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When the mirror gets misted up: Modularity and technological change
Author(s) -
Furlan Andrea,
Cabigiosu Anna,
Camuffo Arnaldo
Publication year - 2014
Publication title -
strategic management journal
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 11.035
H-Index - 286
eISSN - 1097-0266
pISSN - 0143-2095
DOI - 10.1002/smj.2138
Subject(s) - mirroring , modularity (biology) , modular design , industrial organization , dynamic capabilities , business , component (thermodynamics) , computer science , knowledge management , psychology , communication , genetics , biology , thermodynamics , physics , operating system
This study investigates how component technological change affects the relationship between product modularity and organizational modularity (the across‐firm mirroring hypothesis). Studying the air conditioning industry, we show that the across‐firm mirroring hypothesis does not hold for technologically dynamic components and the associated supply relationships. In this case, the mirror gets “misted up” with buyers and suppliers having recourse to information sharing even in the presence of highly modular components. Our study contributes to the debate on the organizational implications of modularity and its ramifications for the theory of the firm . Copyright © 2013 John Wiley & Sons, Ltd.