Working Papers

Venture capital is widely believed to be an influential arrangement for the financing of new innovative companies. We examine and find empirical evidence that venture capital financing is related to product market strategies and outcomes of…

We offer a asynthesis of organization learning theory and organizational ecology. Organizations learn in response to competition. The learning then intensifies the competition generated by each organization against its rivals, motivating rivals…

Past research on dual process models of persuasion has documented that, when faced with information incongruity, individuals tend to form product evaluations by attenuating the less diagnostic information, relying solely on the more diagnostic…

This paper presents theories of strategic nonmarket participation in majority rule and executive institutions and a set of principles of nonmarket strategy developed from those theories. The theories are based on models of vote recruitment in…

Abstract not available.

According to the “friendship paradox”, most people have fewer friends than their friends have (Feld, 1991). This provides an opportunity to investigate the operation of self-serving biases in estimates of popularity that are contrary to reality.…

We propose an approach to the predictive validation of conjoint models that overcomes several limitations of current approaches. There are situations in which a company, after completing a conjoint study, can compare the actual sales of two (or…

This paper provides some empirical generalizations regarding how the relative prices of competing brands affect the corss-price effects between them. Particular focus is on the asymmetric price effect, which states that the price promotion by a…

A number of theories have been proposed to explain the medium-term momentum in stock returns identified by Jefadeesh and Titman (1993). We test one such theory based on the gradual-information-diffusion of Hong and Stein (1997)—and establish…

This paper examines the competitive effects of recent commercial bank entry into the corporate debt underwriting market. In particular, the effects of bank entry on underwriter spreads, ex-ante yields, and market concentration. We find that…

We find that brand value estimates reported by FinancialWorld are significantly postively related to prices and returns, incremental to other accounting variables. Concerns about brand value estimate reliability underlie lack of financial…

In this paper we document that stocks highly recommended by analysts outperform the market, while those that are unfavorably recommended underperform. Our findings are based on an extensive analysis of over 360,000 analyst recommendations from…

Foreign portfolio flows may reflect deep changes in the functioning of an emerging market economy and its capital markets. Using a database of monthly net U.S. equity flows, we investigate the relation of these flows to the behavior of equity…

A widely deplored bias in organizational decision-making is attributing an accident simply to “human error” and them attempting to correct the problem through changing employees rather than changing the technological or organizational environment…

US joint ventures with Asian firms often flounder because cultural differences impede the smooth resolution of conflicts between managers. In a survey of young managers in the US, PRC, Philippines, and India, we find support for two hypotheses…

Measuring the integration of world capital markets is notoriously difficult. For example, regulatory changes which appear comprehensive may have little impact on the functioning of the capital market if they fail to lead to foreign portfolio…

We develop a model of the extent to which multinational companies use global account management (GAM), its determinants, and its effects on performance. A study of 191 senior executives’ perceptions, using structural equations modeling, shows…

This paper examines how founding conditions shape subsequent organizational evolution— specifically, the proliferation of management and administrative jobs. Analyzing quantitative and qualitative information on a sample of young technology start…

Using a sample of banks, this study examines the capital market pricing implications of discretionary and nondiscretionary components of loan fair value estimates. We conduct our analysis in two stages. First, we determine the discretionary…

Stock market liberalizations lead private investment booms. In a sample of 11 developing countries that liberalized, 9 experience growth rates of private investment above their non-liberalization median in the first year after liberalizing. In…