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Knowledge sharing is a fundamental source of competitive advantage. Social networks are thought to play an important role in knowledge sharing, but are presumed to create a trade-off such that a network can be optimized to promote either knowledge seeking or knowledge transfer, but not both. The trade-off, however, is premised on, and representative of a broader tendency to treat, brokerage and closure as contradictory network forms. We challenge this assertion and propose a theory of knowledge sharing with brokerage and closure as compatible and complementary. Evidence from a contract research and development firm broadly supports our theory. We also report the results of a simulation analysis, which illustrate that only in the extremely rare case when a network is characterized by nearly complete balance do brokerage and closure begin to create a trade-off.

The diversification phase observed in the American economy since 1975 (Leontiades, 1980) has led to significant questioning about the dimensions constituting related diversification. During the 1980s, the disappointing performances of businesses that had implemented related diversifications pushed researchers to take a closer look at the challenges involved in integration to discover commonalities in progressing from potential synergy to synergy achieved. As a result, many recent research endeavors have attempted to describe the management and integration process best suited to the context (Haspelagh & Jemison, 1991; Marks & Mirvis, 1998; Pablo, 1994; Shrivastava, 1986). Obviously, their attention focused primarily on initiatives targeting integration on the functional, structural, and operational levels, without really taking into account the historical, cognitive, and cultural baggage that each business carries around with it.

This research is intended to provide a better understanding of the factors that contribute to creating synergies between companies undertaking an integration process involving related diversification. Based on the cognitive approach, it is premised on the notion that creating synergy primarily depends on reconciling the collective representations of the companies involved rather than on simply implementing measures designed to achieve technical and operational integration.

This study places particular emphasis on the concept of collective representations, which recognizes that organizational players come to adopt a relatively homogeneous view of the world. It proposes an analysis framework and research method enabling it to go beyond the limits of attempts that, up until now, have strived to quantify and substantiate the mental schemata of organizations involved in merger acquisition. Moreover, these attempts have been criticized as being too vague (Côté, Langley & Pasquero, 1999; Grant, 1988; Lampel & Shamsie, 2000).

In order to characterize the content of collective representations specific to each of the organizations undergoing integration, we propose applying a new approach in the sociology of organizations called the theory of conventions (Boltanski & Thévenot, 1991, 1994). The convention theory posits that organizational players share representation systems that help forge interaction rules. Collective, concerted action is made possible by mobilizing common frameworks, that is, conventions. These conventions are characterized by higher principles specific to each city. The outcome can be agreement or conflict, depending on whether player justifications are rooted in the same city or not.

Through the longitudinal analysis of the case of related diversification, specifically a Canadian chartered bank’s acquisition of two brokerage subsidiaries (1987, 1994), this study examines the evolution of the integration initiatives and collective representations of the businesses involved. We made two significant observations in examining the various integration initiatives undertaken by the bank during the period under study. First, the integration initiatives could be described as falling into the technical, structural, and operational categories. Second, their outcomes, both qualitatively and quantitatively, were far from conclusive.

Concurrent analysis of justificatory fragments of the three organizations, during the period under studied, revealed divergence between the justification modes that each of the businesses opted for. This divergence of dominant collective representations enabled us to interpret the issues encountered during these initiatives and posit a new explanation for their qualified success.

We argue for a broadened approach to brokerage by distinguishing between brokerage emphasizing a particular structural pattern in which two otherwise disconnected alters are connected through a third party (“brokerage structure”) and the social behavior of third parties (“brokerage process”). We explore a processual view of brokerage by examining three fundamental strategic orientations toward brokerage: conduit, tertius gaudens, and tertius iungens that occur in many different forms and combinations. This processual view is especially relevant in increasingly complex and dynamic environments where brokerage behavior is highly varied, intense, and purposeful, and has theoretical implications for studying multiplexity, heterogeneity, and brokerage intensity.

This chapter focuses on brokerage in the prestige economy of the Gabor Roma ethnic subgroup in Romania. It argues that the necessity of the brokers’ employment as well as their economic importance comes from the significant uncertainty characterising the prestige-object transactions, that is, these brokers are occasional entrepreneurs specialised in risk management. The theoretical purpose of the chapter is to demonstrate that brokers and goods mediated by them can be associated with more than one socially constructed transactional identity (cultural, political, economic, etc.) at the same time. It also aims to highlight the shifting nature of these identities – they are not constant and context-free qualities, but highly context-sensitive social constructions that can appear in various combinations.

