Access the full text.
Sign up today, get DeepDyve free for 14 days.
Stan Li, R. Greenwood (2004)
The effect of within-industry diversification on firm performance: synergy creation, multi-market contact and market structurationSouthern Medical Journal, 25
S. Klepper, P. Thompson (2006)
Submarkets and the evolution of market structureThe RAND Journal of Economics, 37
RAND Journal of Economics, 25
G. Olley, A. Pakes (1992)
The Dynamics of Productivity in the Telecommunications Equipment Industry
A. Pakes, M. Ostrovsky, Steven Berry (2004)
Simple Estimators for the Parameters of Discrete Dynamic Games (with Entry/Exit Examples)Harvard Economics Department Working Paper Series
R. Caves (1986)
INFORMATION STRUCTURES OF PRODUCT MARKETSEconomic Inquiry, 24
Robert Burgelman (2002)
Strategy as Vector and the Inertia of Coevolutionary Lock-inAdministrative Science Quarterly, 47
Strategic Management Journal, 28
H. Greve (1998)
Performance, Aspirations, and Risky Organizational ChangeAdministrative Science Quarterly, 43
Pino Audia, E. Locke, Ken Smith (2000)
The Paradox of Success: An Archival and a Laboratory Study of Strategic Persistence Following Radical Environmental ChangeAcademy of Management Journal, 43
Raffaele Stagni, Juan Santaló, Marco Giarratana (2020)
Product‐market competition and resource redeployment in multi‐business firmsSouthern Medical Journal, 41
Pino Audia, H. Greve (2006)
Less Likely to Fail: Low Performance, Firm Size, and Factory Expansion in the Shipbuilding IndustryManag. Sci., 52
S. Kekre, K. Srinivasan (1990)
Broader product line: a necessity to achieve success?Management Science, 36
R. Baron, D. Kenny (1986)
The moderator-mediator variable distinction in social psychological research: conceptual, strategic, and statistical considerations.Journal of personality and social psychology, 51 6
(2009)
Citigroup will pare back to six major metro areas
R. Caves, M. Porter (1977)
From Entry Barriers to Mobility Barriers: Conjectural Decisions and Contrived Deterrence to New CompetitionQuarterly Journal of Economics, 91
W. Barnett, H. Greve, Douglas Park (1994)
An Evolutionary Model of Organizational PerformanceSouthern Medical Journal, 15
Constance Helfat, K. Eisenhardt (2004)
Inter‐temporal economies of scope, organizational modularity, and the dynamics of diversificationSouthern Medical Journal, 25
L. Foster, J. Haltiwanger, C. Syverson (2005)
Reallocation, Firm Turnover, and Efficiency: Selection on Productivity or Profitability?Organizations & Markets eJournal
Robert Burgelman, A. Grove (2007)
Let Chaos Reign, then Rein in Chaos - Repeatedly: Managing Strategic Dynamics for Corporate LongevityIO: Firm Structure
Sea-Jin Chang (1996)
AN EVOLUTIONARY PERSPECTIVE ON DIVERSIFICATION AND CORPORATE RESTRUCTURING: ENTRY, EXIT, AND ECONOMIC PERFORMANCE DURING 1981–89Strategic Management Journal, 17
Robert Burgelman (1983)
A Model of the Interaction of Strategic Behavior, Corporate Context, and the Concept of StrategyAcademy of Management Review, 8
R. Nelson (1991)
Why do firms differ, and how does it matter?Southern Medical Journal, 12
Econometrica, 64
Robert Burgelman (1991)
Intraorganizational Ecology of Strategy Making and Organizational Adaptation: Theory and Field ResearchOrganization Science, 2
Talli Zahavi, Dovev Lavie (2013)
Intra-Industry Diversification and Firm PerformanceStrategy Models for Firm Performance Enhancement eJournal
Lalit Manral (2018)
An evolutionary theory of demand-side determinants of strategy dynamicsManagement Research Review, 41
B. Wernerfelt (1986)
THE RELATION BETWEEN MARKET SHARE AND PROFITABILITYJournal of Business Strategy, 6
T. Knudsen (2002)
Economic selection theoryJournal of Evolutionary Economics, 12
Lalit Manral (2010)
Demand competition and investment heterogeneity in industries based on systemic technologies: evidence from the US long-distance telecommunications services industry, 1984–1996Journal of Evolutionary Economics, 20
Marco Giarratana, Martina Pasquini, Juan Santaló (2021)
Leveraging synergies versus resource redeployment: Sales growth and variance in product portfolios of diversified firmsStrategic Management Journal
W. Barnett, Daniel Levinthal (2017)
Special Issue Introduction: Evolutionary Logics of Strategy and Organization, 2
J. Figueiredo, B. Silverman (2006)
Churn, Baby, Churn: Strategic Dynamics Among Dominant and Fringe Firms in a Segmented IndustryIO: Theory
G. Buenstorf, S. Klepper (2010)
Submarket Dynamics and Innovation: The Case of the U.S. Tire Industry
Timo Sohl, Tim Folta (2020)
Market exit and the potential for resource redeployment: Evidence from the global retail sectorStrategic Management Journal
M. Porter (1991)
Towards a dynamic theory of strategySouthern Medical Journal, 12
J. Child (1972)
Organizational Structure, Environment and Performance: The Role of Strategic ChoiceSociology, 6
Strategic Management Journal, 17
Lalit Manral (2016)
The customer-centric logic of multi-product corporationsJournal of Strategy and Management, 9
H. Greve (2003)
A Behavioral Theory of R&D Expenditures and Innovations: Evidence from ShipbuildingAcademy of Management Journal, 46
Strategic Management Journal, 17
Lalit Manral (2010)
Towards a theory of endogenous market structure in strategyJournal of Strategy and Management, 3
G. Hodgson, T. Knudsen (2006)
