An individual‐level assessment of the relationship between spin‐off activities and research performance in universities

One of the most problematic aspects in the creation of spin‐offs by university personnel concerns the relationship between entrepreneurial activity and research activity by researcher‐entrepreneurs. The literature has expressed varying and opposing views as to the nature of the relationship, but very little has been produced to empirically legitimate one position or another. The present work proposes to address this shortcoming by exploring the relationship existing between academic spin‐off generation and the research performance of enterprise founders. The study investigates whether, and to what extent, scientific performance by academic entrepreneurs is different than that of their colleagues, and if the involvement in entrepreneurial activity has an influence on the individual's research activity. The research questions are answered by considering all spin‐offs generated by Italian universities over the period 2001–2008 and evaluating, through a bibliometric approach, the scientific performance of founders relative to that of their colleagues who carry out research in the same field. The data show better scientific performance by the researcher‐entrepreneurs than that of their colleagues, and in addition, although there are some variations across fields, the creation of a spin‐off does not seem, on average, to have negative effects on the scientific performance of the founders.     

Meta‐analyses of post‐acquisition performance: indications of unidentified moderators

Empirical research has not consistently identified antecedents for predicting post‐acquisition performance. We employ meta‐analytic techniques to empirically assess the impact of the most commonly researched antecedent variables on post‐acquisition performance. We find robust results indicating that, on average and across the most commonly studied variables, acquiring firms' performance does not positively change as a function of their acquisition activity, and is negatively affected to a modest extent. More importantly, our results indicate that unidentified variables may explain significant variance in post‐acquisition performance, suggesting the need for additional theory development and changes to M&A research methods. Copyright © 2003 John Wiley & Sons, Ltd.     

Vertical and Horizontal Cross‐Ties: Benefits of Cross‐Hierarchy and Cross‐Unit Ties for Innovative Projects

Social networks are an important driver for successful innovation, both at the individual level as well as the organizational level. Recent research has also shaped that networks within teams can enhance performance. Innovative project teams are embedded in an organizational context, however, and teams typically consist of people with expertise from diverse backgrounds, and from different units. Team members may have ties to other teams, business units, and hierarchical levels. Although it seems clear that such ties can influence team performance, remarkably little research has focused on what is here referred to as vertical and horizontal cross‐ties. Previous research may have ignored the possibility that vertical and horizontal bridging ties may have different performance outcomes. Although the literature suggests that diversity of input, or horizontal cross‐unit ties will benefit team performance and innovativeness, there is reason to believe that ties to higher levels in the organization might have an effect on project team performance and innovativeness too. This article in particular studies the role of vertical cross‐hierarchy ties. In an exploratory analysis combining quantitative and qualitative results, it is distinguished between horizontal cross‐unit and vertical cross‐hierarchy ties and their contribution to new business development (NBD) project performance, thereby making a substantial contribution to both academic literature and managerial practice. Our study is based on a multiple case‐study approach of several NBD project teams in a large European financial service provider. Our results show that successful innovation project teams are characterized by a large number of cross‐unit ties in combination with a large number of cross‐hierarchical ties compared with less successful project teams. Additionally, proof is found that vertical cross‐hierarchy ties should be concentrated rather than scattered across project members.     

The Complementary Roles of Applied and Basic Research: A Knowledge‐Based Perspective*

While a great deal of scholastic effort has gone into discovering the multifaceted relationships between applied research initiatives and subsequent performance, relatively little empirical research addresses the performance impact from firm investments in basic research initiatives. Even less addresses the interactive roles of both types of research. The authors conceptualize and empirically evaluate the interactive relationship between applied and basic research initiatives and firm performance. Applied and basic research projects are knowledge creation activities in a product development domain, and both initiatives enhance the stored knowledge of a firm. Stored knowledge is the fuel that drives the product development engine. Applied research initiatives assimilate and exploit stored knowledge to develop new products. Basic research initiatives contribute to and enhance the stock of knowledge from which the applied initiatives are drawn. This expanded base of stored knowledge has positive ramifications for subsequent applied research initiatives. Results indicate that firms that engage in moderate or higher levels of applied research will see enhanced performance returns from additional investments in basic research. Conversely, firms that engage in relatively lower levels of applied research see no performance enhancement at any level of investment in basic research. Firms that rely on a flow of product innovations to provide a continued income stream must certainly invest in applied research initiatives. However, additional investment in directed basic research initiatives will augment future applied projects and could become the source of sustainable competitive advantage.     

