Academy of Management In-Press Articles (Published Ahead of Print) AMJ, AMR, AMLE, AMP http://pipes.yahoo.com/pipes/pipe.info?_id=406367a9864b1e5d8e4b778c4c9d93f6 Thu, 01 Oct 2015 23:10:27 +0000 http://pipes.yahoo.com/pipes/ http://amr.aom.org/content/early/2015/09/28/amr.2014.0233.short?rss=1 Management scholars have noted that leader departures often foreshadow higher turnover intentions (or lower organizational attachment) by subordinates left behind, especially when relationships between the departing leader and the subordinates, or leader-member exchanges (LMX), had been of high quality. In this paper, we posit that the quality of subordinates' relationships with all members of their relational system, not only their leader, must be considered to better understand how leader departures affect subordinates' organizational attachment. Our proposed relationships are illustrated in a theoretical model that includes phenomena at the individual-level (i.e., a subordinate's identification with the departing leader and with his/her organization), at the group-level (i.e., turnover contagion), and at the organizational level (i.e., organization-wide developmental climate). As such, we propose that elucidating how leader-departures affect organizational attachment requires multi-level theorizing and constructs. Theoretical and practical implications of such a 360-degree relational perspective on leader-departure effects are discussed. Mon, 28 Sep 2015 19:30:29 +0000 http://amj.aom.org/content/early/2015/09/28/amj.2014.0425.short?rss=1 Resource dependence theorists argue that boards of directors with political capital can benefit focal firms by reducing uncertainty and providing preferential resources. Here, we develop theory regarding the downside of board political capital. As the principal-principal agency problem characterizes many parts of the world, we argue that board political capital can exacerbate this problem by enabling large blockholders to undertake more appropriation of firm wealth. Further, we explore how this enabling effect is moderated by ownership-, industry-, and environment-level contingencies. We find empirical support for our arguments using 32,174 directors in 1,046 Chinese listed firms over the period 2008 - 2011. Our study sheds light on new ways in which resource dependence and agency theories can be integrated to advance the extant research on board governance and corporate political strategy. Mon, 28 Sep 2015 15:33:36 +0000 http://amj.aom.org/content/early/2015/09/28/amj.2014.0239.short?rss=1 What are the long-term consequences of initially beneficial high-reputation workplace ties? Under uncertainty, acolytes (i.e., subordinates with work connections to high-reputation industry leaders) are likely to benefit in terms of signaling fitness for promotion in the external job market. Analysis of promotion outcomes of coaches in the NFL over 31 years showed that the acolyte effect was reduced for individuals for whom uncertainty was the least (acolytes with considerable industry experience or high centrality in the co-worker industry network). There was no support for either a knowledge-transfer or an intrinsic quality explanation for why acolytes initially gained advantage. Rather, the evidence supported the idea that ties to high-reputation leaders were somewhat randomly distributed so that acolytes faced ex post settling up consequences after their promotions: fewer further promotions or lateral moves, more demotions. Thus, acolytes initially benefited from a loose-linkage between their unobservable quality and signals offered by their industry-leader ties, but they also suffered as the unreliability of social network signals became evident. The results suggest that a competitive job market may exhibit self-correction over time. We offer countervailing theory and evidence to the prevailing view that high-reputation third-party endorsements perpetuate a rich-get-richer social structure resistant to performance outcomes. Mon, 28 Sep 2015 14:36:41 +0000 http://amj.aom.org/content/early/2015/09/24/amj.2014.0176.short?rss=1 Female corporate leadership has drawn increasing attention from academia and practitioners. We contribute to the literature by examining the impact of CEO succession with gender change—i.e., a male CEO succeeded by a female or vice versa. We propose that due to gender differences in executive leadership positions, CEO succession with gender change may amplify the disruption of the CEO succession process and thus adversely affect post-succession firm performance and increase the likelihood of successor early departure. Using data from 3,320 CEO successions in companies listed in China's Shanghai and Shenzhen Stock Exchanges from 1997 to 2010, we find evidence to support this argument. We also find that the negative (positive) impact of male-to-female succession on firm performance (the likelihood of successor early departure) may be weakened by positive organizational attitudes toward female leadership as indicated by the presence of other female leaders on the firm's board of directors and/or top management team, and the successor's inside origin. Thu, 24 Sep 2015 16:04:04 +0000 http://amle.aom.org/content/early/2015/09/22/amle.2014.0012.short?rss=1 Research suggests that the structure of trainee reactions is captured with as few as one or as many as eleven dimensions. It is commonly understood that reactions contain both affective and cognitive components. To date, however, training research focuses largely on affective reactions that range from pleasant to unpleasant (i.e., valence). Here, we expand and further refine the construct of affective trainee reactions by including reactions that are more and less activating versions of pleasantness (e.g., excitement and calm, respectively) and unpleasantness (e.g., stress and boredom, respectively). We develop and validate a new measure based on this model and argue that the structure of affective reactions has implications for better understanding learning and course reputation outcomes. Results from a short online training indicate that reactions were best explained by four factors: pleasant activation (e.g., excitement), pleasant deactivation (e.g., calm), unpleasant activation (e.g., stress), and unpleasant deactivation (e.g., boredom). The relationships between these reactions and training outcomes suggest what is most beneficial for course reputation outcomes (i.e., pleasant activating reactions) may not benefit learning; what is most beneficial for learning (i.e., pleasant deactivating reactions) may benefit course reputation outcomes but slightly less so. Tue, 22 Sep 2015 16:51:24 +0000 http://amr.aom.org/content/early/2015/09/18/amr.2013.0178.short?rss=1 Many firms seek to manage their legal and regulatory environments by influencing policymakers. Typically, researchers have focused on how firms use nonmarket actions, including lobbying, campaign contributions, and related activities, to gain policy influence. We argue that firms may also seek to change the effects of policies through market actions. Market actions may lead to both formal policy change (i.e., transformations of codified rules) and interpretive policy change (i.e., transformations of the effects of rules without changes in their codified form). We identify two pathways by which firms' market actions may produce interpretive policy change: implementation and innovation. Implementation-driven change occurs when firms' interpretations of incomplete laws alter and clarify the meaning of those laws. Innovation-driven change occurs when firms engage in novel activities that are difficult to interpret within existing regulatory frameworks, and thus alter the effects of those regulations. We then theorize how firms' market actions may complement traditional, nonmarket political mobilization in an analysis of sequences of formal and interpretive policy change. Fri, 18 Sep 2015 19:22:57 +0000 http://amle.aom.org/content/early/2015/09/17/amle.2014.0182.1.short?rss=1 The burgeoning economic inequality between the richest and the poorest is a cause of concern for social, political, and ethical reasons. While businesses are both implicated and affected by growing inequality, business schools have largely neglected to subject the phenomenon to sufficient critique. This is, in part, because far too many management educators rely on orthodox economic perspectives—often represented by neoliberal capitalism—which have dominated the curricula and the teaching philosophy of business schools. To address this issue, this article underscores the need for business schools to critically examine the relationship between neoliberal capitalism and economic inequalities, and to overtly engage with this nexus in pedagogical practice. The article concludes by revisiting the concepts of relationality and answerability as paths by which to address the current predicament. Relationality and answerability collectively offer: i) conceptual and reflexive tools by which to re-imagine business school education, and, ii) space for business schools to debate important questions about the taken-for-granted, but problematic, assumptions underlying the ideology of neoliberal capitalism Thu, 17 Sep 2015 15:24:18 +0000 http://amle.aom.org/content/early/2015/09/16/amle.2014.0064.short?rss=1 Contemporary business schools are expected to educate their students to embrace ethical and pro-social values. But can business schools rise to this challenge? Comparing a business school to another professional school that encourages pro-social values, social work, we investigated value profiles as reflected in school websites and among their students. The findings show that the business school expresses self-enhancement values (power and achievement) more, and pro-social values (benevolence and universalism) less than the social work school. We further investigated self-selection and socialization as complementary organizational processes that may lead to, and sustain, the value profile of each school. Our findings show that as early as the first week of studies, freshmen's values are congruent with the value profile of their department, indicating a value-based self-selection process. To investigate socialization, we compared freshmen and seniors and conducted a yearlong study among freshmen. The findings revealed a small change in students' values throughout their training, providing only some support for value socialization. Altogether, our findings suggest that business schools that are interested in pro-social students should attract and select students that emphasize these values, rather than rely on socialization attempts. Wed, 16 Sep 2015 15:03:42 +0000 http://amle.aom.org/content/early/2015/09/15/amle.2013.0263.short?rss=1 In this paper, we use a practice-based wisdom perspective to address the challenges of managing competing logics in social enterprises. From previous work it is clear that a major task for social entrepreneurs is to manage the tension between social welfare and commercial logics. Although the social welfare logic and its related values and practices form the foundations of social enterprises, social entrepreneurs have also to ensure that their businesses are commercially sustainable making it necessary to engage with the commercial logic. To this end, we develop a curriculum matrix based on social practice wisdom to assist students to learn appropriate knowledge and skills, enact social entrepreneurship goals, and integrate competing logics in innovative and sustainable ways. Tue, 15 Sep 2015 15:30:24 +0000 http://amj.aom.org/content/early/2015/09/14/amj.2013.0552.short?rss=1 This paper investigates how "dual directors" enable firms that undertake corporate spinoffs to manage their post-spinoff relationships with the firms they divest, as well as the performance implications of dual directors serving simultaneously on these companies' boards. While the presence of dual directors is positively associated with the average stock market returns of parent and spinoff firms, their presence is increasingly positively associated with parent firm performance but increasingly negatively associated with spinoff firm performance as the share of sales a spinoff firm makes to its parent firm rises. These findings show that while dual directors give a parent firm power over its spinoff firm, dual directors only exercise that power at the spinoff firm's expense when that company is highly dependent on its parent firm. Mon, 14 Sep 2015 18:39:48 +0000 http://amj.aom.org/content/early/2015/09/11/amj.2013.0661.short?rss=1 We study the interplay between regulatory mandates and competition on a focal firm's new resource investments. While prior literature has separately pointed to the influence of competition and regulatory policy on a focal firm's resource decisions, less is known about how the policy effect interacts with the competitive effect. Studying how regulatory mandates moderate the effect of competition on a focal firm's new resource investments, we show that resource redeployment is not simply a function of internal firm decisions but a response to external forces. We find that regulatory mandates dampen the effect of competitors' new resource investments on a focal firm's new resource investments. Distinguishing between different clean technology types, we show that this dampening effect is the stronger, the more distant the new resource is from incumbents' old resource base, and the more established the mandate is. We test our hypotheses in the context of renewable energy investments in waste-to-energy, wind, and solar in the U.S. electricity industry. Our data comprises 1542 utilities and private energy firms and their renewable investments from 1999 to 2010. Fri, 11 Sep 2015 14:42:21 +0000 http://amj.aom.org/content/early/2015/09/10/amj.2014.0221.short?rss=1 The number of constructs developed to assess workplace aggression has flourished in recent years, leading to confusion over what meaningful differences exist (if any) between the constructs. We argue that one way to frame the field of workplace aggression is via approach/avoidance principles, with various workplace aggression constructs (e.g., abusive supervision, supervisor undermining, and workplace ostracism) differentially predicting specific approach or avoidance emotions and behaviors. Using two multi-wave field sample of employees, we demonstrate the utility of approach/avoidance principles in conceptualizing workplace aggression constructs, as well as the processes and boundary conditions through which they uniquely influence outcomes. Implications for the workplace aggression literature are discussed. Thu, 10 Sep 2015 16:18:15 +0000 http://amj.aom.org/content/early/2015/09/10/amj.2013.0768.short?rss=1 Organizational theorists are increasingly interested in the antecedents of terminating interorganizational relationships, but have paid little attention to the disruptive consequences of such terminations on future tie formation. To redress this imbalance, the present study focuses on how venture capital (VC) firms' withdrawals from VC syndicates are associated with their subsequent syndication over the 1985 through 2008 period. We argue that withdrawals disrupt the relationships of the withdrawing VC firms with the coinvestors and reduce the likelihood of them entering into