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      • Faculty Publications  (157)

      Firm DynamicsRemove Firm Dynamics →

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      • Spring 2014
      • Article

      Charting Dynamic Trajectories: Multinational Firms in India

      By: Prithwiraj Choudhury and Tarun Khanna
      In this article, we provide a synthesizing framework that we call the "dynamic trajectories" framework to study the evolution of multinational enterprises (MNEs) in host countries over time. We argue that a change in the policy environment in a host country presents an... View Details
      Keywords: Multinational Firms and Management; Change; India
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      Choudhury, Prithwiraj, and Tarun Khanna. "Charting Dynamic Trajectories: Multinational Firms in India." Special Issue on Business, Networks, and the State in India. Business History Review 88, no. 1 (Spring 2014): 133–169.
      • 2014
      • Working Paper

      Management Practices, Relational Contracts and the Decline of General Motors

      By: Susan Helper and Rebecca Henderson
      General Motors was once regarded as one of the best managed and most successful firms in the world, but between 1980 and 2009 its share of the US market fell from 62.6 to 19.8 percent, and in 2009 the firm went bankrupt. In this paper we argue that the conventional... View Details
      Keywords: Organizational Change and Adaptation; Management Practices and Processes; Organizational Structure; Decision Making; Insolvency and Bankruptcy; Manufacturing Industry; Auto Industry
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      Helper, Susan, and Rebecca Henderson. "Management Practices, Relational Contracts and the Decline of General Motors." Harvard Business School Working Paper, No. 14-062, January 2014. (NBER Working Paper Series, No. 19867, January 2014.)
      • 2013
      • Working Paper

      Where do the Most Active Customers Originate and How Can Firms Keep Them Engaged?

      By: Clarence Lee, E. Ofek and Thomas Steenburgh
      In this paper, we study how firms offering Web services can acquire and develop an active customer base. We focus on two basic questions. First, how does the method of customer acquisition affect the way customers use the service to meet their own needs and to interact... View Details
      Keywords: Customer Engagement; Adoption Routes; Hidden Markov Models; Search; Word-of-Mouth; Digital Media; Customer Relationship Management; Internet and the Web; Mathematical Methods; Consumer Behavior; Entrepreneurship; Marketing Reference Programs; Web Services Industry
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      Lee, Clarence, E. Ofek, and Thomas Steenburgh. "Where do the Most Active Customers Originate and How Can Firms Keep Them Engaged?" Working Paper, 2013. (Revise and Resubmit at Management Science.)
      • July–August 2013
      • Article

      A Joint Model of Usage and Churn in Contractual Settings

      By: Eva Ascarza and Bruce G.S. Hardie
      As firms become more customer-centric, concepts such as customer equity come to the fore. Any serious attempt to quantify customer equity requires modeling techniques that can provide accurate multiperiod forecasts of customer behavior. Although a number of researchers... View Details
      Keywords: Churn; Retention; Contractual Settings; Access Services; Hidden Markov Models; RFM; Latent Variable Models; Customer Value and Value Chain; Consumer Behavior
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      Ascarza, Eva, and Bruce G.S. Hardie. "A Joint Model of Usage and Churn in Contractual Settings." Marketing Science 32, no. 4 (July–August 2013): 570–590.
      • 2013
      • Dissertation

      Designing Freemium: A Model of Consumer Usage, Upgrade, and Referral Dynamics

      By: Clarence Lee, Vineet Kumar and Sunil Gupta
      Abstract. Over the past decade "freemium" (free + premium) has become the dominant business model among internet start-ups for its ability to acquire and monetize a large install-base with limited marketing resources. Freemium is a hybrid strategy where a firm offers... View Details
      Keywords: Discrete-Continuous Choice Dynamic Structural Models; Bayesian Estimation; Word-of-Mouth; Digital Services; Freemium; Entrepreneurship; Business Model; Motivation and Incentives; Marketing Strategy; Internet and the Web; Consumer Behavior; Marketing Reference Programs; Business Startups
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      Lee, Clarence, Vineet Kumar, and Sunil Gupta. "Designing Freemium: A Model of Consumer Usage, Upgrade, and Referral Dynamics." Diss., Harvard Business School, 2013. (Job Market Paper.)
      • June–July 2013
      • Article