This volume brings together empirical and conceptual papers that investigate the challenges of organizing creativity in the innovation journey in and across different empirical contexts. Seen as the basis for innovating new products, processes or services, organizing creativity is studied as intentional efforts that occur in teams, organizations, and fields. What creativity is, how it is defined, negotiated and recognized is hereby co-constructed with different audiences and in different economic and societal spheres. The papers in this volume extend our understanding of these contextualized social dynamics of organizing creativity in four directions. The first direction sheds light on the temporal dynamics of organizing creativity in artistic fields. The second direction compares creative processes in arts and science, thereby examining tensions and uncertainties in the creative process unfolding in two distinctive contexts of creativity. The third direction examines identity struggles of creative agents in organizations with clashing roles, professional norms, and ambiguities in creativity assessment. The fourth and final direction unravels the communicative journey of ideas from pitching to feedback, revealing how ideas are challenged, enriched, and acquire meaning in communicative interaction. Overall, the papers in this volume contribute to a situated view of creative processes in innovation which goes beyond questions of idea generation to account for dynamics of idea development, judgment, and dissemination which involve identity struggles, evaluation, and communication – processes which are at the heart of organizing for innovation.

Corporate crime affects the stability of the international financial system and the business world system has made considerable efforts to fight all aspects of corporate crimes. Fraud and white-collar crime has increased considerably over the recent years and this trend is expected to continue.

This chapter defines corporate crime and its categories as well as considering the ways in which such crime occurs. This is set within the context of other failures such as Enron.

These crimes are considered in the context of ethical behaviour but it is reported that the various measures taken to dissuade these crimes at various levels just have not seems to reduce such crime.

In many respects this chapter introduces the contexts and acts as preparation for the other chapters in the book and so is not exhaustive in scope.

Since not all fraud and abuse is discovered and reported, the cost of fraud to businesses is hard to be estimated.

The chapter discusses the context in which corporate crime occurs.

This article explores the contingent role that social ties play in the emergence of status hierarchies. We argue that, while status is formed based on actors’ perception and understanding of social cues, network structure, and position influence this process by influencing the attention and legitimacy given to the focal actor in accordance with social cues that signal an actor’s identity. Using a large data set from an open-source software development community, we find that a broker linking diverse network members is less likely to receive status ratings from others and that the rating is more likely to be low when a broker receives a rating. Furthermore, we find evidence that the effects of brokerage are contingent upon certain factors that may affect the attention and legitimacy given to actors in the process of status evaluation, such as the actor’s prior status. An actor’s prior status was found to weaken the negative effect of brokerage. The importance of this study for theories of status, social networks, and attention is discussed.

Despite the importance of brokers in creative projects, limited attention has been devoted to the micro-interactions by which brokers induce others’ collaboration while simultaneously retaining some control over creative production. Building on an interactionist perspective, we develop the concept of brokerage style – i.e., a recognizable pattern in the ways in which a broker interacts with others. By using different brokerage styles in different phases of a creative project, brokers can orient the social interactions among project participants, “charging” those interactions with different types of emotional energy and mutual attention, eventually inducing collective collaboration and limiting participants’ expectations of control. We illustrate our interactionist model of brokerage styles with examples from the music and TV industries.

Leadership is a social phenomenon. Therefore, it has to be examined according to its social context. The point to be underlined by the social context is the social network in which the leader emerges. Considering the studies, the social network side of leadership is relatively ignored comparing with sociometric studies. In that sense, the aim of this study is to reveal whether there is a relationship between the positions of the military personnel, who are defined as one of the gray-collar working groups in the literature, within the social network mechanisms of which they are members, and their self-leadership perceptions. To answer the question, a self-leadership scale was applied to 69 gray-collar employees working in a military unit and network analyses were performed. According to results, there is a strong, positive and significant relationship between the network mechanism centrality criteria indegree, reach centrality and closeness and the self-leadership perceptions of individuals. In addition, there was no significant relationship between eigenvector centrality and honest brokerage, which are among the network mechanism criteria, and the actors’ self-leadership perceptions. The study has aimed at accenting and adding different perspectives to the leadership studies and gray-collar literature.

What is the scope of brokerage network to be considered in thinking strategically? Given the value of bridging structural holes, is there value to being affiliated with people or organizations that bridge structural holes? The answer is “no” according to performance associations with manager networks, which raises a question about the consistency of network theory across micro to macro levels of analysis. The purpose here is to align manager evidence with corresponding macro evidence on the supplier and customer networks around four-digit manufacturing industries in the 1987 and 1992 benchmark input–output tables. In contrast to the manager evidence, about 24% of the industry-structure effect on industry performance can be attributed to structure beyond the industry's own buying and selling, to networks around the industry's suppliers and customers. However, the industry evidence is not qualitatively distinct from the manager evidence so much as it describes a more extreme business environment.