Citation
A Process Model of Internal Corporate Venturing in the Diversified Major Firm
TL;DR
Ventures need structural separation for distinctive strategies
Classic paper on internal corporate venturing, documenting how new ventures within large corporations must achieve structural separation to develop distinctive strategies, but also need strategic context (connection to corporate resources) to succeed.
Identifies the fundamental tension in organizational radiation: ventures need parent resources but proximity prevents specialization - what the chapter calls the 'Isolation Paradox.'
Key Findings from Burgelman (1983)
- Ventures need structural separation for distinctive strategies
- Ventures also need connection to corporate resources
- Tension between autonomy and resource access