Advanced Search

Journal Navigation

Journal Home

Subscriptions

Archive

Contact Us

Table of Contents

Click here for more information

CiteULike is a free service for managing and discovering scholarly references - click here to get started.

Sign In to gain access to subscriptions and/or personal tools.
Journal of Management
This Article
Right arrow Full Text (PDF)
Right arrow References
Right arrow Alert me when this article is cited
Right arrow Alert me if a correction is posted
Right arrow Citation Map
Services
Right arrow Email this article to a friend
Right arrow Similar articles in this journal
Right arrow Similar articles in Web of Science
Right arrow Alert me to new issues of the journal
Right arrow Add to Saved Citations
Right arrow Download to citation manager
Right arrowRequest Permissions
Right arrow Request Reprints
Right arrow Add to My Marked Citations
Citing Articles
Right arrow Citing Articles via HighWire
Right arrow Citing Articles via Web of Science (1)
Right arrow Citing Articles via Google Scholar
Right arrow Citing Articles via Scopus
Google Scholar
Right arrow Articles by Warner, A. G.
Right arrow Articles by Steensma, H. K.
Right arrow Search for Related Content
Social Bookmarking
Add to CiteULike   Add to Complore   Add to Connotea   Add to Del.icio.us   Add to Digg   Add to Reddit   Add to Technorati   Add to Twitter  
What's this?

Managing Uncertainty in a Formal Standards-Based Industry: A Real Options Perspective on Acquisition Timing

Alfred G. Warner

James F. Fairbank

Penn State Erie, the Behrend College, the Sam and Irene Black School of Business, 5091 Station Road, Erie, PA 16563

H. Kevin Steensma

University of Washington Business School, Management and Organization Department, Mackenzie Hall, Box 353200, Seattle, WA 98195-3200

Scholars have theorized that firms can intervene in the creation of formal technology standards to reduce uncertainty and influence the outcome to their advantage. One approach is through early acquisition: Firms can acquire targets with relevant technology prior to standardization. Using real options logic, the authors show how early acquisitions can be considered a growth option under certain circumstances. They find that acquisitions are more likely to occur before the passage of the standard when (a) acquirers lacked relevant technical knowledge, (b) target firms possessed relevant technical knowledge,and (c) acquirers had a prior equity investment in the target firm.

Key Words: real options • acquisition • technology standards • telecommunications

Journal of Management, Vol. 32, No. 2, 279-298 (2006)
DOI: 10.1177/0149206305280108
Add to CiteULike CiteULike   Add to Complore Complore   Add to Connotea Connotea   Add to Del.icio.us Del.icio.us   Add to Digg Digg   Add to Reddit Reddit   Add to Technorati Technorati   Add to Twitter Twitter    What's this?


This article has been cited by other articles:


Home page
 Journal of ManagementHome page
R. Ragozzino and J. J. Reuer
Contingent Earnouts in Acquisitions of Privately Held Targets
Journal of Management, August 1, 2009; 35(4): 857 - 879.
[Abstract] [PDF]