Publications

04 Dec 2006
Research & Ideas

The Money Connection—Understanding VC Networks

the effects of geographic distance and a "hot" IPO market on the formation of networks in the venture capital industry. The fact that the world is connected through spanning ties has huge View Details

Keywords: by Julia Hanna; Financial Services

January 2006 (Revised October 2007)
Background Note

Managing Networked Businesses: Course Overview for Students

By: Thomas R. Eisenmann

Provides an overview for students of the MBA elective course Managing Networked Businesses (MNB). MNB focuses on management challenges in businesses that exhibit network effects. The first section of the note explains that such businesses comprise a large and growing... View Details

Keywords: Business Model; Capital Structure; Business or Company Management; Network Effects; Organizational Design; Business and Government Relations; Social and Collaborative Networks; Competitive Strategy

Educators

Purchase

September 2017
Editorial

Helping Patients with Cancer Navigate Narrow Networks

By: Stephen M. Schleicher, Emeline M. Aviki and Thomas W. Feeley

The Affordable Care Act of 2010 (ACA) was designed primarily to improve patient access to affordable health care. The access-expanding provisions of the ACA included federal- and state-based health insurance exchanges with minimum coverage requirements and preexisting... View Details

Keywords: Health Care and Treatment; Insurance; Problems and Challenges; United States

Register to Read

Research Summary

Building Effective Relationships Across Cultures

Trust is the foundation of any successful collaborative relationship. In my first stream of research, I draw on the basic distinction between cognition-based versus affect-based trust– that is, trust from the head versus trust from the heart – to better... View Details

30 Mar 2009
Research & Ideas

Professional Networks in China and America

given network member is, the higher the cognition-based trust a Chinese manager has in him or her. There is, however, no such effect for American managers. One reason: Chinese people tend to draw on their... View Details

Keywords: by Sean Silverthorne

January 8, 2010
Other Article

Multinational Firms, Agglomeration, and Global Networks

By: Laura Alfaro and Maggie Chen

Agglomeration effects are important but difficult to measure. This column uses a new database with precise geographical information to investigate the locational interdependence of multinational firms. Knowledge spillovers and capital- and labour-market externalities... View Details

Keywords: Geographic Location; Business Subsidiaries; Industry Clusters; Multinational Firms and Management; Network Effects

May 2023
Article

Equilibrium Effects of Pay Transparency

By: Zoë B. Cullen and Bobak Pakzad-Hurson

The public discourse around pay transparency has focused on the direct effect: how workers seek to rectify newly-disclosed pay inequities through renegotiations. The question of how wage-setting and hiring practices of the firm respond in equilibrium has received... View Details

Keywords: Pay Transparency; Online Labor Market; Privacy; Wage Gap; Corporate Disclosure; Wages; Negotiation

Research Summary

Overview

By: Chiara Farronato

Based on a broad interest in the economics of innovation and the Internet, Professor Farronato concentrates her research on the evolution of e-commerce and peer-to-peer online platforms, including platform adoption, economies of scale, and drivers of heterogeneous... View Details

Keywords: Digital Platforms; Antitrust; Network Effects; E-Commerce Strategy

07 Sep 2016
What Do You Think?

How Can the Threat of Networks Be Reduced?

great they are as individuals, reap the personal benefits of their position, and deftly blunt competition from potential inter-organizational rivals.” His point is that an age of knowledge sharing facilitated by networks negates the View Details

Keywords: by James Heskett

2021
Working Paper

Equilibrium Effects of Pay Transparency

By: Zoë B. Cullen and Bobak Pakzad-Hurson

The public discourse around pay transparency has focused on the direct effect: how workers seek to rectify newly-disclosed pay inequities through renegotiations. The question of how wage-setting and hiring practices of the firm respond in equilibrium has received... View Details

Keywords: Pay Transparency; Online Labor Market; Privacy; Wage Gap; Negotiation; Corporate Disclosure; Compensation and Benefits; Gender

May–June 2020
Article

Interfirm Ties Between Ventures and Limited Partners of Venture Capital Funds: Performance Effects in Financial Markets

By: Umit Ozmel, M. Deniz Yavuz, Timothy E. Trombley and Ranjay Gulati

We argue that strong indirect ties are conducive to the transfer of private information, which provides an advantage in identifying profitable investment opportunities. In our context, a strong indirect tie is generated between an investor and a focal firm if the... View Details

Keywords: Interfirm Ties; Social Networks; Venture Capital; Entrepreneurship; Performance

30 Jan 2018
Working Paper Summaries

Credit Supply Shocks, Network Effects, and the Real Economy

Keywords: by Laura Alfaro, Manuel García, and Enrique Moral-Benito

30 Aug 2004
Research & Ideas

Mapping Your Board’s Effectiveness

In the aftermath of such highly public and grossly damaging business debacles as Enron, Tyco, and WorldCom, much attention and plenty of criticism have been directed at those companies' corporate boards. Traditionally, board... View Details

Keywords: by Robert S. Kaplan

2010
Working Paper

Surviving the Global Financial Crisis: Foreign Direct Investment and Establishment Performance

By: Laura Alfaro and Maggie Chen

We examine in this paper the differential response of establishments to the global financial crisis, with particular emphasis on the role of foreign direct investment (FDI) in determining micro economic performance. Using a new worldwide dataset that reports the... View Details

Keywords: Financial Crisis; International Finance; Foreign Direct Investment; Local Range; Multinational Firms and Management; Production; Performance Evaluation; Networks

August 2010 (Revised July 2012)
Case

Cork'd: Building a Social Network for Wine Lovers

Lindsay Ronga and Gary Vaynerchuk are launching Cork'd, an online social network for wine lovers. Despite Gary's status as a celebrity wine connoisseur, the team faces a significant challenge: several other wine social networks are well established and already have... View Details

Keywords: Entrepreneurship; Product Launch; Network Effects; Market Entry and Exit; Social and Collaborative Networks; Competitive Strategy; Food and Beverage Industry

Educators

Purchase

Research Summary

On the Origins of Brokerage in Intraorganizational Networks

While we have ample empirical evidence linking brokerage in intraorganizational social networks to both individual and firm-level benefits, we know little about its origins. Prior research describes correlations between rough demographic categories and network... View Details

16 May 2007
Working Paper Summaries

Growth and the Quality of Foreign Direct Investment: Is All FDI Equal?

Keywords: by Laura Alfaro & Andrew Charlton

10 Mar 2014
Research & Ideas

Counting Up the Effects of Sarbanes-Oxley

companies, although it was ultimately deferred for companies with market caps of less than $75 million and made permanent in the Dodd-Frank Act. Audit standards also were modified in 2007, a change that reportedly reduced costs for many firms by 25 percent or more per... View Details

Keywords: by Julia Hanna; Accounting; Banking

September–October 2012
Article

Egalitarianism, Cultural Distance, and Foreign Direct Investment: A New Approach

By: Jordan I. Siegel, Amir N. Licht and Shalom H. Schwartz

This study addresses an apparent impasse in the research on organizations' responses to cultural distance. Using historically motivated instrumental variables, we observe that egalitarianism distance has a negative causal impact on FDI flows. This effect is robust to a... View Details

Keywords: FDI; Neo-institutionalism; Multinational Firm; Cultural Distance; Egalitarianism; Regulatory Arbitrage; Pollution Haven Hypothesis; Foreign Direct Investment; Global Strategy; Culture; Entrepreneurship