Publications

Journal Article

The authors use an adverse selection model to study the dynamics of firms' reputations when firms implement joint projects. The authors show that in the case of joint projects a firm's reputation does not necessarily increase following a success and does not necessarily decrease following a failure.

The authors also study how reputation considerations affect firms' decisions to participate in joint projects. The authors show that a high‐reputation partner is not necessarily preferable to a low‐reputation partner and, when implementation of the joint project by a single firm is possible, a high‐quality partner may not be preferable to a low‐quality partner.