Market-driven organizational lock-in: A case study of a former first mover |
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Authors: | Rune Njøs Stig-Erik Jakobsen Vegar Rosnes |
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Institution: | 1. Bergen University College, P.O. Box 7030, NO-5020 Bergen, Norwayrune.njos@hib.no;3. Bergen University College, P.O. Box 7030, NO-5020 Bergen, Norway |
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Abstract: | ABSTRACTThe article addresses the question of how an innovative firm develops from being a first mover to an innovation laggard and whether this process can be reversed. Informed by the evolutionary perspective and path-dependence theory, the authors explore how a low-tech Norwegian firm in the oil and gas industry has lost its foothold as an innovator. They also employ the concept of organizational architecture as an analytical tool to investigate the agency for breaking organizational paths. Through participant observation and semi-structured interviews, their study revealed that the innovation activity of the case firm is in a state of lock-in following a path-dependence development. Product development in the firm is linked to incremental changes to existing products based on the feedback from the customer, and the process is characterized by knowledge exploitation rather than knowledge exploration. The article adds to the literature on path dependence by identifying how a strong market pull can be a driver for organizational path dependence and lock-in. |
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Keywords: | Arnt Fløysand Catriona Turner |
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