Abstract
This article provides an overview of the author’s doctoral dissertation, which discusses the consequences of agglomeration by nationality in an international setting in which firms expand to a foreign market to obtain new knowledge and enhance their innovation capabilities. It examines how these firms may face a trade-off concerning exploitative and explorative innovation by agglomerating with other same-nationality pharmaceutical firms. To further explore the mechanisms by which agglomeration by nationality impacts innovation outcomes, it examines the nationality of the employees, the nationality of the alliance partners and the imitation of technological trajectories of same-nationality firms in the focal foreign location.
Highlights
National identity is an important magnetic force that draws individuals and organizations to co-locate in the same geographic areas in foreign countries, providing a fertile socio-economic context for relationship formation and other social exchanges
This study extends our prior understanding of agglomeration and innovation by showing that agglomeration by nationality can have both positive and negative consequences on innovation, and by further unpacking the behavioral mechanisms that account for the trade-off of agglomeration by nationality on exploitative and explorative innovations
I study the consequences of agglomeration by nationality in an international setting in which firms expand to a foreign market to obtain new knowledge and enhance their innovation capabilities
Summary
National identity is an important magnetic force that draws individuals and organizations to co-locate in the same geographic areas in foreign countries, providing a fertile socio-economic context for relationship formation and other social exchanges. This study extends our prior understanding of agglomeration and innovation by showing that agglomeration by nationality can have both positive and negative consequences on innovation, and by further unpacking the behavioral mechanisms that account for the trade-off of agglomeration by nationality on exploitative and explorative innovations. I study the consequences of agglomeration by nationality in an international setting in which firms expand to a foreign market to obtain new knowledge and enhance their innovation capabilities.
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