IDEAS home Printed from https://ideas.repec.org/a/eee/jbrese/v129y2021icp703-713.html
   My bibliography  Save this article

An ace in the hole: The effects of (in)accurately observed structural holes on organizational reputation positions in whole networks

Author

Listed:
  • Krijkamp, Annefleur R.
  • Knoben, Joris
  • Oerlemans, Leon A.G.
  • Leenders, Roger T.A.J.

Abstract

A large body of the literature has found that occupying structural holes positively affect organizational outcomes. Structural holes pose strategic opportunities for organizations that are knowledgeable of their advantageous position. However, most studies do not consider whether organizations observe their structural holes accurately. Such observational (in)accuracy might explain variation in return-on-structural-holes. This study investigates the effects of (in)accurate perceptions of organizations’ structural holes position on organizational reputation. We consider scenarios where organizations (correctly) observe or (incorrectly) miss existing structural holes or where they incorrectly observe structural holes. We collected data in two whole networks in the healthcare industry. We find that accurately observing one’s structural hole position increases organizational reputation. Contrary, organizations that perceive structural holes that actually do not exist, suffer negative reputation effects. Our research implies that similar network positions can yield differential reputation effects depending on the accuracy of the knowledge of the organization occupying this position.

Suggested Citation

  • Krijkamp, Annefleur R. & Knoben, Joris & Oerlemans, Leon A.G. & Leenders, Roger T.A.J., 2021. "An ace in the hole: The effects of (in)accurately observed structural holes on organizational reputation positions in whole networks," Journal of Business Research, Elsevier, vol. 129(C), pages 703-713.
    • Handle: RePEc:eee:jbrese:v:129:y:2021:i:c:p:703-713
    DOI: 10.1016/j.jbusres.2019.10.066
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0148296319306642
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jbusres.2019.10.066?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. repec:cup:cbooks:9780511771576 is not listed on IDEAS
    2. Rowley, Timothy J. & Baum, Joel A.C., 0. "Sophistication of interfirm network strategies in the Canadian investment banking industry," Scandinavian Journal of Management, Elsevier, vol. 20(1-2), pages 103-124, March.
    3. Bill McEvily & Akbar Zaheer, 1999. "Bridging ties: a source of firm heterogeneity in competitive capabilities," Strategic Management Journal, Wiley Blackwell, vol. 20(12), pages 1133-1156, December.
    4. Mariconda, Simone & Lurati, Francesco, 2015. "Does familiarity breed stability? The role of familiarity in moderating the effects of new information on reputation judgments," Journal of Business Research, Elsevier, vol. 68(5), pages 957-964.
    5. Liz Johnson, 2015. "A call for complexity: integrated models to solve complex policy problems," Mind & Society: Cognitive Studies in Economics and Social Sciences, Springer;Fondazione Rosselli, vol. 14(2), pages 259-271, November.
    6. Lori Rosenkopf & Giovanna Padula, 2008. "Investigating the Microstructure of Network Evolution: Alliance Formation in the Mobile Communications Industry," Organization Science, INFORMS, vol. 19(5), pages 669-687, October.
    7. Stephen P. Borgatti & Rob Cross, 2003. "A Relational View of Information Seeking and Learning in Social Networks," Management Science, INFORMS, vol. 49(4), pages 432-445, April.
    8. Joris Knoben & Leon A. G. Oerlemans & Annefleur R. Krijkamp & Keith G. Provan, 2018. "What Do They Know? The Antecedents of Information Accuracy Differentials in Interorganizational Networks," Organization Science, INFORMS, vol. 29(3), pages 471-488, June.
    9. Melissa A. Schilling & Corey C. Phelps, 2007. "Interfirm Collaboration Networks: The Impact of Large-Scale Network Structure on Firm Innovation," Management Science, INFORMS, vol. 53(7), pages 1113-1126, July.
    10. J. Gower & P. Legendre, 1986. "Metric and Euclidean properties of dissimilarity coefficients," Journal of Classification, Springer;The Classification Society, vol. 3(1), pages 5-48, March.
