SEMINAR WITH IVO ZANDER: UNRAVELLING THE MISSING LINK IN THE KNOWLEDGE-BASED VIEW OF THE FIRM
WHERE DO FIRMS AND FIRM BOUNDARIES COME FROM? UNRAVELLING THE MISSING LINK IN THE KNOWLEDGE-BASED VIEW OF THE FIRM
In this paper, we fill this theoretical void and explain the events and processes that create the knowledge and boundaries of the well-established firm. Starting from the knowledge of the founder, we account for how the subsequent transformation of that knowledge into explicit and generally held knowledge sets in motion systematic and predictable changes in the firm’s vertical and horizontal boundaries. We also describe how the founder’s continued presence in the evolving firm influences the transformation and dissemination of knowledge, thereby affecting the speed of change in firm boundaries. Our theory expands the knowledge-based view by making previously unexplained connections between early and later stages of firm development, and between knowledge that is held at the individual and organizational levels. It also introduces a dynamic element to the evolvement of firm boundaries, which has remained largely unaccounted for in both the knowledge-based view and other approaches to the nature of the firm.
Niron Hashai & Ivo Zander
Ivo Zander is the Anders Wall Professor of Entrepreneurship at the Department of Business Studies, Uppsala University. He has conducted extensive research on the dynamics of regional agglomerations, technological renewal of multinational corporations, and entrepreneurship. His current research interests include the organizational dynamics of start-up firms, corporate entrepreneurship, innovation and strategic renewal in the multinational corporation, and the entrepreneurial dynamics of accelerated internationalization. He teaches entrepreneurship and various aspects of growing and managing the international firm.
March the 13th.