Abstract: Contextual ambidexterity, conceptualized by Gibson and Birkinshaw (2004) as a means to balance exploration and exploitation at a business unit-level, is presumed an organizational capacity which facilitates superior performance. In this paper, we not only seek for further empirical evidence for the contextual ambidexterity-performance relationship but also explore its boundary conditions, which have been disregarded thus far. Specifically, we advance the argument that the relationship is moderated by environmental factors. Drawing on three important characteristics of the external environment, we develop testable hypotheses respectively. Somewhat counterintuitive, the hypotheses suggest a certain conservatism in expectations with respect to the performance impact of contextual ambidexterity. The study mainly contributes to the ambidexterity research stream, as it aids surmounting indicated shortcomings in the literature.

Abstract: The demand-side analysis of industry dynamics contained herein focuses on the dynamics of firms’ endogenous horizontal scope decisions. The endogeneity of firms’ horizontal scope decisions render it difficult to isolate their performance implications. Our data, which is drawn from a natural experiment, allows us to develop testable hypotheses concerning the exit behavior of firms. In a panel data setting of a horizontally fragmented industry we show how firms’ exit is not a single event but one that plays out over a period as they contract. In a horizontally fragmented industry firms’ exit decision is endogenous to their strategic choice of horizontal scope and thereby the investments underlying these choices. Horizontally diversified firms withdraw from certain segments before their eventual exit from the industry.

Abstract: We extend the behavioral theory of R&D innovation along four lines; first, we broaden the scope of learning from performance feedback in terms of: motivation ( a focus on survival versus a focus on aspirations), time impact (short versus long term impact) and comparisons (self versus social comparisons). Second, we explore the direct impact of performance feedback on both R&D expenditures and R&D innovation and argue that this impact is conditional upon situational factors. Third, we consider the moderating effect of available slack resources on performance feedback learning. Finally, we complement former traditional industries studies and will test our propositions on a sample of 600 high tech firms traded in the US between 1988 and 2004, from 11 different industries.

Abstract: Knowledge search speed can be a source of competitive advantage in knowledge-intensive industries. Prior studies have rarely dealt with search speed in knowledge domain and its interaction with environmental contingencies. Racing for an industry standard-setting creates a highly uncertain environment. This study examines how a firm’s comparative search speed in knowledge-searching competition influences innovation performance, in an uncertain environment surrounding an industry standard-setting race. Since there is lack of prior research on the search speed and performance in the knowledge domain, we draw upon the market entry studies in the product/market domain as well as organizational learning theory and technology innovation studies. We argue that while fast search has a positive effect on innovation performance under high uncertainty, a negative effect under low uncertainty.