Publication Type

Journal Article

Version

publishedVersion

Publication Date

2-2024

Abstract

While prior research has established a link between the attention an organization allocates to the external environment and its adaptations to environmental change, the nature of the cognitive processes that underlie this link remains underexamined. In this study, we explore how patterns of attentional engagement—that is, the extent to which attention allocation is focused and/or consistent over time—influence the organization’s formulation of strategic responses to discontinuous change. We advance a situated perspective on attentional engagement by suggesting how the type of learning and cognitive processes are situated in different attentional-engagement structures, and can, in turn, lead to heterogeneous strategic responses to the same discontinuous change. Specifically, we formulate a theoretical model elaborating how varied levels of attentional focus and attentional consistency affect whether organizations respond by breaking, reinforcing, hedging, or maintaining the status quo. Subsequently, we develop and test our arguments using a dataset covering U.S. banking firms from 2002 to 2010—a period that includes the U.S. housing crisis.

Keywords

behavioral strategy, managerial cognition, panel data methods, research methods, strategic change, strategy process, topics and perspectives

Discipline

Organizational Behavior and Theory | Strategic Management Policy

Research Areas

Strategy and Organisation

Publication

Strategic Organization

Volume

22

Issue

1

First Page

49

Last Page

90

ISSN

1476-1270

Identifier

10.1177/14761270231187090

Publisher

SAGE Publications

Copyright Owner and License

Authors

Additional URL

https://doi.org/10.1177/14761270231187090

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