The Private and Common Benefits of Spanning Structural Holes within the MNE Network

Lisa Katarina Gärber, Torben Pedersen, Shalini Rogbeer

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


    It is well established that spanning structural holes creates private benefits through innovation. However, the extent to which other network members profit from spanning structural holes remains unclear. This research considers how subunits that span structural holes within the MNE network reap private benefits in terms of innovation, as well as contribute to the common network benefits through knowledge outflows. Acknowledging that a direct relationship between knowledge sharing and innovation exists, we use a 3SLS model to elucidate the various individual and simultaneous links among brokerage, innovation and knowledge outflows. In this way, we decompose some of the ways in which brokerage simultaneously affects knowledge outflows and
    innovation to map out the private and common benefits of brokering within the MNE network. We find that brokerage is indeed positively related to innovation but negatively to knowledge outflows, given also that, as expected, innovation is positively related to outflows. The reason that existing literature has ignored the knowledge outflow patterns of the broker, and as such its value-added to the network, may be that the total effect of knowledge outflow is indeed positive, although the direct effect of brokerage on knowledge outflow is
    Original languageEnglish
    Title of host publicationProceedings of the 54rd Annual Meeting of the Academy of International Business
    EditorsSusan Feinberg, Tunga Kiyak
    Place of PublicationEast Lansing, MI
    PublisherAcademy of International Business
    Publication date2012
    Publication statusPublished - 2012
    EventAIB 2012 Annual Meeting: Rethinking the Roles of Business, Government and NGOs in the Global Economy - George Washington University and University of Maryland, Washington, United States
    Duration: 30 Jun 20123 Jul 2012
    Conference number: 54


    ConferenceAIB 2012 Annual Meeting
    LocationGeorge Washington University and University of Maryland
    Country/TerritoryUnited States
    Internet address
    SeriesAcademy of International Business. Annual Meeting. Proceedings

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