Age structure shifts in Research & Development (R&D): Some statistical evidence and an integrative approach to link behavioural aspects of individual and group age in collaborative R&D

Since empirical material concerning the age structure of industrial R&D organizations is scarce an attempt is made to present some statistical evidence in support of the wide-spread notion of a shift toward a higher median age in R&D laboratories during the past years. Then, on an individual level of analysis the results of an extensive review of existing empirical research on the covariation of individual age and scientific performance are summarized in brief. On a group level of analysis research relating age of collaborative R&D groups (i.e., average length of time group members had worked together in a particular group) to group performance is discussed. To integrate the contradictory findings of prior research two analytic concepts are introduced, namely the discrimination of different situations of collaboration and the identification of two basic functions of interactions in collaborative R&D. Based upon these concepts an integrative approach to account for time-related performance patterns on an individual and group level of analysis is laid out. Finally, possibilities of a diagnostic application of the suggested concepts are indicated.     

A basic model for evaluating R&D performance: theory and application in Italy

Nowadays the public R&D laboratories have a fundamental role in countries' development, supporting businesses as they face the technological challenges in the turbulent world scenarios. Measuring the performance of R&D organisations is crucially important to decisions about the level and direction of public funding for research and development. This research considers the public laboratories like systems and develops a mathematical model based on the measurement of R&D activities with k‐indices. The score obtained from the research laboratories evaluation (relev) methodology synthesises in single value financial, scientific and technological aspects. It is an indicator, for R&D manager and policy maker, of performance in relation to other research organisations or in a time series. The method is an instrument of strategic planning and can be used for the improvement of individual activities and the overall performance of public R&D bodies.     

The performance implications of “grow or buy” decisions in the wine industry

This paper investigates how wineries’ decisions to grow or buy their provisions of grape affect their viticultural performance. While previous literature in agrarian economics suggests a direct association between vertical integration and performance, this research largely neglects the impact of transaction cost variables on governance mode choice and firm performance. This paper first demonstrates that neither outsourcing nor vertical integration per se result in superior performance; rather, a winery’s viticultural performance is contingent upon the alignment of winery’s governance decisions with the predictions of transaction cost theory.     

Success Factors for Service Innovation: A Meta‐Analysis

Service sectors form a considerable part of the world economy. Contrary to the logical assumption that service innovation research should represent a significant share of all innovation research, the vast majority of innovation studies focus on products as opposed to services. This research presents a meta‐analysis of the antecedents of service innovation performance conducted on 92 independent samples obtained from 114 articles published between 1989 and 2015. This research contributes to our understanding of service innovation in three major ways. First, this is the first meta‐analysis that specifically assesses the relative importance of antecedents of service innovation performance, while also pinpointing the differences in meta‐analytic findings between antecedents of service and product innovation performance. Although there are some universal success factors that transcend the boundaries between services and products, the presence of marked differences implies that it would be wrong to treat the development of new services and new products as the same. Second, the meta‐analysis demonstrates that the antecedents of service innovation performance are contingent on the sector context (i.e., explicit versus tacit services). Comparing results between products and services, and between tacit and explicit services, there appears to be a continuum where explicit services sit interstitial between tacit services on one side and products on the other. Third, the meta‐analysis compares and contrasts the antecedents of two dimensions of service innovation performance (i.e., commercial success and strategic competitive advantage). Previous meta‐analyses treated these two dependent variables collectively, which falls short of identifying issues that may affect management decisions when faced with different objectives. Additionally, this research investigates the effect of several other moderators (i.e., culture, unit of analysis, journal quality, and year of publication) on the relationships between the antecedents and service innovation performance. The results are discussed in relation to their implications for research and managerial practice.     

