Knowledge-acquisitions and post-acquisition innovation performance: a comparative hazards model

Authors: Datta, Pratim; Roumani, Yaman

Journal: European Journal of Information Systems (2015)

DOI: 10.1057/ejis.2014.32

Do acquisitions lead to instrumental innovations related to the acquired knowledge? Past arguments on vertical integration espouse how a quest for knowledge drives acquisitions culminating in innovation performance. Using Google and Yahoo as cases-in-point, we examine how facets of acquired innovation knowledge impact post-innovation performance. In particular, the apparently opposing fortunes of Google and Yahoo allow us to investigate the pace of their innovation performance as a hazards model. Results from our investigation highlight Google’s ambidexterity over Yahoo with a swifter, systematic pace of innovation performance – from hastening time to patenting new ideas to the time to releasing new applications from acquisitions.

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