Sidney G. Winter, Gabriel Szulanski, Dimo Ringov, Robert J. Jensen
The recognition that better use of existing knowledge can enhance performance has spawned substantial interest in the replication of productive knowledge within organizations. An enduring belief is that when expanding by replication, organizations can and should strive to adapt to fit the salient characteristics of new environments. Yet some have argued that the exploitation of an established template for doing business by replication can be more successful when the template is copied precisely. Using unique longitudinal data, we report a large-sample empirical investigation of the survival consequences of accurate replication versus local adaptation by examining the effect that deviation from the template has on the survival chances of franchise units within a large franchise organization. © 2012 INFORMS.
Department of Management, Wharton School, University of Pennsylvania, Philadelphia, PA 19104, United States; Strategy Department, INSEAD, Singapore 138676, Singapore; Department of Business Policy, ESADE Business School, Barcelona 08034, Spain; Department of Organizational Leadership and Strategy, Marriott School, Brigham Young University, Provo, UT 84602, United States
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