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Herbert A. Simon and Alan Newell won the Turing Award jointly in Computer Science for foundational work on Artificial Intelligence. Simon also won the Nobel Prize in Economics for the concept of “bounded rationality.” In both cases, the same heuristic was deemed fundamental: “Search till a satisfactory solution is found.” We argue that behavioral strategy can learn a great deal from the Theory of Computational Complexity and Artificial Intelligence. These fields can provide a sounder theoretical grounding for bounded rationality and for the necessity and usefulness of heuristics. Finally, a concept of “organizational intractability” based roughly on the metaphor provided by the Theory of Computational Complexity may be useful in determining what analytical decision technologies are actually intractable in real organizations with constraints on time and managerial attention.

Strategy is ultimately aimed at creating shareholder value. We examine the relationship among intrinsic (DCF) value, market value, and the value of growth options using a “perfect foresight” model. Our findings suggest that Kester's (1984) initial assessment of growth option values may not hold under alternative valuation models. We highlight important issues in the valuation of growth options related to market expectations, modeling assumptions and estimation methods. The findings suggest that the firm's growth option value depends on three factors, each of which impacts investor expectations: (1) the macroeconomic environment; (2) the industry in which the firm participates; and (3) firm specific factors.

Current research offers alternative explanations to the “linkage” between the pattern of diversification and performance. At least four streams of research can be identified. None of these can be considered to be a reliable, predictive theory of successful diversification. They are, at best, partial explanations. The purpose of this paper is to propose an additional “linkage,” conceptual at this stage, that might help our understanding of the crucial connection between diversity and performance. The conceptual argument is intented as a “supplement” to the current lines of research, rather than as an alternative explanation.

With only a few exceptions, economic sociology scholarship remains almost silent about illegality and crime in the economy. The implicit premise in the literature on market sociology is that institutional structures and exchanges taking place in markets are law abiding in nature. As a consequence of this legality bias the study of morality in markets has so far only addressed commodities – like human organs, gambling, drugs, alcohol, or tobacco – whose legal status depends on broad social agreements and has excluded markets whose workings are dependent on formally legitimized institutions like property rights, trademark laws, or copyrights. Drawing on seven months of ethnographic research, this chapter addresses the phenomenon of emerging moral justifications in the context of a marketplace for counterfeit and sweatshop-produced garments. In line with Anteby’s proposal on a “practice-based view of moral markets,” it argues that despite the broad moral consensus around trademark laws and the absence of professionals who advocate for legalization, moral justifications views arise from rising aspirations in such illegal markets. The case expands existing understandings of morality and contestation in economic sociology literature and shows its relevance in the context of recent academic scholarship on perceptions of the future as a source of moral justification of market exchanges.

The television series The Americans succeeds as a family drama, crime drama, and political drama. Criminal law offers a useful perspective for interpreting the series. By examining the post-finale criminal liability of two key characters, daughter Paige Jennings and FBI agent Stan Beeman, this chapter provides some novel insights into the characters, their motivations, and the events in the last season of the series. The legal analysis also uncovers some ironies. Most notably, Paige’s legal vulnerability will put her in a moral dilemma because her best way of avoiding a lengthy prison term is to provide evidence against Stan, punishing him for letting her and her parents go.

Despite the abundant research on social movements, there is sparse scholarly investigation of the link between community settings and how they contribute to persistent protest participation. This paper illuminates the cultural and social mechanisms within a religious retirement community that engender members’ sustained commitment to a ten-year long peace protest. A shared religious-based collective identity also deepens activists’ commitment to this cause. This study draws on semi-structured interviews with 14 peace protesters who reside in this community at two points in time: 2010 and 2013.