusion of 3D printing technologies may change the role of multinational enterprises as coordinators of GVCs by inducing the engagement of a wider variety of firms, even households.

Scripting professional identities: how individuals make sense of contradictory institutional logics

Abstract: This article examines how individual accountants subjectively interpret competing logics of professionalism as they transform from practicing accountants to managerial roles and as their organizations transform from traditional professional partnerships to more corporate organizational forms. Based on a longitudinal ethnography of professionals in a Big Four accounting firm we analyse the process by which individual professionals make sense of their new roles and integrate the conflicting demands of professional and managerial logics. We find that individuals are active authors of their own identity scripts. We further observe considerable interpretive variation in how identity scripts are reproduced and enacted. We contribute to the emerging understanding of institutions as ‘inhabited’ by individuals and extend this literature by demonstrating that the institutional work of reinterpreting competing logics is based less of inter-subjective interactions, as prior literature has assumed, and is, instead, based on individual cognition and interpretive subjectivity. We also contribute to research in professional service firms by offering a conceptual model of the individual micro-processes required for successful archetypal change.

Do Fiscal Rules Matter

Abstract: Fiscal rules are laws aimed at reducing the incentive to accumulate debt, and many countries adopt them to discipline local governments. Yet, their effectiveness is disputed because of commitment and enforcement problems. We study their impact applying a quasi-experimental design in Italy. In 1999, the central government imposed fiscal rules on municipal governments, and in 2001 relaxed them below 5,000 inhabitants. We exploit the before/after and discontinuous policy variation, and show that relaxing fiscal rules increases deficits and lowers taxes. The effect is larger if the mayor can be reelected, the number of parties is higher, and voters are older. (JEL E62, H71, H72, H74, R51)

Mapping the Landscape of Future Research Themes in Supply Chain Management

Abstract: Supply chain researchers are confronted with a dizzying array of research questions, many of which are not mutually independent. This research was motivated by the need to map the landscape of research themes, identify potential overlapping areas and interactions, and provide guidelines on areas of focus for researchers to pursue. We conducted a three-phase research study, beginning with an open-ended collection of opinions on research themes collected from 102 supply chain management (SCM) researchers, followed by an evaluation of a consolidated list of themes by 141 SCM researchers. These results were then reviewed by 10 SCM scholars. Potential interactions and areas of overlap were identified, classified, and integrated into a compelling set of ideas for future research in the field of SCM. We believe these ideas provide a forward-looking view on those themes that will become important, as well as those that researchers believe should be focused on. While areas of research deemed to become most important include big data and analytics, the most under-researched areas include efforts that target the “people dimension” of SCM, ethical issues and internal integration. The themes are discussed in the context of current developments that the authors believe will provide a valuable foundation for future research.

The Roles of Corporate Governance in Bank Failures During the Recent Financial Crisis

Abstract: This paper analyzes the roles of corporate governance in bank defaults during the recent financial crisis of 2007-2010. Using a data sample of 249 default and 4,021 no default US commercial banks, we investigate the impact of bank ownership and management structures on the probability of default. The results show that defaults are strongly influenced by a bank’s ownership structure: high shareholdings of outside directors and chief officers (managers with a “chief officer” position, such as the CEO, CFO, etc.) imply a substantially lower probability of failure. In contrast, high shareholdings of lower-level management, such as vice presidents, increase default risk significantly. These findings suggest that high stakes in the bank induce outside directors and upper-level management to control and reduce risk, while greater stakes for lower-level management seem to induce it to take high risks which may eventually result in bank default. Some accounting variables, such as capital, earnings, and non-performing loans, also help predict bank default. However, other potential stability indicators, such as the management structure of the bank, indicators of market competition, subprime mortgage risks, state economic conditions, and regulatory influences, do not appear to be decisive factors in predicting bank default.

The Open Innovation Research Landscape: Established Perspectives and Emerging Themes across Different Levels of Analysis

Abstract: This paper provides an overview of the main perspectives and themes emerging in research on open innovation. The paper is the result of a collaborative process among several open innovation scholars — having a common basis in the recurrent Professional Development Workshop (PDW) on “Researching Open Innovation” at the Annual Meeting of the Academy of Management. In this paper, we present opportunities for future research on open innovation, organized at different levels of analysis. We discuss some of the contingencies at these different levels, and argue that future research needs to study open innovation — originally an organizational-level phenomenon — across multiple levels of analysis. While our integrative framework allows comparing, contrasting, and integrating different perspectives at different levels of analysis, further theorizing will be needed to advance open innovation research. On this basis, we propose some new research categories as well as questions for future research — particularly those that span across research domains that have so far developed in isolation.