      Firm Rivalry, Knowledge Accumulation, and MNE Location Choices

      By: Juan Alcacer, Cristian Deszo and Minyuan Zhao
      The international business (IB) literature has mostly emphasized the impact of location and firm characteristics on location choices. However, industries with a significant presence of multinational enterprises (MNEs) are oligopolistic in nature, which suggests that... View Details
      Keywords: Geographic Location; Competition; Multinational Firms and Management; Knowledge Acquisition; Game Theory; Global Strategy
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      Alcacer, Juan, Cristian Deszo, and Minyuan Zhao. "Firm Rivalry, Knowledge Accumulation, and MNE Location Choices." Special Issue on The Multinational in Geographic Space. Journal of International Business Studies 44, no. 5 (June–July 2013): 504–520.
      • 2013
      • Chapter

      Open Innovation and Organizational Boundaries: Task Decomposition, Knowledge Distribution and the Locus of Innovation

      By: Karim R. Lakhani, Hila Lifshitz-Assaf and Michael L. Tushman
      This chapter contrasts traditional, organization-centered models of innovation with more recent work on open innovation. These fundamentally different and inconsistent innovation logics are associated with contrasting organizational boundaries and organizational... View Details
      Keywords: Innovation; Organizational Boundaries; Institutional Logics; Modular Innovation; Open Innovation; Knowledge Sharing; Innovation Strategy; Organizational Design; Boundaries; Collaborative Innovation and Invention
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      Lakhani, Karim R., Hila Lifshitz-Assaf, and Michael L. Tushman. "Open Innovation and Organizational Boundaries: Task Decomposition, Knowledge Distribution and the Locus of Innovation." Chap. 19 in Handbook of Economic Organization: Integrating Economic and Organization Theory, edited by Anna Grandori, 355–382. Northampton, MA: Edward Elgar Publishing, 2013.
      • 2013
      • Article

      Immigration and Employer Transitions for STEM Workers

      By: Sari Pekkala Kerr and William R. Kerr
      We analyze the career trajectories of STEM workers and firm-level hiring of immigrants using the Longitudinal Employer-Household Dynamics (LEHD) database of the US Census Bureau. We find STEM career adjustments during periods of abnormally high immigration into the... View Details
      Keywords: Nationality; Employment; Immigration
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      Kerr, Sari Pekkala, and William R. Kerr. "Immigration and Employer Transitions for STEM Workers." American Economic Review: Papers and Proceedings 103, no. 3 (May 2013): 193–197.
      • 2017
      • Working Paper

      Innovation, Reallocation and Growth

      By: Daron Acemoglu, Ufuk Akcigit, Harun Alp, Nicholas Bloom and William R. Kerr
      We build a model of firm-level innovation, productivity growth, and reallocation featuring endogenous entry and exit. A new and central economic force is the selection between high- and low-type firms, which differ in terms of their innovative capacity. We estimate the... View Details
      Keywords: Entry; Growth; Industrial Policy; Innovation; R&D; Reallocation; Selection; Business Ventures; Resource Allocation; Performance Productivity; Policy; Research and Development; Innovation and Invention; Growth and Development; United States
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      Acemoglu, Daron, Ufuk Akcigit, Harun Alp, Nicholas Bloom, and William R. Kerr. "Innovation, Reallocation and Growth." Harvard Business School Working Paper, No. 13-088, April 2013. (Revised November 2017. NBER Working Paper Series, No. 18993, April 2013)
      • 2012
      • Chapter

