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| Author: | Mitchell, W. Singh, K. |
| Title: | Death of the lethargic: effects of expansion into new technical subfields on performance in a firm's base business |
| Journal: | Organization Science
1993 : MAY, VOL. 4:2, p. 152-180 |
| Index terms: | TECHNOLOGICAL CHANGE COMPANIES DIVERSIFICATION |
| Language: | eng |
| Abstract: | This paper finds that industry incumbents that do not expand into new technical subfields tend to fare poorly in their established businesses, even if the market for the established products continues to exist. Firms that expand from their established businesses survive longer and achieve greater subsequent market share than competitors that do not expand. By some measures, however, a failed attempt to expand into a new subfield may be even more harmful to a base business than nonexpansion. |
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