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The Renewal of Mature Industries

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The Renewal of Mature Industries JOCHEM J. KROEZEN The Renewal of Mature Industries An Examination of the Revival of the Dutch Beer Brewing Industry The Renewal of Mature Industries An Examination of the Revival of the Dutch Beer Brewing Industry The Renewal of Mature Industries An Examination of the Revival of the Dutch Beer Brewing Industry De Vernieuwing van Volwassen Industrieën Een Onderzoek naar de Wederopleving van de Nederlandse Bierindustrie Thesis to obtain the degree of Doctor from the Erasmus University Rotterdam by command of the rector magnificus Prof.dr. H.A.P. Pols and in accordance with the decision of the Doctorate Board. The public defense shall be held on Thursday 30 October 2014 at 13:30 hrs. by Jochem Jacob Kroezen born in Amstelveen, The Netherlands Doctoral Committee Promoters: Prof. P.P.M.A.R. Heugens Other members: Prof. M. Schneiberg Prof. J. Van Oosterhout Prof. K. Munir Erasmus Research Institute of Management – ERIM The joint research institute of the Rotterdam School of Management (RSM) and the Erasmus School of Economics (ESE) at the Erasmus University Rotterdam Internet: http://www.erim.eur.nl ERIM Electronic Series Portal: http://hdl.handle.net/1765/1 ERIM PhD Series in Research in Management, 333 ERIM reference number: EPS-2014-333-S&E ISBN 978-90-5892-38-20 © 2014, Jochem J. Kroezen Design: B&T Ontwerp en advies www.b-en-t.nl This publication (cover and interior) is printed by haveka.nl on recycled paper, Revive®. The ink used is produced from renewable resources and alcohol free fountain solution. Certifications for the paper and the printing production process: Recycle, EU Flower, FSC, ISO14001. More info: http://www.haveka.nl/greening All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means electronic or mechanical, including photocopying, recording, or by any information storage and retrieval system, without permission in writing from the author. Preface Preface This dissertation is, in the first place, inspired by a growing fascination for the Dutch beer brewing industry. While all of us are likely to have a certain acquaintance with this industry through exposure to its signature product—the success of which is worthy of a dissertation on its own—I discovered that there is much to be learned from the “lesser gods” in this industry. During my graduate education, I had the good fortune to be able to interview many founders of new beer breweries in the Netherlands. Looking back on this time, I can say that this experience has been life changing. The images and stories of these individuals will stay with me for the rest of my life. While these individuals significantly differed in their backgrounds and ambitions, what really stuck with me was the incredible passion each of them displayed as well as their admirable organizational aims. For many, contributing to the enrichment of the collective Dutch beer culture was often just as, or even more, important than maximizing their own brewery’s profitability. I found this kind and degree of entrepreneurial activity especially intriguing in light of the presence of a handful of powerful multinationals that dominated the entire supply chain. Over time, as I learned more about the industry and came to appreciate the long history of beer brewing in the Netherlands, I began to ask myself a range of questions that all boiled down to one: Where did all these new organizations come from? This dissertation will provide an answer to this question through three different empirical studies. I believe strongly that, together, these studies provide valuable insights for scholars, practitioners, and real humans across disciplines, industries and countries. My fascination for beer aside, this dissertation would not have been possible without the support of an extensive set of amazing people. First, I would like to express my deepest gratitude to my promoter, Pursey Heugens. I remember very well the day that I walked up to one of my lecturers during my undergrad classes in Rotterdam to express my interest in working as a research assistant. Speaking of life changing events, I will never regret the fact that this lecturer happened to be Pursey. From the very beginning since we started working together, Pursey has provided me with unlimited support. I thank him for encouraging me to connect to the rest of the world through participation in conferences and i Preface research visits from the very beginning of my doctoral training, and for providing me with the time and space to develop my own academic voice. I will dearly miss the “eitjes” he used to make during the meetings we used to have in Utrecht. In short, I praise myself incredibly lucky to having been able to work closely with such a warm and inspiring person. I am also very fortunate to have been able to rely on an extensive international network of magnificent individuals. In the first place, I would like to thank Will Felps and Roy Suddaby for their encouragements and invaluable advice throughout my entire PhD trajectory as well as for being such generous