      Firing Your Best Customers: How Smart Firms Destroy Relationships Using CRM

      By: Jill Avery and Susan Fournier
      With incidences in the 20%–25% range, the practice of firing customers has become increasingly attractive as firms try to maximize the lifetime value of their customer portfolios. This chapter traces the relationship trajectory of a 30-year customer of Filene's... View Details
      Keywords: Brands; Brand Management; CRM; Customer Relationship Management; Customer Focus and Relationships; Customers; Marketing; Brands and Branding; Marketing Communications; Marketing Strategy; Consumer Products Industry
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      Avery, Jill, and Susan Fournier. "Firing Your Best Customers: How Smart Firms Destroy Relationships Using CRM." In Consumer-Brand Relationships: Theory and Practice, edited by Susan Fournier, Michael Breazeale, and Marc Fetscherin, 301–316. Routledge, 2012. (Paperback edition published in 2013.)
      • 2013
      • Working Paper

      Do Display Ads Influence Search?: Attribution and Dynamics in Online Advertising

      By: Sunil Gupta
      As firms increasingly rely on online media to acquire consumers, marketing managers feel comfortable justifying higher online marketing spend by referring to online metrics such as click-through rate (CTR) and cost per acquisition (CPA). However, these standard online... View Details
      Keywords: Internet and the Web; Digital Marketing
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      Kireyev, Pavel, Koen Pauwels, and Sunil Gupta. "Do Display Ads Influence Search? Attribution and Dynamics in Online Advertising." Harvard Business School Working Paper, No. 13-070, February 2013.
      • 2012
      • Article

      Organization Design for Business Ecosystems

      By: Carliss Y. Baldwin

      The modern corporation has long been the central focus of the field of organization design. Such firms can be likened to nation-states: they have boundaries that circumscribe citizen-employees, and they engage in production and trade. But individual corporations are... View Details

      Keywords: Modularity; Business Ecosystems; Distributed Innovation; Problem Solving; Property Rights; Organization Design; Networks; Integration; Competition; Organizational Design; Innovation and Management
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      Baldwin, Carliss Y. "Organization Design for Business Ecosystems." Special Issue on The Future of Organization Design. Journal of Organization Design 1, no. 1 (2012).
      • November–December 2012
      • Article

      Toward a Theory of Extended Contact: The Incentives and Opportunities for Bridging Across Network Communities

      By: Maxim Sytch, Adam Tatarynowicz and Ranjay Gulati
      This study investigates the determinants of bridging ties within networks of interconnected firms. Bridging ties are defined as nonredundant connections between firms located in different network communities. We highlight how firms can enter into these relationships... View Details
      Keywords: Motivation and Incentives; Opportunities
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      Sytch, Maxim, Adam Tatarynowicz, and Ranjay Gulati. "Toward a Theory of Extended Contact: The Incentives and Opportunities for Bridging Across Network Communities." Organization Science 23, no. 6 (November–December 2012): 1658–1681.
      • July 2012 (Revised April 2014)
      • Case

      Research In Motion: The Mobile OS Platform War

      By: Alan MacCormack, Brian Dunn and Chris F. Kemerer
      The case describes competition in the market for smart phones in the US, and the position of one player, Research In Motion (RIM) who manufacture the popular Blackberry line of products. Early in 2011, RIM is in trouble. Its stock price has plummeted, amidst poor... View Details
      Keywords: Innovation; Product Development; Technology Strategy; Platform Strategy; Software; Hardware; Technological Innovation; Innovation Strategy; Information Infrastructure; Mobile and Wireless Technology; Digital Platforms; Applications and Software; Telecommunications Industry; Technology Industry; Canada; United States
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      MacCormack, Alan, Brian Dunn, and Chris F. Kemerer. "Research In Motion: The Mobile OS Platform War." Harvard Business School Case 613-001, July 2012. (Revised April 2014.)
      • 2012
      • Working Paper