Strategies of Legitimacy Through Social Media: The Networked Strategy

Abstract: How can corporations develop legitimacy when coping with stakeholders who have multiple, often conflicting sustainable development (SD) agendas? We address this question by conducting an in-depth longitudinal case study of a corporation's stakeholder engagement in social media and propose the concept of a networked legitimacy strategy. With this strategy, legitimacy is gained through participation in non-hierarchical open platforms and the co-construction of agendas. We explore the organizational transition needed to yield this new legitimacy approach. We argue that, in this context, legitimacy gains may increase when firms are able to reduce the control over the engagements and relate non-hierarchically with their publics. We contribute to the extant literature on political corporate social responsibility and legitimacy by providing an understanding of a new context for engagement that reconfigures cultural, network, and power relations between the firm and their stakeholders in ways that challenge previous forms of legitimation.

Global implications of the indigenous epistemological system from the east: How to apply Yin-Yang balancing to paradox management

Abstract: – The author argues and explains that the indigenous Eastern epistemological system of Yin-Yang balancing should be taken as a novel system or frame of thinking, which is deeply rooted in the indigenous Eastern culture traditions, but it has significant global implications, especially in the domain of paradox management. The purpose of this paper is twofold: first, to provide a detailed elaboration of the indigenous Eastern epistemological system of Yin-Yang balancing in contrast to the Western logic systems; and second, to provide a roadmap for applying the system of Yin-Yang balancing to complex issues in the area of management, in general, and paradoxical issues, in particular. , – This is a conceptual paper with a focus on theory-building. , – The author elaborates on the indigenous features of Yin-Yang balancing, in contrast to Aristotle’s formal logic and Hegel’s dialectical logic in the West, to further explore the former’s global implications for the increased attention to research on paradox management. In particular, the author posits that Yin-Yang balancing appears to be better suited for paradox management than the more commonly used logics available in the Western literature. Built upon the Yin-Yang balancing, a practical tool of Duality Map for paradox management is proposed. , – The system of Yin-Yang balancing proposed in this paper has the potential to embrace logical systems available in the West into a geocentric (East-meeting-West) meta-system. This paper further shows how to apply Yin-Yang balancing with the tool of Duality Map to the most salient paradoxes in the domain of management, including value-profit balance (triple bottom lines), exploration-exploitation balance (ambidexterity), cooperation-competition balance (co-opetition), globalization-localization balance (glocalization), institution-agency balance (institutional entrepreneurship), simultaneously positive and negative attitudes toward an entity (ambivalence), and etic-emic balance (geocentric) across all domains of management research. , – The primary challenge for management researchers is to find a way to achieve a geocentric integration between the West and the East at the fundamental level of philosophy. The hope is that the philosophical traditions in the East will facilitate such integration. In particular, the Eastern philosophy of wisdom has a unique capacity to reframe paradox from a negative problem (i.e. a problem of inconsistency to be resolved by dualism in terms of separating opposite elements) to a positive solution (i.e. a solution of completeness or holism to be achieved by duality in terms of partially separating and partially integrating opposite elements).

Risk, Uncertainty, and Entrepreneurship: Evidence from a Lab-in-the-Field Experiment

Abstract: Theory predicts that entrepreneurs have distinct attitudes toward risk and uncertainty, but empirical evidence is mixed. To better understand the unique behavioral characteristics of entrepreneurs and the causes of these mixed results, we perform a large "lab-in-the-field" experiment comparing entrepreneurs to managers a suitable comparison group and employees n = 2,288. The results indicate that entrepreneurs perceive themselves as less risk averse than managers and employees, in line with common wisdom. However, when using experimental incentivized measures, the differences are subtler. Entrepreneurs are only found to be unique in their lower degree of loss aversion, and not in their risk or ambiguity aversion. This combination of results might be explained by our finding that perceived risk attitude is not only correlated to risk aversion but also to loss aversion. Overall, we therefore suggest using a broader definition of risk that captures this unique feature of entrepreneurs: their willingness to risk losses. This paper was accepted by Uri Gneezy, behavioral economics.

