Session 243

Entrepreneurs, Ventures, and Innovation

Track I

Date: Tuesday, October 9, 2012

 

Time: 15:45 – 17:00

Common Ground

Room: Club E


Facilitator:

  • Elisa Alvarez-Garrido, University of South Carolina

Title: An Innovation-Based View of Sustainable Firm Performance

Authors

  • Ulrich Lichtenthaler, University of Mannheim
  • Shaker Zahra, University of Minnesota

Abstract: This paper presents an innovation-based view of firm performance. Grounded in interfirm heterogeneity in innovation, this view highlights the potential to achieve sustainable superior performance based on internal innovation activities despite the growing trend toward open innovation. A key feature of the innovation-based view is moving beyond the widespread focus on product innovation to build upon its interdependencies with other critical first-order innovations such as service, process, business model, and management innovations. The innovation-based view also considers the intertemporal transformation of innovation activities through second-order innovations, offering a more realistic and dynamic perspective on firms’ innovation over time. This transformation influences a firm’s boundaries as well as how and where it sustains value creation over time. As such, the proposed innovation-based perspective revises existing views about competition and organizational boundaries.

Title: Commercialization through Organizational Learning and Identity

Authors

  • Michael Ciuchta, University of Central Florida
  • Anne Miner, University of Wisconsin-Madison

Abstract: Organizational learning research has explored how varied forms of experience can generate change in knowledge and behavior. We propose that organizational identity moderates the impact of experience, and that this implies that organizations can learn differently from the same and similar experience. Specifically, we explicate how identity shapes how organizations notice, interpret and systematically respond to experience by changing aspirations and developing knowledge and the influence these processes have on an organization’s time to commercialization. We test our theory on a sample of start-up organizations located around a large research university.

Title: Contagion and Competencies: Drivers of Internationalization in Knowledge Intensive VC Firms

Authors

  • Sharon Matusik, University of Colorado, Boulder
  • Siddharth Vedula, Babson College

Abstract: What drives the internationalization of knowledge intensive firms? In this study, we argue that for knowledge intensive firms, contagion as well as competencies play an important role in driving internationalization behaviors. We study this relationship in the context of US Venture Capital (VC) firms. We hypothesize and find that there is an inverted U shaped relationship between contagion and internationalization. Additionally, we examine how VC prior performance and diversification moderate this relationship. In the case of high performing firms and firms with high diversification, there is an inverted U shaped relationship. In the case of low performers and firms with low diversification, internationalization increases geometrically as contagion increases. We discuss implications for theory related to internationalization of knowledge intensive firms as well as practical implications.

Title: Innovative Entrepreneur, Innovative Enterprise?: CEO Patenting and Biotech Firm’s Entrepreneurial Performance

Authors

  • Yuan Shi, University of Maryland

Abstract: This proposal aims to investigate the impact of CEO’s prior patenting experience on the entrepreneurial success of the incumbent high-tech firm. We argue that the knowledge base, technological breadth obtained through the innovative process enhance the CEO’s capability to seek and evaluate the opportunities. More impactful inventions in the prior experience provide the CEO with the legitimacy to exploit the opportunities with lower social cost. The collaborations with organizations and inventors formed from patenting provide CEO with the essential social capital, offering diverse source of information and resources. The study will extend the prior experience research into CEO literature and contribute to the issues of how the capability of key individuals will affect the organizational innovation performance in the general agenda of the upper-echelon theory.

Title: Learning to Internationalize: How Learning and Knowledge Transfer impact Internationalization in Venture Capital Syndicate Networks

Authors

  • Cameron Verhaal, Georgia State University
  • Jaime Grant, University of Utah
  • Robert Wuebker, University of Utah

Abstract: In this study we develop theory of knowledge transfer in venture capital (VC) syndicate networks. Drawing on the theoretical underpinnings of network and organization theory, we analyze international investment activity of 2,313 VC firms over 21,605 rounds of investment from 1980-2007. We find that younger firms are more likely to internationalize following contact with syndicate partners who have experience investing internationally as compared to older firms. This suggests both an imprinting effect among the younger firms, and inertial pressures within older firms. Furthermore, we find that firm experience, the number of VC executives, and whether the firm was lead investor also interact with the level of international experience in a focal firm’s syndicate network, impacting the propensity to participate in subsequent rounds of international investment.

Title: Private Interpretation of Public Funding of Start-ups: Evidence from the U.S. Clean Energy Sector

Authors

  • Mazhar Islam, Drexel University
  • Adam Fremeth, University of Western Ontario
  • Alfred Marcus, University of Minnesota

Abstract: We examine how public funding influences subsequent private financing of start-ups. We argue that public funding can be seen as an indicator of questionable quality of the firm’s potential. Consequently, once public funding is provided the technology will be less likely to generate interest from private financiers. However, the signal of quality may be modified by the start-up’s prior success in generating private funding. We lay out the conditions under which public financing influences the subsequent private financing. We will test the prediction on a dataset from the U.S. clean energy sector. The paper will provide insights to the policymakers in formulating policies that would foster the growth of clean energy start-ups. In addition, the findings will have strategy implications for start-ups.

All Sessions in Track I...

Sun: 08:00 – 09:15
Session 274: Knowledge Foundations: A Conversation with Robert Grant about the Knowledge Based View
Sun: 09:30 – 10:45
Session 273: Big Data, Knowledge and Innovation
Sun: 11:15 – 12:30
Session 275: The Changing Nature of Innovation in Emerging Economies
Sun: 15:15 – 16:30
Session 225: Intellectual Property Rights
Session 229: Structure and Innovation
Mon: 08:00 – 09:15
Session 223: Individuals, Teams and Innovation
Session 242: R&D
Mon: 09:30 – 10:45
Session 140: Knowledge Management & Knowledge Structures: Who knows?
Session 226: Technology
Session 235: Learning
Mon: 13:30 – 14:45
Session 222: Integrating Knowledge about Knowledge Integration
Session 227: Knowledge Transfer and Replication
Mon: 16:30 – 17:45
Session 224: Absorptive Capacity
Session 236: Innovation and Performance
Tue: 08:00 – 09:15
Session 230: Ties, Networks, and Innovation
Session 237: Open Innovation
Tue: 11:00 – 12:15
Session 228: Exploration
Session 231: Alliance and Transfer
Tue: 14:15 – 15:30
Session 234: Incumbent Response to Foreign Entry and to Disruptive Innovation
Session 240: Capabilities
Tue: 15:45 – 17:00
Session 233: Structure and Transfer
Session 243: Entrepreneurs, Ventures, and Innovation
Tue: 17:30 – 18:45
Session 232: Innovation and Transfer
Session 239: Ambidexterity / Exploration and Exploitation
Session 244: Knowledge Management


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