subsequent exchange (relational consequences). Furthermore, public information on the withdrawals can undermine the withdrawing VC firm's reputation for reliability, making it a less desirable exchange partner overall (global reputational consequences). Finally, we find that abandoned coinvestors can spread negative, private information about the withdrawing firm, reducing its chances of syndication with their other network contacts (local reputational consequences). We also show that the global and local reputational consequences attenuate each other, due to redundancy in the content of information each provides. We discuss the implications of our theory for the research on network dynamics and reputation. Thu, 10 Sep 2015 15:15:25 +0000 http://amj.aom.org/content/early/2015/09/09/amj.2013.0651.short?rss=1 Studies suggest that category-spanning organizations receive lower evaluation and perform worse than organizations focused on a single category. We propose that (1) these effects are contingent on clients' theory of value and that as clients expect more sophisticated services, they tend to value category spanners more positively and (2) the evaluation of producers mediates the relationship between category spanning and performance. We test our hypotheses using original data on corporate legal services in three markets (London, New York City, and Paris) over the decade 2000-2010. We find that (1) category spanners receive a better evaluation, and more so when their categorical combination is more inclusive and (2) evaluation mediates significantly the relationship between category spanning and performance. This study enriches our understanding of how audiences apprehend a whole market category system and why organizations span categories. Wed, 09 Sep 2015 20:24:15 +0000 http://amr.aom.org/content/early/2015/09/08/amr.2013.0506.short?rss=1 Social enterprise has gained widespread acclaim as a tool for addressing social and environmental problems. Yet, because these organizations integrate the social welfare and commercial logics, they face the challenge of pursuing goals that frequently conflict with each other. Studies have begun to address how established social enterprises can manage these tensions, but we know little about how, why, and with what consequences social entrepreneurs mix competing logics as they create new organizations. To address this gap, we develop a theoretical model based in identity theory that helps to explain: (1) how the commercial and social welfare logics become relevant to entrepreneurship, (2) how different types of entrepreneurs perceive the tension between these logics, and (3) the implications this has for how entrepreneurs go about recognizing and developing social enterprise opportunities. Our approach responds to calls from organizational and entrepreneurship scholars to extend existing frameworks of opportunity recognition and development to better account for social enterprise creation. Tue, 08 Sep 2015 15:21:15 +0000 http://amr.aom.org/content/early/2015/09/08/amr.2014.0208.short?rss=1 Why are some serious cases of corporate irresponsibility collectively forgotten? Drawing on social memory studies, we examine how this collective forgetting process can occur. We propose that a major instance of corporate irresponsibility leads to the emergence of a stakeholder mnemonic community that shares a common recollection of the past incident. This community generates and then draws upon mnemonic traces to sustain a collective memory of the past event over time. In addition to the natural entropic tendencies toward forgetting, collective memory is also undermined by instrumental 'forgetting work', which we conceptualize in this paper. Forgetting work involves manipulating short-term conditions of the event, silencing vocal 'rememberers' and undermining collective mnemonic traces that sustain a version of the past. This process can result in a reconfigured collective memory and collective forgetting of corporate irresponsibility events. Collective forgetting can have positive and negative consequences for the firm, stakeholders and society. Tue, 08 Sep 2015 14:33:13 +0000 http://amj.aom.org/content/early/2015/09/03/amj.2014.1109.short?rss=1 We examine when and why creative role identity causes entitlement and unethical behaviors and how this relationship can be reduced. We found that the relationships among the creative identity, entitlement, and dishonesty are contingent on the perception of creativity being rare. Four experiments showed that individuals with a creative identity reported higher psychological entitlement and engaged in more unethical behaviors. Additionally, when participants believed that their creativity was rare compared to common, they were more likely to lie for money. Moreover, manipulation of rarity of creative identity, but not practical identity, increased psychological entitlement and unethical acts. We tested for the mediating effect of psychological entitlement on dishonesty using both measurement of mediation and experimental causal chain approaches. We further provide evidence from organizations. Responses from a sample of supervisor-subordinate dyads demonstrated that employees reporting strong creative identities who perceived creativity as rare in their work-group rather than common were rated as engaging in more unethical behaviors by their supervisors. This paper extends prior theory on negative moral consequences of creativity by shedding new light on assumption regarding the prevalence of creativity and the role psychological entitlement plays. Thu, 03 Sep 2015 15:06:26 +0000 http://amj.aom.org/content/early/2015/08/28/amj.2014.0840.short?rss=1 In this study, we examine the question: What do executives gain from serving on boards? We propose that board service will benefit non-CEO level executives in the executive labor market by acting as a certification mechanism and also by providing access to unique knowledge, skills, and connections. We argue that non-CEO executives who gain directorships will be more likely to be promoted to CEO both inside and outside their home firm, will be more likely to be promoted internally, and will receive higher pay from their home firms. To test our ideas, we employ propensity score matching to construct a longitudinal sample of 2,104 top executives of large, publicly traded companies in the United States over the period 1996 to 2012. Results provide consistent support for our theory. Fri, 28 Aug 2015 19:12:40 +0000 http://amle.aom.org/content/early/2015/08/27/amle.2015.0241.short?rss=1 In Strategic Corporate Social Responsibility (3rd edition) (SCSR), David Chandler and William B. Werther Jr. advance the view that the ability of firms to create value for a range of stakeholders over the medium- and long-term requires that they embed CSR into their strategies and operations. Its focus on the integration of CSR into strategic planning and implementation distinguishes SCSR from competing business and society textbooks, which tend to survey the field or focus on the management of the firm's relationships with stakeholders and society. Thu, 27 Aug 2015 20:36:16 +0000 http://amle.aom.org/content/early/2015/08/27/amle.2015.0239.short?rss=1 Over the past decade, the terms "crisis" and "crisis management" have become increasingly popular topics of interest for business professionals and management academics alike. According to the Institute for Crisis Management (2013), "Newsworthy business crises have been on a steady upward trend since 2009. Thu, 27 Aug 2015 20:30:40 +0000 http://amle.aom.org/content/early/2015/08/26/amle.2015.0240.short?rss=1 This book centers on the author's discovery, and moral disapproval, of expedient arrangements adopted by American firms in China, through which 'middlemen', operating as independent agents, pay bribes as part and parcel of the troublesome process of negotiating and clinching business deals there. Wed, 26 Aug 2015 13:51:19 +0000 http://amle.aom.org/content/early/2015/08/26/amle.2015.0238.short?rss=1 Do you teach anyone whom you would consider a member of the next generation of global leaders? If you answered "yes" to this question, you likely teach an audience within which many of its members already possess intercultural experience, have traveled widely, and perhaps speak several languages. These globally minded students demand in-depth learning approaches which help them prepare for complex global leadership settings. Global Leadership Practices is an excellent source of teaching materials and tools targeted to these learners. Wed, 26 Aug 2015 13:39:32 +0000 http://amj.aom.org/content/early/2015/08/24/amj.2014.0478.short?rss=1 Labor codes have been voluntarily adopted and used by manufacturers in emerging economies for the past two decades, as a means of ensuring minimally acceptable or core labor standards for workers. However, far too little is known of the potential benefits from the voluntary adoption of labor codes to the manufacturer, and prior human resource management research has been virtually silent on the business implications of their use for emerging economy manufacturers participating in global supply chains. Drawing on previous work across multiple disciplines and proposing a framework that extends human resource management theory more explicitly and rigorously to the context of emerging economy manufacturing, I theorize and demonstrate that the voluntary adoption of a labor code may constitute an effective human resource investment in emerging economies in improving establishment-level employee outcomes and operational and financial performance. The hypotheses are tested using longitudinal data on a sample of apparel manufacturing plants in Sri Lanka. Implications of this study include providing insight into how to expand the scope and relevance of human resource management theory to better understand research and practice in emerging economies. Mon, 24 Aug 2015 20:57:37 +0000 http://amr.aom.org/content/early/2015/08/21/amr.2014.0105.short?rss=1 We augment transaction cost economics' (TCE) bounded rationality assumption with heuristics (framing) and cognitive biases to expand the understanding of hierarchical governance in the theory. TCE traditionally puts opportunism in the frontseat, while primarily relegating bounded rationality to the support role of invoking incomplete contracts. The theory also suggests that hierarchical governance effectively mitigates opportunism-based transaction costs, making it difficult to explain why hierarchies are not always used. However, when an augmented bounded rationality assumption is incorporated into TCE, we argue, first, that bounded rationality is a separate source of transaction costs, and, second, that these costs are not equally mitigated by all forms of hierarchy. Instead, different hierarchical forms are associated with particular frames and social referents that naturally enhance specific bounded rationality-based conflicts, allowing certain hierarchical forms to mitigate bounded rationality-based transaction costs better than others. As a result, bounded rationality takes a frontseat in the theory, addressing prior critiques of TCE, expanding the governance questions addressed by the theory and creating a new moderating role for asset specificity in internal exchanges. Fri, 21 Aug 2015 13:51:14 +0000 http://amr.aom.org/content/early/2015/08/21/amr.2015.0250.short?rss=1 Book Review Fri, 21 Aug 2015 13:30:18 +0000 http://amj.aom.org/content/early/2015/08/20/amj.2014.0061.short?rss=1 This study draws on social identity theories of behavioral contagion and research concerning narratives in organizations to present and test a framework for understanding how narratives embed values in organizational newcomers' actions. Employing a field experiment using 632 newly-hired employees in a large IT firm that prioritizes self-transcendent values, this study explores how narratives varying in terms of the organizational level of main characters and the values-upholding or values-violating behaviors of those characters influence newcomers' tendencies to engage in behaviors that uphold or deviate from the values. Results indicate that stories about low-level organizational characters engaging in values-upholding behaviors are more positively associated with self-transcendent, helping behaviors and negatively associated with deviant behaviors, than are similar stories about high-level members of the organization. Stories in which high-level members of the organization violate values are negatively related to newcomers' engagement in both helping and deviance more strongly than are values-violating stories about lower-level members. Content analyses of the stories suggest that they convey values in different and potentially important ways. Implications, future directions, and limitations are discussed. Thu, 20 Aug 2015 22:00:16 +0000 http://amj.aom.org/content/early/2015/08/20/amj.2014.0850.short?rss=1 The work life of misfits - employees whose important values are incongruent with the values of their organization - represents an under-researched area of the person-environment fit literature. The unfortunate reality is that these individuals are likely to be disengaged and unproductive at work. In this manuscript, we entertain the possibility that employees can protect themselves from this situation if they engage in alternative actions that supplement the fundamental needs that go unmet from value incongruence. We integrate theorizing about the motivational role of need fulfillment and work/non-work behaviors in order to examine whether two actions in particular - job crafting and leisure activity - can potentially mitigate the negative effects of value incongruence on employee performance. In a field study of employees from diverse organizations and industries, the results suggest that both job crafting and leisure activity indeed act as a buffer, mitigating the otherwise negative effects of value incongruence on employee engagement and job performance (both task performance and citizenship behavior). Thu, 20 Aug 2015 18:21:38 +0000 http://amj.aom.org/content/early/2015/08/18/amj.2013.1219.short?rss=1 Exit is a critical part of the entrepreneurial process. At the same time, research indicates that founders are likely to form strong identity connections to the organizations they start. In turn, when founders exit their organizations, the process of psychological disengagement might destabilize their identities. Yet, limited research addresses how founders experience exit or how they manage their identities during this process. Through a qualitative, inductive study of founders of technology-based companies, I developed a theoretical model of founder psychological disengagement that delineates how founder work orientations relate to the disengagement paths that founders follow when leaving one organization and starting another. In elaborating theory on psychological disengagement, this study has implications for understanding the psychology of founders, how founders exit and begin again, and psychological disengagement, more broadly. Tue, 18 Aug 2015 20:27:16 +0000 http://amj.aom.org/content/early/2015/08/18/amj.2012.0409.short?rss=1 This paper examines when firms pursue structural realignment through the recombination of business units. Our results refine and extend contingency