Revisiting and Advancing Research on Strategic Change: Three Essays on Antecedents and Performance Implications

Abstract

This dissertation revisits and advances the understanding of strategic change (SC) by examining its antecedents, mechanisms, and performance implications in three interrelated studies. It explores the influence of firm performance, corporate venture capital (CVC), and the rhythms of strategic change on long-term organizational outcomes. (1) Revisiting the Relationship Between Firm Performance and Strategic Change Using a meta-analysis grounded in the behavioral theory of the firm, the study reexamines the link between poor firm performance and SC. Findings show a positive association moderated by external risk-taking and temporal environments, while distinguishing between business and corporate strategic change. (2) Corporate Venture Capital as a Driver of Strategic Change Drawing on interorganizational learning theory, this study investigates how CVC fosters SC in firms' product portfolios and geographic expansion. It demonstrates that CVC activity drives SC but is constrained by industry and cultural distance, highlighting CVC as a strategic learning tool. (3) Move to the Beat: Rhythms of Strategic Change and Firm Performance Rooted in entrainment theory and the change stability framework, this study examines the temporal dynamics of SC rhythms. The findings reveal that regular change rhythms harm long-term performance and that external environmental factors moderate this relationship. Additionally, SC rhythms are measured effectively using text analysis from annual reports. Overall, this dissertation integrates diverse theories and methodologies, offering novel insights into the complexities of SC. It underscores the importance of environmental and temporal contingencies, contributing to both theoretical advancement and managerial practice in navigating strategic change in dynamic business environments.