Search results

1 – 8 of 8
Article
Publication date: 14 April 2022

Karen Ruckman and Daniela Blettner

When managers set aspirations for their firms, they typically compare their own firms' performance to past aspirations as well as to the performance of social reference groups…

Abstract

Purpose

When managers set aspirations for their firms, they typically compare their own firms' performance to past aspirations as well as to the performance of social reference groups. The authors explore how firm generic strategy affects managers' adaptation of firm aspirations in response to feedback from three social reference groups that vary in terms of breadth (population average, strategic group, and one direct rival).

Design/methodology/approach

The authors propose that firm generic strategy (low-cost or differentiation) functions as an organizational information filter through with managers interpret performance feedback. The authors test for whether generic strategy has a moderating effect on the influence of performance feedback from social reference groups.

Findings

Based on a longitudinal sample of US airlines, the study shows that all firms are influenced most strongly by their strategic groups. Low-cost and differentiation generic strategies differ in terms of which social reference group motivates a larger reaction when overperforming: low-cost firms are more influenced by the population average which is contributed to by the entire industry than are differentiating firms, while differentiating firms are more swayed by the narrow focus of their direct rivals than are low-cost firms.

Originality/value

Although firm strategy represents a core decision at the firm level, to the best of the authors’ knowledge, performance feedback research, surprisingly, has not yet integrated generic strategy into its models.

Details

Journal of Strategy and Management, vol. 15 no. 4
Type: Research Article
ISSN: 1755-425X

Keywords

Article
Publication date: 20 February 2009

Karen Ruckman

The purpose of this paper is to determine what the effects of acquisition are on R&D patterns.

Abstract

Purpose

The purpose of this paper is to determine what the effects of acquisition are on R&D patterns.

Design/methodology/approach

This paper tests whether the actual post‐acquisition R&D intensity of the combined firm deviated from the predicted R&D intensity, where the predicted amount is an asset‐weighted average of pre‐acquisition values.

Findings

The results indicate that the combination of technology sourcing and technological relatedness have strong predictive powers for determining changes in post‐acquisition R&D intensity. Technology sourcing acquisition of unrelated technologies results in an increase in post‐acquisition R&D intensity, as predicted. Acquirers in this situation may be using their acquisition as a platform for research expansion.

Research limitations/implications

The dataset used in this paper was restricted to public acquirers and targets for completeness of financial information. It would be useful to determine the extent to which a technology sourcing acquirer is predicted to enter into an acquisition and also whether technology sourcing can be used as a predictor for the ultimate target company out of a pool of potential targets.

Practical implications

The results can be used to inform managers on a strategic level when research strategy deviates from what the theory would predict. For example, if a company that did a technology sourcing acquisition of an unrelated product subsequently decreased R&D intensity, then rival pharmaceutical firms can ascertain that the acquired research was ultimately determined to be too risky or unviable.

Originality/value

The value in this paper is the unique measurement for technology sourcing.

Details

Journal of Strategy and Management, vol. 2 no. 1
Type: Research Article
ISSN: 1755-425X

Keywords

Book part
Publication date: 12 June 1998

Keith Head, John Ries and Karen Ruckman

This paper investigates why Japanese investors in the United States tend to locate foreign affiliates near concentrations of U.S. and Japanese establishments in their own…

Abstract

This paper investigates why Japanese investors in the United States tend to locate foreign affiliates near concentrations of U.S. and Japanese establishments in their own industry. We hypothesize that the tendency to agglomerate varies according to attributes of industries, and our empirical analysis relates various industry characteristics to the probability that a Japanese investor will locate a plant in proximity to similar firms. Our results provide evidence that agglomerative forces are stronger in natural resources industries and industries that use their own sector's output intensively. We also find that Japanese manufacturers with high transport costs displayed greater tendencies to cluster, perhaps around geographically concentrated downstream purchasers of their products.

Details

Multinational Location Strategy
Type: Book
ISBN: 978-0-76230-015-0

Book part
Publication date: 4 September 2007

Karen Ruckman

This paper empirically investigates the profit impact of externally sourcing technology through acquisition. Specifically, it questions whether biopharmaceutical acquirers benefit…

Abstract

This paper empirically investigates the profit impact of externally sourcing technology through acquisition. Specifically, it questions whether biopharmaceutical acquirers benefit from taking over technologies which are pre-marketed more than those that have already been approved for market. This paper utilizes the resource-based view to determine that the decision depends on the relative value chains of the acquirer and target. We assert that companies with lower research and development (R&D) intensity than their targets benefit from acquisitions of pre-marketed drugs more than they would with marketed drugs because of a complementary combination of competitive assets. Estimations from the U.S. biopharmaceutical sector in the 1990s show that acquirers that take over pre-marketed drugs from targets with higher R&D intensity than themselves have post-acquisition returns between 2% and 11% higher than if they took over marketed drugs.

Details

Advances in Mergers and Acquisitions
Type: Book
ISBN: 978-0-7623-1381-5

Book part
Publication date: 12 June 1998

Abstract

Details

Multinational Location Strategy
Type: Book
ISBN: 978-0-76230-015-0

Content available
Book part
Publication date: 4 September 2007

Abstract

Details

Advances in Mergers and Acquisitions
Type: Book
ISBN: 978-0-7623-1381-5

Book part
Publication date: 4 September 2007

Cary L. Cooper and Sydney Finkelstein

We are celebrating our sixth annual volume of the Advances in Mergers and Acquisitions. We have attempted over the years to include a range of disciplines and orientations from…

Abstract

We are celebrating our sixth annual volume of the Advances in Mergers and Acquisitions. We have attempted over the years to include a range of disciplines and orientations from occupational psychology to economics, to corporate strategy, to corporate finance, to marketing. This volume is no exception with academics from a range of disciplines and a number of countries (e.g. Germany, Finland, UK, Canada, Italy, US, and Mexico). The unimpeded growth in mergers and acquisitions (M&A) activity globally means that research and practice in this field is likely to become even more significant as large developing countries such as China, India, and Brazil begin to go globally and influence markets in a different but dynamic way.

Details

Advances in Mergers and Acquisitions
Type: Book
ISBN: 978-0-7623-1381-5

Article
Publication date: 1 December 2004

George K. Stylios

Examines the tenth published year of the ITCRR. Runs the whole gamut of textile innovation, research and testing, some of which investigates hitherto untouched aspects. Subjects…

3575

Abstract

Examines the tenth published year of the ITCRR. Runs the whole gamut of textile innovation, research and testing, some of which investigates hitherto untouched aspects. Subjects discussed include cotton fabric processing, asbestos substitutes, textile adjuncts to cardiovascular surgery, wet textile processes, hand evaluation, nanotechnology, thermoplastic composites, robotic ironing, protective clothing (agricultural and industrial), ecological aspects of fibre properties – to name but a few! There would appear to be no limit to the future potential for textile applications.

Details

International Journal of Clothing Science and Technology, vol. 16 no. 6
Type: Research Article
ISSN: 0955-6222

Keywords

1 – 8 of 8