Publications

December 2022
Article

I Don't 'Recall': The Decision to Delay Innovation Launch to Avoid Costly Product Failure

By: Byungyeon Kim, Oded Koenigsberg and Elie Ofek

Innovations embody novel features or cutting-edge components aimed at delivering desired customer benefits. Oftentimes, however, we observe the need to recall new products shortly after their introduction. Indeed, a firm may rush an innovation to market in an attempt... View Details

Keywords: Innovation Management; Innovation And Strategy; Product Development Strategy; Product Introduction; Quality Control; Product Recalls; Game Theory; Market Timing; Innovation Strategy; Product Launch; Product Development

Article

Do Private Equity Firms Have Better Management Practices?

By: Nicholas Bloom, Raffaella Sadun and John Van Reenen

Using an innovative survey measure of management practices on over 15,000 firms, we find private equity firms are better managed than government, family, and privately owned firms, and have similar management to publicly listed firms. This is true both in developed and... View Details

Keywords: Private Equity; Management Practices and Processes

2009
Working Paper

Industry Equilibrium with Open Source and Proprietary Firms

By: Gaston Llanes and Ramiro de Elejalde

We present a model of industry equilibrium to study the coexistence of Open Source (OS) and Proprietary (P) firms. Two novel aspects of the model are: (1) participation in OS arises as the optimal decision of profit-maximizing firms, and (2) OS and P firms may (or may... View Details

Keywords: Investment; Technological Innovation; Knowledge Sharing; Industry Structures; Open Source Distribution; Research and Development

18 May 2012
Working Paper Summaries

Organization Design for Distributed Innovation

Keywords: by Carliss Y. Baldwin

26 Nov 2007
Research & Ideas

Best Practices of Global Innovators

related to the possession of deep individual technical skills in hundreds of diverse disciplines," the researchers conclude in their paper, Innovation through Global Collaboration: A New Source of Competitive Advantage. "Boeing's unique... View Details

Keywords: by Sean Silverthorne

November–December 2017
Article

Innovation Streams and Executive Leadership

By: Michael Tushman

Incumbent firms face steep challenges in dealing with technological change and associated innovation streams. The firm's senior leadership team, and especially R&D leadership, plays a central role in shaping a firm's ability to both exploit existing capabilities and... View Details

Keywords: Ambidexterity; Exploit Vs. Explore; Dynamic Capabilities; Organizational Change and Adaptation; Technology Adoption; Innovation Leadership

2016
Book

Innovation Equity: Assessing and Managing the Monetary Value of New Products and Services

By: Elie Ofek, Eitan Muller and Barak Libai

This book bridges the gap between what academics know, and what innovation stakeholders—from managers, to investors, to analysts, to consumers—need to know about how new products and services are expected to perform in the marketplace. The book develops a compelling... View Details

Keywords: Innovation; Technology Diffusion; New Products; Customer Lifetime Value; Monetization Strategy; Social Influence; Innovation Adoption; Forecasting Demand; Commercialization; Marketing Strategy; Practice; Customer Value and Value Chain; Research; Innovation and Management; Technology Adoption; Forecasting and Prediction; Product Development

Fall 2012
Article

Innovation Strategy and Entry Deterrence

By: Ozge Turut and Elie Ofek

We model an incumbent's decision to pursue radical or incremental innovation when facing a rival entrant. The radical innovation may yield lucrative financial returns but entails significant technological and market-related uncertainties. It is also particularly... View Details

Keywords: Competition; Innovation Strategy; Risk and Uncertainty; Markets; Mathematical Methods

19 Dec 2013
Working Paper Summaries

Innovating Without Information Constraints: Organizations, Communities, and Innovation When Information Costs Approach Zero

Keywords: by Elizabeth J. Altman, Frank Nagle & Michael L. Tushman

June 2024
Case

Building Innovation at VINCI

By: Dennis Campbell, Aluna Wang and Carlota Moniz

This case study explores how the VINCI Group, a French multinational operating in concessions, energy, and construction, bolstered awareness and adoption rates of new technologies within the organization. Through its separate innovation hub, Leonard, VINCI aimed to... View Details

Educators

April 2013
Article

Business Model Innovation and Competitive Imitation: The Case of Sponsor-Based Business Models

By: Ramon Casadesus-Masanell and Feng Zhu

This paper provides the first formal model of business model innovation. Our analysis focuses on sponsor-based business model innovations where a firm monetizes its product through sponsors rather than setting prices to its customer base. We analyze strategic... View Details

Keywords: Business Model Innovation; Imitation; Sponsor-based Business Model; Strategic Revelation; Strategic Concealment; Business Model; Innovation and Invention; Price; Competitive Strategy; Adoption; Value; Duopoly and Oligopoly; Product; Customers; Market Entry and Exit; Monopoly

2009
Chapter

Do Private Equity-owned Firms Have Better Management Practices?

By: Nicholas Bloom, Raffaella Sadun and John Van Reenen

We use an innovative survey tool to collect management practice data from over 4,000 medium sized manufacturing firms across Asia, Europe and the US. These measures of managerial practice are strongly associated with firm-level performance (e.g. productivity,... View Details

Keywords: Private Equity; Management Practices and Processes; Production; Private Ownership; Performance Improvement; Performance Productivity

19 Feb 2010
Working Paper Summaries

The Evolution of Science-Based Business: Innovating How We Innovate

Keywords: by Gary P. Pisano

2024
Working Paper

The Value of AI Innovations

By: Wilbur Xinyuan Chen, Terrence Tianshuo Shi and Suraj Srinivasan

We study the value of AI innovations as it diffuses across general and application sectors, using the United States Patent and Trademark Office’s (USPTO) AI patent dataset. Investors value these innovations more than others, as AI patents exhibit a 9% value premium,... View Details

Keywords: AI and Machine Learning; Valuation; Technological Innovation; Open Source Distribution; Patents; Policy; Knowledge Sharing; Technology Industry

2022
Article

The Effects of Public and Private Equity Markets on Firm Behavior

By: Shai Bernstein

In this article, I review the theoretical and empirical literature on the effects of public and private equity markets on firm behavior, emphasizing the consequences that emerge from disclosure requirements, ownership concentration, and degree of firm standardization.... View Details

Keywords: Corporate Finance And Governance; Financing Policy; Commercialization; Capital Markets; Private Equity; Public Equity; Venture Capital; Innovation and Invention; Cost of Capital

Article

Drive Innovation with Better Decision-Making

By: Linda A. Hill, Emily Tedards and Taran Swan

Despite their embrace of agile methods, many firms striving to innovate are struggling to produce breakthrough ideas. A key culprit, according to the authors, is an outdated, inefficient approach to decision-making. Today’s discovery-driven innovation processes involve... View Details

Keywords: Innovation and Invention; Decision Making; Decision Choices and Conditions; Organizational Change and Adaptation