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  • Public defence: 2019-09-06 10:00 O104
    Lysek, Michal
    Halmstad University, School of Business, Engineering and Science, Centre for Innovation, Entrepreneurship and Learning Research (CIEL), Business Model Innovation (BMI). HMS Networks AB, Halmstad, Sweden.
    Embedded Innovation: Exploring the Dynamics of Innovation2019Doctoral thesis, comprehensive summary (Other academic)
    Abstract [en]

    For this dissertation I aimed to explore HMS Networks AB and how HMS managed to transform their potential ideas into innovations. My purpose was also to develop knowledge and understanding of the dynamics between exploration of new ideas and exploitation of old solutions, which can support HMS in developing future innovations. My research orientation thus led me to perform a longitudinal study to learn about HMS' past, present, and future, from the perspective of key actors, their performed activities, and how they were affected by different events in their process of creating innovation. My approach enabled me to learn how HMS managed to create their two Anybus® innovations in the past and what they did to become a market leader in the industrial communication industry. I also used a metaphorical perspective to understand how HMS created their two innovations in the past and what HMS could do to create more innovations in the future. I used an inductive and qualitative research approach substantially influenced by grounded theory to collect empirical data that were periodically and chronologically sorted and categorized for the study of key actors and how their activities and different events changed over time. I conceptualized the collected empirical data to discover latent social and psychological processes and behavioral aspects of people in their process of creating innovation. And through my analysis I constructed two main concepts - "embedded innovation" and the "dynamics of innovation" - to capture how companies co-exist in symbiosis and create a higher value together compared to what they can do on their own, to how companies survive long-term.

    Embedded innovation mainly captures how companies, as organisms, struggle for survival within their (often turbulent) environment, and how they embed themselves with other organisms within their environment. Embedded innovation also focuses on capturing the needs of the different organisms within the environment, such as customer needs, employee needs, supplier and partner needs, as well as the need of the focal organization itself. Embedded innovation therefore considers the process of creating "innovation ecosystems" and performing "business model innovation" as instrumental techniques for embedding the different organisms in the environment with each other, which also makes the concept of "embeddedness" a central aspect for embedded innovation. The dynamics of innovation captures the difficulty of innovation over time and that the ever-changing environment expects its organisms (its companies and their employees) to balance the different dualities of organizational life, especially the two phases of diversification (the process of exploration) and focus (the process of exploitation). Consequently, learning how to balance between these two processes is of key importance for the organism's survival and for innovation.

    The study of HMS was also complemented with a study of two other companies, namely Axis Communication AB and Sectra AB, in order to gain more knowledge on the dynamics of innovation from their perspective. A strategy for diversifying close to the knitting was also proposed, since the dynamics of innovation relies on this strategy, which offers a new perspective for managers on how to balance between exploration and exploitation. This dissertation therefore intertwines embedded innovation with the dynamics of innovation, by focusing on balancing between exploring new possibilities and exploiting old certainties for the creation of innovation.

  • Public defence: 2019-10-04 10:00 O125, Halmstad
    Correa da Cunha, Henrique
    Halmstad University, School of Business, Engineering and Science, Centre for Innovation, Entrepreneurship and Learning Research (CIEL).
    Asymmetry and the moderating effects of formal institutional distance on the relationship between cultural distance and performance of foreign subsidiaries in Latin America2019Doctoral thesis, monograph (Other academic)
    Abstract [en]

    This study investigates how Cultural and Formal Institutional distances and their interaction affect the performance of multinational foreign subsidiaries in Latin America. It is shown that using Kogut and Singh (1988) index or attributing the positive and negative signals to distances in opposite directions fail to capture asymmetric effects as it assumes either symmetry or opposing symmetry. To overcome such limitations, I propose an alternative measurement, which allows capturing the asymmetric effects of distances on the performance of foreign subsidiary firms. To test the main research question, I run a panel data model including 1466 subsidiaries, being 1216 from developed and 250 from developing countries, totaling 168 combinations of different home and host countries for a period ranging from 2013 to 2015.Cultural Distance is measured using Hofstede (1980) dimensions and Formal Institutional distances are calculated using the six World Governance Indicator’s variables. Findings show that when the direction of cultural and formal institutional distances is included, the effects on performance are in fact asymmetric. Moreover, not all formal institutional distances affect in a negative manner the performance of developed country subsidiaries operating in less developed countries as these firms seem to know how to interpret and respond to different regulatory quality conditions in the host countries. Latin American firms are in advantage when dealing with formal institutional distances while being affected in the same manner by cultural distances if compared to other emerging market firms from outside Latin America. Emerging market firms are affected in a positive manner while operating in less developed countries and in a negative way when institutions in the host country are superior to its home country. Finally, results show that formal institutional distance positively moderates the relationship between cultural distance and performance particularly when formal institutional distance is towards less developed countries. It can be concluded that despite the fact that cultural values remain fairly stable over time, the contextual changes in terms of formal institutions (and formal institutional distances among countries) will modify the way cultural distance affects the performance and the competitiveness of firms around the world.