Product demography of de novo and de alio firms in the optical disk drive industry, 1983-1999

Carroll, G.R.; Khessina, O.M.

doi:10.1287/orsc.1070.0301

Product demography of de novo and de alio firms in the optical disk drive industry, 1983-1999

Carroll, G.R.; Khessina, O.M.

Authors

G.R. Carroll

O.M. Khessina

Abstract

Little theory and research addresses the ways organizational context affects the demography of products. We examine this question here by focusing on an organization's mode of market entry. Specifically, we explore differences between firms entering a market de novo (start-up) and those entering de alio (diversification from another market). We analyze all products ever shipped in the worldwide optical disk drive (ODD) industry, 1983-1999. We find an almost paradoxical empirical pattern, whereby de novo firms typically introduce products with widely agreed upon "better" (that is, universally more appealing) technological characteristics. Yet these products generally stay on the market for a shorter time than those of de alio firms, whose products generally display less appealing technological features.

Citation

Carroll, G., & Khessina, O. (2008). Product demography of de novo and de alio firms in the optical disk drive industry, 1983-1999. Organization Science, 19(1), 25-38. https://doi.org/10.1287/orsc.1070.0301

Journal Article Type	Article
Publication Date	Jan 1, 2008
Deposit Date	Mar 28, 2011
Publicly Available Date	Sep 22, 2014
Journal	Organization Science
Print ISSN	1047-7039
Electronic ISSN	1526-5455
Publisher	Institute for Operations Research and Management Sciences
Peer Reviewed	Peer Reviewed
Volume	19
Issue	1
Pages	25-38
DOI	https://doi.org/10.1287/orsc.1070.0301