Consequences of TMT dynamics: The failure to utilize innovation from technology acquisitions
We explore how CEO characteristics affect post-acquisition knowledge transfer outcomes. We posit that a CEO’s technical background and self-importance influence an acquiring firm’s ability to recognize and respond to the Not-Invented-Here (NIH) syndrome often experienced by R&D teams. We find th...
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Main Authors: | , , , |
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Format: | text |
Language: | English |
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Institutional Knowledge at Singapore Management University
2014
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Online Access: | https://ink.library.smu.edu.sg/lkcsb_research/5862 https://doi.org/10.5465/ambpp.2014.52 |
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Institution: | Singapore Management University |
Language: | English |
Summary: | We explore how CEO characteristics affect post-acquisition knowledge transfer outcomes. We posit that a CEO’s technical background and self-importance influence an acquiring firm’s ability to recognize and respond to the Not-Invented-Here (NIH) syndrome often experienced by R&D teams. We find that firms with CEOs holding technology titles but no experience as R&D professionals and those headed by self-important CEOs tend to experience poorer knowledge transfer outcomes. We also find that similarity between technologies of acquiring and target firms and R&D team tenure intensify the effect of CEO’s technical background and self-importance on NIH syndrome. |
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