This is a picture of ESMT books and working papers

Publications

ESMT Berlin publishes in international academic journals, which are first-class in their respective fields. Research also provides cutting-edge and profound insights for the business community as well as the classroom through managerial publications and case studies. This rare integration of research and practice makes ESMT Berlin an outstanding location for generating relevant and ground-breaking knowledge.

Journal Article
New

Knowing me, knowing you: Inventor mobility and the formation of technology-oriented alliances

Academy of Management Journal 61 (6): 2026–2052
2018 VHB Jürgen Hauschildt Award 2018 For the best empirical research publication in Innovation Management
Stefan Wagner, Martin C. Goossen (2018)
Abstract:
Subject(s): Strategy and general management, Technology, R&D management
Keyword(s): Inventor mobility, alliance formation, interfirm collaboration, technological capabilities, pharmaceuticals

We link the hiring of R&D scientists from industry competitors to the subsequent formation of collaborative agreements, namely technology-oriented alliances. By transferring technological knowledge as well as cognitive elements to the hiring firm, mobile inventors foster the alignment of decision frames applied by potential alliance partners in the process of alliance formation thereby making collaboration more likely. Using data on inventor mobility and alliance formation amongst 42 global pharmaceutical firms over 16 years, we show that inventor mobility is positively associated with the likelihood of alliance formation in periods following inventor movements. This relationship becomes more pronounced if these employees bring additional knowledge about their prior firm’s technological capabilities and for alliances aimed at technology development rather than for agreements related to technology transfer. It is weakened, however, if the focal firm is already familiar with the competitor’s technological capabilities. By revealing these relationships, our study contributes to research on alliance formation, employee mobility, and organizational frames.

With permission of the Academy of Management

Volume 61
Issue 6
Pages 2026–2052

Journal Article
New

Speeding up the Internet: Regulation and investment in the European fiber optic infrastructure

International Journal of Industrial Organization 61 (November): 613–652
Wolfgang Briglauer, Carlo Cambini, Michał Grajek (2018)
Abstract:
Subject(s): Economics, politics and business environment, Information technology and systems, Technology, R&D management
Keyword(s): Internet access market, access regulation, investment, infrastructure, Next Generation Networks, broadband, telecom, cable operators and EU regulatory framework
JEL Code(s): L96, L51

In this paper, we study how the coexistence of access regulations for legacy (copper) and fiber networks shapes the incentives to invest in fiber-based network infrastructures. To this end, we first develop a theoretical model that extends the existing literature by, among other things, considering alternative firms with proprietary legacy network (e.g., cable operators) and the presence of asymmetric mandated access to networks. In the empirical part, we test the theoretical predictions using a novel panel data from 27 EU member states pertaining to the last decade. Our main finding is that, in line with the theoretical results, stricter access regulations (i.e., a decrease in access price to legacy network and the adoption of fiber regulation) decrease the incumbent operators’ fiber investments. The estimated magnitude of these effects is economically significant. On the other hand, cable operators, who are responsible for the largest share of investments in fiber, are not affected by access regulation. Our paper thus provides policy insights for the on-going revision of the EU regulation framework for the electronic communications industry.

With permission of Elsevier

Volume 61
Issue November
Pages 613–652

Journal Article
New

Building sustainability into real estate

The European Business Review November/December: 85–88
Joanna Radeke, Alexander Boether, Alexandre Bezzera (2018)
Abstract:
Subject(s): Ethics and social responsibility
Keyword(s): Sustainability, real estate, environment, stakeholder theory
Issue November/December
Pages 85–88

Journal Article
New

Seeing the light

The European Business Review November-December: 81–84
Christoph Burger, Jens Weinmann, Antony Froggatt, Catherine Mitchell (2018)
Abstract:
Subject(s): Ethics and social responsibility
Keyword(s): Energy industry, entrepreneurship, innovation
Issue November-December
Pages 81–84

Journal Article
New

Do credit shocks affect labor demand? Evidence for employment and wages during the financial crisis

Journal of Financial Intermediation 36 (October 2018): 16–27
Alexander Popov, Jörg Rocholl (2018)
Abstract:
Subject(s): Economics, politics and business environment, Finance, accounting and corporate governance
Keyword(s): Credit shocks, financial crisis, labor demand, employment, wages
JEL Code(s): D92, G01, G21, J23, J31

We study the impact of exogenous funding shocks to German savings banks during the U.S. subprime mortgage crisis on the labor decisions of 30,000+ private and public firms in Germany. We find that firms with credit relationships with affected banks experience a significant decline in labor demand relative to firms with credit relationships with healthy banks, manifested in a simultaneous reduction in firm‐level employment and average wages. The employment effect is more pronounced in larger firms, while the wage effect is stronger in smaller firms. Both employment and wages go back to pre‐shock levels three years after the shock.

