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Faculty & Research

Merage School CIWM Social Impact Investing


about the May 4th
Social Impact Investing: Strategies and Implications for the Future.

Organization and Management


Professor Christopher W. Bauman
Title: “Blame the shepherd not the sheep: Imitating high-ranking transgressors mitigates punishment for unethical behavior”
Co-authors:  Leigh P. Tost and Madeline Ong
Accepted at: Organizational Behavior and Human Decision Processes
September 2016

Do bad role models exonerate others’ unethical behavior? Based on social learning theory and psychological theories of blame, we predicted that unethical behavior by higher-ranking individuals changes how people respond to lower-ranking individuals who subsequently commit the same transgression. Five studies explored when and why this rank-dependent imitation effect occurs. Across all five studies, we found that people were less punitive when low-ranking transgressors imitated high-ranking members of their organization. However, imitation only reduced punishment when the two transgressors were from the same organization (Study 2), when the transgressions were highly similar (Study 3), and when it was unclear whether the initial transgressor was punished (Study 5). Results also indicated that imitation affects punishment because it influences whom people blame for the transgression. These findings reveal actor-observer differences in social learning and identify a way that unethical behavior spreads through organizations.


Professor Phil Bromiley

Title: "A behavioral understanding of investment horizon and firm performance"

Co-author: David Souder, Greg Reilly, and Scott Mitchell, PhD Alumnus

Accepted at: Organization Science

September 2016


Observers have argued that firms overly emphasize short term results at the expense of long run value. Using a behavioral perspective, we analyze three hypotheses related to this general argument.  First, we examine the association of investment time horizons with firm performance, contributing new theory that argues for a quadratic rather than linear association. Second, because the tendency toward immediate results could reflect stock market pressures, we consider how the interaction of investor patience and firm horizon relates to firm performance.  Third, we examine the argument’s implication that most firms have investment horizons at a level where marginal increases in horizon associate positively with firm performance. Measuring horizon as the expected useful lives of capital expenditures, we find empirical support for the hypothesized quadratic relation in a large-scale, multi-year sample of U.S. publicly held manufacturing firms and confirm that a majority of firms have horizons in the region where our models predict increases in horizon positively influence performance.  We also find that the most positive returns occur when long horizon investments are aligned with investor patience.



Professor Christopher W. Bauman
Title: “Intentional sin and accidental virtue? Cultural differences in moral systems influence perceived intentionality”
Co-authors:  Clark, C. J., Kamble, S. V., & Knowles, E. D.
Accepted at: Social and Personality Psychological Science
August 2016

Indians and US Americans view harmful actions as morally wrong, but Indians are more likely than US Americans to perceive helping behaviors as moral imperatives. We utilize this cultural variability in moral belief systems to test whether and how moral considerations influence perceptions of intentionality (as suggested by theories of folk psychology; e.g., Knobe, 2003). Four experiments found that Indians attribute more intentionality than US Americans for helpful but not harmful (Studies 1-4) or neutral side-effects (Studies 2-3). Also, cross-cultural differences in intentionality judgments for positive actions reflect stronger praise motives (Study 3), and stronger devotion to religious beliefs and practices among Hindus (Study 4). These results provide the first direct support for the claim that features of moral belief systems influence folk psychology, and further suggest that the influence is not inherently asymmetrical; motivation to either blame or praise can influence judgments of intentionality.


Professor Sharon Koppman
Title:“Third World ‘Sloggers’ or Elite Global Professionals?  Using Organizational Toolkits to Redefine Work Identity in IT Offshore-Outsourcing.”
Co-authors: Elisa Mattarelli and Amar Gupta  
Accepted at: Organization Science
March 2016

