Explaining Involuntary Spinoffs from Teams

2011 ◽  
Vol 2 (3) ◽  
pp. 18-37 ◽  
Author(s):  
T. V. S. Ramamohan Rao
Keyword(s):  
Resource Allocation ◽  
Bargaining Power ◽  
New Products ◽  
New Product ◽  
Organizational Capabilities ◽  
Team Members ◽  
Strategic Bargaining ◽  
The Stability ◽  
Analytical Device ◽  
Separate Product

A firm consists of different teams with each of them producing a separate product (which may be related to other products of the firm). In turn, each team has individuals of different talents (though some talents may be substitutable across products) who work together to achieve synergies. Some team members may find it advantageous to induct new talents into an existing team and/or introduce new products based on their experience. The firm will efficiently integrate a new product by forming a new team if it (a) has the organizational capabilities to translate potential synergies to reality, (b) can accommodate the strategic bargaining power of the existing team members in resource allocation across talents, and (c) can attract and coordinate the efficient combination of talents. A Spinoff, i.e., the production of the new product in a separate firm, will occur if any one, or more, of these conditions is not satisfied. A variant of the CES function can be shown to provide the most efficient analytical device to examine the stability of teams and spinoffs when teams cannot maintain such cohesion.

Explaining Involuntary Spinoffs from Teams

2012 ◽  
pp. 203-224
Author(s):  
T. V. S. Ramamohan Rao
Keyword(s):  
Resource Allocation ◽  
Bargaining Power ◽  
New Products ◽  
New Product ◽  
Organizational Capabilities ◽  
Team Members ◽  
Strategic Bargaining ◽  
The Stability ◽  
Analytical Device ◽  
Separate Product

A firm consists of different teams with each of them producing a separate product (which may be related to other products of the firm). In turn, each team has individuals of different talents (though some talents may be substitutable across products) who work together to achieve synergies. Some team members may find it advantageous to induct new talents into an existing team and/or introduce new products based on their experience. The firm will efficiently integrate a new product by forming a new team if it (a) has the organizational capabilities to translate potential synergies to reality, (b) can accommodate the strategic bargaining power of the existing team members in resource allocation across talents, and (c) can attract and coordinate the efficient combination of talents. A Spinoff, i.e., the production of the new product in a separate firm, will occur if any one, or more, of these conditions is not satisfied. A variant of the CES function can be shown to provide the most efficient analytical device to examine the stability of teams and spinoffs when teams cannot maintain such cohesion.

Microeconomic Theory of Spinoff Decisions

2013 ◽  
Vol 2 (4) ◽  
pp. 36-51
Author(s):  
T. V. S. Ramamohan Rao
Keyword(s):  
Bargaining Power ◽  
New Product ◽  
Product Line ◽  
Market Potential ◽  
Organizational Capabilities ◽  
Elasticity Of Substitution ◽  
Microeconomic Theory ◽  
Strategic Bargaining ◽  
High Elasticity ◽  
Coordination Requirements

The present study demonstrates that the product line choice of a firm depends on the elasticity of substitution between products (and the organizational and coordination requirements that it implies), the bargaining power of managers of different product divisions, and marketing prospects of each of the products. A new product idea, put forward by an employee, will be integrated if a combination of these features obtains. A spinoff will result if any one, or more, of these conditions is not satisfied. In general, it is shown that a new product, which has a high elasticity of substitution with the existing products, will experience a spinoff due to lack of organizational capabilities to integrate it while a product with a low elasticity will spinoff only due to the incumbent management’s perception of low market potential and/or the strategic bargaining power of the incumbent management with respect to the existing product line.

New Folk Music as Attempted Repatriation in Romania

2018 ◽  
pp. 436-452
Author(s):  
Maurice Mengel
Keyword(s):  
Mass Media ◽  
Folk Music ◽  
Cultural Policy ◽  
New Products ◽  
New Product ◽  
The State ◽  
State Institutions ◽  
The Public ◽  
Socialist State ◽  
New Form

This chapter looks at cultural policy toward folk music (muzică populară) in socialist Romania (1948–1989), covering three areas: first, the state including its intentions and actions; second, ethnomusicologists as researchers of rural peasant music and employees of the state, and, third, the public as reached by state institutions. The article argues that Soviet-induced socialist cultural policy effectively constituted a repatriation of peasant music that was systematically collected; documented and researched; intentionally transformed into new products, such as folk orchestras, to facilitate the construction of communism; and then distributed in its new form through a network of state institutions like the mass media. Sources indicate that the socialist state was partially successful in convincing its citizens about the authenticity of the new product (that new folklore was real folklore) while the original peasant music was to a large extent inaccessible to nonspecialist audiences.

