Associate Professor - Department of Strategy and Entrepreneurship
Biography
Pengfei Wang obtained his PhD in Strategy from Rotterdam School of Management, Erasmus University Rotterdam. He was a visiting scholar at Ross School of Business at University of Michigan. Pengfei joined BI at 2017. His research covers social status, technological innovation, and venture capital financing. His studies have been accepted for publication by journals including Academy of Management Journal, Management Science, Research Policy, Journal of Business Venturing, Long Range Planning, and Journal of International Management.
Publications
Wang, Pengfei (2019)
Price space and product demography: Evidence from the workstation industry, 1980–1996
This study adds to the product innovation literature by emphasizing the important yet understudied role of price distribution in shaping product demography (i.e. new product introductions and exits). While prior research has focused on market niches in the technological and geographic spaces in order to explain product demography, price space has received very limited attention despite the important role of price in the market. We posit that product dynamics are largely shaped by the existing price distribution. More specifically, we argue that local density in price space determines both the likelihood of existing products exiting the market and the rate of new products entering it. Analyzing product exit and entry in the U.S. workstation industry from 1980 to 1996, we find that while price density increases an existing product’s exit rate, new products are also more likely to enter the niches where the price density is high. We also draw attention to internal price density within multiproduct firms, analyzing a product’s price distance from the other products launched by the same firm. We find that this type of internal price density decreases both existing products’ exit rate and new products’ entry likelihood. Our emphasis on price space contributes to the literature on product innovation and demography.
Wang, Pengfei (2018)
Broadening versus reinforcing investor portfolios: Social structure and the search for venture capital investors
Uncertainty experienced by market audiences is the fundamental premise for status to take effect. Whereas prior research usually assumes that uncertainty is evenly distributed among audiences, this study emphasizes the heterogeneity of audiences. Audiences usually differ in the scope of firms they cover. They acquire more information and confront less uncertainty when evaluating firms under their coverage than those not. Status may thus exert different effects across audiences. My theoretical development is situated in the context of M&A. In particular, I hypothesize that although an acquirer's status is generally beneficial, it is more appealing to investors who do not cover the acquirer, as compared to covering investors. Results of the empirical analysis on the U.S. deals between 1990 and 2014 provide considerable support for my framework.
Wang, Pengfei; Van de Vrande, Vareska & Jansen, Justin (2017)
Balancing exploration and exploitation in inventions: Quality of inventions and team composition