The software development field has inherently been identified with two field-level institutional logics: logic of the profession and logic of the markets. Traditionally, information systems development methodologies (ISD) have been utilized to reconcile the competing demands from these two logics. In this paper, we study how these two logics manifest in a platform-based software ecosystem, where significant entrepreneurial opportunities are created for independent third-party app developers (indies). Specifically, we study how indie developers manage the two logics on the iOS platform ecosystem, under the influence of the platform owner Apple. We first identify practices of indie developers consistent with the two field logics across three entrepreneurial domains: app ideation, execution and marketing. Second, we identify areas where the two field logics may be in conflict as well as in coexistence. We show that indie developers enact logic conflict through disagreement and denunciation of the opposing logic. When logics that are inherently opposed appear to coexist, we investigate how app developers manage these opposing demands through a process that we term logic synthesis. Using a grounded theory approach, we propose a model of field-level market and professional logics operating in the mobile app platform ecosystem and the practices reflecting such logics within the indie developer community. Our work contributes to the growing literature on platform ecosystems and the processes adopted by third-party app developers in such ecosystems, in addition to furthering the study of institutional logics in technology contexts.
Although the adoption of new technology has received significant attention in management research, investigations of abandonment have lagged. In this study, we examine differences in the rates of abandonment of medical technologies based on whether abandonment occurs in response to the emergence of a superior technology, or in light of new information questioning its efficacy. We link differences in responses to underlying differences in the mission and incentives of organizations. Examining coronary stents across three technological regime changes using a census of approximately 2 million patients admitted to Florida hospitals from 1995-2007, we show meaningful differences across three hospital types: for-profit, not-for-profit, and academic medical centers (AMCs), Results show that for-profit hospitals abandon the earlier generation in favor of a superior technology faster than not-for-profit hospitals, but this is not the case if the efficacy of the technology is questioned. Academic medical centers, however, have the highest rates of abandonment under both triggers. Importantly, we find that organizational factors dominate physician differences as explanatory factors for abandonment. We discuss implications of our study for the role of organizational norms, as related to advancement of best practices in science and pecuniary incentives.
We study the effect of product market competition on the propensity to use corporate venture capital (CVC) as a part of an information technology (IT) firm’s innovation strategy. Using novel measures of product market competition based on product descriptions from firm 10-K statements and accounting for potential endogeneity, we investigate how product market competition during the period 1997-2007 relates to the magnitude of CVC spending. We first find that firms in competitive markets make higher R&D and CVC investments. In addition, we find that increasing product market competition leads to a shift away from internal R&D spending and into CVC. These movements are significantly stronger for technology leaders, i.e. firms with deep patent stocks, in the IT industry. We also find that CVC appears to be an effective way of exploiting external knowledge for technology leaders in the IT-producing industry, but not for technology laggards. CVC investments lead to significantly more patent applications for technology leaders but no appreciable difference for laggards. Our results provide new insights for theories of innovation in competitive, dynamic markets, potentially as part of a portfolio that includes internal R&D as well as open innovation models.
Best Paper Proceedings, AOM Conference 2012, Tech and Innovation Management
Online auction environments provide several sources of information that can be used by bidders to form their bids. One such information set that has been relatively understudied in the literature pertains to reference prices available to the bidder from other concurrent and comparable auctions. In this paper, we study how reference prices from such auctions affect bidding behavior on the focal auction. We also study how the impact of these reference prices is moderated by bidder heterogeneity. Bidders are shown to be influenced by two sets of references prices: internal reference prices from their own historical bidding behavior and external reference prices, formed from other open and just-finished auctions relative to the focal auction. We measure bidder heterogeneity using bidder experience and level of participation in concurrent auctions. Our results show that external reference prices are significantly moderated by bidder heterogeneity. In a departure from current work, we use longitudinal data on auctions and bids in the B2B secondary markets, where goods represent salvage or returned items from big-box retailers and bidders are business buyers. The dataset comprises over 4000 auctions collected from a large liquidator firm in North America and is unique in its comprehensiveness. Our work provides theoretical insights that are complementary to the current set of results from B2C auctions as well as managerial implications for auctioneers in the B2B space.
Best Student Paper Finalist, AOM Conference 2013, Operations Management Division
In this paper, we study the impact of increases in media coverage from two sources, newspapers and blogs, on firm founding rates in the context of technology-based entrepreneurship. Although increasing work in information systems has begun to investigate the effect of user generated content on entrepreneurial behavior, limited attention has been devoted to how media affects firm founding or the boundary conditions of such an effect. Arguing for the direct effect of increased discourse in traditional and user-generated media in the IT industry, results suggest that discourse in traditional media and blogs strongly influences IT firm founding rates. We further consider the differential impacts of media discourse on firm founding in different IT sub-sectors, over time, and in different locations. We test our hypotheses using entrepreneurial firm founding data from VentureXpert from 1998-2007, social media data from the three largest blogging platforms, and traditional media coverage from eleven major US newspapers. Our work contributes to a better understanding of the concurrent effects of multiple forms of media on decision-making and adds to the small but emerging literature addressing entrepreneurship-related research questions in IS.
Best Empirical Paper, Entrepreneurship Division, AOM Conference 2012
The procurement of maintenance, repair and operating (MRO) goods has remained a relatively understudied topic in the literature on supply chain and operations management. Though vital cost efficiencies can be extracted from procurement processes by virtue of investments in Internet-based e-procurement systems, there is little empirical work that addresses the manner in which such systems should be deployed within organizations. In this paper, we focus on the role of e-procurement systems in MRO procurement and study two critical aspects of infusion within service organizations. The first dimension, referred to as intensity, captures the depth of e-procurement use within the procurement function in the organization while the second dimension, acceptance, pertains to the breadth of use. We argue that these two dimensions of e-procurement use, and their interaction, will be related to the performance of the MRO procurement process within the organization. Using survey data obtained from 193 service organizations and structural equation modeling techniques, we show that the two infusion dimensions are significantly associated with improved process performance. In addition, we show a substantial substitutive effect between the two use dimensions on performance. Our work has significant implications for managers who seek to gain efficiencies by the deployment of Internet-based technologies within operational processes. Our conceptualization of e-procurement infusion along two dimensions, capturing intensity and acceptance, also provides a more fine-grained analysis of performance benefits accruing from the infusion of information technologies within service organizations.