theory and studies of organization design by drawing on theories of decision avoidance and delay to describe conditions when firms pursue or postpone structural realignment. Our empirical analysis of 46 firms from 1978 to 1997 operating within the U.S. medical device and pharmaceutical sectors demonstrates that while decision makers initiate structural recombination during periods of industry growth (i.e., munificence), they reduce their recombination efforts during periods of industry turbulence (i.e., dynamism) and managerial turbulence (i.e., growth in top management team size). We also find evidence that firms delay realignment and bide their time for better environmental conditions of declining turbulence and industry growth before pursuing more structural realignment. Together, these findings suggest that decision makers often delay initiating structural recombination until they can effectively process information and assess how structural changes will help them realign the organization to the environment. Tue, 18 Aug 2015 20:18:19 +0000 http://amj.aom.org/content/early/2015/08/06/amj.2013.1009.short?rss=1 Drawing on resource drain theory, we introduce self-regulatory resource (ego) depletion stemming from family-to-work conflict (FWC) as an alternative theoretical perspective on why supervisors behave abusively toward subordinates. Our two-study examination of a cross-domain antecedent of abusive supervision stands in contrast to prior research, which has focused primarily on work-related factors that influence abusive supervision. Further, our investigation shows how ego depletion is proximally related to abusive supervision. In the first study, conducted at a Fortune 500 company and designed as a lagged survey study, we found that after controlling for alternative theoretical mechanisms, supervisors who experience FWC display more abusive behaviors toward subordinates, and that this relationship was stronger for female supervisors and for supervisors who operate in environments with greater situation-control. These results were then replicated and expanded in an experience sampling study using a multi-organization sample of supervisors. This allowed us to study the FWC-abusive supervision relationship as it emerges on a day-to-day basis and to examine ego depletion as an explanatory mechanism. Consistent with our hypotheses, we found that FWC is associated with abusive supervision, ego depletion acts as a mediator of the FWC-abusive supervision relationship, and that gender and situation-control serve as moderators. Fri, 07 Aug 2015 06:22:05 +0000 http://amr.aom.org/content/early/2015/08/04/amr.2014.0172.short?rss=1 Despite the proliferation of strategy process and practice research, we lack understanding of the historical embeddedness of strategic processes and practices. In this paper, we present three historical approaches with the potential to remedy this deficiency. First, realist history can contribute to a better understanding of the historical embeddedness of strategic processes; in particular, comparative historical analysis can explicate the historical conditions, mechanisms, and causality in strategic processes. Second, interpretative history can add to our knowledge of the historical embeddedness of strategic practices, and microhistory can specifically help to understand the construction and enactment of these practices in historical contexts. Third, poststructuralist history can elucidate the historical embeddedness of strategic discourses, and genealogy can in particular increase our understanding of the evolution and transformation of strategic discourses and their power effects. Thus, this paper demonstrates how in their specific ways historical approaches and methods can add to our understanding of different forms and variations of strategic processes and practices, the historical construction of organizational strategies, and historically constituted strategic agency. Tue, 04 Aug 2015 12:03:27 +0000 http://amj.aom.org/content/early/2015/08/03/amj.2014.0093.short?rss=1 Growing workforce diversity increases the likelihood that supervisors and subordinates will differ along demographic lines, a situation that has important implications for their relationship quality and individual outcomes. In a sample of 1,253 employees from 54 work-units, we investigate the effects of differences in disability status between supervisors and subordinates on leader-member-exchange (LMX) quality and subsequent performance ratings, and find that incongruence in general is related to lower LMX quality and lower performance. In addition, we propose and find an asymmetrical effect of disability incongruence, such that LMX quality is worse in dyads in which the supervisor has a disability than in dyads in which the subordinate has a disability. Furthermore, we investigate the moderating role of unit-level climate for inclusion on this relationship and find support for a buffering effect of inclusive climates on the negative incongruence-LMX relationship for scenarios in which the supervisor, but not the subordinate, has a disability. We build relevant theory for the relational demography, disability, LMX, and organizational climate literatures by predicting these effects on the basis of status mechanisms. These findings have important practical implications, as they provide companies with a feasible way to manage their diverse workforce. Mon, 03 Aug 2015 20:37:14 +0000 http://amr.aom.org/content/early/2015/07/31/amr.2014.0139.short?rss=1 We draw on the historiographical concepts of "generational units" and "collective memories" as a framework for understanding the emergence of entrepreneurially oriented cohesive groups within regions. Generational units are localized subgroups within generations that have a self-referential, reflexive quality, by virtue of the members' sense of their own connections to each other and the events that define them. Collective memories are shared accounts of the past shaped by historical events that mold individuals' perceptions. The two concepts provide a valuable point of departure for incorporating historical concepts into the study of entrepreneurial dynamics and offer a framework for understanding how entrepreneurs' historically situated experiences affect them. Our framework breaks new theoretical ground in several ways. First, we synthesize disparate literatures on generational units, collective memory, and organizational imprinting. Second, we specify mechanisms through which imprinting occurs and persists over time. We develop analytical arguments framed by sociological and historiographical theories, focusing on the conditions under which meaningful generational units of entrepreneurs may emerge and benefit from leadership and legacy building, technologies of memory, and institutional support that increases the likelihood of their persistence. Fri, 31 Jul 2015 15:18:34 +0000 http://amle.aom.org/content/early/2015/07/29/amle.2014.0346.short?rss=1 Evidence-based management has been widely advocated in management studies. It has great ambition: all manner of organizational problems are held to be amenable to an evidence-based approach. With such ambition, however, has come a certain narrowness which risks restricting our ability to understand the diversity of problems in management studies. Indeed, in the longer term, such narrowness may limit our capacity to engage with many real-life issues in organizations. Having repeatedly heard the case for evidence-based management, we invite readers to weigh up the case against. We also set out an alternative direction - one that promotes intellectual pluralism and flexibility, the value of multiple perspectives, openness, dialogue, and the questioning of basic assumptions. These considerations are the antithesis of an evidence-based approach, but central to a fully rounded management education. Wed, 29 Jul 2015 18:36:27 +0000 http://amj.aom.org/content/early/2015/07/29/amj.2014.0205.1.short?rss=1 This article examines the conditions under which organizations publicly respond to unfavorable consumer evaluations that challenge their market identity. Because organizations' market identities are certified by expert evaluations, consumers' devaluations that challenge these expert evaluations represent an identity threat. However, organizations do not always react to consumers' devaluations because of the risks associated to public responses. Hence, we first predict that organizations are more likely to respond to severe devaluations than to weaker ones; second, we propose that organizations, when faced with severe devaluations, are more likely to craft responses that justify their actions and behaviors. We further contend that, for any market identity under consideration, an organization's reputation amplifies these relationships. Analyses of a dataset of London hoteliers' responses to online reviews posted on TripAdvisor during the period 2002-2012 lend substantial support to our hypotheses. Wed, 29 Jul 2015 15:20:05 +0000 http://amle.aom.org/content/early/2015/07/28/amle.2013.0354.short?rss=1 Research concerning why and how to promote social interaction and learner reflection in management education and training is somewhat underdeveloped. In this investigation, we used a predictive, quasi-experimental design with 246 students from a business school in Colombia who were enrolled in 10 sections of a leadership course to examine expected effects of instructional methods that promoted different levels of social interaction and reflection on self-reported learning behaviors (dialogue and reflection activities), self-efficacy for class performance, and instructors' assessments of students' skill demonstration (team work, communication, influence, and work proficiency and effort). In comparisons to students participating in instructional conditions with less social interaction and fewer reflective activities, students participating in an instructional condition that promoted higher levels of these activities exhibited considerably greater student-student dialogue, instructor-student dialogue, and reflection. These learning behaviors in turn led to enhanced self-efficacy for class performance and skilled activity. In addition, students' perceptions of psychological safety partially mediated relationships between instructional method and dialogical and reflective activities. The implications of these findings for coupling action, dialogue and reflective activities in management education and training as well as avenues for future research are discussed. Tue, 28 Jul 2015 17:54:17 +0000 http://amle.aom.org/content/early/2015/07/28/amle.2014.0167.short?rss=1 In this paper, we critically assess how the devolution of researcher care moderates knowledge development in organization studies. Defining researcher care as what scholars are concerned and passionate about, we consider the extent to which individuals researchers lose their personal voice in researching organizations. This bounding of care by the research community is a reflection of the way that researchers knowingly alter their care in researching organizations to gain associated career and reputational benefits. We describe how the field's institutional logic for researching organizations enables this devolution to take hold and how larger institutional forces reinforce how it progressively moderates organizational knowledge. We offer preliminary suggestions for addressing the devolution of researcher care in organization studies and ameliorating its threat to knowledge development. Tue, 28 Jul 2015 14:46:07 +0000 http://amr.aom.org/content/early/2015/07/27/amr.2014.0073.short?rss=1 The law of requisite variety is widely employed in management theorizing, and is linked with core strategy themes such as contingency and fit. We reflect upon requisite variety as an archetypal borrowed concept. We contrast its premises with insights from institutional and commitment literatures, draw propositions that set boundaries to its applicability, and review the ramifications of what we term "complexity misalignment." In this way, we contradict foundational assumptions of the law, problematize adaptation- and survival-centric views of strategizing, and theorize the role of human agency in variously complex regimes. Mon, 27 Jul 2015 20:57:55 +0000 http://amle.aom.org/content/early/2015/07/27/amle.2014.0146.short?rss=1 This essay presents a comprehensive briefing on the past and present of a business educational culture that is significantly different in ethos and structure to the widely known systems in the US and UK. That is the history and culture of the French Grandes Ecoles de Commerce. A brief reminder of extant literature on the utility of business education and its seeming misalignment with the competencies and skills as specified by practitioners is then given. Key pressures and trends on and within this system - such as internationalisation, accreditation and a greater emphasis on publications are identified and discussed. These threads are then combined in a partial replication of the work of Dierdorff and Rubin (2006; 2009). Specifically, information on 1582 classes from 542 programmes at the top Grandes Ecoles de Commerce is presented alongside further secondary data and then analysed in respect of alignment with Rubin and Dierdorff's identified behavioural competencies. We argue that whilst well intentioned, the outcome of these pressures may well be that inherent and historical strengths of great value are being discarded, and that the degree of irrelevance and misalignment between educational provision and required managerial competence will stay the same or even get worse. Mon, 27 Jul 2015 18:37:55 +0000 http://amj.aom.org/content/early/2015/07/24/amj.2013.0611.short?rss=1 Research about the effects of an organization's general reputation following a negative event remains equivocal: Some studies have found that a high reputation is a benefit because of the stock of social capital and goodwill it generates; others have found it to be a burden because of the greater stakeholder attention and violation of expectations associated with a negative event. We theorize that stakeholders' level of organizational identification helps explain which mechanisms are more dominant. We test our hypotheses on a sample of legislative references associated with NCAA major infractions from 1999-2009. Our results indicate that a high reputation is a burden for an organization when considering low-identification stakeholder support: As the number of legislative references increases, a high-reputation university will receive fewer donations from non-alumni donors than universities without this asset. In contrast, a high reputation is a benefit when considering high-identification stakeholder support: As the number of legislative references increases, a high-reputation university will receive more donations from alumni donors than universities without this asset. However, an exploratory investigation reveals that alumni donations to high-reputation universities decline as the number of legislative references increases, suggesting that the benefit of a high reputation has a limit. Fri, 24 Jul 2015 15:30:26 +0000 http://amj.aom.org/content/early/2015/07/23/amj.2013.0621.short?rss=1 We study the effects of actors' audience-specific reputations on their