Year: 2018
Type: dissertation
Abstract: This thesis explores how a large established firm can secure and manage technology-based\ninnovation through the use of a corporate spin-off. This study is performed in the setting of a\nlarge media firm and its four technology spin-off companies. The inductive findings of this\nresearch are then related to the broader literature on corporate spin-offs as well as the\nliterature on organizational ambidexterity.\nFirst, this study identifies antecedents conducive to innovation that were present at the parent\ncompany and were important for generating the innovation activities; and the study shows\nthat once these antecedents were withdrawn it created doubt in the ability of the established\nfirm to innovate through the spin-off mode in the future. This study also locates key\nbehaviours and actions that the established firm used in its relationship to its innovation\ninitiatives that aided these initiatives both before and after spinning-off. This research then\nuncovers the chief benefits that the established firm obtained by pursuing its innovation\nthrough the spin-off mode and argues that these benefits are the result of the exploitation of\nthe innovations and the spin-off companies achieving ambidexterity themselves.\nAdditionally, this research finds that because of the type of spin-offs that are examined here,\nwhere the parent company uses the spin-offs’ products, the parent was able to avoid the\nchallenges of integrating the innovation that are often mentioned in the literature. Also, this\nstudy finds that the use of the parent company as a showroom for the spin-offs’ products was\na considerable advantage that has not been recognized yet within current strategy literature.\nFinally, this study contends that future organizational ambidexterity research should examine\nthe corporate spin-off mode, because this thesis indicates that it is a fruitful way for an\nestablished firm to achieve organizational ambidexterity and that this approach may have\nunique benefits.
Author: Justin A. Harlan
Language: English
Subfield: Strategy and Management
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W2896640665