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Case
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Reference no. 301-239-1
Published by: INSEAD
Originally published in: 2001
Version: 07.2015
Revision date: 29-Jan-2016

Abstract

This is the first of a two-case series. The case describes how five telecommunications equipment companies developed their innovative capabilities in order to address technological opportunities and competitive threats in the 'new economy'. Questions are raised as to how the growing importance of the stock market for firms in this industry has impacted on organizational learning and the development of innovative capabilities, in particular in relation to stock-based acquisitions and the use of stock options.

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Abstract

This is the first of a two-case series. The case describes how five telecommunications equipment companies developed their innovative capabilities in order to address technological opportunities and competitive threats in the 'new economy'. Questions are raised as to how the growing importance of the stock market for firms in this industry has impacted on organizational learning and the development of innovative capabilities, in particular in relation to stock-based acquisitions and the use of stock options.

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