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Colleagues and Competitors: How Internal Social Comparisons Shape Organizational Search and Adaptation
- Source :
- Baumann, O, Eggers, J P & Stieglitz, N 2019, ' Colleagues and Competitors : How Internal Social Comparisons Shape Organizational Search and Adaptation ', Administrative Science Quarterly, vol. 64, no. 2, pp. 275-309 . https://doi.org/10.1177/0001839218766310
- Publication Year :
- 2018
- Publisher :
- SAGE Publications, 2018.
-
Abstract
- Intra-organizational comparisons—managers and units benchmarking their performance against each other—can turn colleagues into competitors. To better understand when organizations should allow or even encourage internal social comparisons, we study their implications for organizational adaptation and performance. We conceptualize internal social comparisons as an upstream competitive process that shapes performance aspirations and creates interdependencies in search behavior. We distinguish this from downstream, product market competition or complementarities where performance is interdependent across units. Integrating both aspects into a computational model, we show how internal social comparisons affect adaptation and performance through two mechanisms: a balancing effect whereby the organization is guaranteed to contain both exploring and exploiting units, and a stabilizing effect whereby internal social comparisons protect against abandoning existing technologies too early. The benefits of upstream comparisons are accentuated when units are downstream complements, helping synchronize search. When units are downstream competitors, these benefits disappear, suggesting substitutive effects. We highlight empirical implications and discuss theoretical links to work on intra-organizational competition, social comparisons and aspiration-driven search, diversification and performance, and the adaptation of multi-business firms.
- Subjects :
- 050402 sociology
Public Administration
Sociology and Political Science
multi-business firm
Process (engineering)
media_common.quotation_subject
Competition (economics)
0504 sociology
Arts and Humanities (miscellaneous)
0502 economics and business
Adaptation (computer science)
Industrial organization
media_common
Social comparison theory
Upstream (petroleum industry)
05 social sciences
internal social aspirations
social comparisons
organizational search
Benchmarking
Competitor analysis
Interdependence
organizational adaptation
intra-organizational competition
Business
050203 business & management
Subjects
Details
- ISSN :
- 19303815 and 00018392
- Volume :
- 64
- Database :
- OpenAIRE
- Journal :
- Administrative Science Quarterly
- Accession number :
- edsair.doi.dedup.....e4ec73c140f1e10d805a04d51c221d12