In this article Charles A. O’Reilly III and Michael L. Tushman discuss business strategies allowing companies to develop new products while continuing to performing product improvements on their current lines. These strategies involve creating a separate entity in order to develop new products working under the original business or separating and creating a new branch of the organization. Out of four different strategies the ambidextrous organization has the highest probability of success. When a company creates an ambidextrous organization they operate as a separate entity, but share resources with the original organization gaining the benefits of both inclusion and separation.
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