From the Editors: Can I Trust Your Findings? Ruling Out Alternative Explanations in International Business Research

Abstract: The complex nature of international business research, with its cross-country and multilevel nature, complicates the empirical identification of relationships among theoretical constructs. The objective of this editorial is to provide guidance to help international business scholars navigate this complexity and ensure that readers can trust their findings. We provide suggestions for how to rule out alternative explanations, explaining key considerations not only in empirical analyses, but also in theory building and in research design. Our discussion covers both qualitative and quantitative studies, because we believe that it is imperative to understand how trustworthiness is established in both traditions, even for international business researchers who self-identify with only one. This enables scholars to have a broader scope of knowledge when interpreting past research in the field and to be more adept at explaining their design choices to a diverse audience.

Gender Differences in the Contribution Patterns of Equity-Crowdfunding Investors

Abstract: This paper investigates gender-differences in the behavior of investors in firms seeking equity financing. Using data from Swedish equity crowdfunding platform – Fundedbyme, we find that only 20% of investors are female. Female investors are less likely to invest in the equity of firms that are younger, high-tech, and have a higher percentage of equity offerings. This pattern seems consistent with a greater risk-aversion in female versus male investors. Furthermore, female investors are more likely to invest in projects in which the proportion of male investors is higher.

Foucault’s dispositive: The perspicacity of dispositive analytics in organizational research

Abstract: While Foucault’s work has had a crucial impact on organizational research, the analytical potential of the dispositive has not been sufficiently developed. The purpose of this article is to reconst...

Towards an understanding of the role of business intelligence systems in organisational knowing

Abstract: Recent advances in information technology IT, such as the advent of business intelligence BI systems, have increased the ability of organisations to collect and analyse data to support decisions. There is little focus to date, however, on how BI systems might play a role in organisational knowledge creation - in organisational knowing. We develop a conceptual framework of organisational knowing based on a synthesis of the literature, and use this as a framework to investigate how BI systems facilitate knowing in a case organisation. We identify two practices triggered by BI systems that distinguish them from prior applications of IT: the ability to initiate problem articulation and dialogue, and that of data selection e.g. to address information needs of organisational decision makers at different managerial levels. This study provides empirical evidence of the performative outcome of BI systems in relation to organisational knowing through the practices of articulation and data selection. It provides a practice perspective on BI and focuses on the role of BI systems in organisational knowing thereby opening up a new departure for BI research that considers the implications of BI systems in organisations with actual practice in mind.

Performance in Public Organizations: Clarifying the Conceptual Space

Abstract: Performance in public organizations is a key concept that requires clarification Based on a conceptual review of research published in 10 public administration journals, this article proposes six distinctions to describe the systematic differences in performance criteria: From which stakeholder's perspective is performance being assessed? Are the criteria formal or informal? Are the criteria subjective? Which process focus and product focus do they have, if any? What is the unit of analysis? Based on these distinctions, the performance criteria of existing studies used in an empirical review of management and performance are classified The results illustrate how a systematization of the conceptual space of performance in public organizations can help researchers select what to study and what to leave out with greater accuracy while also bringing greater clarity to public debates about performance

Global, Local, or Regional? The Locus of MNE Strategies

Abstract: This paper provides an overview of the main insights arising from the ‘regional strategy’ literature. It also develops the contours of a new, rich research agenda for future international strategy scholarship, whereby the region should be introduced as an explicit, third geographic level of analysis, in addition to the country-level and the global level. Regional strategy analysis requires a fundamental rethink of mainstream theories in the international strategy sphere. This rethink involves, inter alia, internalization theory, with its resource-based view and transaction cost economics components, as well as the integration (I) – national responsiveness (NR) framework.

Extending critical performativity

Abstract: In this article we extend the debate about critical performativity. We begin by outlining the basic tenets of critical performativity and how this has been applied in the study of management and organization. We then address recent critiques of critical performance. We note these arguments suffer from an undue focus on intra-academic debates; engage in author-itarian theoretical policing; feign relevance through symbolic radicalism; and repackage common sense. We take these critiques as an opportunity to offer an extended model of critical performativity that involves focusing on issues of public importance; engaging with non-academic groups using dialectical reasoning; scaling up insights through movement building; and propagating deliberation.

