Articles & Publications

 

Joseph E. Coombs, Ram Mudambi, David L. Deeds. 2006. An examination of the investments in U.S. biotechnology firms by foreign and domestic corporate partners. Journal of Business Venturing 21 (2006) 405 - 428.

This study examines the characteristics that make start-up biotechnology firms attractive alliance partners. We distinguish between firm specific and location-specific characteristics as well as between foreign and domestic corporate partners. We present and test a longitudinal model of alliance development based on data from 64 public biotechnology firms. The results provide evidence that foreign and domestic alliance capital inflows are driven by different factors. Firm specific factors explain minimal variance in capital inflows from foreign alliance partners; rather, location-specific factors seem to matter more. The reverse is true for domestic alliance partners. Further, our results suggest that firm size moderates the relationship between location-specific factors and capital inflows from foreign alliance partners such that larger firms benefit more when located in technologically munificent environments.

 

David L. Deeds, Yasuhiro Yamakawa. 2006. The Commons Problem and the Evolution of Industry Legitimacy in Emerging Industries. Unpublished manuscript. 

We extend our understanding of industry legitimacy in emerging industries by integrating the work on the ‘Commons Problem’ with the existing literature on legitimacy to develop a conceptual model for the creation and destruction of industry legitimacy. Our model - entrepreneuring as collective/individual process - relates industry characteristics to predict the conditions under which actors within an emerging industry will act collectively to create and maintain industry legitimacy, and when they will act opportunistically to destroy it.

 

Frank T. Rothaermel, David L. Deeds. 2006. Alliance type, alliance experience and alliance management capability in high-technology ventures. Journal of Business Venturing 21 (2006) 429 - 460.

We investigate a high-technology venture’s alliance management capability. Thus, we develop a model that links differential demands of alliance type and the benefits of alliance experience to an observable outcome from a firm’s alliance management capability. We test our model on a sample of 2226 R&D alliances entered into by 325 global biotechnology firms. We find that alliance type and alliance experience moderate the relationship between a high-technology venture’s R&D alliances and its new product development. These results provide empirical evidence for the existence of an alliance management capability and its heterogeneous distribution across firms.