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Book part
Publication date: 3 October 2006

Olga M. Khessina

This paper explores how two understudied characteristics of a firm's product portfolio, namely, aging of products and (non)innovativeness of products, affect firm…

Abstract

This paper explores how two understudied characteristics of a firm's product portfolio, namely, aging of products and (non)innovativeness of products, affect firm survival. The influence of these product portfolio characteristics on organizational mortality can be observed both at the firm and at the industry levels. Paradoxically, the portfolio's influence at the firm and at the industry levels may go in opposite directions. Specifically, I predict that portfolios with aging products make their firms weaker competitors and survivors. However by weakening these firms, “aging” portfolios reduce competitive pressures at the industry level and, therefore, improve firm survival indirectly by changing industry vital rates. In contrast, firms with innovative product portfolios should be stronger survivors. At the same time, they are likely to intensify competition in the industry and, as a result, diminish survival chances of all firms, including those with innovative products. The analyses of all firms’ product portfolios in the worldwide optical disk drive industry, 1983–1999, support these predictions.

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Ecology and Strategy
Type: Book
ISBN: 978-1-84950-435-5

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Book part
Publication date: 3 October 2006

Abstract

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Ecology and Strategy
Type: Book
ISBN: 978-1-84950-435-5

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Book part
Publication date: 10 August 2018

W. Chad Carlos, Wesley D. Sine, Brandon H. Lee and Heather A. Haveman

Social movements can disrupt existing industries and inspire the emergence of new markets by drawing attention to problems with the status quo and promoting alternatives…

Abstract

Social movements can disrupt existing industries and inspire the emergence of new markets by drawing attention to problems with the status quo and promoting alternatives. We examine how the influence of social movements on entrepreneurial activity evolves as the markets they foster mature. Theoretically, we argue that the success of social movements in furthering market expansion leads to three related outcomes. First, the movement-encouraged development of market infrastructure reduces the need for continued social movement support. Second, social movements’ efforts on behalf of new markets increase the importance of resource availability for market entry. Third, market growth motivates countermovement that reduce the beneficial impact of initiator movements on entrepreneurial activity. We test these arguments by analyzing evolving social movement dynamics and entrepreneurial activity in the US wind power industry from 1992 to 2007. We discuss the implications of our findings for the study of social movements, stakeholder management, sustainability, and entrepreneurship.

Details

Sustainability, Stakeholder Governance, and Corporate Social Responsibility
Type: Book
ISBN: 978-1-78756-316-2

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