Copenhagen Business School

About: Copenhagen Business School is a education organization based out in Copenhagen, Hovedstaden, Denmark. It is known for research contribution in the topics: Corporate governance & Context (language use). The organization has 2194 authors who have published 9649 publications receiving 341898 citations.

Entrepreneurship and the Economic Theory of the Firm: Any Gains from Trade?

Abstract: Prepared for Rajshree Agarwal, Sharon A. Alvarez, and Olav Sorenson, eds., Handbook of Entrepreneurship: Disciplinary Perspectives (Kluwer, forthcoming)

Closing knowledge gaps in foreign markets

Abstract: Knowledge and learning are ascribed pivotal roles in firms' internationalization processes: perceived market uncertainties, namely knowledge gaps related to business environments in foreign markets, may curb firms' inclinations to commit resources to these markets. This study explores whether knowledge gaps tend to increase or decrease with time when operating in the foreign market, and it discusses which learning components narrow – or widen – the perceived knowledge gap. A theoretical model is developed based on the internationalization process view and the more recent organizational learning perspective, including such concepts as overconfidence and absorptive capacity. The theoretical model is tested on a set of primary data covering Danish and Swedish firms and their foreign market operations. The results suggest a more subtle relationship between experience and perceived knowledge gaps than the “mechanical” relationship portrayed by the internationalization process view – a relationship in which absorptive capacity and, in particular, overconfidence play important roles.

Option Valuation with Long-Run and Short-Run Volatility Components

Abstract: This paper presents a new model for the valuation of European options, in which the volatility of returns consists of two components. One of these components is a long-run component, and it can be modeled as fully persistent. The other component is short-run and has a zero mean. Our model can be viewed as an affine version of Engle and Lee (1999), allowing for easy valuation of European options. The model substantially outperforms a benchmark single-component volatility model that is well-established in the literature, and it fits options better than a model that combines conditional heteroskedasticity and Poisson-normal jumps. The component model's superior performance is partly due to its improved ability to model the smirk and the path of spot volatility, but its most distinctive feature is its ability to model the volatility term structure. This feature enables the component model to jointly model long-maturity and short-maturity options.

Qualitative Research and Theory Development: Mystery as Method

Abstract: Empirical data is one of the cornerstones of knowledge in the social sciences. And yet, the researcher often takes it for granted, reserving his or her imaginative faculties for finding a theory that fits the data. This revealing account of the theory-data relationship calls this faith in data into question and establishes a reflexive framework and vocabulary to explore the creative, political and philosophical elements of data production.Rather than thinking about the theory-data 'fit', Alvesson and Karreman will encourage you to consider the research process as one of theory-data interplay, asking if creative empirical material can challenge established theory and inspire new lines of development, and if breakdowns and mysteries encountered in research can be a constructive rather than destructive process.They will encourage you to think critically about empirical data in terms of construction rather than verification, and most importantly they will encourage you to develop theory that is interesting and novel, rather than naive or irrelevant, making this title essential reading for those who often find the traditional vocabulary and frameworks of social science research obvious or simplistic.