levels of success with different audiences in the same field. Extending recent work that has emphasized the presence of multiple audiences with different concerns, we demonstrate that considering audience specificity leads to an improved understanding of reputation effects. Using data on emerging artists in the field of contemporary art from 2001 to 2010, we investigate the manner in which artists' audience-specific reputations affect their subsequent success with two distinct audiences: museums and galleries. Our findings suggest that audience-specific reputations have systematically different effects with respect to success with museums and galleries. Our findings also illuminate the extent to which audience-specific reputations are relevant for emerging research on the contingent effects of reputation. In particular, our findings support our predictions that audiences differ from one another in terms of the extent to which other signals (specifically, status and interaction with other audiences) enhance or reduce the value of audience-specific reputations. Our study thus advances theory by providing empirical evidence for the value of incorporating audience-specific reputations into the general study of reputation. Thu, 23 Jul 2015 18:21:26 +0000 http://amj.aom.org/content/early/2015/07/22/amj.2014.0051.short?rss=1 This article extends the understanding of what impels buyers to contact particular sellers in online business-to-business (B2B) marketplaces, which are typically characterized by sparse social structures and concomitant limitations in observing social cues. Integrating an institutional perspective with signaling theory, our core argument is that offline seller characteristics that are visible online—in particular, geographic location and legal status—convey credible signals of seller behavior because they provide buyers with information on sellers' local institutional quality and the institutionally-induced obligations and controls acting on sellers. Using unique data from a large Italian online B2B marketplace between the fourth quarter of 1999 and July 2001, we find that both sellers' local institutional quality and their legal statuses affect a buyer's likelihood of contacting a seller. Moreover, consistent with the idea that a buyer's own local institutional quality generates a relevant reference point against which sellers are evaluated, we find that a buyer is progressively more likely to contact sellers the higher their local institutional quality relative to the buyer. Jointly, our findings imply that in online B2B marketplaces, signals conveyed by sellers' geographic locations and legal statuses may be substantive sources of competitive heterogeneity and market segmentation. Wed, 22 Jul 2015 14:48:34 +0000 http://amj.aom.org/content/early/2015/07/20/amj.2014.0526.short?rss=1 We examine how top management team (TMT) misfit, defined as discrepancies between the TMT's functional roles and the qualifications of the managers who fill those roles, affects the evolution of TMT composition and structure in a longitudinal study of entrepreneurial ventures. We distinguish two types of misfit - overqualification and underqualification - and study how each is associated with TMT changes. We further consider the moderating effect of firm development. Results reveal that underqualified TMTs hire new managers to reinforce existing capabilities whereas overqualified TMTs elaborate their role structures. However, achieving developmental milestones (i.e., obtaining venture capital funding and staging an initial public offering) is a critical contingency to TMT change: absent these milestones, firms neither hire new managers nor add roles, even when they seemingly need to do so. These findings contribute to knowledge of how TMTs and new ventures evolve by underscoring the importance of simultaneously attending to TMT composition and structure. Mon, 20 Jul 2015 15:21:30 +0000 http://amj.aom.org/content/early/2015/07/17/amj.2013.0566.short?rss=1 As research begins to accumulate on employee volunteering, it appears that this behavior is largely beneficial to employee performance and commitment. It is less clear, however, how employee volunteering is perceived by others in the workplace. Do colleagues award volunteering "credit"- for example, associating it with being concerned about others - or do they "stigmatize" it - for example, associating it with being distracted from work? Moreover, do those evaluations go on to predict how colleagues actually treat employees who volunteer more often? Adopting a reputation perspective, we draw from theories of person perception and attribution to explore these research questions. The results of a field study revealed that colleagues gave credit to employee volunteering when they attributed it to intrinsic reasons and stigmatized employee volunteering when they attributed it to impression management reasons. Ultimately, through the awarded credits, volunteering was rewarded by supervisors (with the allocation of more resources) and coworkers (with the provision of more helping behavior) when it was attributed to intrinsic motives - a relationship that was amplified when stigmas were low and mitigated when stigmas were high. The results of a laboratory experiment further confirmed that volunteering was both credited and stigmatized, distinguishing it from citizenship behavior, which was credited but not stigmatized. Fri, 17 Jul 2015 15:09:21 +0000 http://amr.aom.org/content/early/2015/07/16/amr.2013.0203.short?rss=1 Identification is integral to mentoring relationships, yet we know relatively little about the process through which mentors and protégés identify with each other, how this mutual identification shifts through the phases of the mentoring relationship, and how identification impacts the quality of the relationship over time. In this paper, we integrate theories of the self, relationships, and relational mentoring to consider the role of identification in informal mentoring. Specifically, we theorize how the process of personal identification occurs in mentoring from the perspective of both the mentor and protégé and offer a model that demonstrates how shifts in identification relate to the quality of the relationship that develops over time. We conclude with a discussion of implications for research and theory in mentoring. Thu, 16 Jul 2015 20:12:16 +0000 http://amj.aom.org/content/early/2015/07/16/amj.2013.1165.short?rss=1 Effectively capturing opportunities requires rapid decision-making. We investigate the speed of opportunity evaluation decisions by focusing on firms' venture termination and venture advancement decisions. Experience, standard operating procedures, and confidence allow firms to make opportunity evaluation decisions faster; we propose that a firm's attentional orientation, as reflected in its project portfolio, limits the number of domains in which these speed-enhancing mechanisms can be developed. Hence firms' decision speed is likely to vary between different types of decisions. Using unique data on 3,269 mineral exploration ventures in the Australian mining industry, we find that firms with a higher degree of attention toward earlier-stage exploration activities are quicker to abandon potential opportunities in early development but slower to do so later, and that such firms are also slower to advance on potential opportunities at all stages compared to firms that focus their attention differently. Market dynamism moderates these relationships, but only with regard to initial evaluation decisions. Our study extends research on decision speed by showing that firms are not necessarily fast or slow regarding all the decisions they make, and by offering an opportunity evaluation framework that recognizes that decision makers can, in fact often do, pursue multiple potential opportunities simultaneously. Thu, 16 Jul 2015 15:54:28 +0000 http://amp.aom.org/content/early/2015/07/15/amp.2013.0121.short?rss=1 We argue that employees who perceive that they are provided with a safe climate at work within which to voice their concerns and suggestions about work-related issues or problems will not only be more engaged employees but will also be likely to be more engaged and involved members of their communities. By focusing on the importance of employee voice opportunities, in work organizations, we seek to build our understanding of how to create "positive" organizations that contribute to the building of human potential, both inside the organizational setting and outside in our communities and societies. We also consider how employee voice opportunities in for-profit organizations may be influenced by the law and prevailing attitudes about corporate governance. Wed, 15 Jul 2015 21:03:22 +0000 http://amr.aom.org/content/early/2015/07/14/amr.2014.0033.short?rss=1 Despite recognizing the importance of personal identification in organizations, the literature has rarely explored its dynamics. We define personal identification as perceived oneness with another individual, where one defines oneself in terms of the other. While many scholars have found that personal identification is associated with helpful effects, others have found it harmful. To resolve this contradiction, we distinguish between three paths to personal identification -threat-focused, opportunity-focused, and closeness-focused - and articulate a model that includes each. We examine the contextual features, how individuals' identities are constructed, and the likely outcomes that follow in the three paths. We conclude with a discussion of how the threat-, opportunity-, and closeness-focused personal identification processes potentially blend, as well as implications for future research and practice. Tue, 14 Jul 2015 15:03:16 +0000 http://amj.aom.org/content/early/2015/07/14/amj.2013.1091.short?rss=1 "Best Places to Work" (BPTW) and similar competitions are a proliferating form of third party employment branding. Little is known, however, about how single or repeated third party employment branding occurrences relate to key human capital outcomes. Extending signaling theory by considering signal credibility and comparability, we use archival and survey data from 624 BPTW participants in sixteen competitions across a three-year period to develop and test hypotheses linking BPTW certifications to collective turnover rates and key informant perceptions of applicant pool quality. We find that certifications are associated with lower turnover rates, and in addition, propose competing crystallization and celebrity hypotheses that model turnover trajectories with repeated certifications, finding diminishing marginal turnover reductions across multiple certifications. We also examine company size and industry job opening moderators, finding that as certifications increase, applicant pool quality is (1) higher in smaller companies and (2) higher when job openings are scarcer. Finally, beyond being certified or not, we find supplemental evidence for effects of the specific certification level achieved (e.g., 2nd versus 15th). This investigation advances theory related to collective turnover, applicant pool quality, and employment branding, and is relevant to company decisions about seeking or re-seeking third party certifications. Tue, 14 Jul 2015 14:57:15 +0000 http://amj.aom.org/content/early/2015/07/13/amj.2014.0506.short?rss=1 In a series of qualitative and quantitative studies, we developed a model of the functions of positive work relationships, with an explicit focus on the role that these relationships play in employee flourishing. Stories that employees told about positive relationships at work revealed that relationships serve a broad range of functions, including the traditionally-studied functions of task assistance, career advancement, and emotional support, as well as less studied functions of personal growth, friendship, and the opportunity to give to others. Building on this taxonomy, we validated a scale - the Relationship Functions Inventory - and developed theory suggesting differential linkages between the relationship functions and outcomes indicative of employee flourishing. Results revealed unique associations between functions and outcomes, such that task assistance was most strongly associated with job satisfaction, giving to others was most strongly associated with meaningful work, friendship was most strongly associated with positive emotions at work, and personal growth was most strongly associated with life satisfaction. Our results suggest that work relationships play a key role in promoting employee flourishing, and that examining the differential effects of a taxonomy of relationship functions brings precision to our understand of how relationships impact individual flourishing. Mon, 13 Jul 2015 21:15:23 +0000 http://amr.aom.org/content/early/2015/07/13/amr.2013.0496.short?rss=1 In order to acquire resources, new ventures need to be perceived as legitimate. For this to occur, a venture must meet the expectations of various audiences with differing norms, standards, and values as the venture evolves and grows. We investigate how the organizational identity of a technology venture must adapt to meet the expectations of critical resource providers at each stage of its organizational life cycle. In so doing, we provide a temporal perspective on the interactions between identity, organizational legitimacy, institutional environments, and entrepreneurial resource acquisition for technology ventures. The core assertion from this conceptual analysis is that entrepreneurial ventures confront multiple legitimacy thresholds as they evolve and grow. We identify and discuss three key insights related to entrepreneurs' efforts to cross those thresholds at different organizational life cycle stages: institutional pluralism, venture-identity embeddedness and legitimacy buffering. Mon, 13 Jul 2015 18:48:17 +0000 http://amr.aom.org/content/early/2015/07/13/amr.2014.0133.short?rss=1 The promise of a closer union between organizational and historical research has long been recognized. However its potential remains unfulfilled: the authenticity of theory development expected by organization studies and the authenticity of historical veracity required by historical research place exceptional conceptual and empirical demands on researchers. We elaborate the idea of historical organization studies, organizational research that draws extensively on historical data, methods and knowledge to promote historically informed theoretical narratives attentive to both disciplines. Building on prior research, we propose a typology of four differing conceptions of history in organizational research: history as evaluating, explicating, conceptualizing, and narrating. We identify five principles of historical organization studies - dual integrity, pluralistic understanding, representational truth, context sensitivity and theoretical fluency - and illustrate our typology holistically from the perspective of institutional entrepreneurship. We explore practical avenues for a creative synthesis, drawing examples from social movement research and micro-history. Historically informed theoretical narratives whose validity derives from both historical veracity and conceptual rigor, afford dual integrity that enhances scholarly legitimacy, enriching understanding