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Absorptive capacity

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The “Indy Way”: Lessons From Brazilian Sugarcane Ethanol And Indycar Partnership, Christian Santiago, Jane Siegler, Marcelo Martins Sa Jan 2017

The “Indy Way”: Lessons From Brazilian Sugarcane Ethanol And Indycar Partnership, Christian Santiago, Jane Siegler, Marcelo Martins Sa

Scholarship and Professional Work - Business

This paper explores how the Brazilian sugar-energetic processors used Indycar racing to increase exports to the United States and create value by transforming the Brazilian ethanol from a commodity fuel to an advanced biofuel, between 2009 to 2012. This case study uses the relationship between Brazilian Sugar-cane Industry Association (UNICA), Brazilian Trade and Investment Promotion Agency (APEX-Brazil), and the IndyCar Racing League (IRL), to show the ability to learn and perform in a competitive scenario. Absorptive Capacity (ACAP) theory is used to understand how the Brazilian sugar-energetic processors identified, assimilated, transformed, and exploited knowledge from this relationship, as well as …


How Do Young Firms Manage Product Portfolio Complexity? The Role Of Absorptive Capacity And Ambidexterity, Stephanie A. Fernhaber, Pankaj C. Patel Jan 2012

How Do Young Firms Manage Product Portfolio Complexity? The Role Of Absorptive Capacity And Ambidexterity, Stephanie A. Fernhaber, Pankaj C. Patel

Scholarship and Professional Work - Business

Building a complex portfolio of products can be beneficial for young firms due to increased sales growth and competitiveness. Yet, the benefits from product portfolio complexity (PPC) are often outweighed by rising costs, leading to an inverted U-shaped relationship between PPC and performance. Recent research has called for an increased understanding of how firms are able to better manage higher levels of PPC. We suggest that absorptive capacity and ambidexterity are vital to enhancing the benefits and mitigating the costs of increasing PPC. Using a sample of 215 young high technology firms, we find support for positive moderating effects of …