This study presents a simple model on the sources of inter-industry variation in profitability and tests its empirical implications in order to shed new light on the long-lasting debate over industry profitability. The model identifies four key factors that jointly influence an industry's...

While strategy researchers have devoted considerable attention to the role of firm-specific capabilities in the pursuit of competitive advantage, less attention has been directed at how firms obtain these capabilities from outside a firm's boundaries. This study analyzes how firms' network ties...

This paper argues that business groups in emerging economies exert dual effects on innovation. While groups encourage innovation by providing institutional infrastructures, groups also discourage innovation by creating entry barriers for small and non-group firms and inhibiting the proliferation...

Business groups in emerging economies frequently use international joint ventures (IJV) as a channel for knowledge acquisition and technology advancement. While IJVs provide a business group with access to new technology, how successful a group is in exploiting that new knowledge for innovative...

This paper shows that business groups in emerging economies exert dual effects on innovation. While groups facilitate innovation by providing institutional infrastructure, groups also discourage innovation by creating entry barriers for nongroup firms and thereby inhibit the proliferation of new...

Recent scholarship of business groups in institutional transition has not studied the role of the authority structure, one of the key dimensions to understand business group. Particularistic relationship (called "guanxi") has been identified as an essential feature of the authority structure in...

This study examines the impact of national corporate governance models on inward foreign direct investment (FDI) in emerging economies. We consider three potential mechanisms, and conduct an empirical test of how family ownership and control in large group-affiliated firms in Taiwan affect joint...