of historical, contemporary and future-directed social realities. Mon, 13 Jul 2015 16:21:25 +0000 http://amj.aom.org/content/early/2015/07/10/amj.2013.0180.short?rss=1 A key finding in the literature on industry evolution and strategy is that knowledge "inherited" from the founder's previous employer can be an important source of a new firm's capabilities. We analyze the conditions under which knowledge that is useful for carrying out a key value chain activity is inherited, and explore the mechanism through which such an inheritance shapes an entrant's strategies and, in the process, influences its performance. Evidence from the early U.S. auto industry indicates that employee spinoffs generated from incumbents that had integrated a key value chain activity were also more likely to integrate that activity than other entrants, which, we suggest, reflects the application of knowledge inheritance relative to that activity. Moreover, we find that the integration of this key activity, stimulated by knowledge inheritance, contributed to the establishment of defensible strategic positioning, thereby enhancing the survival duration of inheriting spinoffs. We thus link together the phenomena of knowledge inheritance, vertical integration, and strategic positioning to explain entrant performance. These three phenomena tend to be treated disparately in the literature, rather than in combination. Fri, 10 Jul 2015 15:21:24 +0000 http://amj.aom.org/content/early/2015/07/09/amj.2014.0177.short?rss=1 Drawing on theories of behavioral decision making and situational strength, we developed and tested a multilevel model that explains how the performance outcomes of personal initiative tendency depend on the extent of alignment between organizational control mechanisms and proactive individuals' risk propensities. Results from a sample of 383 middle managers operating in 34 business units of a large multinational corporation indicated that risk propensity weakens the positive relationship between personal initiative tendency and job performance. This negative moderating effect was further amplified when middle managers receive high job autonomy but was attenuated in business units with a strong performance management context. We discuss the implications of these findings for research on proactivity, risk taking, and organizational control. Thu, 09 Jul 2015 15:03:18 +0000 http://amj.aom.org/content/early/2015/07/07/amj.2014.0521.short?rss=1 Despite the extensive research into the effects of reputation, virtually all of this research has examined the effect of one type of reputation on one or more specific outcomes. In this study we ask the question: How do the reputations of analysts, CEOs, and firms individually and jointly affect firm outcomes? To answer this question we focus on a context where reputations are particularly relevant - changes in analyst recommendations and the effect of those changes on stock market reactions. Our study makes contributions to the growing reputation literature by being one of the first studies to recognize and measure how the market accounts for multiple reputations. Further, we argue and find that the reputations of different actors interact with each other when determining particular firm outcomes. We find that different actor's reputations influence the reactions of observers. Tue, 07 Jul 2015 17:24:28 +0000 http://amj.aom.org/content/early/2015/07/06/amj.2014.0532.short?rss=1 Agency theory-grounded research on boards of directors and firm legitimacy has historically viewed CEO power as de-legitimating, often taking this fact for granted in theorizing about external assessors' evaluations of a firm. With few exceptions, this literature has focused exclusively on capital market participants (e.g., investors, securities analysts) as the arbiters of a firm's legitimacy and has accordingly assumed that legitimate governance arrangements are those derived from the shareholder-oriented prescriptions of agency theory. We extend this line of research in new ways by arguing that customers also externally assess firm legitimacy, and that firms potentially adjust their governance characteristics to meet customers' norms and expectations. We argue that the cultural-cognitive institutions prevalent in customers' home countries influence their judgments regarding a firm's legitimacy, such that firms competing heavily in high-power distance cultures are more likely to have powerful CEOs, with CEO power a source of legitimacy—rather than illegitimacy—among customers. We also argue that the more dependent a firm is on its customers and the more salient cultural power distance is as a demand-side institutional norm, the greater this relationship will be. Data from 151 U.S. semiconductor and pharmaceutical firms over a 10-year period generally support our predictions. Mon, 06 Jul 2015 19:21:20 +0000 http://amr.aom.org/content/early/2015/07/06/amr.2013.0486.short?rss=1 Social welfare, or the good society, is of central concern to the Academy of Management. In this paper, we review the concept of social welfare, suggesting that regardless of discipline, social welfare is defined as a multi-dimensional phenomenon. We then review the literature on the corporate objective within a market economy, where the dominant view is that of a single-objective function. Analyzing this view, we argue for a multi-dimensional objective for organizations in order to meet social welfare objectives: where decision making within a market economy better utilizes the benefits of markets. We suggest that improvements in social welfare are possible where markets are better-enabled to operate among stakeholders unconstrained by some single-valued objective. In doing so, we respond to the critics of stakeholder theory who argue that it is an untenable theory due to its inability to specify how stakeholder objectives are to be prioritized. Mon, 06 Jul 2015 14:51:22 +0000 http://amj.aom.org/content/early/2015/07/01/amj.2013.1211.short?rss=1 How does the presence of domain experts on a corporate board—directors whose primary professional experience is within the focal firm's industry—affect organizational outcomes? We argue that under conditions of significant decision uncertainty, a higher proportion of domain experts on a board may detract from effective decision making and thus increase the probability of organizational failure. Building on exploratory interviews with board members and CEOs, we derive hypotheses from this argument in the context of local banks in the United States. We predict that the greater the level of decision uncertainty—due to rapid asset growth or operation in less predictable markets—the stronger the relationship between the proportion of banking expert directors and the probability of bank failure. Longitudinal analyses of 1,307 banks between 1996 and 2012 support this prediction, even after accounting for both the overall level of professional diversity among directors and banks' different propensities to have an expert-heavy board. We discuss implications for the key dimensions of board composition, the conditions under which the professional background of directors is more or less consequential, and the mechanisms whereby board composition affects organizational outcomes. Wed, 01 Jul 2015 17:12:16 +0000 http://amj.aom.org/content/early/2015/06/29/amj.2013.0660.short?rss=1 Using data from 607 subjects organized in 161 teams (84 laboratory teams and 77 organizational field teams), we examined how leader humility influences team interaction patterns, emergent states, and team performance. We developed and tested a theoretical model arguing that when leaders behave humbly, followers emulate their humble behaviors, creating a shared interpersonal team process (collective humility). This collective humility in turn creates a team emergent state focused on progressively striving toward achieving the team's highest potential (collective promotion focus), which ultimately enhances team performance. We tested our model across three studies wherein we manipulated leader humility to test the social contagion hypothesis (Study 1), examined the impact of humility on team processes and performance in a longitudinal team simulation (Study 2), and tested the full model in a multistage field study in a health services context (Study 3). The findings from these lab and field studies collectively supported our theoretical model, demonstrating that leader behavior can spread via social contagion to followers, producing an emergent state that ultimately affects team performance. Our findings contribute to the leadership literature by suggesting the need for leaders to lead by example, and showing precisely how a specific set of leader behaviors influence team performance, which may provide a useful template for future leadership research on a wide variety of leader behaviors. Mon, 29 Jun 2015 17:12:05 +0000 http://amj.aom.org/content/early/2015/06/29/amj.2012.0853.short?rss=1 We extend the knowledge-based perspective to consider the impact of spin-out founders on knowledge transfer to new ventures. We argue that existing theory largely ignores the founder's role as team catalyst who mobilizes a team and transmits the team's knowledge to a new venture. We address this gap by building theory on the role of a spin-out founder as a facilitator of co-mobility, and whose impact on firm outcomes is mediated by the size and organizational experience of the recruited team. The support for our hypotheses, through use of linked employee-employer US Census data from the legal services industry, has theoretical and practical implications for the knowledge-based view and human resource strategies for both existing and entrepreneurial firms. Mon, 29 Jun 2015 16:57:09 +0000 http://amj.aom.org/content/early/2015/06/25/amj.2014.0201.short?rss=1 There is a growing consensus that cooperative goal structures are more effective at motivating groups than competitive goal structures. However, such results are based largely on studies conducted in highly-controlled settings where participants were provided with the necessary resources to accomplish their assigned task. In an attempt to extend the boundary conditions of current theoretical predictions, we undertook a field experiment within a base-of-the-pyramid setting where resource scarcity is extremely high. Specifically, we collected data on 44 communities within rural Sri Lanka who were tasked with contributing a portion of their resources to the construction of a school building; 24 were assigned to a competition condition and 20 to a cooperation condition. The results of our field experiment, and subsequent follow-up interviews and focus groups, collectively suggest that competitive goal structures generally lead to higher levels of motivation within a resource scarce environment. However, our results also suggest that cooperative goal structures can be highly motivating when groups are unfamiliar with one another, as cooperating with unfamiliar groups can provide access to valuable and rare knowledge within such settings. Thu, 25 Jun 2015 20:45:18 +0000 http://amle.aom.org/content/early/2015/06/25/amle.2014.0201.short?rss=1 This article examines how and why business schools might be complicit in a growing disconnect between leaders, people supposed to follow them, and the institutions they are meant to serve. We contend that business schools sustain this disconnect through a dehumanization of leadership that is manifested in the reduction of leadership to a set of skills and its elevation to a personal virtue. The dehumanization of leadership, we suggest, serves as a valuable defense against, but as poor preparation for, the ambiguity and precariousness of leadership in contemporary workplaces. This article proposes ways to humanize leadership by putting questions about the meaning of leadership—about its nature, function, and development—at the center of scholarly and pedagogical efforts. Reflecting on our attempts to do so, we argue that it involves revisiting not just theories and teaching methods but also our identities as scholars and instructors. Thu, 25 Jun 2015 17:12:12 +0000 http://amp.aom.org/content/early/2015/06/25/amp.2013.0122.short?rss=1 Literature on partnerships has grown rapidly in the past decade across different disciplines. However, despite conceptual attention to the value of strategic multi-stakeholder collaboration to promote peace and reconciliation, challenges posed by (post-)conflict, fragile contexts have barely been considered in empirical studies. In this article we contribute by bringing together debates from different partnership literatures and providing an overview of existing, relatively limited research insights on partnerships for peace in fragile states. We present a typology of different levels (local, national, international) at which collaboration takes place and different types of partnerships (philanthropic, transactional, engagement, transformative). This is exemplified with specific attention to Africa, where most fragile states are found, and to partnerships with transformative potential. The analysis suggests that the lowest-level (local) partnerships tend to exclude the national government, while the most recent international, multilateral-driven collaboration has not included business; national cases are most transformative but incidental and not yet leveraged internationally. Despite the interconnected nature of conflict and fragility issues, linkages between partnerships and partners at different levels are largely missing, offering potential for further development by a broad spectrum of scholars and thought leaders. Insights from 'extreme' unconventional contexts thus have relevance for management research more generally. Thu, 25 Jun 2015 16:48:07 +0000 http://amle.aom.org/content/early/2015/06/24/amle.2014.0139.short?rss=1 As evidenced by recent legislation and media attention, eradicating gender inequity in the workforce is of significant importance today. However, this interest in justice stands in bold contrast to the continued wage gap, the steady number of gender discrimination suits filed, and the plethora of cases exposed in the media. Previous data collected in 2006 suggests that university students do not perceive gender discrimination as a threat of major significance to themselves or others. University students tend to minimize or even disregard the likelihood that they will witness or experience gender bias or discrimination in their career. The current study serves as a continuation of and a comparison to the 2006 study, with the goal of determining whether the perspective of university students has shifted, or whether they continue to consider themselves to be immune to the injustice of gender discrimination at work. Our findings suggest that students in this cohort are not only more acutely aware of these issues, but that this awareness has expanded to include increased concern over gender discrimination against men as well. The reluctance of students to believe that they personally will be unaffected by gender discrimination has been and continues to be surprisingly high. Wed, 24 Jun 2015 18:36:12 +0000 http://amle.aom.org/content/early/2015/06/19/amle.2014.0129.short?rss=1 The power of great novelists' storytelling is demonstrated by their ability to shape social