Horizon problem and firm innovation: The influence of CEO career horizon, exploitation and exploration on breakthrough innovations
| Autor: | Sang Kyun Kim, Sam Yul Cho |
|---|---|
| Rok vydání: | 2017 |
| Předmět: |
ComputingMilieux_THECOMPUTINGPROFESSION
Horizon (archaeology) Risk aversion business.industry Strategy and Management 05 social sciences ComputingMilieux_LEGALASPECTSOFCOMPUTING Management Science and Operations Research ComputingMilieux_GENERAL Microeconomics Management of Technology and Innovation 0502 economics and business Organizational learning Economics 050211 marketing Horizon problem Marketing business 050203 business & management Panel data |
| Zdroj: | Research Policy. 46:1801-1809 |
| ISSN: | 0048-7333 |
| DOI: | 10.1016/j.respol.2017.08.007 |
| Popis: | Building on labor market evaluations and legacy conservation motivation perspectives, we propose a mechanism to explain the relationship between CEO career horizons and breakthrough innovations. Using 10-year panel data from 681 U.S. firms, we find that firms that have a CEO with a short career horizon tend to produce fewer breakthrough innovations. We also find that the relationship between CEO career horizon and breakthrough innovation is partially mediated by R&D spending, and also moderated by organizational learning behavior (exploration vs. exploitation). This study highlights how a CEO’s motivation to protect success in the short term affects the firm’s innovativeness. |
| Databáze: | OpenAIRE |
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