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Intensity, timeliness, and success of incumbent response to technological discontinuities: a synthesis and empirical investigation

Intensity, timeliness, and success of incumbent response to technological discontinuities: a... The extant literature highlights numerous different factors influencing the timeliness and intensity of incumbent response to discontinuous technological change. However, this literature has so far not been synthesized and is therefore limited in its analytical, predictive, and normative power. We develop a comprehensive model of incumbent response that organizes different explanatory factors into the three distinct dimensions of (1) identification and interpretation, (2) decision making, and (3) organizational implementation. We also conceptualize how response intensity and timeliness affect business performance in new technological domains. We test the model against data from 320 firms from the German dental lab industry, finding substantial support for the majority of our hypotheses. This study offers unique empirical insight in observing that cognitive constructs such as framing and management flexibility have the strongest impact on both intensity and timeliness of incumbent response to technological, and thus, strategic discontinuities. Together, our findings have important implications for both theory and practice. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Review of Managerial Science Springer Journals

Intensity, timeliness, and success of incumbent response to technological discontinuities: a synthesis and empirical investigation

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References (122)

Publisher
Springer Journals
Copyright
Copyright © 2011 by Springer-Verlag
Subject
Business and Management; Business and Management, general; Accounting/Auditing; Banking; Marketing; Business Strategy/Leadership
ISSN
1863-6683
eISSN
1863-6691
DOI
10.1007/s11846-011-0068-3
Publisher site
See Article on Publisher Site

Abstract

The extant literature highlights numerous different factors influencing the timeliness and intensity of incumbent response to discontinuous technological change. However, this literature has so far not been synthesized and is therefore limited in its analytical, predictive, and normative power. We develop a comprehensive model of incumbent response that organizes different explanatory factors into the three distinct dimensions of (1) identification and interpretation, (2) decision making, and (3) organizational implementation. We also conceptualize how response intensity and timeliness affect business performance in new technological domains. We test the model against data from 320 firms from the German dental lab industry, finding substantial support for the majority of our hypotheses. This study offers unique empirical insight in observing that cognitive constructs such as framing and management flexibility have the strongest impact on both intensity and timeliness of incumbent response to technological, and thus, strategic discontinuities. Together, our findings have important implications for both theory and practice.

Journal

Review of Managerial ScienceSpringer Journals

Published: Jul 20, 2011

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