Turnover Events, Vicarious Information, and the Reduced Likelihood of Outlet-Level Exit Among Small Multiunit Organizations

@article{Kalnins2006TurnoverEV,
  title={Turnover Events, Vicarious Information, and the Reduced Likelihood of Outlet-Level Exit Among Small Multiunit Organizations},
  author={Arturs Kalnins and Anand Swaminathan and Will Mitchell},
  journal={Organization Science},
  year={2006},
  volume={17},
  pages={118-131}
}
Akey question for organizational learning research is to identify opportunities and constraints for firms to gain useful information from the activities and performance of other firms. We argue that market-level turnover events generate and release vicarious information that small multiunit organizations can use to enhance their likelihood of survival. We focus on two specific turnover events, ownership transfers and contemporaneous exit-entry pairs (cases in which both outlet entry and outlet… CONTINUE READING

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