Chicken, or the egg, or both? The interrelationship between a firm's inventor specialization and scope of technologies

Firms with different scope of technologies experience different firm growth. Understanding such heterogeneity requires knowing not only what drives technologies' scope but also why these drivers remain different across firms. I propose inventor specialization as a driver of technologies' s...

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Veröffentlicht in:Strategic management journal 2014-05, Vol.35 (5), p.723-738
1. Verfasser: Toh, Puay Khoon
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description Firms with different scope of technologies experience different firm growth. Understanding such heterogeneity requires knowing not only what drives technologies' scope but also why these drivers remain different across firms. I propose inventor specialization as a driver of technologies' scope: firms with more specialized inventors create narrower scope technologies. I also propose that these narrower scope technologies themselves in turn induce these firms' inventors to remain more specialized. I empirically demonstrate this two-way interrelationship in the U.S. communication equipment industry using policy shocks as natural experiments and a new measure of scope. This interrelationship has important implications for why resources and organization appear isomorphic within a firm but heterogeneous across firms.
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subjects Business growth
Communication industry
Control groups
Corporate strategies
Empirical research
Estimated taxes
Firm theory
Industrial machinery
Information technology
inventor
Inventors
organization
Organization theory
Policy analysis
RESEARCH NOTES AND COMMENTARIES
resource
Specialization
Strategic management
Studies
Tax credits
Technological change
technological scope
Technology
Technology forecasting
Telecommunications
U.S.A
title Chicken, or the egg, or both? The interrelationship between a firm's inventor specialization and scope of technologies
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