When do firms expand abroad? Theory to date suggests that global expansion happens when firm-specific competitive advantages outweigh country-specific difficulties in operating abroad. Differences in culture, in legislation, in administrative practices, and in the overall institutional...

This paper considers how ideas from evolutionary theory and the neo-Schumpeterian tradition can be fruitfully combined with ideas from Herbert Simon and the Carnegie tradition on decomposability and cognitive limits. Rather than focusing on any one individual issue, this paper outlines a...

The concept of vertical architecture defines the scope of a firm and the extent to which it is open to final and intermediate markets. A firm can make or buy inputs, and transfer outputs downstream or sell them. Permeable vertical architectures are partly integrated and partly open to the...

In this paper, we consider how a better understanding of entrepreneurial activities can help explain how firm and industry boundaries change over time; and how a more complete understanding of boundary setting can help us understand where entrepreneurial activities are directed. We argue that...

Extending Teece's landmark 1986 article, we consider how innovators benefit from value appropriation and creation. We elaborate on value appropriation, first by pointing out the importance of "industry architectures", i.e. sector-wide templates that circumscribe the division of labor; and...