Keeping up with the neighbors : The role of cluster identity in internationalization

This paper explores the implications of the collective identity of a regional cluster on firms’ internationalization. Prior research has established the value of cluster “insidership” through access to knowledge and resources. Through a longitudinal study, we find that cluster identity, through distinct identity claims, provides imperatives and shapes the motivation of firms to internationalize. These imperatives, we argue, stem from cluster identity seen as defined features of regional collectives, extending reference theory to encompass the role of social cues from similar firms located geographically close. The imperatives are particularly salient in the early stages of firms’ internationalization, adding the role of cluster identity to explain the differences between inexperienced and experienced firms in internationalization. Keywords: Cluster identity; Internationalization; Multinational enterprise; Longitudinal study.acceptedVersio

Serieoppkjøp : Økt effektivitet - eller det motsatte?

Virksomheter som gjennomfører en rekke oppkjøp som del av sin strategi kaller vi serieoppkjøpere. I denne artikkelen ser vi på eksisterende forskning på serieoppkjøp. Vi er spesielt opptatt av utfordringer i forbindelse med integrasjon og hvordan virksomheter kan skape verdi ved å gjøre flere oppkjøp etter hverandre. Artikkelen er knyttet il intervjuet med Steinar Sønsteby, som selv har vært involvert i over 80 oppkjøp. Tidligere forskning er ikke entydig i effektene av serieoppkjøp. På den ene siden kan en bedrift lære av tidligere oppkjøp og gjennom økt erfaring bli mer effektiv, mens bedriften på den annen side må håndtere flere, gjerne ulike integrasjonsprosesser, noe som kan føre til motstand og økt kompleksitet. Vi ser på forskning på oppkjøp og identifiserer områder der serieoppkjøpere kan genere erfaring, og områder som vil skape integrasjonsutfordringer. Ved å koble tidligere forskning med erfaringer fra Atea, diskuterer vi fire elementer som blir særlig viktige for serieoppkjøpere: visjon og strategi, integrasjonsprosessen, generering av oppkjøpserfaring og typer av denne, samt håndtering av egne ansatte. Dette er elementer som forhåpentligvis vil stå sterkere på agendaen til både forskere og praktikere i årene som kommer

Survival, short-term and long-term performance of strategic alliances

Can we predict which alliances that will terminate, and which alliances that will be successful over time? This is the core research question raised in this paper. By reviewing transaction cost economics, the resource-based view of strategy, and the relational contracting perspective, we derive at important alliance characteristics that these perspectives suggest as important for understanding alliance success and failure. Our hypotheses were tested on one hundred strategic alliances from the Norwegian manufacturing sector covering a five-year period. The results show that strategic alliances based on access to strategic important resources were less likely to terminate abruptly. We also found that newly established alliances had a higher termination rate than older alliances, indicating that alliances go through different phases of termination risk. Short-term performance was primarily affected by factors such as getting access to complementary and strategic important resources, whereas long-term performance was be related to the partners’ ability to extend and develop the alliance

Governance costs in foreign direct investments: a MNC headquarters challenge

According to transaction cost and internalization theories of multinational enterprises, companies make foreign direct investments (FDI) when the combined costs of operations and governance are lower for FDI than for market or contract based options, such as exports and licensing. Yet, ex post governance costs remain a conjectural construct, which has evaded empirical scrutiny, and the lack of focus on the implications of these costs constitutes a challenge for management in multinational companies (MNCs). What effects does the ensuing establishment of subsidiaries abroad have in terms of governance costs? What factors drive these costs? We hypothesize that such costs are driven by external contingencies as well as factors that characterize a particular company headquarters-subsidiary relationship. Using survey data from Norwegian MNCs, this study investigates 159 MNC-subsidiary relationships. Overall, our framework is corroborated by the data

Managing the exploration vs. exploitation dilemma in transnational "bridging teams"

In this paper we explore the dilemma between exploitation and exploration in dispersed "bridge-teams," i.e., teams in a firm working closely with an external partner. Based on the seminal insight by March (1991) and the learning model developed by Crossan, Lane, and White (1999), we set out to explore what type of learning is generated in teams and to what extent this learning is captured by the firm. We present four cases from two firms giving some variety in learning approaches. Based on this insight, we argue that characteristics of the activity being performed, the team itself and the firm are influential relating to what is learned and how much is shared. We argue that teams that are located at different locations and involving many nationalities have higher exposure to a variety of rich knowledge, but that the process of integrating this learning into the firm is more difficult due to distance leading to lower visibility and central managerial attention.

Organizational identification and serendipitous value creation in post acquisition integration

This is the authors’ final, accepted and refereed manuscriptThis study tells the story of two acquisitions made by a company the authors call Multifirm. Multifirm acquired two targets, Datagon and Teknico. The Datagon employees immediately identified with Multifirm, and the integration process was characterized by few conflicts and satisfied employees. The Teknico employees, on the other hand, failed to identify with Multifirm, and the integration process was fraught with disruptions and conflicts. Contrary to the conventional wisdom of identity threats, Multifirm reported that more value was created from the acquisition of Teknico than from Datagon. In this article, we try to understand why this was the case