With permission of Elsevier

Volume 36
Issue October 2018
Pages 16–27

Journal Article
New

The Matthew effect as an unjust competitive advantage: Implications for competition near status boundaries

Journal of Management Inquiry 27 (4): 378–381
Henning Piezunka, Wonjae Lee, Richard Haynes, Matthew S. Bothner (2018)
Abstract:
Keyword(s): Status, competition, tournaments

Merton often envisioned status growth as a process of stepping across a boundary between one status grade and another more elite status grade. Such boundaries include the border between graduate school and a top academic department that young researchers try to traverse, or the frontier between scientists outside the French Academy and scientists inside the French Academy. As it is now common to measure status continuously using network data, the behavioral ramifications of status boundaries have been understudied in recent research. In this essay, we focus on competitive behaviors that emerge near a status boundary because of the desirability - as well as the “double injustice” - of the Matthew effect. Offering insights for future research, we discuss how these competitive behaviors are likely to delay, or even derail, status growth for those who are near a status boundary.

With permission of SAGE Publishing

Volume 27
Issue 4
Pages 378–381
ISSN 15526542 (Online) 10564926 (Print)

Book Review

IT-Sicherheitsrecht [IT-security law]

Review of Buchbesprechungen. Paul Voigt, IT-Sicherheitsrecht, Cologne: Computer und Recht
Abstract:
Subject(s): Information technology and systems, Technology, R&D management
Keyword(s): Cybersecurity, information security

Book review of Paul Voigt, “IT-Sicherheitsrecht”, (IT security law), 2018

Book Buchbesprechungen. Paul Voigt, IT-Sicherheitsrecht

Journal Article

Nothing is free: Data-driven optimisation unlocks freemium business models' real potential

The European Business Review September/October: 47–50
Stefan Wagner, Julian Runge (2018)
Abstract:
Subject(s): Information technology and systems, Management sciences, decision sciences and quantitative methods, Marketing, Strategy and general management
Keyword(s): Innovation, pricing, freemium, business model
Issue September/October
Pages 47–50

Journal Article

Too precise to pursue: How precise first offers create barriers-to-entry in negotiations and markets

Organizational Behavior and Human Decision Processes 148 (September): 87–100
Alice J. Lee, David D. Loschelder, Martin Schweinsberg, Malia F. Mason, Adam D. Galinsky (2018)
Abstract:
Subject(s): Human resources management/organizational behavior
Keyword(s): Anchor precision, negotiation entry, barriers-to-entry, first offers, social attribution, decision making

Precise first offers strongly anchor negotiation outcomes. This precision advantage has been previously documented only when the parties were already engaged in a negotiation. We introduce the concept of negotiation entry, i.e., the decision to enter a negotiation with a particular party. We predict that precise prices create barriers-to-entry, reducing a counterpart’s likelihood of entering a negotiation. Six studies (N=1,580) and one archival analysis of real estate sector data (N=11,214) support our barrier-to-entry prediction: Potential negotiators were less likely to enter a negotiation with precise versus round first offers. Using both statistical mediation and experimental-causal-chain analyses, we establish that perceptions of offer maker inflexibility underlie the precision barrier. Furthermore, we demonstrate that this inflexibility mechanism of precision is distinct from the mechanism (being offended) that creates barriers-to-entry for extreme first offers. The discussion theoretically integrates research on first-offer precision and extremity by offering the Precision-Extremity Model of First Offers.

With permission of Elsevier

Volume 148
Issue September
Pages 87–100

Journal Article

Appearing self-confident and getting credit for it: Why it may be easier for men than women to gain influence at work

Human Resource Management 57 (4): 839–854
Special Issue: Women's Career Equality and Leadership in Organizations: Creating an Evidence‐based Positive Change July/August 2018
Laura Guillén, Margarita Mayo, Natalia Karelaia (2018)
Abstract:
Subject(s): Human resources management/organizational behavior
Keyword(s): Self-confidence appearance, gender, job performance, prosocial orientation, organizational influence

Appearing self-confident is instrumental for progressing at work. However, little is known about what makes individuals appear self-confident at work. We draw on attribution and social perceptions literatures to theorize about both antecedents and consequences of appearing self-confident for men and women in male-dominated professions. We suggest that performance is one determinant of whether individuals are seen as confident at work, and that this effect is moderated by gender. We further propose that self-confidence appearance increases the extent to which individuals exert influence in their organizations. However, for women, appearing self-confident is not enough to gain influence. In contrast to men, women in addition are “required” to be prosocially oriented. Multisource, time-lag data from a technological company showed that performance had a positive effect on self-confidence appearance for both men and women. However, the effect of self-confidence appearance on organizational influence was moderated by gender and prosocial orientation, as predicted. Our results show that through self-confidence appearance, job performance directly enables men to exert influence in their organizations. In contrast, high performing women gain influence only when self-confidence appearance is coupled with prosocial orientation. We discuss the implications of our results for gender equality, leadership, and social perceptions.

© 2017 Wiley Periodicals, Inc.

