Department of Economics and Business Economics

The effect of acquisitions on exploration and exploitation in China

Research output: Contribution to journal/Conference contribution in journal/Contribution to newspaperJournal articleResearchpeer-review

Standard

The effect of acquisitions on exploration and exploitation in China. / Muratova, Yulia; Rigamonti, Damiana; Wulff, Jesper.

In: Journal of Strategy and Management, Vol. 12, No. 2, 05.2019, p. 174-188.

Research output: Contribution to journal/Conference contribution in journal/Contribution to newspaperJournal articleResearchpeer-review

Harvard

Muratova, Y, Rigamonti, D & Wulff, J 2019, 'The effect of acquisitions on exploration and exploitation in China', Journal of Strategy and Management, vol. 12, no. 2, pp. 174-188. https://doi.org/10.1108/JSMA-10-2018-0124

APA

CBE

MLA

Vancouver

Author

Muratova, Yulia ; Rigamonti, Damiana ; Wulff, Jesper. / The effect of acquisitions on exploration and exploitation in China. In: Journal of Strategy and Management. 2019 ; Vol. 12, No. 2. pp. 174-188.

Bibtex

@article{29f6860a490545609ba15219c2ff652e,
title = "The effect of acquisitions on exploration and exploitation in China",
abstract = "Purpose: The mechanisms of knowledge acquisition and their impact on innovation are particularly relevant in the context of rapidly growing emerging markets. The purpose of this paper is to investigate the relationship between firm acquisition characteristics and post-acquisition knowledge exploration and exploitation in the Chinese domestic acquisition market. Design/methodology/approach: By using patent and company data of 188 domestic Chinese deals completed between 2002 and 2013, the paper replicates the measurements and analytical methods of the US-based study by Phene, Tallman and Almeida (2012) to address the acquirer{\textquoteright}s opportunity to explore and/or exploit external knowledge, its ability to absorb and effectively assimilate such knowledge and thus establish innovations in new technologies. Findings: The paper finds support for a positive effect of knowledge uniqueness of the target on the bidder{\textquoteright}s post-acquisition exploration. The findings also support that the post-acquisition exploitation is facilitated by the commonality of technological knowledge between the bidder and the target, a result that, although expected, was not be supported in the US-based study. Originality/value: This paper qualifies the generalizability of US-based findings about post-acquisition exploration and exploitation in the context of China. It also responds to the call for China-focused knowledge management research by capturing innovation capability building by Chinese firms through domestic acquisitions. Finally, it contributes to the nascent literature on replication in management studies.",
keywords = "Emerging market strategies, Exploration/exploitation, Mergers and acquisitions, Replication, exploitation, PERFORMANCE, KNOWLEDGE, Exploration, FIRMS, M-AND-A, OWNERSHIP",
author = "Yulia Muratova and Damiana Rigamonti and Jesper Wulff",
year = "2019",
month = may,
doi = "10.1108/JSMA-10-2018-0124",
language = "English",
volume = "12",
pages = "174--188",
journal = "Journal of Strategy and Management",
issn = "1755-425X",
publisher = "Emerald Group Publishing",
number = "2",

}

RIS

TY - JOUR

T1 - The effect of acquisitions on exploration and exploitation in China

AU - Muratova, Yulia

AU - Rigamonti, Damiana

AU - Wulff, Jesper

PY - 2019/5

Y1 - 2019/5

N2 - Purpose: The mechanisms of knowledge acquisition and their impact on innovation are particularly relevant in the context of rapidly growing emerging markets. The purpose of this paper is to investigate the relationship between firm acquisition characteristics and post-acquisition knowledge exploration and exploitation in the Chinese domestic acquisition market. Design/methodology/approach: By using patent and company data of 188 domestic Chinese deals completed between 2002 and 2013, the paper replicates the measurements and analytical methods of the US-based study by Phene, Tallman and Almeida (2012) to address the acquirer’s opportunity to explore and/or exploit external knowledge, its ability to absorb and effectively assimilate such knowledge and thus establish innovations in new technologies. Findings: The paper finds support for a positive effect of knowledge uniqueness of the target on the bidder’s post-acquisition exploration. The findings also support that the post-acquisition exploitation is facilitated by the commonality of technological knowledge between the bidder and the target, a result that, although expected, was not be supported in the US-based study. Originality/value: This paper qualifies the generalizability of US-based findings about post-acquisition exploration and exploitation in the context of China. It also responds to the call for China-focused knowledge management research by capturing innovation capability building by Chinese firms through domestic acquisitions. Finally, it contributes to the nascent literature on replication in management studies.

AB - Purpose: The mechanisms of knowledge acquisition and their impact on innovation are particularly relevant in the context of rapidly growing emerging markets. The purpose of this paper is to investigate the relationship between firm acquisition characteristics and post-acquisition knowledge exploration and exploitation in the Chinese domestic acquisition market. Design/methodology/approach: By using patent and company data of 188 domestic Chinese deals completed between 2002 and 2013, the paper replicates the measurements and analytical methods of the US-based study by Phene, Tallman and Almeida (2012) to address the acquirer’s opportunity to explore and/or exploit external knowledge, its ability to absorb and effectively assimilate such knowledge and thus establish innovations in new technologies. Findings: The paper finds support for a positive effect of knowledge uniqueness of the target on the bidder’s post-acquisition exploration. The findings also support that the post-acquisition exploitation is facilitated by the commonality of technological knowledge between the bidder and the target, a result that, although expected, was not be supported in the US-based study. Originality/value: This paper qualifies the generalizability of US-based findings about post-acquisition exploration and exploitation in the context of China. It also responds to the call for China-focused knowledge management research by capturing innovation capability building by Chinese firms through domestic acquisitions. Finally, it contributes to the nascent literature on replication in management studies.

KW - Emerging market strategies

KW - Exploration/exploitation

KW - Mergers and acquisitions

KW - Replication

KW - exploitation

KW - PERFORMANCE

KW - KNOWLEDGE

KW - Exploration

KW - FIRMS

KW - M-AND-A

KW - OWNERSHIP

UR - http://www.scopus.com/inward/record.url?scp=85063584136&partnerID=8YFLogxK

U2 - 10.1108/JSMA-10-2018-0124

DO - 10.1108/JSMA-10-2018-0124

M3 - Journal article

VL - 12

SP - 174

EP - 188

JO - Journal of Strategy and Management

JF - Journal of Strategy and Management

SN - 1755-425X

IS - 2

ER -