New models for measuring the R&D performance and identifying the productivity of public research institutes

Research evaluation of public institutes is important for measuring the performance of the science sector and improving the cost effectiveness and efficiency of public resource allocation. The purpose of this article is to construct a means of classifying publicly-funded R&D institutions and their performance (high or low). The main findings are two research performance functions, created using discriminant analysis with direct and Wilks methods, which have been successfully applied to 200 public research institutes belonging to the Italian National Research Council. The large number of indicators used within the models creates a macro index that produce, as output, the research performance score. The data analysed is from the 2001 period. The results show that 22.5% of public labs fall into the 'high performance institute' bracket and that they have a site larger than 'low performance institutes'. The models are useful tools for decision making within the research bodies and for reducing X-inefficiency.     

The Impact of the Corporate Mind‐set on New Product Launch Strategy and Market Performance

In the last decade, there has been an increasing interest in the link between new product launch strategy and market performance. So far, new product launch research has focused on this performance relationship without giving much attention to background factors that can facilitate or inhibit successful launch strategies. However, investigating such antecedents that set the framework in which different strategic launch decisions enable or prevent the market performance of new products is useful for enhancing the current state of knowledge. Drawing on the concept of a firm's orientation, the present study discusses the influence of the corporate mind‐set on new product launch strategy and market performance. It is hypothesized that the capability to successfully launch new products is based on the interplay between a firm's mind‐set (i.e., an analytical, risk‐taking, and aggressive posture) and its strategic launch decisions on setting launch objectives, selecting target markets, and positioning the new product. A research model with mediating effects is proposed, where the corporate mind‐set determines the launch strategy decisions, which in turn impact market performance. The model is tested with data on 113 industrial new products launched in business‐to‐business markets in Germany using a multiple informant approach. The results support the mediated model as the dimensions of the corporate mind‐set have a significant impact on most strategic launch decisions, which in turn significantly contribute to market performance. It is found that while an analytical posture relates to all three strategic launch decisions, risk taking and an aggressive posture have a significant impact on two, respectively one, launch strategy elements. These findings confirm the importance of investigating antecedents for a successful new product launch, as the corporate mind‐set serves as a background resource that sets the framework for successful new product launch decisions. In the final section implications for research and managerial practice as well as limitations of this research are provided.     

Organizational form and environment: an analysis of between‐form and within‐form responses to environmental change

This study extends previous research on organizational adaptation to major environmental shifts by empirically examining the potential constraining effects of organizational form, operationalized using the Miles and Snow typology, on the type of responses enacted as well as the performance effects of the responses. Results indicate that a fit between environmental contingencies and organizational form relates to superior performance. The results also provide support for the idea that organizations systematically move toward the higher‐performing forms for a given environment. Consistent with organizational configuration logic, while these responses lead to performance improvements when a between‐form change is made, they do not necessarily lead to performance improvements when a within‐form change is made. Copyright © 2000 John Wiley & Sons, Ltd.     

Toward Further Understanding the Market‐sensing Capability–Value Creation Relationship

Earlier writings have speculated that the components of customer focus may have differential effects on customer value. This research is responsive to this call as it identifies the behavioral and cultural components that underlie a market‐sensing capability (i.e., customer focus), and undertakes a finer‐grained examination of the impact of the routines through which customer focus is manifested. Specifically, this research investigates the market learning activities (ML) that can affect the depth of the understanding achieved regarding the buyer's requirements and usage context, and the customer‐oriented practices (CO) that can affect the breadth of potential solutions generated to address those requirements. Given the possibility that some buyers may have more sophisticated needs, the role of a customer's performance standards is also considered as a moderating variable. Based on data collected from computer and electronics manufacturers via two separate surveys, the results support that a supplier's ML and CO, respectively, affect perceived customer value. The results also show that a customer's performance standards do not moderate the ML–customer value relationship. Regardless of whether the customer's performance standards (along the lines of product quality, defect rates, and on‐time delivery) are high or low, the seller must be adept at discerning changes in the buying firm's requirements and operational realities. Thus, market learning practices are needed across all customers in order for the supplier to remain synchronized with market changes and deliver superior value to them. Additionally, the results support that the positive association between a seller's CO and perceived customer value is stronger when buyers have more demanding performance standards. The generation of a broader array of potential solutions that is commensurate with a more outward focus is likely to be needed to satisfy customers with more stringent requirements. The disaggregated approach taken in this research contributes to theory by (1) providing greater insight into the domain of the customer focus construct, (2) tracing the mechanisms through which customer focus is reified, and (3) evaluating the possibility that the components of customer focus may have differential effects on customer value. The main practical implication stems from the proposal that market sensing can serve as a core competence and thereby provide the foundation for differential advantage.     

