Using Macro Archival Databases to Expand Theory in Micro Research

Abstract

AbstractDatabases containing macro‐level data are an underutilized methodological tool for expanding theory in micro research (i.e., individual and team) to the macro (i.e., organizational and higher) level of analysis. We describe how macro archival databases support different theoretical approaches for upwardly expanding micro research and summarize unanswered research questions across micro domains requiring upward expansion. We describe 31 macro archival databases as a resource for testing research questions that upwardly expand theorizing in micro domains and how databases enable methodological best practices (i.e., data collection over time, multiple measures of a construct, multilevel statistical controls, missing data and outlier management) that are often difficult to apply in typical micro research. Finally, we demonstrate the feasibility and benefits of using macro archival databases through an empirical illustration in the workplace diversity domain: positive effects of manager gender diversity and manager industry gender diversity on firm performance (i.e., ROA and ROE).