Organizations increasingly rely on teams that span national and organizational boundaries, yet team members in emerging countries and vendor firms are not treated as professional peers by their Western and client-based peers.  To understand how they respond to this identity threat, we integrate two literatures that suggest two possible answers: an organizational response, based on the critical literature on top-down identity regulation, and an individual response, based on the positive literature on bottom-up identity construction.  Drawing on in-depth interviews and archival data from three Indian IT offshore-outsourcing firms, we examine how organizational and individual identity processes work in tandem to address this threat.  We find that firms do not resolve this threat by regulating employee identity directly as they claim but instead provide workers with an organizational toolkit—a set of organizationally-available cultural resources (e.g., frames and stories) and political resources (e.g., policies and procedures) that workers use selectively and strategically to construct positive identities.  By bringing a toolkit perspective to identity processes, we contribute to theory and research on cross-level identity linkages, the strategic nature of identity processes, and the local context of global identity.



Professor Phil Bromiley

Title: "Social, Behavioral, Cognitive Influences on Upper Echelons During Strategy Process: A Literature Review"

Co-author: D. Rau

Accepted at: Journal of Management

January 2016


This study reviews research on the social, behavioral, and cognitive influences on CEOs, top management teams (TMTs), and the CEO-TMT interface during strategic decision making.  We identify the key issues examined in this research over the past ten years and relate developments in the field to previous knowledge in this area.  We also attempt to identify what consitutes an established body of knowledge in the field, and therefore, areas that need additional examination.  Our review indicates that while there has been an explosion of research on the influence of CEO personality and TMT social processes on strategy process, much remains to be done in terms of examining CEO and TMT cognition, particularly at the level of the CEO-TMT interface.



Professor Christopher W. Bauman
Title: “Diverse According to Whom? Racial Group Membership and Concerns about Discrimination Spare Diversity Judgments”
Co-authors:  Sophie Trawalter and Miguel M. Unzueta
Accepted at: Personality and Social Psychology Bulletin
October 2014

People often treat diversity as an objective feature of situations that everyone perceives similarly. Current research shows, however, that disagreement often exists over whether a group is diverse. These researchers argue that diversity judgments diverge because they are social perceptions that reflect, in part, individuals’ motivations and experiences, including concerns about how a group would treat them. Therefore, whether a group includes in-group members should affect how diverse a group appears because the inclusion or apparent exclusion of in-group members signals whether perceivers can expect to be accepted and treated fairly. Supporting their claims, three experiments demonstrate that racial minority group members perceive more diversity when groups included racial in-group members rather than members of other racial minority groups. Moreover, important differences exist between Asian Americans and African Americans, which underscore the need for more research to explore uniqueness rather than commonalities across racial minority groups


Professor Christopher W. Bauman
Title: “Revisiting External Validity: Concerns about Trolley Problems and Other Sacrificial Dilemmas in Moral Psychology”
Co-authors:  A. Peter McGraw, Daniel M. Bartels, & Caleb Warren
Accepted at: Social and Personality Psychology Compass
October 2014

Sacrificial dilemmas, especially trolley problems, have rapidly become the most recognizable scientific exemplars of moral situations; they are now a familiar part of the behavioral scientific literature and are featured prominently in textbooks and the popular press. These researchers were concerned that studies of sacrificial dilemmas may lack experimental, mundane, and psychological realism and therefore suffer from low external validity. Their apprehensions stemmed from three observations about trolley problems and other similar sacrificial dilemmas: (i) they are amusing rather than sobering, (ii) they are unrealistic and unrepresentative of the moral situations people encounter in the real world, and (iii) they do not elicit the same psychological processes as other moral situations. The researchers believed it would be prudent to use more externally valid stimuli when testing descriptive theories that aim to provide comprehensive accounts of moral judgment and behavior.


