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We describe when and how to use simulation methods in theory development. We develop a roadmap that describes theory development using simulation and position simulation in the " sweet spot " between theory-creating methods, such as multiple case inductive studies and formal modeling, and theory-testing methods. Simulation strengths include internal(More)
Understanding positioning is a central concern for strategy. We offer a rich, but tractable, formalization of competitive positioning that is explicit about how the success of firms' policy choices in the face of competition is impacted by the multiple attributes along which firms can create value for consumers. On the supply side, our theory incorporates(More)
Why do products exit markets? This paper integrates rationale for product exit from a number of different literatures and compares the statistical and substantive effect of these explanations. We use a novel dataset covering every product introduced into the desktop laser printer industry since its inception. Using hedonic models, hazard rate models, and(More)
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