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New research on knowledge from Harvard Business School faculty on issues including knowledge acquisition, knowledge sharing, and knowledge use and leverage.
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Why Do User Communities Matter for Strategy?

by Sonali K. Shah and Frank Nagle

Communities of users are shaping the industrial landscape and contributing to the innovations we use every day. The effects of user communities on firms, industries, and society will continue to grow. This article discusses the relationship between user communities and firms to shed light on avenues for future research in business strategy.

Migrant Inventors and the Technological Advantage of Nations

by Dany Bahar, Prithwiraj Choudhury, and Hillel Rapoport

This study provides robust econometric evidence for how immigrant inventors shape the innovation dynamics of their receiving countries. Countries receiving inventors from other nations that specialize in patenting particular technologies are more likely to have a significant increase in patent applications of the same technology.

Managerial Quality and Productivity Dynamics

by Achyuta Adhvaryu, Anant Nyshadham, and Jorge Tamayo

Which managerial skills, traits, and practices matter most for productivity? This study of a large garment firm in India analyzes the integration of features of managerial quality into a production process characterized by learning by doing.

Managed Ecosystems and Translucent Institutional Logics: Engaging Communities

by Elizabeth J. Altman, Frank Nagle, and Michael Tushman

Organizations increasingly rely on engagement with external communities of contributors. This paper explores transitions to a managed-ecosystem governance mode and its implications for strategy and innovation. To be successful, firms must develop the capabilities to shepherd communities, leverage without exploiting them, and share intellectual property rights.

Pursuing Precision Medicine at Intermountain Healthcare

Re: Richard G. Hamermesh, Kathy E. Giusti

What happens when Intermountain Healthcare invests resources in an innovative precision medicine unit to provide life-extending, genetically targeted therapies to late-stage cancer patients? Professors Richard Hamermesh and Kathy Giusti discuss the case and its connections to their work with the Kraft Precision Medicine Accelerator. Open for comment; Comment(s) posted.

The Better Way to Forecast the Future

by Roberta Holland

We can forecast hurricane paths with great certainty, yet many businesses can't predict a supply chain snafu just around the corner. Yael Grushka-Cockayne says crowdsourcing can help. Open for comment; Comment(s) posted.

Team Learning Capabilities: A Meso Model of Sustained Innovation and Superior Firm Performance

by Jean-François Harvey, Henrik Bresman, and Amy C. Edmondson

In strategic management research, the dynamic capabilities framework enables a “helicopter view” of how firms achieve sustainable competitive advantage. This paper focuses on the critical role of work teams, arguing that managers must leverage the knowledge generated by teams to support innovation and strategic change. It matches types of team learning to innovation activities.

Find and Replace: R&D Investment Following the Erosion of Existing Products

by Joshua Krieger, Xuelin Li, and Richard T. Thakor

This study sheds light on how product outcomes shape the direction of innovation and markets for technology. In the drug development industry in particular, negative product shocks appear to spur investment changes both within the directly affected firm and in competing firms in the same R&D markets.

Oral History and Writing the Business History of Emerging Markets

by Geoffrey Jones and Rachael Comunale

Oral history is a valuable resource to explore how businesses developed and functioned in Africa, Asia, and Latin America, regions with a growing share of global economic activity and the majority of the world’s population. While oral history is not uncritical, it provides openings for opinions, voices, and judgements on events on which there was often silence.

The Salary Taboo: Privacy Norms and the Diffusion of Information

by Zoë B. Cullen and Ricardo Perez-Truglia

Barriers to the diffusion of salary information have implications for a wide range of labor market phenomena. This study of employees of a real organization shows that individuals significantly misinterpret their peers’ salaries, partly due to pervasive preferences for concealing own salary, and a potentially strategic decision of high earners to withhold their personal information.

Arbitration with Uninformed Consumers

by Mark Egan, Gregor Matvos, and Amit Seru

Using data on securities disputes, this study of information advantages in consumer arbitration finds that industry-friendly arbitrators are 40 percent more likely than consumer-friendly arbitrators to be selected to take on arbitration cases. Limiting respondents’ and claimants’ inputs over the selection process could improve outcomes for consumers.

Shifting Centers of Gravity: Host Country versus Headquarters Influences on MNC Subsidiary Knowledge Inheritance

by Prithwiraj Choudhury, Mike Horia Teodorescu, and Tarun Khanna

This study compares how multinational corporation subsidiaries inherit knowledge from both the headquarters and the local context. To do so the authors analyzed seven years of data (2005–2011) of US patents filed by all subsidiaries of the top 25 US headquartered multinationals.

No More General Tso's? A Threat to 'Knowledge Recombination'

by Michael Blanding

Immigrants bring with them innovations from their homelands, knowledge that local inventors often build upon, says Prithwiraj Choudhury. Examples: turmeric medicine, double-entry bookkeeping, and American Chinese food. Open for comment; Comment(s) posted.

Brokers and Order Flow Leakage: Evidence from Fire Sales

by Andrea Barbon, Marco Di Maggio, Francesco Franzoni, and Augustin Landier

This study finds that brokers tend to reveal the occurrence of a fire sale to their best clients, allowing them to generate significant profits by predating on the liquidating fund. Such information leakage comes at the expense of higher price impact, and leads to a more costly liquidation for the fire sale originator.

The Relevance of Broker Networks for Information Diffusion in the Stock Market

by Marco Di Maggio, Francesco Franzoni, Amir Kermani, and Carlo Sommavilla

How information is generated by market participants, shared, and incorporated into prices is one of the key questions for understanding how financial markets operate. This study finds that intermediaries play a large role in the acquisition and dissemination of private information, which they extract from order flow and, more generally, from interaction with clients.

Task Selection and Workload: A Focus on Completing Easy Tasks Hurts Long-Term Performance

by Diwas S. KC, Bradley R. Staats, Maryam Kouchaki, and Francesca Gino

Employees facing increased workloads usually tackle easier tasks first. This study tests the performance implications of such prioritization. Findings show that it happens because people feel positive emotions after task completion, yet it could hurt long-term performance. Workloads could be structured to help employee development as well as organizational performance.

How an African History Scholar Became a Modern Righter of Wrongs

by Carmen Nobel

A scholar of colonial-era African history, Caroline M. Elkins had dramatic success turning prior knowledge into real-world action—namely, with a groundbreaking lawsuit against the British government, which revealed a chillingly bureaucratic process for destroying evidence of torture. Open for comment; Comment(s) posted.

Unpacking Team Diversity: An Integrative Multi-Level Model of Cross-Boundary Teaming

by Amy C. Edmondson and Jean-François Harvey

In a growing number of cases, cross-boundary teams span organizational boundaries, not just functional ones. This paper explores how newly formed temporary groups may be able to develop rapidly into high-performance teams. The authors integrate research streams on team diversity and knowledge boundaries, and present a framework that considers the kinds of specific knowledge boundaries that must be spanned to achieve high-level, cross-boundary teaming.

A Normative Theory of Dynamic Capabilities: Connecting Strategy, Know-How, and Competition

by Gary P. Pisano

Gary Pisano examines how companies compete on "know how" by analyzing how they invest in different capabilities.

Knowledge Transfer: You Can't Learn Surgery By Watching

by Michael Blanding

Learning to perform a job by watching others and copying their actions is not a great technique for corporate knowledge transfer. Christopher G. Myers suggests a better approach: Coactive vicarious learning. Open for comment; Comment(s) posted.