The nature and units of social selectionJournal of Evolutionary Economics, 16
Hüseyin Tanriverdi, Chi-Hyon Lee (2008)
Within-Industry Diversification and Firm Performance in the Presence of Network Externalities: Evidence From the Software IndustryAcademy of Management Journal, 51
RAND Journal of Economics, 38
T. Bresnahan, P. Reiss (1987)
Do Entry Conditions Vary across Markets, 18
Industrial and Corporate Change, 23
Thomas Cottrell, B. Nault (2004)
Product Variety and Firm Survival in the Microcomputer Software IndustryMicroeconomics: Production
Nathan Furr, R. Kapoor (2018)
Capabilities, technologies, and firm exit during industry shakeout: Evidence from the global solar photovoltaic industrySouthern Medical Journal, 39
Niron Hashai (2014)
Within-Industry Diversification and Firm Performance — An S-Shaped HypothesisIO: Empirical Studies of Firms & Markets eJournal
B. Bayus, Rajshree Agarwal (2007)
The Role of Pre-Entry Experience, Entry Timing and Product Technology Strategies in Explaining Firm Survival
W. Barnett, Robert Burgelman (2007)
EVOLUTIONARY PERSPECTIVES ON STRATEGYSouthern Medical Journal, 17
Lalit Manral (2012)
The demand-side dynamics of entrant heterogeneityJournal of Evolutionary Economics, 25
O. Sorenson (2000)
Letting the market work for you: an evolutionary perspective on product strategyStrategic Management Journal, 21
Management Science, 53
Robert Burgelman (1994)
Fading Memories: A Process Theory of Strategic Business Exit in Dynamic EnvironmentsAdministrative Science Quarterly, 39
Sea-Jin Chang, Y. Matsumoto (2021)
Dynamic Resource Redeployment in Global Semiconductor FirmsStrategic Management Journal
Ajay Bhaskarabhatla, S. Klepper (2013)
Latent Submarket Dynamics and Industry Evolution: Lessons from the U.S. Laser IndustryIO: Productivity
Robert Burgelman (2007)
A Process model of strategic business exit: Implications for an evolutionary perspective on strategySouthern Medical Journal, 17
Daniel Levinthal (2017)
Mendel in the C-Suite: Design and the Evolution of Strategies, 2
A. Pakes, P. McGuire (1992)
Computing Markov Perfect Nash Equilibria: Numerical Implications of a Dynamic Differentiated Product ModelNBER Working Paper Series
R. Ericson, A. Pakes (1995)
Markov-Perfect Industry Dynamics: A Framework for Empirical WorkThe Review of Economic Studies, 62
The author invokes the concept of strategic adaptation to first specify the evolutionary as well as the strategic character of the causal mechanism (“intra-industry exit”), and second to explain its effect on the evolution of firms' within-industry geographic scope. The author reconciles the two competing logics for firm behavior – strategic choice and environmental selection – that underpin alternate explanations for the relationship between intra-industry exit and the evolution of geographic scope. This paper contributes to both theory and empirics concerning the dynamics of firms' competitive scope, in general, and within-industry geographic scope, in particular.Design/methodology/approachThe US long-distance telecom services industry during the period 1984–1996, which satisfies the empirical requirements of a geographically fragmented industry characterized by demand-side heterogeneity across the submarkets, provides the research setting and panel data to test the empirical hypotheses.FindingsThe author finds that while the firms' overall performance influences their intra-industry exit decisions, it is the firm-in-market performance that influences their decision to exit a specific submarket. The author also finds that intra-industry exit decision, when influenced by firm performance, does lead to reduction in geographic scope.Research limitations/implicationsThis context-specific theory, which conceptualizes the dynamics of firms' geographic scope as an evolutionary process, explains the temporal change in the geographic scope of firms during the latter part of the demand growth stage of a geographically fragmented industry.Originality/valueThis analysis of the demand-side dynamics of firms' within-industry geographic scope focuses on the hypothetical causal effect of intra-industry exit, a pervasive business phenomenon. First, the demand-side analysis of the evolution of geographic scope is grounded in a theoretical framework that melds firm dynamics with submarket dynamics and industry dynamics. Second, this analysis explicates the demand-side underpinnings of the strategic adaptive mechanism.
Journal of Strategy and Management – Emerald Publishing
Published: Oct 12, 2022
Keywords: Demand-side dynamics; Intra-industry exit; Geographic scope; Strategic adaptation; Strategic dynamics; Evolutionary theory
Read and print from thousands of top scholarly journals.
Already have an account? Log in
Bookmark this article. You can see your Bookmarks on your DeepDyve Library.
To save an article, log in first, or sign up for a DeepDyve account if you don’t already have one.
Copy and paste the desired citation format or use the link below to download a file formatted for EndNote
Access the full text.
Sign up today, get DeepDyve free for 14 days.
All DeepDyve websites use cookies to improve your online experience. They were placed on your computer when you launched this website. You can change your cookie settings through your browser.