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The Dynamics of the Diversified Corporation and the Role of Central Management of Technology

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  • Jens Frøslev Christensen
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    Abstract

    This paper discusses 1) the generic forces that drive the evolution of diversified industrial corporations and their implications for the corporate technology base, 2) the changing role of the central R&D lab in the context of these forces, and 3) the role of management of technology in promoting dynamic coherence in diversified - and highly decentralized - corporations. The line of argument in the paper is illustrated by an indepth case-study of Danfoss, a Danish multi-divisional corporation operating within mechatronical markets.

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    File URL: http://www3.druid.dk/wp/19980004.pdf
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    Paper provided by DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies in its series DRUID Working Papers with number 98-4.

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    Date of creation: 1998
    Date of revision:
    Handle: RePEc:aal:abbswp:98-4
    Contact details of provider: Web page: http://www.druid.dk/

    Keywords: Corporate strategy; diversified corporations; management of technology;

    Find related papers by JEL classification:

    • L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • L64 - Industrial Organization - - Industry Studies: Manufacturing - - - Other Machinery; Business Equipment; Armaments

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    1. Pari Patel & Keith Pavitt, 1991. "Large Firms in the Production of the World’s Technology: An Important Case of “Non-Globalisation”," Journal of International Business Studies, Palgrave Macmillan, vol. 22(1), pages 1-21, March.
    2. Teece, David J. & Rumelt, Richard & Dosi, Giovanni & Winter, Sidney, 1994. "Understanding corporate coherence : Theory and evidence," Journal of Economic Behavior & Organization, Elsevier, vol. 23(1), pages 1-30, January.
    3. Dosi, Giovanni, 1982. "Technological paradigms and technological trajectories : A suggested interpretation of the determinants and directions of technical change," Research Policy, Elsevier, vol. 11(3), pages 147-162, June.
    4. Christensen, Jens Froslev, 1995. "Asset profiles for technological innovation," Research Policy, Elsevier, vol. 24(5), pages 727-745, September.
    5. Nicolai J Foss & Jens Fr�slev Christensen, 2001. "A market-process approach to corporate coherence," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 22(4-5), pages 213-226.
    6. Ewan Ferlie, 1996. "The Nature And Transformation Of Corporate Headquarters: A Review Of Recent Literature And A Research Agenda," Journal of Management Studies, Wiley Blackwell, vol. 33(4), pages 495-523, 07.
    7. Argyres, Nicholas S., 1995. "Technology strategy, governance structure and interdivisional coordination," Journal of Economic Behavior & Organization, Elsevier, vol. 28(3), pages 337-358, December.
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    Cited by:

    1. Husted, Kenneth, 1999. "Between Autonomy and Control: The role of industrial researchers’ decision-making," Working Papers 11/1999, Copenhagen Business School, Department of Management, Politics & Philosophy.

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