Brazil’s Market for Trading Forest Certificates

Abstract: Brazil faces an enormous challenge to implement its revised Forest Code. Despite big losses for the environment, the law introduces new mechanisms to facilitate compliance and foster payment for ecosystem services (PES). The most promising of these is a market for trading forest certificates (CRAs) that allows landowners to offset their restoration obligations by paying for maintaining native vegetation elsewhere. We analyzed the economic potential for the emerging CRA market in Brazil and its implications for PES programs. Results indicate a potential market for trading 4.2 Mha of CRAs with a gross value of US$ 9.2±2.4 billion, with main regional markets forming in the states of Mato Grosso and Sao Paulo. This would be the largest market for trading forests in the world. Overall, the potential supply of CRAs in Brazilian states exceeds demand, creating an opportunity for additional PES programs to use the CRA market. This expanded market could provide not only monetary incentives to conserve native vegetation, but also environmental co-benefits by fostering PES programs focused on biodiversity, water conservation, and climate regulation. Effective implementation of the Forest Code will be vital to the success of this market and this hurdle brings uncertainty into the market. Long-term commitment, both within Brazil and abroad, will be essential to overcome the many challenges ahead.

Exploring the Reshoring and Insourcing Decision Making Process: Toward an Agenda for Future Research

Abstract: The topics of reshoring and insourcing have recently become more widely discussed among operations management and international business scholars and managers, as some firms are revoking their offshoring and outsourcing decisions. This research focuses on and clarifies the decision making processes related to the two distinct, yet closely related phenomena of reshoring and insourcing. It presents a conceptual framework of all theoretically possible reshoring and insourcing decisions, illustrated in its applicability by a review of the United States and German business press. Then four future research avenues are developed as part of an overall decision making framework together with an overview of specific research questions for this emergent field. Further research avenues include the need to differentiate between reshoring/insourcing as strategic direction or reaction to failure, studying organizational readiness in addition to decision drivers, improve coverage of the implementation stage and explore further contingency factors such as technological advancement as well as to focus on decision makers as the unit of analysis.

Paradoxes and Innovation in Family Firms: The Role of Paradoxical Thinking

Abstract: Scholars stress that family firms are inherently paradoxical, and that tensions, such as tradition versus change, family liquidity versus business growth, and founder control versus successor autonomy, can both inhibit and foster innovation. Further, theorists propose that firms led by paradoxical thinkers are more likely to manage these tensions and fuel innovative behavior. Leveraging family business and organizational paradox literatures, this multi-stage exploratory study develops measures of paradoxical tensions and paradoxical thinking in family firms, and tests these propositions. Findings indicate that paradoxical tensions may stymie innovative behavior, but that leaders' paradoxical thinking is positively related to innovative behavior.

Industrial Clusters and Corporate Social Responsibility in Developing Countries: What We Know, What We Do Not Know, and What We Need to Know

Abstract: This article provides a review of what we know, what we do not know, and what we need to know about the relationship between industrial clusters and corporate social responsibility (CSR) in developing countries. In addition to the drivers of and barriers to the adoption of CSR initiatives, this study highlights key lessons learned from empirical studies of CSR initiatives that aimed to improve environmental management and work conditions and reduce poverty in local industrial districts. Academic work in this area remains embryonic, lacking in empirical evidence about the effects of CSR interventions on the profitability on local enterprises, workers, and the environment. Nor do theoretical frameworks offer clear explanations of the institutionalization and effects of CSR in local industrial districts in the developing world. Other key limitations in this research stream include an excessive focus on export-oriented industrial clusters, the risk that CSR becomes a form of economic and cultural imperialism, and the potential for joint-action CSR initiatives in clusters of small and medium-sized enterprises to offer a new form of greenwashing. From this review, the authors develop a theoretical model to explain why CSR has not become institutionalized in many developing country clusters, which in turn suggests that the vast majority of industrial clusters in developing countries are likely to engage in socially irresponsible behavior.

Frontier Analysis A State-of-the-Art Review and Meta-Analysis

Abstract: This article presents a comprehensive review of frontier studies in the tourism literature. We discuss the main advantages and disadvantages of the various frontier approaches, in particular, the nonparametric and parametric frontier approaches. The study further differentiates between micro and macro applications of these approaches, summarizing and critically reviewing the characteristics of the existing studies. We also conduct a meta-analysis to create an overview of the efficiency results of frontier applications. This allows for an investigation of the impact of frontier methodology on tourism research. The present review also highlights the limitations of existing studies and suggests an agenda for future research.