In this conceptual paper we consider resource acquisition and configuration in new technologybased firms. Essentially, we propose that bootstrapping and bricolage are essential dynamic capabilities in such firms. We argue these embedded routines, which are connected by learning processes, provide a way to remain lean and agile while managing innovation in a dynamic environment. Bootstrapping en...

In the case of events such as fundamental regulatory reforms or radical technological advances, firms have to undertake discontinuous or dynamic learning. Such learning involves the generation of new capacity through the acquisition of new knowledge and the combination of it with the firm’s existing accumulated knowledge. In developing countries the challenge for firms to develop new competenci...

The impact of The Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS) on the growth and technological capabilities of the Indian pharmaceutical industry and indeed the pharmaceutical industry of other emerging countries has emerged as a critical issue in the quest for affordable healthcare for poor populations. Evidence suggests that the initial response of the Indian pha...

For many reasons (differentiation, duration of the relationship with the customers...) a lot of firms, especially SMEs, are moving from an offer of product to an offer of a product-service. From this point of view, firms need to implement new management rules, in terms of skills and control. In this paper, we propose a framework with three levels of modeling, which aims at providing guidelines ...

This paper explains market turbulence, such as the recent dotcom boom/bust cycle, as equilibrium industry dynamics triggered by technology innovation. When a major technology innovation arrives, a wave of new firms implement the innovation and enter the market. However, if the innovation complements existing technology, some new entrants will later be forced out as more and more incumbent firms...

This study investigates whether deviation from target leverage (leverage adjustment speed) in firms with small positive earnings (i.e., SPOS) is higher (slower) than that of other firms. We find evidence suggesting that managers of SPOS manipulate sales, production processes, and discretionary expenses to avoid reporting losses. Our results show that deviation from target leverage in SPOS is hi...

Highly variable returns, asymmetric information and a lack of collateral should cause small high-tech firms to have poor access to debt. New equity financing has several advantages over debt, but may be costly compared to internal finance. We examine an unbalanced panel of over 2,400 publicly traded United States high-tech companies over the period 1981 to 1998. Most small high-tech firms obtai...

We investigate how performance relative to aspirations affects firm response to a technological discontinuity by examining how incumbent firms in the U.S. computer industry responded to the introduction of the Personal Computer. We find that firms performing further below and further above their aspirations were more likely to adopt the new technology. Among adopters, those performing below his...

The Importance and Contribution of new technology-based Firms (NTBFs) to long term economic development is at the center of a controversial debate. This paper provides an overview of the current status of research on various issues concerning NTBFs in Germany. The issues covered include the incidence of start-ups firms in Germany’s technology-intensive sectors and their regional clustering. The...