Session 404

Innovation and Global Networks

Track B

Date: Tuesday, September 23, 2014


Time: 15:30 – 16:45

Common Ground

Room: Viena


  • TBD

Title: Benefiting From Differentiated MNE Network: Global Competence Creation Imperative


  • Ahreum Lee, Temple University
  • Robert McNamee, Temple University

Abstract: MNEs are considered as a ‘differentiated network’, where knowledge is created in various parts of the MNE, transferred and integrated within it (Cantwell & Piscitello, 2000). Especially in contemporary business environment, to gain and sustain competitive advantage, utilizing new knowledge created from emerging markets becomes more important. However, current research paid most attention to creation and transfer of technological knowledge. Given the importance of integrating technological and market knowledge for global competence creation, we argue it is important to look at creation and transfer of non-technological knowledge, particularly market knowledge. To this end, we bring in the concept of global competence creation imperative to include non-technological knowledge, and further suggest frugal and reverse innovation as an example of the creation and transfer of new market knowledge and innovation from emerging markets within MNE context.

Title: Configuring Global Networks of Innovation: The Impact of Country Based Distinctions in Brokerage Structure


  • Exequiel Hernandez, University of Pennsylvania
  • Sarath Balachandran, University of Pennsylvania

Abstract: Studies that examine the relationship between global network configuration and innovation tend to use broad measures such as centrality and constraint to characterize networks. Using the concept of brokerage as our lynchpin, we argue for a more nuanced approach towards the characterization of global networks that accounts for the differences between countries. We develop a typology of brokerage configurations based on the national boundaries within which the focal firm and its partners are located and demonstrate that a multi-dimensional measure of brokerage based on this typology explains a portion of firms’ innovation outcomes over and above that explained by the conventional aggregate measures. We also show that different configurations of brokerage have directionally different effects on firms’ innovation outcomes.

Title: Exploring Asymmetric Networks: Network Power, Relational Identity, and Knowledge Exploration


  • Bin Hao, East China University of Science and Technology
  • Yanan Feng, University of Nottingham
  • Hao Ren, Tongji University

Abstract: While most of network studies focus on the situations of symmetric interactions, the issue of asymmetric networks is underexplored. We argue that the most significant difference between symmetric and asymmetric networks is the extent to which at least one actor could use network power for coordination. This study thus aims to identify the relationship between network power and knowledge exploration. More specifically, we differentiate between structure-driven power and capability-driven power, discussing their relationships with knowledge exploration respectively, as well as the moderating role of relational identity in such relationships.

Title: Exploring Management Research on the Biotech Industry: A Citation Network Analysis


  • Marianna Marra, Aston Business School
  • Angelo Riviezzo, University of Sannio
  • Maria Rosaria Napolitano, University of Sannio
  • Alessio Meoli, University of Sannio

Abstract: This study surveys the management literature on the biotech industry applying a citations-based approach. The main goals are identifying a set of papers constituting core developments in this literature over the last 30 years, and to discover the more recent active sub-areas. We apply three network-based algorithms, Search Path Count (SPC), Hubs and Authorities, and Islands to examine respectively: the main underlying ‘research path’; the core papers in the broad area of management research on the evolving biotech industry, and their most recent developments; the 13 most active subareas (thematic islands) since the mid 1980s.

Title: The Effects of Interorganizational Imitation and Power on Exit Decisions from Open Multipartner Alliances


  • Rand Gerges Yammine, Stanford University

Abstract: This paper investigates the effect of imitation of competitors and the moderating effect of power on firm exit decisions from open mutlipartner alliances. Building on social influence models, I argue that firms tend to mimic the behavior of similar others under conditions of uncertainty. However, powerful firms are relatively immune to imitation pressures and thus, display autonomous behaviors. I decompose power into two sources, formal and informal, which are captured by hierarchal position and network centrality, respectively. An analysis of nine open multipartner alliances in the mobile phone industry from 2000 till 2012 reveals that firms imitate similar others in terms of exit decisions power immunizes firms against social influence.

Title: You Can Buy Competitive Advantage: Strategic Factor Market Theory and Acquisition Strategy in the Global Market for Innovation


  • William Schulze, University of Utah
  • Sergey Anokhin, Kent State University
  • Joakim Wincent, Luleå University of Technology

Abstract: Does strategic factor market theory hold when the value of a resource is not yet knowable? We explore this question by applying that logic to the market for innovation and find two surprising conclusions. First, consistent with strategic market theory, we find that firms that invest in a diversity of innovation markets out-perform those who concentrate investment in few markets. Second, and inconsistent with that theory, we find information obtained from global information networks about promising innovations is likely to be more valuable than information the firm acquires through private sources, like field offices. We find support for both conjectures using a sample of 652 corporate venture capital investment decisions made by 163 firms in 51 nations over a four year period.

All Sessions in Track B...

Mon: 08:00 – 09:15
Session 210: Community Engagement and Orchestration
Mon: 14:45 – 16:00
Session 202: Alliance Portfolios, Networks, and Innovation
Mon: 16:30 – 17:45
Session 211: Knowledge Transfer and Learning
Tue: 08:00 – 09:15
Session 212: Dynamic Capabilities
Tue: 11:00 – 12:15
Session 403: Understanding Network Structure and Characteristics
Tue: 15:30 – 16:45
Session 404: Innovation and Global Networks

Strategic Management Society