      Organization Design for Distributed Innovation

      By: Carliss Y. Baldwin
      Systems of distributed innovation—so-called business ecosystems—have become increasingly prevalent in many industries. These entities generally encompass numerous corporations, individuals, and communities that might be individually autonomous but related through their... View Details
      Keywords: Organizational Design; Innovation and Management; Social and Collaborative Networks; Intellectual Property; Rights; Governance Controls
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      Baldwin, Carliss Y. "Organization Design for Distributed Innovation." Harvard Business School Working Paper, No. 12-100, May 2012.
      • April 2012
      • Article

      Local R&D Strategies and Multi-location Firms: The Role of Internal Linkages

      By: Juan Alcacer and Minyuan Zhao
      This study looks at the role of firms' internal linkages in highly competitive technology clusters, where much of the world's R&D takes place. The leading players in these clusters are multilocation firms that organize and integrate knowledge across sites worldwide.... View Details
      Keywords: Multinational Firms and Management; Technological Innovation; Knowledge Use and Leverage; Management Analysis, Tools, and Techniques; Research and Development; Risk and Uncertainty; Competition; Competitive Advantage; Technology
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      Alcacer, Juan, and Minyuan Zhao. "Local R&D Strategies and Multi-location Firms: The Role of Internal Linkages." Management Science 58, no. 4 (April 2012): 734–753.
      • 2013
      • Working Paper

      The Dynamics of Firm Lobbying

      By: William R. Kerr, William F. Lincoln and Prachi Mishra
      We study the determinants of the dynamics of firm lobbying behavior using a panel data set covering 1998–2006. Our data exhibit three striking facts: (i) few firms lobby, (ii) lobbying status is strongly associated with firm size, and (iii) lobbying status is highly... View Details
      Keywords: Lobbying; Political Economy; H-1B; Business Ventures; Policy; Government Legislation; Immigration; Business and Government Relations; Research; Prejudice and Bias
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      Kerr, William R., William F. Lincoln, and Prachi Mishra. "The Dynamics of Firm Lobbying." Harvard Business School Working Paper, No. 12-034, October 2011. (Revised August 2013.)
      • June 2010
      • Article

      Change for Change's Sake

      By: Freek Vermeulen, Phanish Puranam and Ranjay Gulati
      No one disputes that firms have to make organizational changes when the business environment demands them. But the idea that a firm might want change for its own sake often provokes skepticism. Why inflict all that pain if you don't have to? That is a dangerous... View Details
      Keywords: Interpersonal Communication; Innovation and Invention; Leading Change; Organizational Change and Adaptation; Organizational Structure; Creativity; Power and Influence; Adaptation
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      Vermeulen, Freek, Phanish Puranam, and Ranjay Gulati. "Change for Change's Sake." Harvard Business Review 88, no. 6 (June 2010).
      • 2010
      • Working Paper

      Local R&D Strategies and Multi-location Firms: The Role of Internal Linkages

      By: Juan Alcacer and Minyuan Zhao
      This study looks at the role of firms' internal linkages in highly competitive technology clusters, where much of the world's R&D takes place. The leading players in these clusters are multi-location firms that organize and integrate knowledge across sites worldwide.... View Details
      Keywords: Geographic Location; Collaborative Innovation and Invention; Technological Innovation; Knowledge Use and Leverage; Industry Clusters; Research and Development; Competitive Advantage; Semiconductor Industry
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      Alcacer, Juan, and Minyuan Zhao. "Local R&D Strategies and Multi-location Firms: The Role of Internal Linkages." Harvard Business School Working Paper, No. 10-064, February 2010.
      • December 12, 2009
      • Other Article

      The Transformation of India: Incumbent Control, Reforms, and Newcomers

      By: Laura Alfaro and Anusha Chari
      What microeconomic forces drove the structural transformation of India's economy in recent decades? This column studies firm-level data and portrays a dynamic economy driven by the growth of private and foreign firms. But the Indian economy did not go through an... View Details
      Keywords: Transformation; Microeconomics; India
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      Alfaro, Laura, and Anusha Chari. "The Transformation of India: Incumbent Control, Reforms, and Newcomers." Vox, CEPR Policy Portal (December 12, 2009).
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