Entrepreneurial Bricolage and New Product Development Performance in New Ventures: The Contingent Effects of Founding Team Involvement

2021 ◽  
Vol 0 (0) ◽  
Author(s):  
Xinchun Wang ◽  
Xiaoyu Yu ◽  
Xiaotong Meng
Keyword(s):  
Product Development ◽  
New Product Development ◽  
Resource Constraints ◽  
New Ventures ◽  
New Products ◽  
New Product ◽  
Strategic Decision ◽  
Entrepreneurial Bricolage ◽  
Founding Team ◽  
Npd Performance

Abstract New product development (NPD) performance is a key determinant of a new venture’s success. However, compared with established firms, new ventures often suffer from resource constraints when developing new products. Entrepreneurial bricolage is reported in the literature as an alternative strategic option that enables managers to overcome resource constraints when developing new products. However, because new ventures are often founded by an entrepreneurial team, the effectiveness and efficiency of using bricolage to improve NPD performance might be contingent on how the founding team plays its roles in this process. Using data from 323 new ventures in China, we find support for the critical role of entrepreneurial bricolage in improving NPD success under resource constraints. More importantly, our results reveal that the bricolage strategy is more likely to benefit a venture when the founding team is composed of members with diverse functional backgrounds and is not heavily involved in strategic decision-making.

The interactive effect of insight and cuteness in driving purchase likelihood: a lay belief of creativity

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Felix Septianto ◽  
Rokhima Rostiani ◽  
Widya Paramita
Keyword(s):  
New Products ◽  
Interactive Effect ◽  
Experimental Studies ◽  
New Product ◽  
Underlying Mechanism ◽  
Content Type ◽  
Narrative Study ◽  
Managerial Implications ◽  
Purchase Likelihood

PurposeWhile new product introductions can potentially promote growth and benefit for brands, it remains unclear how marketers can develop effective communication strategies to increase the chance of success for new products. The present research investigates the role of cuteness in leveraging the effectiveness of a narrative emphasizing an insight versus an effort in this regard.Design/methodology/approachThis research presents two experimental studies. Study 1 examines the moderating role of cuteness on the likelihood of purchasing a new product featuring an insight-based (vs effort-based) narrative. Study 2 extends the findings of Study 1 using different stimuli and establishes the underlying mechanism.FindingsResults show that when a cuteness appeal is present, an insight-based (vs effort-based) narrative will lead to a higher purchase likelihood. However, these differences do not emerge when a cuteness appeal is absent (a control condition). Further, perceived brand creativeness will mediate this effect.Originality/valueThe findings of this research contribute to the literature on lay belief of creativity, cuteness, and product narrative, as well as managerial implications on how to promote new products.

From Embedded Knowledge to Embodied Knowledge: New Product Development as Knowledge Management

1998 ◽  
Vol 62 (4) ◽  
pp. 1-12 ◽  
Author(s):  
Ravindranath Madhavan ◽  
Rajiv Grover
Keyword(s):  
Product Development ◽  
New Product Development ◽  
Distributed Cognition ◽  
New Product ◽  
Team Processes ◽  
Team Members ◽  
Personal Interaction ◽  
Design Variables ◽  
Embedded Knowledge ◽  
Team Orientation

Because new product development (NPD) teams are engaged in knowledge creation, NPD management should emphasize cognitive team processes rather than purely social processes. Using the notions of tacit knowledge and distributed cognition as a basis, the authors propose that the T-shaped skills, shared mental models, and NPD routines of team members, as well as the A-shaped skills of the team leader, are key design variables when creating NPD teams. The authors propose that trust in team orientation, trust in technical competence, information redundancy, and rich personal interaction are important process variables for the effective and efficient creation of new knowledge.

