What is it about?
Acquisitions of related firms mainly increase the depth of knowledge, while acquisitions of unrelated firms develop the breadth of knowledge.
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Why is it important?
Using a latent variable structural equation model with a sample of 202 US biotechnology firms between 1990 and 2009, we investigate the extent to which the M&As with different partners contribute to the depth and breadth of the focal firm’s knowledge base.
Perspectives
We have developed an index of measuring the depth and breadth of technological knowledge.
Dr Suman Lodh
Middlesex University
Read the Original
This page is a summary of: Technological breadth and depth of knowledge in innovation: the role of mergers and acquisitions in biotech, Industrial and Corporate Change, June 2014, Oxford University Press (OUP),
DOI: 10.1093/icc/dtu013.
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