ABSTRACT Manuscript Type: Review Research Question/Issue: Over the last four decades,
research on the relationship between boards of directors and strategy has proliferated. Yet …

We model the distortions that internal power struggles can generate in the allocation of
resources between divisions of a diversified firm. The model predicts that if divisions are …

We develop a two-tiered agency model that shows how rent-seeking behavior on the part of
division managers can subvert the workings of an internal capital market. By rent-seeking …

Does corporate diversification reduce shareholder value? Since firms endogenously choose
to diversify, exogenous variation in diversification is necessary to draw inferences about the …

This paper develops a theory of organization based on the benefits and costs of internal
capital markets. A central assumption is that the transaction cost of raising external funds is …

Zahra and Covin's self‐reported scale was amended and utilized to categorize businesses
along Porter's typology. Strategic capability scales were adopted from DeSarbo and …

This paper analyzes the optimality of conglomeration. We show that the potential benefits of
conglomeration depend critically on the effectiveness of market discipline for stand-alone …

The combination strategy was associated with higher performance in some but not all
instances. Strategic clarity–the extent to which a single strategy reflects the organization's …

Purpose–This study aimed to examine the prospective role played by perceived
environmental uncertainty in the strategy‐performance linkage among SMEs in China …

We survey the recent literature on corporate diversification. How does corporate
diversification influence firm value? Does it create or destroy value? Until the beginning of …