A Cross-classified Analysis of the International Diversification-performance Relationship

    Research output: Chapter in Book/Report/Conference proceedingArticle in proceedingsResearchpeer-review

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    Abstract

    IB research explains the sources of variation in firm performance; including firm specific resources and environmental conditions evolving over time. Hence, factors at multiple levels and across time affect firm strategy and performance. IB research has yet to take full advantage of multilevel longitudinal theorizing and modeling. This article provides compelling evidence for the importance of correctly modeling complex nesting structures in strategy research. We demonstrate how scholars can use random coefficient modeling (RCM) to investigate the impact of covariates at multiple levels, while simultaneously accounting for the cross-nested nature that often characterize strategy phenomena. Our results show that neglecting to account for the complex nesting structure of the data may lead to biased estimates of variance components and standard errors, resulting in erroneous conclusions regarding key relationships. Our study has profound consequences for future IB research, highlighting the criticality of correctly modeling - both theoretically and empirically - the relevant contextual levels and nesting structures.
    Original languageEnglish
    Title of host publicationProceedings of the Seventy-sixth Annual Meeting of the Academy of Management
    EditorsJohn Humphreys
    Number of pages5
    Place of PublicationBriar Cliff Manor, NY
    PublisherAcademy of Management
    Publication date2016
    Pages1218-1222
    Article number14755
    DOIs
    Publication statusPublished - 2016
    EventThe Academy of Management Annual Meeting 2016: Making Organizations Meaningful - Anaheim, United States
    Duration: 5 Aug 20169 Aug 2016
    Conference number: 76
    http://aom.org/annualmeeting/

    Conference

    ConferenceThe Academy of Management Annual Meeting 2016
    Number76
    CountryUnited States
    CityAnaheim
    Period05/08/201609/08/2016
    Internet address
    SeriesAcademy of Management Proceedings
    ISSN2151-6561

    Keywords

    • Cross-classified
    • International diversification
    • Multilevel

    Cite this

    Nielsen, S., Nielsen, B. B., & Andersson, U. (2016). A Cross-classified Analysis of the International Diversification-performance Relationship. In J. Humphreys (Ed.), Proceedings of the Seventy-sixth Annual Meeting of the Academy of Management (pp. 1218-1222). [14755] Briar Cliff Manor, NY: Academy of Management. Academy of Management Proceedings https://doi.org/10.5465/AMBPP.2016.71
    Nielsen, Sabina ; Nielsen, Bo Bernhard ; Andersson, Ulf. / A Cross-classified Analysis of the International Diversification-performance Relationship. Proceedings of the Seventy-sixth Annual Meeting of the Academy of Management. editor / John Humphreys. Briar Cliff Manor, NY : Academy of Management, 2016. pp. 1218-1222 (Academy of Management Proceedings).
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    abstract = "IB research explains the sources of variation in firm performance; including firm specific resources and environmental conditions evolving over time. Hence, factors at multiple levels and across time affect firm strategy and performance. IB research has yet to take full advantage of multilevel longitudinal theorizing and modeling. This article provides compelling evidence for the importance of correctly modeling complex nesting structures in strategy research. We demonstrate how scholars can use random coefficient modeling (RCM) to investigate the impact of covariates at multiple levels, while simultaneously accounting for the cross-nested nature that often characterize strategy phenomena. Our results show that neglecting to account for the complex nesting structure of the data may lead to biased estimates of variance components and standard errors, resulting in erroneous conclusions regarding key relationships. Our study has profound consequences for future IB research, highlighting the criticality of correctly modeling - both theoretically and empirically - the relevant contextual levels and nesting structures.",
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    Nielsen, S, Nielsen, BB & Andersson, U 2016, A Cross-classified Analysis of the International Diversification-performance Relationship. in J Humphreys (ed.), Proceedings of the Seventy-sixth Annual Meeting of the Academy of Management., 14755, Academy of Management, Briar Cliff Manor, NY, Academy of Management Proceedings, pp. 1218-1222, Anaheim, United States, 05/08/2016. https://doi.org/10.5465/AMBPP.2016.71

    A Cross-classified Analysis of the International Diversification-performance Relationship. / Nielsen, Sabina; Nielsen, Bo Bernhard; Andersson, Ulf.

    Proceedings of the Seventy-sixth Annual Meeting of the Academy of Management. ed. / John Humphreys. Briar Cliff Manor, NY : Academy of Management, 2016. p. 1218-1222 14755 (Academy of Management Proceedings).

    Research output: Chapter in Book/Report/Conference proceedingArticle in proceedingsResearchpeer-review

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    Nielsen S, Nielsen BB, Andersson U. A Cross-classified Analysis of the International Diversification-performance Relationship. In Humphreys J, editor, Proceedings of the Seventy-sixth Annual Meeting of the Academy of Management. Briar Cliff Manor, NY: Academy of Management. 2016. p. 1218-1222. 14755. (Academy of Management Proceedings). https://doi.org/10.5465/AMBPP.2016.71