Professor Jone Pearce
Title: “Managing the Unknowable: The Effectiveness of Early-Stage Investor Gut Feel in Entrepreneurial Investment Decisions”
Co-authors:  Laura Huang (PhD alumna)
Accepted at: Administrative Science Quarterly
June 2015

Based on an inductive theory-development study, a field experiment, and a longitudinal field test, researchers developed and tested the effectiveness of angel investors’ accounts of their criteria for investment decisions. Building on existing decision making, entrepreneurial and organizational theory to propose theoretical contributions to early-stage investment decisions when risks are unknowable, how angels use both intuition and formal analysis to achieve their objective of few extraordinarily profitable investments rather than maximizing on each decision. The researchers discovered that angel investors’ decisions have several characteristics that have not been adequately captured in existing work: angel investors have clear objectives (extraordinarily profitable investments, or “home runs”). Rather than seeking to maximize return on each investment, they rely on a combination of expertise-based intuition and formal analysis in which the formal analysis does not undermine intuition, and their reported criteria accurately predict extraordinarily profitable venture success four years later. The researchers developed this theory by examining situations in which uncertainty is so extreme that it qualifies as unknowable, but in this case investors actively seek out such investments because they believe this is where the extraordinary returns can be found. Researchers propose using the term of “gut feel,” to describe investors’ dynamic emotion-cognitions based on the interplay of intuition and analysis that is dominated by intuition, and effectively predict extraordinarily profitable investments when risks are unknowable.


Professor Jone Pearce
Title: “Cronyism and Nepotism are Bad for Everyone: The Research Evidence”
Accepted at: Industrial and Organizational Psychology
January 2015

A review of systematic and rigorous research provides strong evidence to support the experience-based perceptions of practitioners that nepotism and cronyism damage employees, their supervisors and produce poorer organizational performance. This is because nepotism places loyalty and obligations to one’s family over obligations to one’s employer. It is not reasonable to expect people to abandon the love and support of their families, the primary sources of our identities, emotional, social and financial support, for a particular job. Future research might focus on favoritism, significantly more complicated than nepotism and entwined with meritocracy in ways not yet fully understood.


Professor Shuya Yin
Title: “Joint Selling of Complementary Components under Brand and Retail Competition”
Co-authors:  Yuhong He (PhD Alumna)
Accepted at: Manufacturing and Service Operations Management
March 2015
Suppliers of complementary goods often package their items together when selling to downstream retailers. One motivation behind this behavior is to reduce double marginalization through coordinated pricing so that system efficiency is improved and individual members can also benefit. The objective of this paper is to understand how competition in supply chains would impact such joint selling partnerships among complementary suppliers. Researchers first modeled competition at the supply level, which is generated from the existence of multiple partially substitutable brands (or suppliers) for a particular component. They then extended the analysis to a model which also involves retail competition that is caused by decentralization among retailers who assemble suppliers’ components into final products and sell to customers. The analysis of a model with two complementary components, one of which has multiple brands, indicates that the supply level competition discourages joint selling of complementary goods. That is, when competing brands become more alike (or substitutable), complementary suppliers act more independently in pricing and selling their items. However, retail competition leads to an opposite effect: Competition among retailers would actually encourage complementary suppliers to package their goods together and act jointly.


Professor Christine Beckman
Title: "Watching Me Watching You: Boundary Control and Capturing Attention in the Context of Ubiquitous Tech nolgy Use"
Co-author:  Taryn L Stanko (Ph.D. alumna)

Accepted at: Academy of Management Journal
June 2014


As information communication technologies proliferate in the workplace, organizations face unique challenges managing how and when employees engage in work and non-work activities. Using interview and archival data from the U.S. Navy, we explore one organization’s attempts to shape individual attention in an effort to exert boundary control. We describe the organizational productivity and security problems that result from individual attention being engaged in non-work activities while at work and find that the organization manages these problems by monitoring employees (tracking attention), contextualizing technology use to remind people of appropriate organizational use practices (cultivating attention), and diverting, limiting, and withholding technology access (restricting attention). We bring together research on attention and control to challenge current definitions of boundary control, and we detail the understudied situational controls used by the organization to shape work/non-work interactions in the moment. We highlight how situational control efforts must work together in order to capture attention and shape behavior, and we develop a model to explicate this ongoing process of boundary control. Our findings offer insight into the evolving challenges organizations face in executing boundary control, as well as organizational control more broadly, in the modern workplace.



