Does Embeddedness Reduce Innovation and Differentiation? Evidence from the Japanese Microbrewery Industry
- Does Embeddedness Reduce Innovation and Differentiation? Evidence from the Japanese Microbrewery Industry
- Ahmadjian, Christina
- Center on Japanese Economy and Business
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- Center on Japanese Economy and Business Working Papers
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- Center on Japanese Economy and Business, Graduate School of Business, Columbia University
- Publisher Location:
- New York
- While strategic management scholars and institutional theorists regularly debate the merits of organizational differentiation and innovation vs conformity and embeddedness, few studies have sought to empirically investigate how these seemingly opposing forces impact each other. Drawing on both qualitative and quantitative data, we contribute to closing this research gap by exploring how post-entry embeddedness impacted innovation and survival among de-novo and de-alio entrants into the Japanese microbrewery industry. Our findings indicate that post-entry embeddedness has contrasting effects, reducing overly non-conformist strategies among de-novo entrants, but enhancing non-conformity among de-alio entrants. These results indicate how institutions can serve as enablers of innovation, rather than constraints, through their dissemination of standards, norms and industry practices.
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- Suggested Citation:
- Christina Ahmadjian, Jesper Edman, 2013, Does Embeddedness Reduce Innovation and Differentiation? Evidence from the Japanese Microbrewery Industry, Columbia University Academic Commons, https://doi.org/10.7916/D8MS4254.