Abstract:
Co-location of industry professionals often leads to development of collaboration networks, and multiple studies have emphasized the benefits of embedded collaboration. Due to higher levels of trust, embedded collaboration reduces transaction costs and facilitates ready knowledge exchanged. Other studies have pointed to dangers of over-embeddedness. The argument is that too high levels of embeddedness lead to habitual thinking, preferential treatment, and thereby mitigate performance. However, research on the conditions under which embeddedness in different types of collaboration networks primarily yields costs or benefits still leaves much to be investigated....