Professor Christine Beckman
Title: "Knowing Your Place: Social Performance Feedback in Good Times & Bad Times"
Co-authors:  Thomas P. Moliterno (Ph.D. alumnus), Nikolaus Beck and Mark Meyer

Accepted at: Organization Science
June 2014



Performance comparisons, specifically performance relative to aspirations, are central to the Behavioral Theory of the Firm. Firms evaluate their performance in relation to their own prior performance (“historical comparison”) and the performance of other organizations (“social comparison”) and base subsequent organizational change on this performance feedback. Of the two, social performance comparison has received relatively little theoretical or empirical development. This paper seeks to fill that gap by extending the theoretical conceptualization and empirical specification of the socially-derived performance targets against which organizations compare their performance. Drawing on insights from the social psychology literature, we argue first that organizational decision-makers monitor two socially-derived performance benchmarks: an upwardly focused “top performance threshold” marking the highest levels of performance in the reference group, and a downwardly anchored “reference group threshold” marking the performance level below which organizations can not consider themselves members of the reference group. Building on these arguments, we also motivate a new, and more complete, way to conceptualize performance comparison. Integrating socially and historically derived sources of performance feedback, we propose the “historically-based social aspiration threshold” (HiBSAT) as an additional aspiration point representing the socially-derived performance threshold closest to the organization’s prior performance. In an empirical analysis of German soccer Bundesliga clubs between 1992 and 2004, we find that organizations have both upward and downward socially-derived performance targets, and that performance relative to the HiBSAT is particularly salient in motivating organizational change.



Professor Christine Beckman
Title: "Celebrating Organization Theory"
Co-author:  Michael Lounsbury

Accepted at: Journal of Management Studies
June 2014


In this paper, we respond to recent critiques about the state of organization theory that have characterized it as being anachronistic, overly theoretical, or lacking the right kind of theory. We argue that organization theory is extremely vibrant and highlight several areas where there are flourishing and generative developments – institutional logics, categorization, networks, performance feedback, and strategy-as-practice. We also note the growing internationalization of organization theory as exemplified in the shifting demography of the Organization and Management Theory division at the Academy of Management as well as at the European Group on Organization Studies. As engaged organization theory supporters and scholars, we additionally argue for a more balanced appreciation of not only the weaknesses in the field, but also its strengths, and urge a re-engagement in more productive conversations about the important role of theory and theorizing.



Professors Christine Beckman & Kay Shoonhoven, & Ph.D. Student Sang-Joon Kim
Title: "Relational Pluralism in De Novo Organizations: Boards of Directors as Bridges or Barriers to Diverse Alliance Portfolios?"

Co-author: Renee Rottner (Ph.D. alumna)

Accepted at: Academy of Management Journal
October 2013


This paper develops relational pluralism as a collective construct whose dimensions are heterogeneity, multiplexity, and asymmetry. Relational pluralism is instantiated in the board of directors, whose network of relationships influence a new venture’s ability to establish external links beyond the networks of the founding team. We argue that relational pluralism speeds the establishment of a diverse alliance portfolio, which in turn speeds the attainment of major revenue milestones in a new firm. We examine these ideas in a population of de novo semiconductor firms and find that diverse alliance portfolios emerge faster when a board includes members with heterogeneous, multiplex relationships, as well as central network positions. However, the asymmetric influence of outside board members can have both positive and negative effects: the alliance formation process is aided by outsiders in central network positions but impeded when central investors dominate the board. We discuss implications for our understanding of relational pluralism as a collective construct.



