Monetary policy and bank performance: The role of business models

This paper examines the relationship between monetary policy and bank performance in a multiple-instrument environment, particularly highlighting the conditioning role of bank business models. Employing a unique dataset of Vietnamese commercial banks from 2007 to 2019, we display that banks react to monetary policy changes, either when the central bank increases policy rates or injects money into the economy through open market operations, by decreasing overall returns and increasing financial instability. Additionally, we document that the accumulation of foreign exchange reserves benefits bank outcomes, contrasting to open market operations, albeit the central bank uses both of these policy instruments to alter money supply in the economy. Our key analysis of interest reveals that business models considerably matter in the effects of monetary policy on bank performance. Collectively, our findings demonstrate that banks’ business models that yield more non-interest income or diversify more into different income sources may mitigate the pass-through of monetary policy to bank performance. This finding holds across all interest- and quantitative-based monetary policy indicators and across all the functions of risk-taking behavior, earning-profit capacity, and financial stability. Furthermore, while plotting the marginal effects of monetary policy, we realize that they are insignificant for banks whose business models heavily rely on non-traditional segments.     

开放型技术双元促进中国制造业全球价值链攀升了吗——基于微观数据的实证检验

以2008—2018年中国制造业13个子行业1853家企业微观数据为基础，构建Translog模型，分析开放型技术双元及其不同技术组合对中国制造业全球价值链（GVC）攀升的异质性影响。结果表明，企业有效平衡与吸收开放型技术双元形成的协同效应，能够降低进口竞争引致的要素替代成本，促进中国制造业GVC攀升向高技术探索与开发组合的内生驱动转化。技术开发成为中国制造业GVC攀升的充要条件，技术探索为充分不必要条件。在竞争效应和协同效应双重作用下，内资企业高技术开发组合成为推动中国制造业价值链攀升的主要驱动力，受技术门槛和技术控制约束，技术探索只有在内资企业具有足够开发能力时才能对价值链攀升产生显著影响。异质性双元组合催生形成中国制造业GVC攀升的多元化路径。劳动密集型行业依赖进口竞争攀升的低技术双元特征；资本密集型行业较高的外资吸收效率对母国开发与跨国开发技术组合吸收更具适应性，呈现出显著的市场竞争攀升特征；技术密集型行业积极的母国探索倾向与较高的技术开发能力形成技术协同攀升特征。     

Open innovation: Are absorptive and desorptive capabilities complementary?

While recent studies in open innovation emphasize the synergies between in-bound and out-bound knowledge flow, empirical results are inconsistent. In this study, we argue that in order to engage simultaneously in both “buying” and “selling” activities, firms need to develop specific capabilities to manage knowledge inflows and outflows, e.g., absorptive and desorptive capacities. We build on key aspects of open innovation and knowledge management literature, arguing that absorptive and desorptive capacity are complementary rather than substitute, and engaging simultaneously in both activities should allow firms to develop their financial performance. We test our model using a sample of 541 New Zealand firms that are deeply involved in international collaborations and find empirical evidence that absorptive and desorptive capacity are not independent and the balanced development of these capabilities has higher impacts on firm’s performance. Further, our findings indicate that technology licensing capability is not a stand-alone task, and its interplay with absorptive capacity plays a key role in the development of a firm’s performance.     

Agile office work as embodied spatial practice: A spatial perspective on ‘open’ New Work environments

An increasing number of companies transform their traditional office spaces into open work environments, often as part of an effort for working relations to evolve away from rigid and hierarchical structures. Contrary to intentions, recent studies show how open office projects tend to re-produce social hierarchy and norms but say only little about how these socio-spatial structures come into being. In this study, we demonstrate how a workspace designed as ‘open’ is being (re-)produced and negotiated in everyday spatial practices. We investigate this question in an ethnographic research design using the example of office redesign at a German financial service company and from the perspective of social theories of space. First, we develop a critical perspective on the ‘new office’ by demonstrating that office work redesign is a political process. Through a focus on spatial practices of office work, we disclose movement and sound as crucial dimensions in the socio-political construction of ‘agile’ office work and of a social hierarchy in the open office. Second, based on our findings we propose that openness in organizational space, rather than being a design feature of a specific work environment, needs to be understood as a generative social process.     