Managing foreign R&D laboratories in China

This paper focuses on the management of R&D units established by foreign companies in China, investigating R&D missions, site build-up, integration with the parent organization, and overall performance measurement. The research is based on 37 qualitative expert interviews with local R&D directors and managers conducted between 2001 and 2004, using a semi-structured research questionnaire, and semi-quantitative research done on 199 foreign R&D labs in China. Cultural influences on R&D management, location advantages, expatriate involvement, and organizational evolution of local laboratories are discussed. We find that foreign R&D laboratories in China are not only important vehicles for local market development but also increasingly important sources of locally developed technology.     

The Effects of Competition in Short Product Life‐Cycle Markets: The Case of Motion Pictures*

It is critically important to understand the relationship between new product launch strategies and their interaction with the competitive environment, which results in the successful introduction of new products. Deciding when to launch new products is among the most significant issues facing managers when formulating new products strategy, especially for products with short product life cycles. However, little extant research has focused on the interaction of product launch timing and the competitive market environment. This study explores the effects of four types of competitive threats on the market performance of short product life‐cycle products. Threats from new products and incumbents are possible. Also, products in the same category and those in related product categories exert competitive pressures. In this paper, a framework of competitive threats is developed, and research questions are constructed and empirically tested using the motion pictures industry as the focus of this research. A set of simultaneous equations was estimated using a sample of 2,948 movies introduced in the U.S. market between 1997 and 2004. The results show that all competition types have negative direct, indirect (as mediated by distribution intensity), and total effects on the performance of a new product. For a focal product, incumbent products exert a greater negative impact on performance than new entrants. Surprisingly, products in different, but related, categories are more harmful to the performance of products than products in the same category. The results have important implications for launch timing and new product performance.     

Person–organization fit, OCB and performance appraisal: Evidence from matched supervisor–salesperson data set in a Spanish context

Despite the extensive work carried out by sales researchers regarding the influence of organizational citizenship behaviors (OCB) on significant individual and organizational outcomes, it is still of interest to address new research questions and support previous results with samples from different organizational settings and other countries. Researchers have also identified the need to thoroughly investigate relationships between different antecedents of extra-role behaviors.In this study, we intend to test a two-part model. The first part of the model assumes that a salesperson's OCB is determined by Person–Organization fit and that this relationship is mediated by the salesperson's job satisfaction and organizational commitment. The second part examines the impact that such behavior may have on the supervisor's rating of the salesperson's performance.Data collected from 122 salesperson–supervisor dyads from 35 firms confirmed that Person–Organization fit has a positive effect on OCB due to the effect it has on the salesperson's job satisfaction. The results also verified the positive effect of OCB on the supervisor's evaluation of the sales agent's performance, both directly and indirectly, through the impact OCB had on the supervisor's fondness of the salesperson. Certain implications of this study, as well as directions for future research, are also addressed.     

Integration capacity and knowledge‐based acquisition performance

Even though knowledge‐based acquisitions (KBAs) are common, their performance often lags expectations due to difficulties during integration. Building on Penrose’s foundational ideas that managers limit firm growth, we outline a theoretical model that explores how an acquirer’s integration capacity mediates the impact of acquirer and target characteristics (influenced by contextual conditions) on the performance of KBAs. Our theoretical model, based on research consistent with the resource‐based view and resource orchestration, suggests the success of acquisitive growth rests on the quality and quantity of an acquirer’s managerial talent. This contributes to research by identifying conditions where acquisitions can provide a means of growth. Additionally, it provides managers a means to assess whether an identified target firm is within an acquirer’s integration capacity.     

Strategic consensus and performance: the role of strategy type and market‐related dynamism

This paper examines the link between consensus among senior managers and performance at the SBU level and considers factors which may moderate the strength of this relationship. Using data from a cross‐national study in three industry sectors, the authors find that consensus increases the performance of the SBU in the case of a differentiation strategy but not in the case of a low‐cost strategy. Additionally, the relationship between consensus on a differentiation strategy and performance is negatively influenced by dynamism of the market. This research thus clarifies and extends prior consensus research by indicating the conditions under which consensus positively affects performance. For managers, our results indicate that investing managerial time in obtaining consensus is more important for a differentiation than for a low‐cost strategy and is particularly important when using a differentiation strategy in a stable environment. Copyright © 1999 John Wiley & Sons, Ltd.     