    11. Fabio Fonti & Massimo Maoret & Robert Whitbred, 2017. "Free-riding in multi-party alliances: The role of perceived alliance effectiveness and peers' collaboration in a research consortium," Post-Print hal-02006440, HAL.
    12. Kilduff, Martin & Crossland, Craig & Tsai, Wenpin & Krackhardt, David, 2008. "Organizational network perceptions versus reality: A small world after all?," Organizational Behavior and Human Decision Processes, Elsevier, vol. 107(1), pages 15-28, September.
    13. Ernst Fehr & Urs Fischbacher, "undated". "Third Party Punishment and Social Norms," IEW - Working Papers 106, Institute for Empirical Research in Economics - University of Zurich.
    14. Akbar Zaheer & Geoffrey G. Bell, 2005. "Benefiting from network position: firm capabilities, structural holes, and performance," Strategic Management Journal, Wiley Blackwell, vol. 26(9), pages 809-825, September.
    15. Keith Weigelt & Colin Camerer, 1988. "Reputation and corporate strategy: A review of recent theory and applications," Strategic Management Journal, Wiley Blackwell, vol. 9(5), pages 443-454, September.
    16. Martin Gargiulo & Mario Benassi, 2000. "Trapped in Your Own Net? Network Cohesion, Structural Holes, and the Adaptation of Social Capital," Organization Science, INFORMS, vol. 11(2), pages 183-196, April.
    17. Easley,David & Kleinberg,Jon, 2010. "Networks, Crowds, and Markets," Cambridge Books, Cambridge University Press, number 9780521195331.
    18. Balaji R. Koka & John E. Prescott, 2008. "Designing alliance networks: the influence of network position, environmental change, and strategy on firm performance," Strategic Management Journal, Wiley Blackwell, vol. 29(6), pages 639-661, June.
    19. Lori Rosenkopf & Paul Almeida, 2003. "Overcoming Local Search Through Alliances and Mobility," Management Science, INFORMS, vol. 49(6), pages 751-766, June.
    20. Vasconcelos, Flávio C. & Ramirez, Rafael, 2011. "Complexity in business environments," Journal of Business Research, Elsevier, vol. 64(3), pages 236-241, March.
    21. Tiziana Casciaro & Sigal G. Barsade & Amy C. Edmondson & Cristina B. Gibson & David Krackhardt & Giuseppe (Joe) Labianca, 2015. "The Integration of Psychological and Network Perspectives in Organizational Scholarship," Organization Science, INFORMS, vol. 26(4), pages 1162-1176, August.
    22. Herminia Ibarra & Martin Kilduff & Wenpin Tsai, 2005. "Zooming In and Out: Connecting Individuals and Collectivities at the Frontiers of Organizational Network Research," Organization Science, INFORMS, vol. 16(4), pages 359-371, August.
    23. Fabio Fonti & Massimo Maoret & Robert Whitbred, 2017. "Free-riding in multi-party alliances: The role of perceived alliance effectiveness and peers' collaboration in a research consortium," Strategic Management Journal, Wiley Blackwell, vol. 38(2), pages 363-383, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Blanken, Mariëlle & Mathijssen, Jolanda & van Nieuwenhuizen, Chijs & Raab, Jörg & van Oers, Hans, 2023. "Actors’ awareness of network governance in Child Welfare and Healthcare service networks," Health Policy, Elsevier, vol. 127(C), pages 29-36.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Joris Knoben & Leon A. G. Oerlemans & Annefleur R. Krijkamp & Keith G. Provan, 2018. "What Do They Know? The Antecedents of Information Accuracy Differentials in Interorganizational Networks," Organization Science, INFORMS, vol. 29(3), pages 471-488, June.
    2. Rojas, Mariana Giovanna Andrade & Solis, Edgar Rogelio Ramirez & Zhu, John JianJun, 2018. "Innovation and network multiplexity: R&D and the concurrent effects of two collaboration networks in an emerging economy," Research Policy, Elsevier, vol. 47(6), pages 1111-1124.
    3. Mao, Chongfeng & Yu, Xianyun & Zhou, Qing & Harms, Rainer & Fang, Gang, 2020. "Knowledge growth in university-industry innovation networks – Results from a simulation study," Technological Forecasting and Social Change, Elsevier, vol. 151(C).
    4. Haifeng Wang & Longwei Tian & Yuan Li, 2019. "A tale of two cultures: Social networks and competitive advantage," Asia Pacific Journal of Management, Springer, vol. 36(2), pages 321-347, June.
