“…This “approach is appropriate when existing theory provides a useful frame for a baseline argument but is not robust enough for precise hypotheses” (Bettis et al , : 950). Although inductive large‐N research designs are rare in the management literature (but see Amore, Garofalo, and Minichilli, ; Birhanu, Gambardella, and Valentini, ), they have often been applied in economic and finance research (e.g., Bandiera, Prat, and Sadun, ; Fryer and Levitt, ; Jensen and Murphy, ).…”