attitudes, beliefs, and behaviors, and even to make life more worth living. However, although narrative pedagogical methods are widely employed in business education, and there are literature-focused electives, business seems to be too busy to require students to read novels. Novels may be perceived to be too long to generate an immediate return on investment. Few great novels are about business, and fewer still are set in a business environment relevant to the economic and technological context of the 21st century. The ones that are, however, are worth the investment, as they just might turn our business students into better business people. This novel claim builds upon the widely accepted thesis that narrative pedagogy cultivates better business people and increasing scientific evidence of the benefits of reading great novels. It goes further to suggest that great novels might belong as part of the core ethics requirement in that the form and quality of a narrative determines its enduring, ethical effectiveness. Particularly, novels distinctively explore the intersection of what to do and how to live that management education needs to develop better persons and more responsible professionals. Fri, 19 Jun 2015 18:48:17 +0000 http://amj.aom.org/content/early/2015/06/18/amj.2013.0663.short?rss=1 Prior research on mergers and acquisitions (M&As) has substantially advanced our understanding of how isolated acquirer- and deal-specific factors affect abnormal returns. However, investors are likely to perceive and evaluate M&As holistically—that is, as complex configurations (i.e., Gestalts) of characteristics, rather than as a list of independent factors. Yet, extant M&A literature has not addressed why and how configurations of factors elicit positive or negative reactions. In other words, overlooking the interdependent nature of factors known to influence acquisition success has limited our understanding of both M&As and investor judgment. Taking an inductive approach to addressing this important issue, this study relies on fuzzy set methodology. Our results provide compelling evidence that investor perceptions of M&A announcements are not only configurational in nature but also characterized by equifinality - or the presence of multiple paths to success - and asymmetric causality - that is, configurations that represent bad deals are not simply a mirror image of good deals, but differ fundamentally. By constructing a typology of "good" and "bad" deals as perceived by market participants, we develop a mid-range theory of M&A stock market performance. As such, this study offers novel theoretical and empirical insights to scholars, and implications for practitioners. Thu, 18 Jun 2015 20:06:28 +0000 http://amj.aom.org/content/early/2015/06/17/amj.2014.0275.short?rss=1 Accumulated knowledge on organizational justice leaves little reason to doubt the notion that organizational members benefit when leaders adhere to interpersonal justice rules. However, upon considering how justice behaviors influence subordinates' cognitive processes, we predict that interpersonal justice has a surprising, unintended negative consequence. Supervisors who violate interpersonal justice rules trigger subordinates to search for reasons why their supervisors are threatening them, causing subordinates to be more attuned to supervisors' individual characteristics and therefore unlikely to use stereotypes when evaluating them. In contrast, supervisors who adhere to interpersonal justice rules allow subordinates to divert attention away from them, leading subordinates' judgments of their supervisors to be influenced by stereotypes. Consistent with these predictions, in a survey we found that minority supervisors faced bias relative to Caucasian supervisors when supervisors adhered to—but not when they violated—interpersonal justice rules. We replicated this effect in an experiment and established that it is explained by an alternating pattern of stereotype activation and inhibition: participants viewed minority supervisors to be more deceitful than Caucasians when supervisors adhered to—but not when they violated—interpersonal justice rules. We then conducted exploratory analyses and identified one factor (unit size) that mitigates this troubling pattern. Wed, 17 Jun 2015 18:09:34 +0000 http://amj.aom.org/content/early/2015/06/17/amj.2013.0100.1.short?rss=1 After new ventures have exhausted the limited financial resources of founders, family, and friends, they often pursue initial external capital. To secure investment, entrepreneurs can signal about their venture's latent potential by aligning themselves with reliable third parties. Such affiliations affirm the new venture's legitimacy and provide substantive benefits in the form of mentoring, access to resources, and ongoing monitoring. However, early stage financing is an especially "noisy" signaling environment owing to the large number of startups seeking funding, many of which will not survive. The real value of third party affiliations in this context resides in their ability to unlock the potential of other more pedestrian signals, such as the entrepreneur's characteristics and actions that might otherwise go unnoticed. We borrow from the sensemaking literature to explain how third party affiliation signals disambiguate signals with multiple possible interpretations so that potential investors interpret them positively. Findings support our theory that a startup's characteristics and actions are signals that remain relatively unnoticed unless a startup combines them with a third party affiliation that enhances the signal's value, thus increasing the likelihood of receiving external capital. Wed, 17 Jun 2015 15:36:21 +0000 http://amle.aom.org/content/early/2015/06/16/amle.2014.0009.short?rss=1 The interview questions deal with the means by which Estonia and other republics of the former Soviet Union managed to transform their educational systems and the impact of the Soviet heritage on this transformation. An interview was conducted with Professor Olav Aarna. In 1991 Professor Olav Aarna became the rector of TUT. From 2000 to 2003 he held the position of rector of the first private university in Estonia - Estonian Business School (EBS). From 2003 to 2007 Olav Aarna was member of the Estonian Parliament, serving also as Chairman of the Committee for Cultural Affairs responsible for education, research, culture and sports affairs. From 1998-2000 he was Vice Chairman of Estonian National Council for Research and Development. His experience in the field of educational legislation stems from his advisory position to the Minister of Education of Estonia from 1990 to1992. His competence in the field of the Bologna process results from the development of higher education legislation in Estonia (2002-...) and the development of a higher education quality assurance system for Estonia (2008-...). Olav Aarna has consulted third countries in the national qualifications framework (NQF) development as a European Training Foundation (ETF) expert. Tue, 16 Jun 2015 22:47:52 +0000 http://amle.aom.org/content/early/2015/06/16/amle.2013.0335.short?rss=1 This study investigates Anglo expatriate managers learning, knowledge acquisition, and adjustment to the host culture when working within Anglo multi-national companies operating in China. A structural equation model based on data from 121 expatriate managers reveal that Anglo managers adjust more effectively when their learning styles are congruent with the demands of the host culture. Their levels of accumulated managerial tacit knowledge and adaptive flexibility were also associated with their learning styles which in turn led to more effective adjustment to the host culture. Implications for theory, global manager development, and expatriate management are provided. Tue, 16 Jun 2015 22:03:24 +0000 http://amp.aom.org/content/early/2015/06/16/amp.2014.0101.short?rss=1 Competitive dynamics theory overlooks an entire class of attackers who pose a serious threat to commercial firms—nonmarket players (NMPs) such as activists, environmentalists, social entrepreneurs, and NGOs. Using an institutional perspective, this conceptual manuscript advances competitive dynamics theory by developing a framework of organizational hostility. The framework profiles NMPs according to their propensity to engage firms; it also classifies firms based on their vulnerability and initial reaction to NMP attacks. Corroborated with a mathematical model (Appendix), the conceptual framework explains which NMPs are most hostile to firms; why some NMPs issue threats whereas others quickly strike commercial firms; and which firms are most vulnerable to such hostility. Tue, 16 Jun 2015 21:27:10 +0000 http://amp.aom.org/content/early/2015/01/29/amp.2014.0043.short?rss=1 Previous academic and popular literature has raised important debates concerning the contradictory incentives of international firms to reduce their environmental impacts and offer transparent environmental information about their operations. As an exhaustive review of this literature reveals mixed and partial evidence, we compared the individual corporate environmental performance and disclosure of the 100 most international non-financial firms in the world to those of 16,023 firms in their industries and a group of matched pairs of firms for three different years. Our results show that although the top international firms have a much better record of environmental disclosure than the firms within their industries and the matched pairs, the top international firms also show worse environmental performance than their peers. The results suggest that the top international firms seek legitimation for their environmental activities by means of voluntary disclosure. Tue, 16 Jun 2015 19:38:25 +0000 http://amj.aom.org/content/early/2015/06/16/amj.2013.1214.short?rss=1 Based on a multi-year field study of early-stage drug discovery project teams at a global pharmaceutical company, this paper examines how multidisciplinary teams engaged in knowledge creation combine formal and informal coordination mechanisms when faced with unpredictable interdependencies among specialists' knowledge domains. While multidisciplinary teams are critical for knowledge creation in increasingly specialized work environments, the coordination literature has been divided with respect to the extent to which such teams rely on formal coordination structures and informal coordination practices. Our findings show that when interdependencies among knowledge domains are dynamic and unpredictable, specialists design self-managed (sub-)teams around collectively held assumptions about interdependencies based on incomplete information (conjectural interdependencies). These team structures establish the grounds for informal coordination practices that enable specialists to both manage known interdependencies and reveal new interdependencies. Newly revealed interdependencies among knowledge domains, in turn, promote structural adaptation. Drawing on these findings, we advance an integrative model explaining how team-based knowledge creation relies on the mutual constitution of formal coordination structures and informal coordination practices. The model contributes to theory on organizational design and practice-based research on coordination in cross-disciplinary knowledge creation. Tue, 16 Jun 2015 15:51:19 +0000 http://amj.aom.org/content/early/2015/06/09/amj.2014.0601.short?rss=1 Hierarchy is a reality of group life, for humans as well as for most other group-living species. And yet, there remains considerable debate about whether and when hierarchy can promote group performance and member satisfaction. We suggest that progress in this debate has been hampered by a lack of clarity about hierarchy and how to conceptualize it. Whereas prevailing conceptualizations of hierarchy in the group and organization literature focus on inequality in member power or status (i.e., centralization or steepness), we build on the ethological and social network traditions to advance a view of hierarchy as cascading relations of dyadic influence (i.e., acyclicity). We further suggest that hierarchy thus conceptualized is more likely to capture the functional benefits of hierarchy whereas hierarchy as inequality is more likely to be dysfunctional. In a study of 75 teams drawn from a wide range of industries, we show that whereas acyclicity in influence relations reduces conflict and thereby enhances both group performance and member satisfaction, centralization and steepness have negative effects on conflict, performance, and satisfaction, particularly in groups that perform complex tasks. The theory and results of this study can help to clarify and advance research on the functions and dysfunctions of hierarchy in task groups. Tue, 09 Jun 2015 20:12:33 +0000 http://amj.aom.org/content/early/2015/06/09/amj.2013.0657.short?rss=1 This study explores the hybridization of field-level logics. We define hybridized logics as rules of action, interaction, and interpretation that integrate the goals of previously incompatible logics through material forms, practices, and governance arrangements. Through an inductive study of the wind energy field in Colorado, we find that a hybridized logic emerged through a process in which organizational responses to logic incompatibility drove shifts in the relationship between logics and organizations. Compromise and framing efforts unintentionally initiated a process of logic hybridization by catalyzing proponents of the subordinate logic to contest the dominant logic and alter the balance of power in the field. Hybrid organizations then emerged to establish, legitimize, and embed a new set of inter-linked frames, practices, and arrangements that integrated previously incompatible logics. Our findings suggest that the hybridization of field-level logics is a complex process in which organizational actions and field-level conditions recursively influence each other over time. Tue, 09 Jun 2015 19:25:17 +0000 http://amj.aom.org/content/early/2015/06/04/amj.2013.0778.1.short?rss=1 We develop and test a theoretical model that explores how individuals appraise different types of stressful job demands and how these cognitive appraisals impact job performance. The model also explores how charismatic leaders influence such appraisal and reaction processes, and by virtue of these effects, how leaders can influence the impact of stressful demands on their followers' job performance. In Study 1 (n = 74 U.S. Marines), our model was largely supported in hierarchical linear modeling analyses. Marines whose leaders were judged by superiors to exhibit charismatic leader behaviors appraised challenge stressors as being more challenging, and were more likely to respond to this appraisal with higher performance. Although charismatic leader behaviors did not influence how hindrance stressors were appraised, they negated the strong negative effect of hindrance appraisals on job performance. In Study 2 (n = 270 U.S. Marines) charismatic leader behaviors were measured through the eyes of the focal Marines, and the interactions found in Study 1 were replicated. Results from multilevel structural equation modeling analyses also indicate that charismatic leader behaviors moderate both the mediating role of challenge appraisals in