Strategic delegation, quality competition, and new product profitability

2015 ◽  
Vol 53 (3) ◽  
pp. 713-729 ◽  
Author(s):  
Hyun Shin ◽  
Jongtae Shin ◽  
Shijin Yoo ◽  
Joon Song ◽  
Alex Kim
Keyword(s):  
New Products ◽  
New Product ◽  
Quality Competition ◽  
Strategic Delegation ◽  
Content Type ◽  
Financial Outcomes ◽  
Rival Firms ◽  
New Perspective ◽  
Duopolistic Market ◽  
Low Sensitivity

Purpose – The purpose of this paper is to present a new perspective on the marketing-R & D interface by modelling firms that develop new products in a duopolistic market. Design/methodology/approach – By using a game-theoretic modelling approach, this study examines strategic delegation, through which the marketing and R & D managers of each firm are given authority over pricing and new products’ quality levels. Findings – Interestingly, the study finds that the case where two managers with conflicting incentives negotiate (the horizontal coordination case) might produce a better financial outcome than when the managers’ decisions are perfectly coordinated by a profit-maximizing CEO (the vertical control case). In addition, the study identifies several conditions that guarantee horizontal coordination’s generation of higher profit, such as high (or low) sensitivity to the quality (or price) of a new product. The paper further shows that two competing firms may select horizontal coordination as a Nash equilibrium. Practical implications – These findings provide new insights into the role of marketing-R & D interaction under strategic delegation, which may allow rival firms to “spend smart” on R & D, avoid excessive (and unnecessary) quality competition, and thus enhance the profitability of new products. Such insights would be useful for any firms under budget constraints. Originality/value – To the authors’ knowledge, this paper represents the first attempt to analyze how delegation interacts with the conflicting incentives of marketing and R & D managers, which in turn affects the quality investment decisions, competitive intensity, and, ultimately, the financial outcomes of new products developed competing firms.

New Product Development in Malaysia: Does Organizational Background Really Matter?

2014 ◽  
Vol 68 (3) ◽  
Author(s):  
Tan Owee Kowang ◽  
Amran Rasli ◽  
Choi Sang Long
Keyword(s):  
Product Development ◽  
Research And Development ◽  
New Product Development ◽  
New Products ◽  
New Product ◽  
Multinational Companies ◽  
Product Performance ◽  
Survey Questionnaire ◽  
New Product Performance ◽  
Npd Performance

New Product Development (NPD) is vital in assisting Research and Development (R&D) based organizations to adapt to the changes in markets and technology for competitive advantage. Ensuring the success of new products and optimization of new product performance is critical and essential for Research and Development based organizations.  Hence, this study is carried out to explore does organizational background in term of company’s ownership (i.e. local or multinational companies) and operational scales (i.e. number of Research and Development staffs) affect NPD performance of Research and Development companies in Malaysia. In line with this, 8 New Product Development performance attributes were identified from literature review. These attributes were subsequently formulated into a survey questionnaire and responded by 186 respondents. Thereafter, the effect of organizational ownership and operational scale toward NPD performance are examined separately via Independent Sample t-test and Analysis of Variance (ANOVA). Finding from the study revealed that the level of NPD performance in multinational R&D companies is higher than local R&D companies. Findings from this research also implied that NPD performance can be further improved by increasing number of R&D staffs.  

Resource allocation for robust project scheduling

2011 ◽  
Vol 59 (1) ◽  
pp. 51-55 ◽  
Author(s):  
M. Klimek ◽  
P. Łebkowski
Keyword(s):  
Resource Allocation ◽  
Project Scheduling ◽  
Formal Description ◽  
Resource Allocation Problem ◽  
Flow Network ◽  
Robust Scheduling ◽  
Resource Flow ◽  
Precise Analysis ◽  
The Stability ◽  
Robustness Metrics

Resource allocation for robust project schedulingThe paper presents a formal description of the resource allocation problem for resource-constrained project scheduling. A schedule can be executed by various resource flow networks which may differ in terms of resistance to disruptions occurring during project execution. The authors define such criteria of evaluating a resource flow network which can be more useful than robustness metrics used so far in the research. The authors discuss the importance of robust scheduling for execution projects and propose metrics for resource allocation robustness which take into consideration the stability of the final schedule. Those metrics make it possible to carry out a more precise analysis concerning the properties of the resource flow network in terms of its robustness to disruptions in comparison with a well known flexibility indicator,flex.

Sign in / Sign up

Export Citation Format

Share Document