referees during my job application process. I owe my success on the job market in part to them. Special thanks to Bill Foster for introducing me to the whole world at ASAC and AOM. Without Bill my network would have been one fifth of the size it is today. Thanks also to Marc-David Seidel, Martin Schulz, Sally Maitlis and the other great members of the OBHR Department at UBC for making my research visit an invaluable experience. I am also greatly indebted to Tom Lawrence and Stephanie Bertels who gave so generously of their time to provide me with feedback during the early stages of my dissertation. Tom made me a better writer through his detailed feedback at various stages during my PhD. My research would not have been possible without the cooperation of many individuals in the beer brewing industry. First of all, I would like to thank all the brewery founders that were willing to share their stories so honestly, extensively and passionately. I could not have wished for better quality data. I would like to especially thank Jan Ausems, for providing me with access to his amazing beer brewery database, Willem Verboom, for helping me find many obscure books about Dutch beer brewing, Rob Gras and Peter Eijssing, for giving me an insight in the early operations of PINT and providing me with additional sources from their own personal archives, as well as the current directors of PINT, for answering my questions and helping me collect additional data. My colleagues at RSM and my co-authors also deserve my gratitude for making this journey worthwile. Special thanks to Michel for his energy and enthiusasm for research, which played an important role in my decision to pursue an academic career. I also warmly thank my other friends at RSM with whom I share good memories: Bernardo, Ivana, Jurriaan, Kati, Lameez, Michiel, Nathan, Pepijn, Roxana, Saeed, Shiko and the ii Preface many other great individuals that made my time at RSM both inspiring and enjoyable. Carolien, Patricia, and Janneke are also thankfully acknowledged for their brilliant support in jumping bureaucratic hoops. I gratefully thank past and current members of the ERIM management and staff, in particular, Tineke, Miho, Marisa, Natalija, Patrick, and Kim. I further acknowledge ERIM and the Erasmus Trust Fund for the generous support received during my candidacy, which allowed me to find inspiration across the globe. Finally, I am looking forward to continuing to work with and be inspired by my current co-authors: Sébastien (it is good to have a good friend so close by now!), Pooya, Vern, Derek, Will, Ivana, Bill, Diego, David, Bernardo, Klaus, Kai and, of course, Pursey. Last, but certainly not least, I would like to acknowledge my deep indeptedness to my family. My parents, for their continued love and support without which I would not have been able to complete this journey, or any journey for that matter. My beautiful sister Annebel, for providing so many moments of joy and my little/not-so-little-anymore, sister Dafina. I am also greatly indebted to my step father, Eric, for providing me with peaceful part time office space when that was hard to come by in my own house, as well as my in- laws, Joan and Mark, whose endless support and admiration has contributed greatly to my confidence in my abilities. I also want to thank Tom, Jeroen, Teun, Eddie, Jaap, Donna and the many other great friends and extended family that have helped me come all this way. And finally, the true source of my inspiration and the purpose of my life, my wife Jessica and our son Stellan. Jessica, you are making me whole. Stellan, I am immensely proud of you. I love you both to the moon and back. Jochem Kroezen Cambridge, September 2014 iii Word Cloud iv Table of Contents Table of Contents Chapter 1. General Introduction ...................................................................................... 1 1.1 Research Topic: The Renewal of Mature Industries ........................................ 1 1.1 Theoretical Background ...................................................................................... 5 1.1.1 Defining Industry Renewal.............................................................................. 5 1.1.2 Previous Research............................................................................................ 7 1.1.3 Theoretical Puzzles........................................................................................ 12 1.2 Dissertation Overview........................................................................................ 13 1.2.1 Study one: Organizational identity formation: Processes of identity imprinting and enactment in the Dutch mircobrewing landscape ............................... 13 1.2.2 Study two: New beer in old kegs: Organizational detritus and organizational founding in the Dutch beer brewing industry.............................................................. 14 1.2.3 Study three: Institutional logic re-emergence after dormancy: The rise of the craft beer market in the Netherlands............................................................................ 15 Chapter 2.
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