Professor Jone Pearce
Title: "Political Skill: Explaining the Effects of Nonnative Accent on Managerial Hiring and Entrepreneurial Investment Decisions"
Co-authors:  Laura Huang and Marcia Frideger (Ph.D. alumnae)

Accepted at: Journal of Applied Psychology
October 2013


We propose and test a new theory explaining glass ceiling bias against nonnative speakers as driven by perceptions that nonnative speakers have weak political skill. Although nonnative accent is a complex signal its effects on assessments of the speakers’ political skill is something that speakers can actively mitigate, making it an important bias to understand. In Study 1, White and Asian nonnative speakers using the same scripted responses as native speakers were found to be significantly less likely to be recommended for a middle-management position, and this bias was fully mediated by assessments of their political skill, whereas the alternative explanations of race, communication and collaborative skill were nonsignificant. In Study 2 entrepreneurial start-up pitches from national high-technology new-venture funding competitions were shown to experienced Executive MBA students. Nonnative speakers’ were found to have a significantly lower likelihood of receiving new-venture funding, and this was fully mediated by the coders’ assessments of their political skill, while the entrepreneurs’ race, communication and collaborative skill had no effect. We discuss the value of empirically testing various posited reasons for glass ceiling biases, how the importance and ambiguity of political skill for executive success serve as an ostensibly meritocratic cover for nonnative speaker bias, and other theoretical and practical implications of this work.



Professor Denis Trapido
Title: "Relational Counterbalances to Economic Homophily: Two Mechanisms in a Historial Setting"

Accepted at: American Journal of Sociology
October 2013


The tendency of individuals to transact within, rather than across, identity-based groups is a well-established effect of identity divisions. While previous work emphasized macro-level, impersonal factors that counteract this limitation to economic opportunities, I consider how individuals may counteract it in everyday relations with transaction partners. Two relational counterbalances to economic homophily are examined with unique longitudinal data on 2,168 merchant partnerships in 18th-century Bristol, England, where a salient identity division existed between Tory and Whig merchants. The analysis finds no conclusive support for the first examined relational counterbalance, which presumes that social relations across identity divisions, such as joint civic activities, induce parallel economic relations. Instead, the results show that Tory-Whig commercial partnership relations were facilitated by the merchants’ practice of choosing cross-party partners of unequal professional prominence. Such professionally unequal relations involve tacit status subordination, which reduces the relation-specific uncertainty associated with transacting across a salient identity division. The results highlight the potential of uncertainty avoidance to sustain inequality between social groups and suggest unexplored contingencies to theories of status homophily.



Professor Christine Beckman
Title: "The effects of firm reputation and status on interorganizational network structure"
Co-authors:  David Chandler, Pamela Haunchild and Mooweon Rhee

Accepted at: Strategic Organization
April 2013


In this article, we explore the differential effects of a firm’s reputation and status on its interorganizational network. We hypothesize that due to its stable, unitary, and relational characteristics, status has a stronger influence on partner selection than reputation, which is less stable, multidimensional, and based more on perceptions of product quality and financial performance. Results from our analyses of the director networks of the 300 largest US firms from 1985 to 1993 confirm that across multiple measures of network characteristics, it is status that is the stronger predictor. In particular, high-status firms have networks that are higher in partner quality but are less diverse and contain fewer opportunities to bridge structural holes than the networks of high-reputation firms. These results contribute to our understanding of the different effects of reputation and status on firm behavior by emphasizing the importance of studying both together in order to understand the effects of either. They also contribute to work on interorganizational networks by demonstrating how structure emerges primarily as a function of focal firm status.



Professor Christopher Bauman
Title: "Corporate Social Responsibility as a Source of Employee Satisfaction"
Co-author:  Linda Skitka

Accepted at: Research in Organizational Behavior
January 2013


Corporate social responsibility has received an increasing amount of attention from practitioners and scholars alike in recent years. However, very little is known about whether or how corporate social responsibility affects employees. Because employees are primary stakeholders who directly contribute to the success of the company, understanding employee reactions to corporate social responsibility may help answer lingering questions about the potential effects of corporate social responsibility on firms as well as illuminate some of the processes responsible for them. To begin our chapter, we provide a brief history of scholarship on corporate social responsibility and highlight some of the major challenges researchers in this area currently face. We then discuss why corporate social responsibility may represent a special opportunity to influence employees’ general impression of their company. Next, we identify four distinct paths through which corporate social responsibility may affect employees’ relationship with their company that correspond to four universal psychological needs: security, self-esteem, belongingness, and a meaningful existence. Finally, we offer an agenda for micro-level research on corporate social responsibility.


