This paper studies inherited agglomeration effects, how human capital that accrues to managers while working at a parent firm in an industry hub can be subsequently transferred to a spinoff. We test for inherited agglomeration effects in the context of the hedge fund industry and find that hedge...

This paper studies how firms reorganize after diversifying into related businesses. Specifically, we propose that outsourcing is one way to reduce the coordination costs that arise in multi-divisional firms. We, also, examine the mechanisms underlying coordination costs, and show how alternative...

This research examines the relationship between organization and firm performance using the U.S. taxicab industry as the empirical context for the analyses. The research demonstrates that diversification is costly in the sense that it reduces incumbent firms' competitive advantage versus...

This paper studies how firms reorganize following diversification. We propose that firms use outsourcing, or vertical dis-integration, to reduce scope-induced governance costs that arise following diversification. We also consider the source of scope diseconomies, and argue that different...

This paper studies how firms reorganize after diversifying into related businesses. Specifically, we propose that outsourcing is one way to reduce the coordination costs that arise in multidivisional firms. We, also, examine the mechanisms underlying coordination costs, and show how alternative...

This paper examines the impact of coordination costs and organizational rigidity on the returns to diversification. The central thesis is that coordination costs offset economies of scope, while organizational rigidity increases coordination costs, further constraining economies of scope. The...

Team production is ubiquitous in the economy, but managing teams effectively remains a challenge for many organizations. This paper studies how familiarity amongst teammates influences the performance of specialist teams, relative to non-specialist teams. Applying theories of team production to...

We present a new mechanism by which prior employment can influence transitions to other firms. We propose that some employees divert effort toward unproductive activities to learn about their own fitness for alternative employment. Based on the results of this costly learning experience, or...

We present a new mechanism by which prior employment can influence transitions to other firms. We propose that some employees divert effort toward unproductive activities to learn about their own fitness for alternative employment. Based on the results of this costly learning experience, or...

We present a new mechanism by which prior employment can influence transitions to other firms. We propose that some employees divert effort toward unproductive activities to learn about their own fitness for alternative employment. Based on the results of this costly learning experience, or...