Untangling the effects of overexploration and overexploitation on organizational performance: The moderating role of environmental dynamism

Because a firm's optimal knowledge search behavior is determined by unique firm and industry conditions, organizational performance should be contingent oil the degree to which a firm's actual level of knowledge search deviates from the optimal level. It is thus hypothesized that deviation from the optimal search, in the form of either overexploitation or overexploration, is detrimental to organizational performance. Furthermore, the negative effect of search deviation oil organizational performance varies with environmental dynamism: that is, overexploitation is expected to become more harmful. whereas overexploration becomes less so with all increase in environmental dynamism. The empirical analyses yield results consistent with these arguments. Implications for research and practice are correspondingly discussed

The Development of International Industry Clusters: A Complexity Theory Approach

Recent research on networks and clusters as distributive systems of knowledge is drawing on complexity theory as a way of explaining the knowledge processes involved in these organizational forms. It appears that complexity theory and its component concepts, such as coevolution and self-organization, can offer some meaningful insights into, and possible explanations for, knowledge phenomena associated with networks and clusters. Using a case study approach, this paper explores the development of a New Zealand based industry cluster from early formation to international expansion, with a particular focus on the creation and dissemination of knowledge within the cluster. The observations are reported and discussed in the context of complexity theory, drawing particularly on coevolutionary principles. It is suggested that these approaches provide a useful way of understanding the process of industry cluster development and the dynamics associated with international expansion. Copyright Springer Science + Business Media, Inc. 2005clusters, evolution, complexity theory, knowledge,

How do firms learn to make acquisitions?: a review of past research and an agenda for the future

How do firms learn to successfully acquire other firms? The authors first review early work, mostly from the 1980s to the mid-1990s, testing the learning curve perspective on acquisitions and exploring some contingencies. They then discuss three more recent streams of research on negative experience transfer, deliberate learning mechanisms, and learning from others, which provide deeper insight into the contingencies and mechanisms of organizational learning in strategic settings such as acquisitions. The article concludes with an agenda for future research