Open AccessJournal Article
Exploration-exploitation strategies and exit outcomes of new ventures
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In this article, the authors investigated the relationship between exploration and the profitability, survival, and acquisition likelihood of start-ups simultaneously and found a balance-is-best relationship for profitability of survived firms and for the acquisition likelihood for high tech firms.Abstract:
The theory of exploration and exploitation is based on the logic of trade-offs and yet empirical research has rarely investigated these trade-offs as manifested between different dimensions of performance In the context of start-ups, getting acquired is an additional performance dimension previously ignored in the ambidexterity literature This paper utilizes the recently completed Kauffman Firm Survey data to investigate the relationship between exploration and the profitability, survival, and acquisition likelihood of start-ups simultaneously A balance-is-best relationship is found for profitability of survived firms and for the acquisition likelihood of high tech firms, while an exploitation focus is found to maximize the survival chances of low and medium tech firms For low and medium technology start-ups we find evidence of a trade-off between survival likelihood and profitability-given-survival, and for high tech start-ups we find evidence of a differently shaped trade-off between acquisition likelihood and profitability-given-survivalread more
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Structural Differentiation and Ambidexterity: The Mediating Role of Integration Mechanisms
TL;DR: The findings suggest that the previously asserted direct effect of structural differentiation on ambidexterity operates through informal senior team and formal organizational integration mechanisms, and contributes to a greater clarity and better understanding of how organizations may effectively pursue exploration and exploitation simultaneously to achieve ambideXterity.
Journal ArticleDOI
Total rewards components and work happiness in new ventures: The mediating role of work engagement
Gaatha Gulyani,Tanuja Sharma +1 more
TL;DR: In this paper, the authors examined the influence of total rewards components (monetary, material and non-monetary) on happiness of employees working in Indian technology-based new ventures.
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The Acquisition of Technology and Small Firms by Large Firms
Ove Granstrand,Sören Sjölander +1 more
TL;DR: In this paper, the authors describe how large, typically multi-technology corporations build up and exploit their technological capability by purchasing small, technology-based firms in order to acquire their technology.
References
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Book ChapterDOI
Firm Resources and Sustained Competitive Advantage
TL;DR: In this article, the authors examined the link between firm resources and sustained competitive advantage and analyzed the potential of several firm resources for generating sustained competitive advantages, including value, rareness, imitability, and substitutability.
Journal ArticleDOI
Exploration and Exploitation in Organizational Learning
TL;DR: In this paper, the authors consider the relation between the exploration of new possibilities and the exploitation of old certainties in organizational learning and examine some complications in allocating resources between the two, particularly those introduced by the distribution of costs and benefits across time and space.
Posted Content
The Population Ecology of Organizations
Michael T. Hannan,John Freeman +1 more
TL;DR: In this paper, a population ecology model applicable to business related organizational analyses is derived by compiling elements of several theories, including competition theory and niche theory, to address factors not encompassed by ecological theory.
Journal ArticleDOI
The myopia of learning
TL;DR: The imperfections of learning are not so great as to require abandoning attempts to improve the learning capabilities of organizations, but that those imperfections suggest a certain conservatism in expectations.
Myopia of learning
TL;DR: In this paper, the authors examine the ways organizations approach these problems through simplification and specialization and how those approaches contribute to three forms of learning myopia, the tendency to overlook distant times, distant places, and failures, and identify some ways in which organizations sustain exploration in the face of a tendency to overinvest in exploitation.