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New Organizational Forms for Enhancing Innovation: The Case of Internal Corporate Joint Ventures

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Author Info

  • Edward J. Zajac

    (Department of Organization Behavior, J.L. Kellogg Graduate School of Management, Northwestern University, Evanston, Illinois 60208)

  • Brian R. Golden

    (Department of Management, University of Texas, Austin, Texas 78712)

  • Stephen M. Shortell

    (Department of Organization Behavior, J.L. Kellogg Graduate School of Management, Northwestern University, Evanston, Illinois 60208)

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    Abstract

    Organizations have increasingly turned to alternative organizational forms such as joint ventures and internal corporate ventures to enhance innovation. The present study examines the use of a similar, newly-developing organizational form for purposes of innovation; namely, the internal corporate joint venture (ICJV), which has characteristics of both traditional joint ventures and internal corporate venturing. This study presents an industry-specific analysis of innovation across 53 ICJV's (hospital/physician group combinations), using qualitative and quantitative analyses to identify those factors most strongly associated with the degree of innovativeness in these new organizations. The empirical findings suggest three factors most significantly associated with innovation in the ICJV's in our sample: (1) age similarity among organizational members, (2) the sponsoring organization's orientation towards innovation, and (3) ICJV participation in integrative activities with the sponsoring organization. The study concludes by suggesting that greater attention be devoted to studying "nested innovation," i.e., innovation within a new organizational form that is itself an administrative innovation.

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    File URL: http://dx.doi.org/10.1287/mnsc.37.2.170
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    Bibliographic Info

    Article provided by INFORMS in its journal Management Science.

    Volume (Year): 37 (1991)
    Issue (Month): 2 (February)
    Pages: 170-184

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    Handle: RePEc:inm:ormnsc:v:37:y:1991:i:2:p:170-184

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    Related research

    Keywords: innovation; joint ventures; internal corporate venturing;

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    Cited by:
    1. Parrotta, Pierpaolo & Pozzoli, Dario & Pytlikova, Mariola, 2012. "The Nexus between Labor Diversity and Firm's Innovation," IZA Discussion Papers 6972, Institute for the Study of Labor (IZA).
    2. Ricart, Joan E. & Sieber, Sandra & Svejenova, Silviya, 1999. "Forms of organizing: What is new and why?," IESE Research Papers D/381, IESE Business School.
    3. Østergaard, Christian R. & Timmermans, Bram & Kristinsson, Kari, 2011. "Does a different view create something new? The effect of employee diversity on innovation," Research Policy, Elsevier, vol. 40(3), pages 500-509, April.
    4. Lambert Jerman, 2013. "La Juste Valeur : Une Comptabilite Actuarielle Pour Les Marches ... Ou Les Comptables ?," Post-Print hal-00991877, HAL.
    5. Nerkar, Atul A. & McGrath, Rita Gunther & MacMillan, Ian C., 1996. "Three facets of satisfaction and their influence on the performance of innovation teams," Journal of Business Venturing, Elsevier, vol. 11(3), pages 167-188, May.
    6. Jerman, Lambert, 2014. "Information financière, juste valeur et contrôle interne : La corporate governance comme illusion rationnelle ?," Economics Papers from University Paris Dauphine 123456789/13577, Paris Dauphine University.
    7. Daniel, Elizabeth & Myers, Andrew & Dixon, Keith, 2012. "Adoption rationales of new management practices," Journal of Business Research, Elsevier, vol. 65(3), pages 371-380.
    8. Sekiguchi, Tomoki & Huber, Vandra L., 2011. "The use of person–organization fit and person–job fit information in making selection decisions," Organizational Behavior and Human Decision Processes, Elsevier, vol. 116(2), pages 203-216.
    9. Zahra, Shaker A. & Covin, Jeffrey G., 1995. "Contextual influences on the corporate entrepreneurship-performance relationship: A longitudinal analysis," Journal of Business Venturing, Elsevier, vol. 10(1), pages 43-58, January.
    10. Carlos De Abreu Dos Reis & Miguel Sastre Castillo & Salvador Roig Dobón, 2007. "Diversity and business performance: 50 years of research," Service Business, Springer, vol. 1(4), pages 257-274, December.

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