Digital Transformation Through Exploratory and Exploitative Internet of Things Innovations: The Impact of Family Management and Technological Diversification*

• DOI: 10.1111/jpim.12551
• Publication Date: 2020-08-12T03:37:20Z
• Authors: René Ceipek; Julia Hautz; Alfredo De Massis; Kurt Matzler; Lorenzo Ardito
• Keywords: Exploratory research

This study examines the impact of family management on digital transformation with specific regard to firm’s development Internet Things (IoT) innovations. Drawing distinctive characteristics firms managers, such as focus family‐centered noneconomic goals, long tenure, emotional ties existing assets, and rigid mental models, it hypothesizes that increasing involvement in top team is negatively related IoT innovations are distant from a technology base (i.e., exploratory innovations) compared exploitative Further, proposes degree technological diversification, especially unrelated forms, reinforces this relationship. The longitudinal analysis between 2002 2013 sample publicly traded German allows us test our hypotheses beginning emergence concept. Our findings show due particular their family‐managed do not welcome risks innovations, benefit risk diversification lower than cost abandoning goals. As results imply managers constrains innovation, composition intend be at forefront should accurately designed by avoiding high proportion members.