Professor Denis Trapido
Title: "Dual Signals: How Competition Makes or Breaks Interfirm Social Ties"
Accepted at:
Organization Science
February 2012


Research has documented the benefits of social ties across boundaries of competing firms but has not specified when competition enables such ties or when it damages them.  Ninety semi-structured interviews sought to elicit answers to this question from leaders of drug development companies in the San Francisco Bay Area. The informants reported withholding social ties from counterparts in competing companies if these companies affirmed to them the goal conflict aspect of the competition relation; they reported social connectedness to individuals in competing companies if these companies affirmed to them joint professional affiliation, the other necessary aspect of competition. Unique quantitative data on competition and social relations in the Bay Area’s drug development industry confirmed this pattern for weak social ties (acquaintance). Strong social ties (friendship) were not affected by any examined organizational or interorganizational factors.



Professor Jone Pearce
Title: "The Decreasing Value of our Research to Management Education"
Co-author: Huang, Laura (PhD Alumna, now on the faculty of The Warton School)
Accepted at:
Academy of Management Learning and Education
February 2012


We tested our suspicion that the scholarly research published in our best management journals has become less conceptually and instrumentally useful to executives, managers and others who want to participate in and run organizations more effectively, and so, less useful to us as teachers of management. We found a significant decrease in the proportion of journal articles that generated actionable knowledge from 1960 to 2010. We then examined the previous five years of reports of research from a practitioner-focused publication, finding that rigorous student-subject laboratory studies from a journal with no pretense to producing research useful to managers was discussed much more often than research from either Academy of Management Journal, Administrative Science Quarterly or Journal of Applied Psychology. Several speculations for the decline in the proportion of actionable research include greater favoring of complex moderator-mediator analyses, and studies demonstrating that abstract economic theories have not been implemented in practice. We reminded readers that this decline is not just an incentives problem, but that producing quality actionable research is difficult and so more likely an ability problem. This, when combined with growing demand for faculty to publish only in journals used in business school rankings has increased pressure to produce more publications without a proportional increase in actionable research. We proposed that the decline in actionable research may also be the result of an abdication of editors’ own judgments to demanding that all reviewers’ requests be met. Finally, we speculated that the absence of a sufficiently powerful constituency for actionable management research also played a part in this decline.



Professor Jone Pearce
Title: “Rating performance or contesting status: Evidence against the homophily explanation for supervisor demographic skew in performance ratings.”
Co-authors: Xu, Q. J. (PhD Alumna)

Accepted at: Organization Science

We propose and test an argument that status contests better explain the well-documented skew in supervisory performance appraisal ratings toward those with the same demography as themselves than does the reigning theory of homophily. We conduct the test in a field study of 358 supervisor-subordinate dyads in ten organizations, using hierarchical linear modeling with various controls, finding that supervisors’ ratings of subordinates’ contextual and task performance only skew toward similar subordinates when supervisors’ status is contested by a higher demographic-status subordinate, as predicted by Social Dominance and Status Characteristics Theories. None of the general homophily preference hypotheses were supported. This study provides a richer theory more consistent with the accumulating evidence about demography effects in organizations, and demonstrates the value of head-to-head strong inference tests and status explanations for the field of organizational behavior.



Professor Jone Pearce
Title: “Managers' Context: How Government Capability affects Managers."
Co-authors: Xin, K. M., Xu, Q. J., Rao A.N. (PhD Alumna, now of the faculty at CEIBS, Eastern Illinois State and San Jose State, respectively).

