Effect of the Two Types of Exploitation on Organizational Ambidexterity and Firm Performance: Analysis in the Japanese Video Game Industry

Recent organizational ambidexterity studies have discussed the importance of achieving a balance between exploration and exploitation. However, existing studies have not distinguished the detail of exploitation, this study breaks down exploitation into repetitive exploitation and incremental e...

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Main Author: Taiki ITO
Format: Article
Language:Japanese
Published: The Academic Association for Organizational Science 2022-09-01
Series:AAOS Transactions
Subjects:
Online Access:https://www.jstage.jst.go.jp/article/aaostrans/11/1/11_66/_pdf/-char/ja
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author Taiki ITO
author_facet Taiki ITO
author_sort Taiki ITO
collection DOAJ
description Recent organizational ambidexterity studies have discussed the importance of achieving a balance between exploration and exploitation. However, existing studies have not distinguished the detail of exploitation, this study breaks down exploitation into repetitive exploitation and incremental exploitation. Our study contributes to ambidexterity studies by analyzed the impact of the combination of this two exploitation and exploration in firm performance. Using Japanese video game industries' 674 observations from 1997 to 2019 as panel data analysis, like the existing studies, we proved that firm performance is increased when exploration and exploitation balance is achieved. At the same time, we found that firms with a lower exploration had higher performance when the rate of incremental exploitation was high. The results of our study suggest that even when the firm's ambidexterity is imbalance, different results can be expected when the details of exploitation are considered.
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institution Kabale University
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series AAOS Transactions
spelling doaj-art-20efcccc19704b089bc19bd7126eff352025-01-09T02:44:23ZjpnThe Academic Association for Organizational ScienceAAOS Transactions2758-27952022-09-011116672https://doi.org/10.11207/aaostrans.11.1_66Effect of the Two Types of Exploitation on Organizational Ambidexterity and Firm Performance: Analysis in the Japanese Video Game IndustryTaiki ITO0Chiba University of CommerceRecent organizational ambidexterity studies have discussed the importance of achieving a balance between exploration and exploitation. However, existing studies have not distinguished the detail of exploitation, this study breaks down exploitation into repetitive exploitation and incremental exploitation. Our study contributes to ambidexterity studies by analyzed the impact of the combination of this two exploitation and exploration in firm performance. Using Japanese video game industries' 674 observations from 1997 to 2019 as panel data analysis, like the existing studies, we proved that firm performance is increased when exploration and exploitation balance is achieved. At the same time, we found that firms with a lower exploration had higher performance when the rate of incremental exploitation was high. The results of our study suggest that even when the firm's ambidexterity is imbalance, different results can be expected when the details of exploitation are considered.https://www.jstage.jst.go.jp/article/aaostrans/11/1/11_66/_pdf/-char/jaambidexterityincremental exploitationrepetitive exploitationvideo game industry
spellingShingle Taiki ITO
Effect of the Two Types of Exploitation on Organizational Ambidexterity and Firm Performance: Analysis in the Japanese Video Game Industry
AAOS Transactions
ambidexterity
incremental exploitation
repetitive exploitation
video game industry
title Effect of the Two Types of Exploitation on Organizational Ambidexterity and Firm Performance: Analysis in the Japanese Video Game Industry
title_full Effect of the Two Types of Exploitation on Organizational Ambidexterity and Firm Performance: Analysis in the Japanese Video Game Industry
title_fullStr Effect of the Two Types of Exploitation on Organizational Ambidexterity and Firm Performance: Analysis in the Japanese Video Game Industry
title_full_unstemmed Effect of the Two Types of Exploitation on Organizational Ambidexterity and Firm Performance: Analysis in the Japanese Video Game Industry
title_short Effect of the Two Types of Exploitation on Organizational Ambidexterity and Firm Performance: Analysis in the Japanese Video Game Industry
title_sort effect of the two types of exploitation on organizational ambidexterity and firm performance analysis in the japanese video game industry
topic ambidexterity
incremental exploitation
repetitive exploitation
video game industry
url https://www.jstage.jst.go.jp/article/aaostrans/11/1/11_66/_pdf/-char/ja
work_keys_str_mv AT taikiito effectofthetwotypesofexploitationonorganizationalambidexterityandfirmperformanceanalysisinthejapanesevideogameindustry