Erden, Zeynep; Klang, David; Sydler, Renato; von Krogh, Georg (Elsevier, 2015)
This study shows that the value of a firm's knowledge stocks in a stakeholder group is determined by the rules, values, norms and social evaluations conducted in that group. Based on prior work on the knowledge-based view of the firm and institutional theory, we develop a model of the relationship between the reputation of a firm's knowledge stocks in the scientific and business communities, and the impact of these assets on firm performance. We test the model in a longitudinal research setting with a set of carefully sampled public biopharmaceutical firms. The results indicate that the social evaluations of knowledge stocks by both the scientific and business communities affect firm performance. We indicate the implications of our findings for academic thought and for management practice.
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