Together with researchers from WWU Münster, JProf. Dr. Simon Hensellek examined the effects of corporate venture capital and strategic alliances on product recalls by U.S. companies in their study "Beneficial, Harmful, or Both? Effects of Corporate Venture Capital and Alliance Activity on Product Recalls".
Based on the resource-based view (RBV) and learning theory, the research team examined the effect of corporate venture capital and strategic alliances of firms on product recalls. Based on a panel data set of 75 large companies listed on the S&P 500, the team found that corporate venture capital and strategic alliances have an inverted U-shaped relationship with the likelihood of a product recall. These relationships are additionally dependent on the severity of current market turbulence.
The study sheds new light on the research of opportunities and risks of corporate venturing. In addition, the study contributes to the resource-based view and learning theory by illustrating why some companies benefit from corporate venturing and others not.
Entrepreneurship Theory and Practice Journal (ETP) is an internationally leading international entrepreneurship journal: Clarivate Impact Factor 2021: 9.993; Australian Business Deans Council: A*; Scimago Journal Ranking: Q1; VHB JOURQUAL3: A.
Bendig, D., Hensellek, S., & Schulte, J. (2023). Beneficial, Harmful, or Both? Effects of Corporate Venture Capital and Alliance Activity on Product Recalls. Entrepreneurship Theory and Practice. https://doi.org/10.1177/10422587221141682