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Research seminar with Dr. Thorsten Grohsjean
November 15, 2013 @ 12:00 pm - 1:15 pm
Thorsten Grohsjean is Junior professor of strategy and organization in technology intensive industries at LMU Munich. His research interests cover organizational learning, knowledge transfer, innovation, teams and social networks.
Thorsten’s full profile can be read here.
Hiring from Rivals and Competitive Behavior
We study how hiring employees from rival firms affects competitive behavior. Specifically, we discuss how informational and psychological ties to former organizations and colleagues may influence employees’ competitive behavior towards them. Using data on the National Hockey League we find that employees perform worse when competing against former organizations and colleagues. Second, we isolate the influence of psychological ties by studying aggressive behavior and find that employees exhibit less aggressive behavior against former colleagues but more against former organizations. We conclude that hiring from rivals may have detrimental effects on competitive behavior and that psychological ties play a significant and nuanced role. We contribute to research on learning-by-hiring that has previously only identified positive effects of hiring from rivals and has not yet analyzed competitive behavior. We also contribute to research on competitive dynamics by introducing individual employees as a new level of analysis.