Exploration and Exploitation Within and Across Organizations

A Symbolic Outcome of Exploration and Exploitation: The Mediation Effect of Exploration and Exploitation on the Relationship between Innovation Actions and Firm Reputation

“…Exploration and exploitation have been conceptualized as distinct forms of innovation (Lavie, Stettner, & Tushman, 2010). In this study, I tend to introduce new outcomes of exploration and exploitation to show their distinct effects.…”

Attention and Entrepreneurial Cognition

“…As discussed earlier, when faced with large and complex option sets, individuals are unable to dedicate full attention to all matters simultaneously; rather, they are likely to focus their attention on a restricted set of issues (Lavie et al 2010;Ocasio 2011). However, firms can develop methods to enhance their decision-making speed in areas of particular interest.…”

“…For example, practices and routines associated with prospecting deal with how to allot slack resources to explore possible opportunities (George 2005), how to normalize and learn from minor failures (Sitkin 1992), and how to effectively redistribute resources from one firm to another (Brown and Eisenhardt 1997). Routines and practices related to exploitation, on the other hand, entail the management of risk and preservation of strategic congruence (Greve 2007;March 1991), the refinement of current technologies and attainment of efficiency (Csaszar 2013;March 1991), and the ramping up of operations to reach economies of scale and scope (Lavie et al 2010). As these examples illustrate, standard operating procedures influence and direct the decisions firms make (Cyert and March 1963) as well as affect their speed.…”

Entrepreneurial Cognition

“…For example, practices and routines associated with prospecting deal with how to allot slack resources to explore possible opportunities (George 2005), how to normalize and learn from minor failures , and how to effectively redistribute resources from one firm to another (Brown and Eisenhardt 1997). Routines and practices related to exploitation, on the other hand, entail the management of risk and preservation of strategic congruence (Greve 2007;March 1991), the refinement of current technologies and attainment of efficiency (Csaszar 2013;March 1991), and the ramping up of operations to reach economies of scale and scope (Lavie et al 2010). As these examples illustrate, standard operating procedures influence and direct the decisions firms make (Cyert and March 1963) as well as affect their speed.…”