Volume 57
Issue 4
Pages 839–854

Journal Article

Competition, loan rates and information dispersion in nonprofit and for-profit microcredit markets

Journal of Money, Credit and Banking 50 (5): 893–937
Guillermo Baquero, Malika Hamadi, Andréas Heinen (2018)
Abstract:
Subject(s): Finance, accounting and corporate governance
Keyword(s): Bank competition, microfinance, microcredit, microbank, loan rates, information dispersion, PAR, portfolio quality
JEL Code(s): D4, G21, L1, O1

We study the effects of competition on loan rates and portfolio-at-risk in microcredit markets using a new database from rating agencies, covering 379 microbanks located in 67 countries between 2002 and 2008. Our study reveals different competitive effects in nonprofit and for-profit microbanks. We find that for-profit microbanks charge significantly lower rates and exhibit improved portfolio-at-risk in less concentrated markets. In particular, the effect of concentration on loan rates is nearly three times the one reported in previous studies in banking. In contrast, nonprofit microbanks are relatively insensitive to changes in concentration. We control for interest rate ceilings, which very significantly reduce rates in for-profit microbanks. However, our study also uncovers a competitive interplay between for-profit and nonprofit microbanks. In particular, the PAR of nonprofit microbanks deteriorates when the proportion of profit-oriented microbanks increases. Finally, we find evidence consistent with dispersion of borrower-specific information among competing microbanks in the for-profit sector, even after controlling for the presence of credit registries.

Volume 50
Issue 5
Pages 893–937

Journal Article

Making prepublication independent replication mainstream

Behavioral and Brain Sciences 41
Warren Tierney, Martin Schweinsberg, Eric Luis Uhlmann (2018)
Abstract:
Subject(s): Human resources management/organizational behavior
Keyword(s): Crowdsourcing science, reproducibility

The widespread replication of research findings in independent laboratories prior to publication is suggested as a complement to traditional replication approaches. The pre-publication independent replication approach further addresses three key concerns from replication skeptics by systematically taking context into account, reducing reputational costs for original authors and replicators, and increasing the theoretical value of failed replications.

© Cambridge University Press 2018

Volume 41
ISSN 1469-1825 (Online) 0140-525X (Print)

Journal Article

Brand positioning and consumer taste information

European Journal of Operational Research 268 (2): 555–568
Arcan Nalca, Tamer Boyaci, Saibal Ray (2018)
Abstract:
Subject(s): Product and operations management
Keyword(s): Supply chain management, uncertain consumer taste, product introduction, product positioning, store brands, national brands, information acquisition, information sharing, vertical differentiation, horizontal differentiation

In this paper, we study how a retailer can benefit from acquiring consumer taste information in the presence of competition between the retailers store brand (SB) and a manufacturers national brand (NB). In our model, there is ex-ante uncertainty about consumer preferences for distinct product features, and the retailer has an advantage in resolving this uncertainty because of his close proximity to consumers. Our focus is on the impact of the retailers information acquisition and disclosure strategy on the positioning of the brands. Our analysis reveals that acquiring taste information allows the retailer to make better SB positioning decisions. Information disclosure, however, enables the manufacturer to make better NB positioning decisions – which in return may benefit or hurt the retailer. For instance, if a particular product feature is quite popular, then it is beneficial for the retailer to incorporate that feature into the SB, and inform the manufacturer so that the NB also includes this feature. Information sharing, in these circumstances, benefits both the retailer and the manufacturer, even though it increases the intensity of competition between the brands. But, there are situations in which the retailer refrains from information sharing so that a potentially poor positioning decision by the NB makes the SB the only provider of the popular feature. The retailer always benefits from acquiring information. However, it is beneficial to the manufacturer only if the retailer does not introduce an SB due to the associated high fixed cost.

With permission of Elsevier

Volume 268
Issue 2
Pages 555–568

Journal Article

Systematisierung des IT-Sicherheitsrechts. Ein Beitrag zu einem konstruktiven Strukturentwurf [Systematization of IT security law: A contribution to a structural design]

Computer und Recht 11: 706–720
Oliver Raabe, Martin Schallbruch, Anne Steinbrück (2018)
Abstract:
Subject(s): Information technology and systems, Technology, R&D management
Keyword(s): Cybersecurity, information security, legislation, risk management

With the increasing importance of the security of information technology for all areas of life, the IT security law has developed step by step without the European and German legislation being able to follow an overall draft. At the latest with the IT security regulations in the General Data Protection Regulation and the expansion of sector-specific regulations on IT security, questions of the systematization of the new area of law arise. The authors examine three key questions - the modeling of systems subject to the law, the concept of risk management, and the determination of the state of the art security measures. Finally, they outline the main elements of a restructuring of IT security law.

[Das IT-Sicherheitsrecht will die IT-Sicherheit schützen, folgt aber weder auf europäischer noch auf deutscher Gesetzgebungsebene einem Gesamtentwurf. Der Beitrag geht drei Schlüsselfragen nach – der Modellierung der dem Recht unterworfenen Systeme (II.), dem Risikobegriff (III.) sowie der Ermittlung des Standes der Technik (IV.) – und entwirft Grundzüge einer Strukturierung des IT-Sicherheitsrechts (V.).]

Issue 11
Pages 706–720
ISSN 2194-4172 (Online)

Journal Article

The barriers to recruiting and employing digital talent

Harvard Business Review
Linus Dahlander, Martin Wallin (2018)
Abstract:
Subject(s): Human resources management/organizational behavior, Strategy and general management
ISSN 0017-8012 (Print)

Pages