Journal ArticleDOI
Curvilinearity in the diversification–performance linkage: an examination of over three decades of research
Reads0
Chats0
TLDR
The authors derive three competing models from the literature and empirically assess these using meta-analytic data drawn from 55 previously published studies, concluding that moderate levels of diversification yield higher levels of performance than either limited or extensive diversification.Abstract:
While an extensive literature examines the diversification-performance relationship, little agreement exists concerning the nature of this relationship. Both theoretical and empirical disagreements abound. This study synthesizes findings from three decades of research to address major theoretical issues that remain open to debate. We derive three competing models from the literature and empirically assess these using meta-analytic data drawn from 55 previously published studies. The results of our tests indicate that moderate levels of diversification yield higher levels of performance than either limited or extensive diversification. Thus, we provide support for the curvilinear model; that is, performance increases as firms shift from single-business strategies to related diversification, but performance decreases as firms change from related diversification to unrelated diversification. The results also indicate major effects from variation in diversification and performance operationalizations. Copyright © 2000 John Wiley & Sons, Ltd.read more
Citations
More filters
Journal ArticleDOI
The relationship between total quality management practices and their effects on firm performance
TL;DR: In this article, the authors identify the relationships among TQM practices and examine the direct and indirect effects of these practices on various levels of organizational performance, using cross-sectional mail survey data collected from firms operating in the US.
Journal ArticleDOI
Meta-analyses of Post-acquisition Performance: Indications of Unidentified Moderators
TL;DR: The authors employ meta-analytic techniques to empirically assess the impact of the most commonly researched antecedent variables on post-acquisition performance, and find robust results indicating that acquiring firms' performance does not positively change as a function of their acquisition activity, and is negatively affected to a modest extent.
Journal ArticleDOI
Thinking about U: Theorizing and testing U- and inverted U-shaped relationships in strategy research
TL;DR: A guideline is provided which, when followed, may bring clarity to theoretical motivation and rigor to empirical testing of U- and inverted U-shaped relationships for which current practice falls short.
Journal ArticleDOI
Ambidexterity in Technology Sourcing: The Moderating Role of Absorptive Capacity
TL;DR: Support is found for the notion that the relationship between technology sourcing mix and firm performance is an inverted U-shape, and higher levels of absorptive capacity allow a firm to more fully capture the benefits resulting from ambidexterity in technology sourcing.
Journal ArticleDOI
Knowledge relatedness and the performance of multibusiness firms
TL;DR: In a sample of 303 Fortune1000 firms, the study finds that the individual dimensions of knowledge relatedness do not have significant effects on firm performance on their own, and argues that cross-business knowledge synergies arising fromknowledge relatedness are likely to improve firm performance.
References
More filters
Journal ArticleDOI
The Economic Institutions of Capitalism
TL;DR: The Economic Institutions of Capitalism as mentioned in this paper is a seminal work in the field of economic institutions of capitalism. Journal of Economic Issues: Vol. 21, No. 1, pp. 528-530.
Posted Content
Agency Costs of Free Cash Flow, Corporate Finance, and Takeovers
TL;DR: In this paper, the benefits of debt in reducing agency costs of free cash flows, how debt can substitute for dividends, why diversification programs are more likely to generate losses than takeovers or expansion in the same line of business or liquidationmotivated takeovers, and why the factors generating takeover activity in such diverse activities as broadcasting and tobacco are similar to those in oil.
Book
Statistical Methods for Meta-Analysis
Larry V. Hedges,Ingram Olkin +1 more
TL;DR: In this article, the authors present a model for estimating the effect size from a series of experiments using a fixed effect model and a general linear model, and combine these two models to estimate the effect magnitude.
Journal ArticleDOI
Statistical Methods for Meta-Analysis.
TL;DR: In this paper, the authors present a model for estimating the effect size from a series of experiments using a fixed effect model and a general linear model, and combine these two models to estimate the effect magnitude.
Book
Meta-analytic procedures for social research
TL;DR: In this paper, the authors define research results, retrieve and assess research results and compare and combine research results to combine probabilities, and evaluate meta-analytic procedures and meta-Analytic results.