    5. Mazzola, Erica & Perrone, Giovanni & Kamuriwo, Dzidziso Samuel, 2016. "The interaction between inter-firm and interlocking directorate networks on firm's new product development outcomes," Journal of Business Research, Elsevier, vol. 69(2), pages 672-682.
    6. Stam, Wouter & Arzlanian, Souren & Elfring, Tom, 2014. "Social capital of entrepreneurs and small firm performance: A meta-analysis of contextual and methodological moderators," Journal of Business Venturing, Elsevier, vol. 29(1), pages 152-173.
    7. Ranjay Gulati & Maxim Sytch & Adam Tatarynowicz, 2012. "The Rise and Fall of Small Worlds: Exploring the Dynamics of Social Structure," Organization Science, INFORMS, vol. 23(2), pages 449-471, April.
    8. Maxim Sytch & Adam Tatarynowicz & Ranjay Gulati, 2012. "Toward a Theory of Extended Contact: The Incentives and Opportunities for Bridging Across Network Communities," Organization Science, INFORMS, vol. 23(6), pages 1658-1681, December.
    9. Mingyu Tian & Yiwei Su & Zhong Yang, 2022. "University–industry collaboration and firm innovation: an empirical study of the biopharmaceutical industry," The Journal of Technology Transfer, Springer, vol. 47(5), pages 1488-1505, October.
    10. Guan, Jiancheng & Zhang, Jingjing & Yan, Yan, 2015. "The impact of multilevel networks on innovation," Research Policy, Elsevier, vol. 44(3), pages 545-559.
    11. José Antonio Belso-Martínez & Manuel Expósito-Langa & Francisco Mas-Verdú & F. Xavier Molina-Morales, 2017. "Dynamics of Brokerage Positions in Clusters: Evidence from the Spanish Foodstuffs Industry," Sustainability, MDPI, vol. 9(2), pages 1-18, February.
    12. Hugo Ernesto Martínez Ardila & Julián Eduardo Mora Moreno & Jaime Alberto Camacho Pico, 2020. "Networks of collaborative alliances: the second order interfirm technological distance and innovation performance," The Journal of Technology Transfer, Springer, vol. 45(4), pages 1255-1282, August.
    13. Anindya Ghosh & Lori Rosenkopf, 2015. "PERSPECTIVE—Shrouded in Structure: Challenges and Opportunities for a Friction-Based View of Network Research," Organization Science, INFORMS, vol. 26(2), pages 622-631, April.
    14. Rahul Basole & Jürgen Karla, 2011. "On the Evolution of Mobile Platform Ecosystem Structure and Strategy," Business & Information Systems Engineering: The International Journal of WIRTSCHAFTSINFORMATIK, Springer;Gesellschaft für Informatik e.V. (GI), vol. 3(5), pages 313-322, October.
    15. Steffen Runge & Christian Schwens & Matthias Schulz, 2022. "The invention performance implications of coopetition: How technological, geographical, and product market overlaps shape learning and competitive tension in R&D alliances," Strategic Management Journal, Wiley Blackwell, vol. 43(2), pages 266-294, February.
    16. Riccaboni, Massimo & Wang, Xu & Zhu, Zhen, 2021. "Firm performance in networks: The interplay between firm centrality and corporate group size," Journal of Business Research, Elsevier, vol. 129(C), pages 641-653.
    17. Walter, Jorge & Lechner, Christoph & Kellermanns, Franz W., 2007. "Knowledge transfer between and within alliance partners: Private versus collective benefits of social capital," Journal of Business Research, Elsevier, vol. 60(7), pages 698-710, July.
    18. Gurneeta Vasudeva & Jennifer W. Spencer & Hildy J. Teegen, 2013. "Bringing the Institutional Context Back In: A Cross-National Comparison of Alliance Partner Selection and Knowledge Acquisition," Organization Science, INFORMS, vol. 24(2), pages 319-338, April.
    19. Hongjuan Zhang & Liang Wang & Rong Han, 2019. "The China-West divide on social capital: A meta-analysis," Asia Pacific Journal of Management, Springer, vol. 36(3), pages 745-772, September.
    20. Yue Zhao & Ronaldo Parente & Stav Fainshmidt & Steven Carnovale, 2021. "MNE host-country alliance network position and post-entry establishment mode choice," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(7), pages 1350-1364, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jbrese:v:129:y:2021:i:c:p:703-713. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/jbusres .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.