The need to remain competitive is driving firms to increasingly seek competitive advantages by collaborating more intensely with their partner firms. One aspect of collaboration between firms is interorganizational cost management, where the focus is on specifically managing costs from both a focal firm and a partner firm perspective. This study integrates literature from the information system...

A classic question faced by technology suppliers and buyers is whether to compete in the product markets or to cooperate through licensing. We address this question by examining an important, demand-side barrier to licensing—the buyers’ cost of integrating a licensed technology. We argue that this cost can be affected by suppliers’ knowledge transfer capabilities, buyers’ absorptive capacity, a...

This research examines the antecedent of developing absorptive capacity in the context of emerging economy. In particular, it focuses on role of external knowledge, success experience of externally acquired knowledge, internal and external activation triggers. This research emphasizes on institutional factors that contribute on developing acquisition capability of the firms in emerging economy ...

Researchers and practitioners regard information technology (IT) as a competitive tool. However, current knowledge on IT capability mechanisms that affect firm performance remains unclear. Based on the dynamic capabilities perspective and the view of a hierarchy of capabilities, this article proposes a model to examine how IT capabilities (i.e., flexible IT infrastructure and IT assimilation) a...

Inventors often experience a low productivity after their company has been subject to a merger or acquisition (M&As). It is of central managerial interest to identify factors facilitating the integration of new inventive staff and thereby counteracting innovation declines after M&As. This paper provides empirical evidence into the role of acquiring firms’ absorptive capacity for the post-merger...

Firms are increasingly employing social media to manage relationships with partner organizations, yet the role of institutional pressures in social media assimilation has not been studied. We investigate social media assimilation in firms using a model that combines the two theoretical streams of IT adoption: organizational innovation and institutional theory. The study uses a composite view of...

In this paper, we address the question that does FDI alone affect economic growth or interaction of FDI and human capital is required to boost economic growth. We develop the model with an expanding variety of products. We estimate the model using some advanced tests utilizing data on FDI flows from developed countries. We find stronger complementary effects between FDI and human capital on the...

This study introduces absorptive capacity as a necessary and sufficient condition for systematic IT innovation (ITI). Looking at the characteristics of firms who systematically innovate with IT, we argue that ITI is a cumulative and pathdependent capability that is not easily replicated. Companies that have developed the ITI capability and attained the ITI status among their peers are likely to...