transmitting the effect of challenge stressors to job performance, and the mediating role of hindrance appraisals in transmitting the effect of hindrance stressors to job performance. Implications of our results to theory and practice are discussed. Keywords: stress, leadership, job performance, multilevel modeling Thu, 04 Jun 2015 21:39:32 +0000 http://amj.aom.org/content/early/2015/06/02/amj.2013.1073.short?rss=1 Psychological empowerment has been studied extensively over the past few decades in a variety of contexts and appears to be especially salient within dynamic and complex environments such as healthcare. However, a recent meta-analysis found that psychological empowerment relationships vary significantly across studies, and there is still a rather limited understanding of how empowerment operates across levels. Accordingly, we advance and test a multi-level model of empowerment which seeks to better understand the unique and synergistic effects between unit and individual empowerment in hospital units. Analysis of data involving 544 individuals in 78 units, collected from multiple sources over three different time periods, revealed that unit empowerment evidenced a synergistic interaction with individual-level psychological empowerment as related to individuals' job performance, as well as an indirect effect on performance via individual empowerment, while controlling for previous performance levels. Notably, these effects were significant at relatively high, but not at relatively low levels of unit empowerment. Furthermore, we found that unit voice climate increased unit empowerment and thereby enhanced individual psychological empowerment. These findings suggest that, in complex and dynamic environments, empowering work units is an important means by which leaders can enhance individuals' performance. Thu, 04 Jun 2015 14:48:41 +0000 http://amj.aom.org/content/early/2015/06/02/amj.2013.0560.short?rss=1 Most research on creativity describes it as a net positive: producing new products for the organization and satisfaction and positive affect for creative workers. However, a host of anecdotal and historical evidence suggests that creative work can have deleterious consequences for relationships. This raises the question: how does creativity at work impact relationships at home? Relying on work-family conflict and resource allocation theory as conceptual frameworks, we test a model of creative behaviors during the day at work and the extent to which employees spend time with their spouses at home in the evening, using 685 daily matched responses from 108 worker-spouse pairings. Our results reveal that variance-focused creative behaviors (problem identification, information searching, idea generation) lead to a decline in time spent with spouse at home. In contrast, selection-focused creative behaviors (idea validation) lead to an increase in time spent with spouse. Further, openness to experience moderates these relationships. Overall, the results raise questions about the possible relational costs of creative behaviors at work on life at home. Thu, 04 Jun 2015 14:48:41 +0000 http://amr.aom.org/content/early/2015/06/01/amr.2013.0475.short?rss=1 Firms play a crucial role in furthering social welfare through their ability to foster stakeholders' contributions to joint value creation, i.e., value creation that involves a public-good dilemma due to high task and outcome interdependence - leading to what economists have labeled the 'team production problem'. We build on relational models theory to examine how individual stakeholders' contributions to joint value creation are shaped by stakeholders' mental representations of their relationships with the other participants in value creation, and how these mental representations are affected by the perceived behavior of the firm. Stakeholder theory typically contrasts a broadly-defined 'relational' approach to stakeholder management with a 'transactional' approach based on the price mechanism - and has argued that the former is more likely to contribute to social welfare than the latter. Our theory supports this prediction for joint value creation, but also implies that the dichotomy on which it is based is too coarse-grained: there are three distinct ways to trigger higher contributions to joint value creation than through a 'transactional' approach. Our theory also helps explain the tendency for firms and their stakeholders to converge on 'transactional' relationships, despite their relative inefficiency in the context of joint value creation. Mon, 01 Jun 2015 15:38:05 +0000 http://amr.aom.org/content/early/2015/05/27/amr.2013.0469.short?rss=1 While many studies explain how social science theories shape social reality, few reflect critically on how such theories should shape social reality. Drawing on a new conception of social welfare and focusing on financial regulation, we assess the performative effects of theories on public policy. We delineate how research that focuses narrowly on questions of efficiency and stability reinforces today's technocratic financial regulation that undermines social welfare. As a remedy, we outline how future management research can tackle questions of social justice and thereby promote an inclusive approach to financial regulation that better serves social welfare. Wed, 27 May 2015 19:06:18 +0000 http://amj.aom.org/content/early/2015/05/14/amj.2013.0835.short?rss=1 If partnering with local firms is an intuitive strategy with which to mitigate uncertainty in foreign ventures, then why don't organizations always partner with local firms, especially in uncertain settings? We address this question by unbundling the effects of uncertainty in foreign ventures at the venture and country levels. We contend that, while both levels increase the need for partnering with local firms in foreign ventures, country-level uncertainty increases the difficulty of partnering with local firms and decreases the likelihood of such partnerships. We also posit that experiential learning helps firms manage the two types of uncertainty, and thereby reduces the need for partnering—yet, experience in the host country makes partnering more feasible and increases the likelihood of such partnerships. To test our hypotheses, we conceptualize the decision to partner with a local firm in a foreign venture as a multilayered decision, and model it accordingly. Using a global sample of venture capital investments made between 1984 and 2011, we find support for the distinct effects of venture- and country-level uncertainty as well as for corresponding levels of experiential learning. These findings have implications for the literature on cross-border venture capital investment and international business in general. Thu, 14 May 2015 16:16:41 +0000 http://amj.aom.org/content/early/2015/05/14/amj.2014.0651.short?rss=1 Building on prior work showing that abusive supervision is a reaction to subordinates' poor performance, we develop a self-control framework to outline when and why supervisors abuse poor performing subordinates. In particular, we argue poor performing subordinates instill in supervisors a sense of hostility towards the subordinate, which in turn leads to engaging in abusive supervision. Within this self-control framework, poor performance is more likely to lead to abusive supervision when (a) the magnitude of the hostility experienced is higher (e.g., for those with a hostile attribution bias), or (b) the translation of hostility into abusive supervision is unconstrained (e.g., for those who are low in trait mindfulness). In two experimental studies with full-time supervisors where we manipulated the independent variable (Study 1) and the mediator (Study 2), and in a multi-wave and multi-source field study with data collected from supervisor-subordinate teams (50 supervisors and 206 subordinates) at two time points (Study 3), we found overall support for our predictions. Implications for how to reduce the occurrence of abusive supervision in the workplace are discussed. Thu, 14 May 2015 16:10:52 +0000 http://amle.aom.org/content/early/2015/05/07/amle.2014.0193.short?rss=1 Management educators often assume that research-based arguments ought to be convincing to students. However, college students do not always accept even well-documented research findings. Among the reasons this might happen, we focus on the potential role of psychological mechanisms triggered by scholarly arguments that affect students' self-concepts, leading them to engage in self-enhancing or self-protective responses. We investigated such processes by examining students' reactions to a research argument emphasizing the importance of intelligence to job performance, in comparison to their reactions to research arguments emphasizing the importance of emotional intelligence and/or fit. Consistent with our predictions, students were less likely to accept the argument for the importance of intelligence compared to the alternative, less threatening, arguments (i.e., the importance of emotional intelligence or fit). Further, acceptance of the argument about the importance of intelligence was affected by students' grade point average (GPA) and moderated by their emotional stability. Specifically, consistent with self-enhancement theory, students with lower GPAs were more likely to reject the argument for intelligence and give self-protective reasons for their responses, whereas students with higher GPAs were more likely to accept the argument and give self-enhancing reasons. Implications for future research and for management teaching are discussed. Thu, 07 May 2015 18:37:47 +0000 http://amj.aom.org/content/early/2015/05/06/amj.2013.0288.short?rss=1 Drawing on expectancy violation theory, we explore the effects of anticipatory impression management in the context of acquisitions. We introduce impression offsetting, an anticipatory impression management technique organizational leaders employ when they expect a focal event will negatively violate the expectations of external stakeholders. Accordingly, in these situations, organizational leaders will announce the focal event contemporaneously with positive, but unrelated information. We predict impression offsetting will generally occur in the context of acquisitions, but also more frequently for specific acquiring firms and acquisitions that are more likely to lead to an expectancy violation. We also posit that offsetting will effectively inhibit observers' perceptions of events as negative expectancy violations by positively influencing shareholder reactions to acquisition announcements. Consistent with our hypotheses, in a sample of publicly traded acquisition targets, we find evidence for impression offsetting, in which characteristics of both acquirers and their announced acquisitions predict its frequency of use. We also find evidence that impression offsetting is efficacious; on average, it reduces the negative market reaction to acquisition announcements by over 40 percent, which translates into approximately $246 million in market capitalization. Wed, 06 May 2015 21:13:49 +0000 http://amj.aom.org/content/early/2015/05/01/amj.2014.0424.short?rss=1 Family firms are often portrayed as an important yet conservative form of organization that is reluctant to invest in innovation; however, at the same time, evidence shows that family firms are still flourishing and that many of the world's most innovative firms are indeed family firms. Our study contributes to disentangling this puzzling effect. We argue that family firms—owing to the family's high level of control over the firm, wealth concentration, and importance of non-financial goals—invest less in innovation but have an increased conversion rate of innovation input into output and, ultimately, a higher innovation output than non-family firms. Empirical evidence from a meta-analysis based on 108 primary studies from 42 countries supports our hypotheses. We further argue and empirically show that the observed effects are even stronger when the CEO of the family firm is a later-generation family member. However, when the CEO of the family firm is the firm's founder, innovation input is higher and, contrary to our initial expectations, innovation output is lower than that in other firms. We further show that the family firm-innovation input/output relationships depend on country-level factors, namely, the level of minority shareholder protection and the education level of the workforce in the country. Fri, 01 May 2015 19:58:37 +0000 http://amj.aom.org/content/early/2015/05/01/amj.2013.0972.short?rss=1 This study looks at what happens to the collection of relationships (network) of service professionals during a role transition (promotion to a management role). Our setting is three professional service firms where we examine changes in relations of recently promoted service professionals (auditors, consultants, and lawyers). We take a comprehensive look at the drivers of two forms of network changes - tie loss and tie gain. Looking backward we examine the characteristics of the contact, the relationship, and social structure and identify which forces are at play in losing ties, revealing an overarching tendency for both cohesion and efficiency forces to play a role. Looking forward, we identify the effect of previous network structures that act as a "shadow of the past" and impact the quality of newly gained relations during the role transitions. Findings demonstrate that role transitions are not only influenced by a few key contacts but that the entire (extant) network of professional relationships shapes the way people reconfigure their workplace relations during a role transition. Fri, 01 May 2015 15:34:42 +0000 http://amj.aom.org/content/early/2015/04/30/amj.2013.0416.short?rss=1 Time is inherently present in empirical research on institutional change - most studies sequence actions and events across stages of development, over time. Yet, research has overlooked how temporality, as a negotiated organizing of time, shapes institutional processes, despite that timing, duration, and tenor of relationships are their foundational elements. To unpack the role of temporality in institutions, we examine how actors engage in temporal institutional work - that is, how they construct, navigate, and capitalize on timing norms in their attempts to change institutions. We draw on an inductive study of an institutional project to establish a novel foundation-based university that subsequently came to pace major statewide university reform. We identify three forms of temporal institutional work: entraining - as a top-down, routinized, reproductive form - and constructing urgency, and enacting momentum - both as bottom-up, issue-driven and generative forms. We show that by engaging in these types of work, actors produce windows of opportunity, synchronicity, and irreversibility as shared beliefs about temporality. These beliefs, in turn, shape how the wider institutional change unfolds. Our study shows that temporal institutional work enables institutional change. We discuss the implications for reconceptualizing institutional research from a temporal perspective. Thu, 30 Apr 2015 17:18:00 +0000 http://amj.aom.org/content/early/2015/04/17/amj.2014.0535.short?rss=1 Theories of status rarely address unearned status gain—an unexpected and unsolicited increase in relative standing, prestige or worth, attained not through individual effort or achievement, but from a shift in organizationally valued characteristics. We build theory about unearned status gain drawing from a qualitative study of 90 U.S.