The performance implications of intra‐ and inter‐regional geographic diversification

Engaging the debate regarding the appropriate level of geographic diversification for multinational enterprises (MNEs), we examine a critical, yet unresolved, question: How is performance impacted by the MNE's level of intra‐ and inter‐regional diversification versus the total level of geographic diversification? Using data from 123 U.S.‐based MNEs over a seven‐year period and leveraging both sales‐based and subsidiary‐based measures for diversification, we find that performance increases at an increasingly higher rate as firms concentrate more heavily on intra‐regional diversification. Regarding inter‐regional diversification and total geographic diversification, we find inverted‐U relationships to exist between firm performance and the level of geographic diversification. Different from recent research on multinationality, our robustness checks indicate no evidence of a sigmoidal relationship between the degree of regional diversification and performance. Copyright © 2010 John Wiley & Sons, Ltd.     

Performance consequences of new CEO ‘Outsiderness’: Moderating effects of pre‐ and post‐succession contexts

This study seeks to reconcile inconsistent findings on the performance consequences of new CEO origin. Drawing on five decades of empirical research on CEO succession outcomes, I develop a more refined theoretical conceptualization and a finer‐grained measurement of the underlying construct of the insider vs. outsider CEO, and build and test a more comprehensive and nuanced framework of the succession context. A longitudinal investigation of the U.S. airline and chemical industries (1972–2002) indicates that new CEO ‘Outsiderness’, conceptualized as a continuum raging from new CEOs who have a greater combination of firm and industry tenure to those who have no experience in the firm and the industry, has no main effect on post‐succession firm performance. However, significant moderating effects are found when environmental munificence, pre‐succession firm performance, and concomitant strategic and senior executive team changes are considered. Together, these findings highlight the need to consider both pre‐ and post‐succession contextual factors for evaluating the performance effects of new CEO outsiderness. Copyright © 2007 John Wiley & Sons, Ltd.     

Product Choice and the Importance of Aesthetic Design Given the Emotion‐laden Trade‐off between Sustainability and Functional Performance

This paper investigates the trade‐off decision that consumers face when choosing between a product that is perceived to be more sustainable (i.e., more socially and environmentally responsible) and another product that instead is perceived to offer superior functional performance. Prior research has demonstrated that consumers often believe that there is a trade‐off between sustainability and performance, and in some cases, this trade‐off may be real and not just perceived. The objectives of the current research are to understand the mediators and moderators of this trade‐off choice and to illustrate one specific way in which to use this understanding to promote the consumption of relatively more sustainable products despite a perceived performance trade‐off. Two separate studies were conducted. The first employed a student‐based sample, whereas the second employed a nationally representative online sample. In both studies, participants were presented with a choice between two consumer products. One product was depicted as having superior sustainability characteristics (and average functional performance), and the other product was depicted as having superior functional performance (and average sustainability characteristics). Participants were asked to imagine that they were leaning toward choosing one product over the other, and then rated the degree to which they were feeling a set of possible emotions. Following these ratings, participants chose one of the products. The results suggest that consumers presented with such a trade‐off will tend to choose the product with superior functional performance over the product with superior sustainability characteristics, due to feelings of distress, until a minimum threshold of functional performance is achieved. The current research also shows that choice given this trade‐off depends upon the degree to which consumers value sustainability that, in turn, is mediated by consumers’ feelings of confidence and guilt. Further, based on an understanding of the emotions mediating choice in this context, the authors demonstrate how the effective use of product aesthetic design can improve the relative choice likelihood of sustainable products. Specifically, the authors demonstrate that superior aesthetic design has a disproportionately positive effect on the choice likelihood of sustainability‐advantaged (versus performance‐advantaged) products due to the effect that superior aesthetic design has on overcoming the potential lack of confidence in sustainable products. These findings highlight the specific value of aesthetic product design in the context of marketing sustainable products and suggest that it is especially important for firms interested in marketing sustainable products to also develop market‐leading product aesthetic design capabilities.