IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this article

Organizing for external technology exploitation in diversified firms

Listed author(s):
  • Lichtenthaler, Ulrich
Registered author(s):

    Besides applying technology in their own products, industrial firms increasingly exploit their technologies externally, for example through out-licensing. Earlier studies cannot explain the discrepancies between a few pioneering firms in active technology licensing and the managerial difficulties of many others. In diversified firms, diverging interests of the corporate and business unit level in the keep-or-sell decision constitute a central barrier to active licensing. Therefore, this article examines two essential dimensions of designing the corporate/business unit interface in diversified firms: the centralization of the activities on the corporate level and the alignment between the organizational levels. The study tests three hypotheses regarding the interaction and consequences of these organizational dimensions with data from 152 firms. Consistent with the hypotheses, the data provide support for the benefits from medium levels of corporate centralization and corporate/business unit alignment. The results have implications for technology exploitation, open innovation, markets for technology, and corporate strategy.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL: http://www.sciencedirect.com/science/article/pii/S0148-2963(09)00293-8
    Download Restriction: Full text for ScienceDirect subscribers only

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Article provided by Elsevier in its journal Journal of Business Research.

    Volume (Year): 63 (2010)
    Issue (Month): 11 (November)
    Pages: 1245-1253

    as
    in new window

    Handle: RePEc:eee:jbrese:v:63:y:2010:i:11:p:1245-1253
    Contact details of provider: Web page: http://www.elsevier.com/locate/jbusres

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

    as
    in new window


    1. Sapienza, Harry J. & Parhankangas, Annaleena & Autio, Erkko, 2004. "Knowledge relatedness and post-spin-off growth," Journal of Business Venturing, Elsevier, vol. 19(6), pages 809-829, November.
    2. Robert M. Grant & Charles Baden-Fuller, 2004. "A Knowledge Accessing Theory of Strategic Alliances," Journal of Management Studies, Wiley Blackwell, vol. 41(1), pages 61-84, 01.
    3. Myong-Hun Chang & Joseph E. Harrington, 2000. "Centralization vs. Decentralization in a Multi-Unit Organization: A Computational Model of a Retail Chain as a Multi-Agent Adaptive System," Management Science, INFORMS, vol. 46(11), pages 1427-1440, November.
    4. Ulrich Lichtenthaler & Eckhard Lichtenthaler, 2009. "A Capability-Based Framework for Open Innovation: Complementing Absorptive Capacity," Journal of Management Studies, Wiley Blackwell, vol. 46(8), pages 1315-1338, December.
    5. Gambardella, Alfonso & Giuri, Paola & Luzzi, Alessandra, 2007. "The market for patents in Europe," Research Policy, Elsevier, vol. 36(8), pages 1163-1183, October.
    6. Koen H. Heimeriks & Geert Duysters, 2007. "Alliance Capability as a Mediator Between Experience and Alliance Performance: An Empirical Investigation into the Alliance Capability Development Process," Journal of Management Studies, Wiley Blackwell, vol. 44(1), pages 25-49, 01.
    7. Markman, Gideon D. & Phan, Phillip H. & Balkin, David B. & Gianiodis, Peter T., 2005. "Entrepreneurship and university-based technology transfer," Journal of Business Venturing, Elsevier, vol. 20(2), pages 241-263, March.
    8. Ashish Arora & Marco Ceccagnoli, 2006. "Patent Protection, Complementary Assets, and Firms' Incentives for Technology Licensing," Management Science, INFORMS, vol. 52(2), pages 293-308, February.
    9. Nick Bontis, 2002. "Managing An Organizational Learning System By Aligning Stocks and Flows," Journal of Management Studies, Wiley Blackwell, vol. 39(4), pages 437-469, 06.
    10. Torben Juul Andersen, 2004. "Integrating Decentralized Strategy Making and Strategic Planning Processes in Dynamic Environments," Journal of Management Studies, Wiley Blackwell, vol. 41(8), pages 1271-1299, December.
    11. Nagaoka, Sadao & Kwon, Hyeog Ug, 2006. "The incidence of cross-licensing: A theory and new evidence on the firm and contract level determinants," Research Policy, Elsevier, vol. 35(9), pages 1347-1361, November.
    12. Norman, Patricia M., 2004. "Knowledge acquisition, knowledge loss, and satisfaction in high technology alliances," Journal of Business Research, Elsevier, vol. 57(6), pages 610-619, June.
    13. Simpson, Penny M. & Siguaw, Judy A. & Enz, Cathy A., 2006. "Innovation orientation outcomes: The good and the bad," Journal of Business Research, Elsevier, vol. 59(10-11), pages 1133-1141, October.
    14. Argyres, Nicholas S., 1995. "Technology strategy, governance structure and interdivisional coordination," Journal of Economic Behavior & Organization, Elsevier, vol. 28(3), pages 337-358, December.
    15. Sinkula, James M. & Hampton, Ronald D., 1988. "Centralization and information acquisition by in-house market research departments," Journal of Business Research, Elsevier, vol. 16(4), pages 337-349, June.
    16. Nielsen, Bo Bernhard, 2005. "The role of knowledge embeddedness in the creation of synergies in strategic alliances," Journal of Business Research, Elsevier, vol. 58(9), pages 1194-1204, September.
    17. Auh, Seigyoung & Menguc, Bulent, 2005. "Balancing exploration and exploitation: The moderating role of competitive intensity," Journal of Business Research, Elsevier, vol. 58(12), pages 1652-1661, December.
    18. Rothaermel, Frank T. & Deeds, David L., 2006. "Alliance type, alliance experience and alliance management capability in high-technology ventures," Journal of Business Venturing, Elsevier, vol. 21(4), pages 429-460, July.
    19. Ritter, Thomas & Gemunden, Hans Georg, 2003. "Network competence: Its impact on innovation success and its antecedents," Journal of Business Research, Elsevier, vol. 56(9), pages 745-755, September.
    20. Jansen, J.J.P. & van den Bosch, F.A.J. & Volberda, H.W., 2005. "Managing Potential and Realized Absorptive Capacity: How do Organizational Antecedents matter?," ERIM Report Series Research in Management ERS-2005-025-STR, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:eee:jbrese:v:63:y:2010:i:11:p:1245-1253. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dana Niculescu)

    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 references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.