-based employees of a Japanese organization following a company-wide English language mandate. These native English-speaking employees believed that the mandate elevated their worth in the organization, a status gain they attributed to chance, hence deeming it unearned. They also reported a heightened sense of belonging, optimism about career advancement, and access to expanded networks. Yet among those who interacted regularly with Japanese counterparts, narratives also revealed discomfort, which manifested in at least two ways. These informants engaged in "status rationalization," emphasizing the benefits Japanese employees might obtain by learning English, and prevaricated on whether the change was temporary or durable, a process we call "status stability appraisal." The fact that these narratives were present only among those working closely with Japanese employees highlights intergroup contact as a factor in shaping the unearned status gain experience. Supplemental analysis of data gathered from 66 Japanese employees provided the broader organizational context and the nonnative speakers' perspective of the language shift. These findings expand our overall understanding of status dynamics in organizations, and show how status gains can yield both positive and negative outcomes. Fri, 17 Apr 2015 19:26:05 +0000 http://amr.aom.org/content/early/2015/04/16/amr.2013.0175.short?rss=1 We advance a model that highlights contingent linkages between overconfidence and narcissism, entrepreneurial entry, and the successful realization of venture opportunities. Overall, our proposals point to a paradox in which entrepreneurs high in overconfidence and narcissism are propelled toward more novel venture contexts—where these qualities are most detrimental to venture success, and are repelled from more familiar venture contexts—where these qualities are least harmful, and may even facilitate venture success. To illuminate these patterns of misalignment, we attend to the defining characteristics of alternative venture contexts and the focal mechanisms of overconfidence and narcissism. Thu, 16 Apr 2015 16:04:47 +0000 http://amj.aom.org/content/early/2015/04/10/amj.2013.0767.short?rss=1 Beside making organizations look like their peers through the adoption of similar attributes (which we call alignment), this paper highlights the fact that conformity also enables organizations to stand out by exhibiting highly salient attributes key to their field or industry (which we call conventionality). Building on the conformity and status literatures, and using the case of major U.S. symphony orchestras and the changes in their concert programing between 1879 and 1969, we hypothesize and find that middle-status organizations are more aligned, and middle-status individual leaders make more conventional choices than their low- and high-status peers. In addition, the extent to which middle-status leaders adopt conventional programming is moderated by the status of the organization and by its level of alignment. This paper offers a novel theory and operationalization of organizational conformity, and contributes to the literature on status effects, and more broadly to the understanding of the key issues of distinctiveness and conformity. Fri, 10 Apr 2015 14:31:38 +0000 http://amr.aom.org/content/early/2015/04/02/amr.2015.0094.short?rss=1 N/A -- no abstracts in FTEs I believe Thu, 02 Apr 2015 16:08:01 +0000 http://amle.aom.org/content/early/2015/04/02/amle.2014.0179.short?rss=1 Power in business schools is ubiquitous. We develop individuals for powerfull positions. Yet, the way we deal with power is limited by our utilitarian focus, avoiding the visceral nature of power. In relation to this we address two questions business schools don't ask: what is the experiential nature of power? How are we teaching power? We use experiential, aesthetic developments on power in the social sciences to critique the rational-utilitarian stance on power found in business schools, drawing on the work of Dewey and French philosopher Levinas to treat power as a lived phenomenon. We overview and critique approaches to teaching power in business curricula informed by our own research on Executive MBA students learning through choral conducting. Taking an appreciative-positive stance, this research showed students developing new, non-rational, non-utilitarian understandings of power. They developed nuanced learning on the feeling, relationality and responsibility of exercising power. Coming out of this we argue for more experiential and reflexive learning methods to be applied to the phenomena of power. Finally we shine a reflexive light on ourselves and our 'power to profess', suggesting ways we can change our own practice to better prepare our students for the power they wield. Thu, 02 Apr 2015 14:49:40 +0000 http://amj.aom.org/content/early/2015/04/02/amj.2013.1162.short?rss=1 We consider how social and psychological connections among CEOs explain the propensity for corporate leaders to distance themselves socially from journalists who engage in negative reporting about firm leadership at other companies, and we examine the consequences for the valence of journalists' subsequent coverage. Our theoretical framework suggests that journalists who have engaged in negative coverage of a firm's leadership and strategy are especially likely to experience distancing from other leaders who (i) have friendship ties to the firm's CEO, (ii) are demographically similar to the CEO on salient dimensions, or (iii) are socially identified with the CEO as a fellow member of the corporate elite. Our theory and findings ultimately suggest that, due to the multiple sources of social identification between CEOs, journalists who engage in negative coverage of firm leadership tend to experience social distancing from multiple CEOs, and such distancing has a powerful influence on the valence of journalists' subsequent reporting about firm leadership and strategy across all the firms that they cover. We also extend our theoretical framework to suggest how the effect of social distancing on the valence of journalists' coverage is moderated by the early and late stages of a journalist's career. Thu, 02 Apr 2015 14:40:55 +0000 http://amj.aom.org/content/early/2015/04/02/amj.2013.1109.short?rss=1 Do firms learn from their failed innovation attempts? Answering this question is important because failure is an integral part of exploratory learning. In this study, we explore whether and under what circumstances firms learn from their small failures in experimentation. Building on organizational learning literature, we examine the conditions under which prior failures influence firms' R&D output amount and quality. An empirical analysis of voluntary patent expirations (i.e., patents that firms give up by not paying renewal fees) in 97 pharmaceutical firms between 1980 and 2002 shows that the number, importance, and timing of small failures are associated with a decrease in R&D output (patent count) but an increase in the quality of the R&D output (forward citations to patents). Exploratory interviews suggest that the results are driven by a multi-level learning process from failures in pharmaceutical R&D. The findings contribute to the organizational learning literature by providing a nuanced view of learning from failures in experimentation. Thu, 02 Apr 2015 14:37:53 +0000 http://amle.aom.org/content/early/2015/04/02/amle.2014.0104.short?rss=1 'What's going on?' Within the context of our critically-informed teaching practice, we see moments of deep learning and reflexivity in classroom discussions and assessments. Yet, these moments of criticality are interspersed with surface learning and reflection. We draw on dichotomous, linear developmental, and messy explanations of learning processes to empirically explore the learning journeys of 20 international Chinese and 42 domestic New Zealand students. We find contradictions within our own data, and between our findings and the extant literature. We conclude that expressions of surface learning and reflection are considerably more complex than they first appear. Moreover, developing critical reflexivity is a far more subtle, messy, and emotional experience than previously understood. We present the theoretical and pedagogical significance of these findings when we consider the implications for the learning process and the practice of management education. Thu, 02 Apr 2015 14:22:46 +0000 http://amj.aom.org/content/early/2015/03/27/amj.2013.0483.short?rss=1 In this inductive study, we shift the focus of stigma research inside organizational boundaries by examining its relationship with organizational identity. To do so, we draw on the case of Keystone, a social enterprise in the East of England that became stigmatized after it initiated a program of support for a group of migrants in its community. Keystone's stigmatization precipitated a crisis of organizational identity. We examine how the identity crisis unfolded, focusing on the forms of identity work that Keystone's leaders enacted in response. Interestingly, we show not only that the internal effects of stigmatization on identity can be managed, but also that they may facilitate unexpected positive outcomes for organizations. Fri, 27 Mar 2015 21:05:31 +0000 http://amj.aom.org/content/early/2015/03/27/amj.2014.0286.short?rss=1 Drawing on human capital theory, strategy scholars have emphasized firm-specific human capital as a source of sustained competitive advantage. In this study, we begin to unpack the micro-foundations of firm-specific human capital by theoretically and empirically exploring when employees perceive their skills to be firm-specific. We first develop theoretical arguments and hypotheses based on the extant strategy literature, which implicitly assumes information efficiency and unbiased perceptions of firm-specificity. We then relax these assumptions and develop alternative hypotheses rooted in the cognitive psychology literature, which highlights biases in human judgment. We test our hypotheses using two data sources from Korea and the United States. Surprisingly, our results support the hypotheses based on cognitive bias - a stark contrast to the expectations embedded within the strategy literature. Specifically, we find organizational commitment and, to some extent, tenure are negatively related to employee perceptions of the firm-specificity. We also find that employer provided on-the-job training was unrelated to perceived firm-specificity. These findings suggest that firm-specific human capital, as perceived by employees, may drive behavior in ways not anticipated by existing theory - for example, with respect to investments in skills or turnover decisions. This, in turn, may challenge the assumed relationship between firm-specific human capital and sustained competitive advantage. More broadly, our findings may suggest a need to reconsider other theories, such as transaction cost economics, that draw heavily on the notion of firm-specificity and implicitly assume widely shared and unbiased perceptions. Fri, 27 Mar 2015 15:55:37 +0000 http://amle.aom.org/content/early/2015/03/25/amle.2014.0373.short?rss=1 Calls for greater diversity in management research, education and practice have increased in recent years, driven by a sense of fairness and ethical responsibility, but also because research shows that greater diversity of inputs into management processes can lead to greater innovation. But how can greater diversity of thought be encouraged when educating management students, beyond the advocacy of affirmative action and relating the research on the link between multiplicity and creativity? One way is to think again about how we introduce the subject. Introductory textbooks often begin by relaying the history of management. What is presented is a very limited mono-cultural and linear view of how management emerged. This article highlights the limits this view outlines for initiates in contrast to the histories of other comparable fields (medicine and architecture), and discusses how a wider, deeper and more engaged understanding of history can foster thinking differently. Wed, 25 Mar 2015 14:31:54 +0000 http://amr.aom.org/content/early/2015/03/23/amr.2011.0435.short?rss=1 CEO severance has captured the attention of a wide array of audiences, yet it remains largely unexplored by management scholars. This paper offers a rigorous theoretical examination of CEO severance with the goal of developing a foundation for a systematic research agenda. In particular, we consider if, and how, severance agreements can be effective in serving the interests of both CEOs and shareholders. We argue that severance agreements have potential value as both an executive recruitment and governance tool, but that the way they are conventionally structured undermines the value that shareholders realize from them. The implications of structure have been almost entirely overlooked by scholars, perhaps because the influence of compensation consultants has left little variance in how severance agreements are implemented across firms. We address this gap by theorizing about how severance agreements could be structured to effectively generate value for executives and shareholders. To do this, we introduce a categorization of key dimensions of CEO severance agreements, and consider how each of these dimensions can be structured to facilitate CEO recruiting, while simultaneously mitigating future governance problems. Our propositions offer new opportunities for governance and compensation scholars to link CEO severance agreements to important organizational outcomes. Mon, 23 Mar 2015 20:25:58 +0000 http://amj.aom.org/content/early/2015/03/16/amj.2011.0934.short?rss=1 Social exchange theory is a broad theory that has been used to explain trust as an outcome of various exchange relationships, and research commonly presumes trust exists between exchange partners that have prior relationships. In this paper, we contribute to social exchange theory by isolating the trust outcomes of interorganizational exchanges from other outcomes emphasized by learning and knowledge-based perspectives, and by specifying important boundary conditions for the emergence of trust in interorganizational exchanges. We make such a theoretical contribution within the domain of strategic alliances by investigating the effects of previous alliance agreements, or prior ties, between the partnering firms. We find that prior ties generally lead to learning about a partner's anticipated behavioral patterns, which helps a firm predict when self-interested behavior may occur and know how to interact with the partner during the coordination and execution of the alliance tasks. By contrast, it is evident that the kind of trust emphasized in social exchange theory is not generally rooted in prior ties and only emerges from prior relationships under certain conditions. We discuss the implications of these findings for research on social exchange theory and for delineating the theory's domain of applicability. Mon, 16 Mar 2015 15:28:46 +0000