Enhancing value via cooperation: Firms' process benefits from participation in a standard consortium

Mu Xia, Kexin Zhao, Joseph T. Mahoney

Research output: Contribution to journalArticle

Abstract

Firms benefit from participating in a consortium in two ways: from final products and from the cooperation process. Process benefits, including interorganizational learning and social capital benefits, are critical to motivate firms to participate in a consortium. However, there is limited understanding of what factors enable firms to obtain process benefits via consortium activities. Based on 232 member surveys collected from seven e-business standard consortia, we find that firms anticipate more process benefits if they are more technically capable, value the forthcoming standards higher, and participate in a better-managed consortium. Surprisingly, although relational risks exist due to potential competition among consortium members, their impacts on process benefits are insignificant in e-business standard consortia. Furthermore, our empirical analysis suggests that more technically capable firms handle relational risk less effectively when learning within the consortium.

Original languageEnglish (US)
Article numberdtr056
Pages (from-to)699-729
Number of pages31
JournalIndustrial and Corporate Change
Volume21
Issue number3
DOIs
StatePublished - Jun 1 2012

Fingerprint

Participation
Consortium
Relational risk
Electronic business
Factors
Potential competition
Inter-organisational learning
Empirical analysis
Social capital

ASJC Scopus subject areas

  • Economics and Econometrics

Cite this

Enhancing value via cooperation : Firms' process benefits from participation in a standard consortium. / Xia, Mu; Zhao, Kexin; Mahoney, Joseph T.

In: Industrial and Corporate Change, Vol. 21, No. 3, dtr056, 01.06.2012, p. 699-729.

Research output: Contribution to journalArticle

@article{a160860f8f02407298b2ce0f0963262f,
title = "Enhancing value via cooperation: Firms' process benefits from participation in a standard consortium",
abstract = "Firms benefit from participating in a consortium in two ways: from final products and from the cooperation process. Process benefits, including interorganizational learning and social capital benefits, are critical to motivate firms to participate in a consortium. However, there is limited understanding of what factors enable firms to obtain process benefits via consortium activities. Based on 232 member surveys collected from seven e-business standard consortia, we find that firms anticipate more process benefits if they are more technically capable, value the forthcoming standards higher, and participate in a better-managed consortium. Surprisingly, although relational risks exist due to potential competition among consortium members, their impacts on process benefits are insignificant in e-business standard consortia. Furthermore, our empirical analysis suggests that more technically capable firms handle relational risk less effectively when learning within the consortium.",
author = "Mu Xia and Kexin Zhao and Mahoney, {Joseph T.}",
year = "2012",
month = "6",
day = "1",
doi = "10.1093/icc/dtr056",
language = "English (US)",
volume = "21",
pages = "699--729",
journal = "Industrial and Corporate Change",
issn = "0960-6491",
publisher = "Oxford University Press",
number = "3",

}

TY - JOUR

T1 - Enhancing value via cooperation

T2 - Firms' process benefits from participation in a standard consortium

AU - Xia, Mu

AU - Zhao, Kexin

AU - Mahoney, Joseph T.

PY - 2012/6/1

Y1 - 2012/6/1

N2 - Firms benefit from participating in a consortium in two ways: from final products and from the cooperation process. Process benefits, including interorganizational learning and social capital benefits, are critical to motivate firms to participate in a consortium. However, there is limited understanding of what factors enable firms to obtain process benefits via consortium activities. Based on 232 member surveys collected from seven e-business standard consortia, we find that firms anticipate more process benefits if they are more technically capable, value the forthcoming standards higher, and participate in a better-managed consortium. Surprisingly, although relational risks exist due to potential competition among consortium members, their impacts on process benefits are insignificant in e-business standard consortia. Furthermore, our empirical analysis suggests that more technically capable firms handle relational risk less effectively when learning within the consortium.

AB - Firms benefit from participating in a consortium in two ways: from final products and from the cooperation process. Process benefits, including interorganizational learning and social capital benefits, are critical to motivate firms to participate in a consortium. However, there is limited understanding of what factors enable firms to obtain process benefits via consortium activities. Based on 232 member surveys collected from seven e-business standard consortia, we find that firms anticipate more process benefits if they are more technically capable, value the forthcoming standards higher, and participate in a better-managed consortium. Surprisingly, although relational risks exist due to potential competition among consortium members, their impacts on process benefits are insignificant in e-business standard consortia. Furthermore, our empirical analysis suggests that more technically capable firms handle relational risk less effectively when learning within the consortium.

UR - http://www.scopus.com/inward/record.url?scp=84861808829&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=84861808829&partnerID=8YFLogxK

U2 - 10.1093/icc/dtr056

DO - 10.1093/icc/dtr056

M3 - Article

AN - SCOPUS:84861808829

VL - 21

SP - 699

EP - 729

JO - Industrial and Corporate Change

JF - Industrial and Corporate Change

SN - 0960-6491

IS - 3

M1 - dtr056

ER -