Patterns in the diffusion of strategies across organizations: insights from the innovation diffusion literature

Article Abstract:

Firms often adopt strategies in spite of mixed evidence about the strategy's performance and of evidence that the strategy leads to inefficient outcomes. Here, we describe the conditions prompting the spread of inefficient strategies through a population of firms, as well as the characteristics of individual firms that affect their propensity to adopt efficient and inefficient strategies. We focus on one pattern that appears common to strategic adoptions: a pattern where the number of unsuccessful adoptions exceeds the number of successful adoptions. We note how the failure to consider diffusion patterns in empirical strategic research limits use of that research as a source of prescriptive theory. (Reprinted by permission of the publisher.)

Interorganizational relations, Diffusion of innovations

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Management, strategy, and industry structure as influences on the success of new firms: a structural model

Article Abstract:

A model of firm performance was developed and tested. The model described the effects of industry structure, business strategy, and managerial characteristics on the performance of new firms. The model was tested by using a sample of 36 new technology-oriented firms funded by venture capitalists. The results indicated that managerial characteristics strongly affected performance, but they did not significantly affect either industry structure or business strategy.

Models, Analysis, Management research, New business enterprises, Startups

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