Purchasing orchestration practices – Introducing a purchasing-innovation framework

This research investigates the purchasing role in enhancing an organization's innovation performance. Taking a purchasing perspective, this research introduces a new purchasing-innovation framework and specific purchasing orchestration (PO) practices related to the acquisition, integration, re-configuration, and commercialization of critical resources to enhance innovation performance. A theory elaboration methodology is applied to broaden the scope of resource orchestration theory (ROT) and introduce PO practices as an essential enabler of innovation. Qualitative interviews with managers from different industries enrich the theory elaboration process. This research contributes to theory by developing the concept of PO and enhancing the theoretical understanding of its meaning. Based on theory and empirical data, this research elucidates the PO practices of resource structuring, bundling, and leveraging support. The purchasing innovation framework explains how open-mindedness and technological uncertainty influence purchasing orchestration practices and innovation performance. Purchasing managers benefit from this research by learning to identify and address potential PO capability gaps and take a holistic perspective on resource management, looking both upstream and downstream in the supply chain.     

Orchestrating distributed data governance in open social innovation

Open Social Innovation (OSI) involves the collaboration of multiple stakeholders to generate ideas, and develop and scale solutions to make progress on societal challenges. In an OSI project, stakeholders share data and information, utilize it to better understand a problem, and combine data with digital technologies to create digitally-enabled solutions. Consequently, data governance is essential for orchestrating an OSI project to facilitate the coordination of innovation. Because OSI brings multiple stakeholders together, and each stakeholder participates voluntarily, data governance in OSI has a distributed nature. In this essay we put forward a framework consisting of three dimensions allowing an inquiry into the effectiveness of such distributed data governance: (1) openness (i.e., freely sharing data and information), (2) accountability (i.e., willingness to be held responsible and provide justifications for one's conduct) and (3) power (i.e., resourceful actors' ability to impact other stakeholder's actions). We apply this framework to reflect on the OSI project #WirVsVirus (“We versus virus” in English), to illustrate the challenges in organizing effective distributed data governance, and derive implications for research and practice.     

Sectoral credit reallocation: An excessive bank risk-taking explanation

This paper develops a theoretical model to provide an alternative explanation for the credit to nontradable sector growing faster than credit to tradable sector, after a US expansionary monetary policy, based on an excessive risk-taking channel. This is, a reduced foreign interest rate decreases bank default probability, which in turn diminishes banks’ incentives to take excessive risk. This produces a reallocation of loan supply to nontradable sector since tradable loans are riskier. Using monthly sectoral credit data at the bank level for the Peruvian economy in the 2004–2019 period, we find evidence of the excessive bank risk-taking channel on sectoral credit reallocation.     

Innovation ecosystems as a service: Exploring the dynamics between corporates & start-ups in the context of a corporate coworking space

The desire to create innovative organizational spaces has led to various instantiations of innovation ecosystems. Towards this direction, there is a growing interest in establishing corporate innovation ecosystems in the form of ‘corporate coworking spaces’ (CWS). From a relational ontological standpoint, this study builds on the collaborative spaces literature with the aim to investigate the emerging dynamics between corporates and start-ups in an innovation ecosystem. Through an abductive research strategy (ARS) as well as service design methods, we explore how co-creation between corporates and start-ups emerges (or not) in an innovation ecosystem that serves as a collaborative space in Denmark. Our empirical findings challenge the mostly overenthusiastic connotations and thus the study contributes to the critical coworking research stream. More specifically, we give emphasis on the co-constructive entanglement of socio-spatial arrangements and we propose a framework for revisiting the design of CWS through 1) balancing the engineered and evolving parts of the ecosystem, 2) facilitating stakeholder alignment, 3) adopting a service-oriented approach and 4) developing inclusive strategies. Apart from the implications for scholars and practitioners who study and design CWS, we argue that future research would especially benefit from building on a service-oriented approach of innovation ecosystems and we call for more interdisciplinary research.