Accepted at: British Journal of Management


We draw attention to two changes in management research over the past 25 years: more focus on the different contexts that constrain management action, and applications of management knowledge to non-business societal challenges. There has been much speculation but little comparative empirical research on how government quality affects what managers do. Building on theory and research from international business, organization theory and organizational behavior we propose and test an account of the ways government capability affects organizational performance through its effects on managerial assumptions and actions. In a sample of managers working under four different governments, we find that the more capable the government the less managers depend on their personal relationships to get their work done, and this in turn mediated governments’ effects on the managerial cultivation of relationships with government officials, their use of personal relationships for competitive business advantages, and their greater distrust, secrecy and withholding of information from business associates. The implications for cross-national management research and public policy for economic development are highlighted



Professor Christopher Bauman
Title: "The Pursuit of Missing Information in Negotiation"
Co-authors: Young, M.J., Chen, N., & Bastardi, A.
Accepted at:
Organizational Behavior and Human Decision Processes
October 2011


A large body of research has focused on how people exchange and use information during the negotiation process. This work tends to treat information as if it all were readily available upon request. The current research investigated how delays in the pursuit of missing information can influence people’s ex-ante priorities and the final settlements they reach. Study 1 found that negotiators achieved more value on an issue after seeking missing information about that issue compared to when the same information was readily accessible. Study 2 found that the effect of searching for information on outcomes was mediated by changes in how important negotiators perceived the issue to be. Theoretical and practical implications are discussed.



Professor Jone Pearce and PhD Students Rebekah Dibble and Kenji Klein
Title: “The Effects of Governments on Management and Organization”
Accepted at:
The Academy of Management Annals, Volume 3, 2009
August 2009
We review and integrate existing research from organization theory, strategy, organizational behavior, economics, sociology and political science on the effects of governments on organization and management, with a focus on  how governing ideology and government capability influence independent organizations’ forms, strategies, and their participants’ behavior. When brought together these works suggest significant research opportunities in the fields of management and organization, as well as new perspectives on public policy challenges. Several avenues of potentially profitable empirical research include more attention to the influence of government on corporate strategies, more research on the strategies of pursuing corruption and government capture for competitive advantage, the role of government in fostering innovation and the growth of entrepreneurial organizations, and extra-organizational contextual effects on managerial and employee organizational behavior. Possible public policy implications are illustrated with an application to the role of organizations in national wealth generation and dispersion.



Professor Claudia Bird Schoonhoven
Title: “Intercommunity relationships and community growth in China’s High Technology Industries 1988-2000.”
Accepted at: Strategic Management Journal
Co-authors: A. Zhang & H. Li
March 2009
This paper reports on a unique panel study of 53 national technology development zones in China spanning 1988 - 2000.   Conceptually zones are organizational communities which contain several related industries. The zones’ primary purpose is to promote technological innovation in ten areas considered new and “high technology” in China. The first zone was founded in Beijing in 1988, and by 1994, 52 zones had been established in cities throughout China. In ten years, the zones grew dramatically with collective revenues of 460 billion RMB, however the communities have grown differentially. The question we address is what predicts community revenue growth?  We examine how inter-community relationships affect the revenue growth of organizational communities, controlling for community age, provincial versus central government origin, R&D and export intensiveness, political importance of city location, local city GDP, cities' degrees of industrialization, city foreign direct investment, city colleges, and calendar year to control for China’s substantial development since 1988. 
We found that greater community density (number of zones in a given region), a community’s geographic proximity to the nearest community and its domain overlap with the nearest community all have an inverted U-shaped relationship with community growth. These non-monotonic findings support our argument that organizational communities are interdependent and that they share both mutualistic and competitive relationships, which in turn have a significant impact on community growth. For example all else being equal, a community’s expected sales revenue would be 235% times greater if domain overlap with the nearest zone were to increase from 0 to 94% but any further increases would significantly decrease revenues. These findings have both policy and managerial significance which are developed in the paper.



Professor Claudia Bird Schoonhoven
Title: “The Next Wave of Entrepreneurship Research.”
Accepted at: Advances in the Study of Entrepreneurship, Firm Emergence, and Growth
Co-authors: Elaine Romanelli
March 2009