The growth and development of Clarke Chapman from 1864 to 1914

Abstract

Clarke Chapman was the main supplier of leading-edge auxiliary equipment to the British shipbuilding industry before the First World War. Penrose's theory was used to examine the company's growth. The findings of this study show that the ownership structure and the governance of the family-owned firm shaped its growth path. Product expansion driven by financial slack was followed by the development of new capabilities as shipbuilding converted from sail to steam-power. The next phase was geographical and international expansion underpinned by human resource slack. Additional productive opportunities were created by recruiting specialist human resources and pursuing hybrid modes of growth.

Keywords:

• Clarke Chapman
• company growth
• Edith Penrose
• resource based view

Notes

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^49. A sleeping partner who was a member of the Quaker banking family based in Norwich.

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^52. Openshaw, Cranemakers, 4.

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^54. Chapman and Furneaux was a separate firm producing locomotive boilers. It acquired Black, Hawthorn and Company in 1896 which it sold in 1902 to R & W Hawthorn, Leslie & Co. Ltd.

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^67. Nonaka and Takeuchi, Knowledge Creating Company, 65.

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^76. DS/CC1/1/1, Directors' Meeting Minutes, February 6, 1901.

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^90. DS/CC1/1/1, January 6, 1911.

^91. DS/CC1/145/1, Monthly Salaries Book.

^92. Chandler, Scale and Scope, 31.

^93. DS/CC1/2/1, General Meetings Minutes, February 29, 1896.

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^113. Annual Report 1900, p. 4.

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^118. Annual Report 1899, p. 2.

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^122. Annual Report 1900, p. 6.

^123. March, “Exploration and Exploitation.”

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^125. DS/CC1/2/1, February 16, 1895.

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^127. Levitas and Chi, “Value Creation Effects of Patenting,” 214.

^128. Smith, “Patents for Invention,” 111.

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^131. DS/CC1/1/1, May 30, 1901; November 29, 1901.

^132. DS/CC1/1/1, July 7, 1893.

^133. Openshaw, Cranemakers, 20.

^134. Annual Report 1902, p. 3.

^135. Acc 2505 DS/CC1/23(1).

^136. Kor et al., “Resources, Capabilities and Entrepreneurial Perceptions,” 1196.

^137. DS/CC1/1/1, January 17, 1902; February 7, 1902; May 11, 1906.

^138. Macleod et al., “Evaluating Inventive Activity,” 559.

^139. Cohen et al., Protecting their Intellectual Assets, 17.

^140. DS/CC1/1/1, September 22, 1902; December 5, 1903.

^141. DS/CC1/1/1, November 30, 1904.

^142. DS/CC1/1/1, February 19, 1910.

^143. DS/CC1/1/1, February 19, 1910

^144. DS/CC1/1/1, July 10, 1906.

^145. DS/CC1/1/1, June 29, 1909; September 20, 1909.

^146. Difficult to exploit this invention because the Red Flag Act of 1865 restricted vehicle speeds in built up areas to 2mph and 4mph in rural areas. Further, someone had to proceed in front of the vehicle waving a red flag.

^147. DS/CC1/1/1, January 28, 1896; February 6, 1897.

^148. DS/CC1/1/1, May 18, 1898.

^149. DS/CC1/1/1, September 21, 1898.

^150. Annual Report 1900, p. 5.

^151. Annual Report 1900, p. 5

^152. Sirmon et al., “Managing Firm Resources,” 280–81.

^153. DS/CC1/1/1, December 18, 1902; February 13, 1903.

^154. DS/CC1/1/1, November 13, 1907.

^155. Penrose, Growth of the Firm, 71–5.

^156. DS/CC1/1/1, October 8, 1901.

^157. Annual Report 1902, pp. 2–3. Clarke Chapman produced the first electric windlass in 1902.

^158. DS/CC1/2/1, February 1906.

^159. DS/CC1/2/1, February 1906

^160. Kay, “Hercules and Penrose,” 86; Penrose, “Hercules Powder Company.”

^161. DS/CC1/1/1, April 4, 1901.

^162. DS/CC1/1/1, October 8, 1901.

^163. DS/CC1/1/1, March 12, 1910.

^164. Cohen and Levinthal, “Absorptive Capacity,” 150.

^165. DS/CC1/1/1, May 19, 1910.

^166. DS/CC1/1/1, December 10, 1909.

^167. DS/CC1/1/1, December 9, 1913

^168. DS/CC1/1/1, September 29, 1905; May 11, 1906.

^169. DS/CC1/1/1, May 5, 1906.

^170. DS/CC1/1/1, August 22, 1912.

^171. Penrose, Growth of the Firm, 127.

^172. DS/CC1/1/1, September 22, 1904.

^173. DS/CC1/1/1, May 11, 1906.

^174. Macleod, “Negotiating the Rewards of Invention,” 18.

^175. DS/CC1/1/1, May 5, 1906.

^176. DS/CC1/1/1, June 22, 1906.

^177. DS/CC1/1/1, November 5, 1907.

^178. DS/CC1/1/1, April 24, 1906.

^179. Helfat and Lieberman, “Birth of Capabilities,” 737.

^180. Penrose, Growth of the Firm, 103.

^181. DS/CC1/1/1, August 25, 1893.

^182. Lockett and Thompson, “Penrose's Contributions to the Resource-based View,” 732.

^183. DS/CC1/1/1, November 21, 1903.

^184. Penrose, Growth of the Firm, 12.

^185. DS/CC1/1/1, April 20, 1904. Two engineers had been appointed by June 1904.

^186. DS.HL/5/2/13, Clarke Chapman 1909 diary given to Herbert Rowell, Head of Shipbuilding at R & W Hawthorn, Leslie and Co. Ltd.

^187. Penrose, Growth of the Firm, 56

^188. Shepherd et al., British Manufacturing Investment Overseas.

^189. DS.HL/5/2/13, Clarke Chapman 1909 diary given to Herbert Rowell.

^190. DS/CC1/1/1, December 21, 1908.

^191. DS/CC1/1/1, September 27, 1910.

^192. DS/CC1/1/1, February 9, 1911.

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^198. McKelvie and Wiklund, “Advancing Firm Growth Research,” 275.

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^203. DS/CC1/1/1, June 5, 1914.

^204. Anand and Khanna, “Licensing Contracts,” 204.

^205. DS/CC1/1/1, July 7, 1893.

^206. DS/CC1/1/1, February 9, 1894. A company established by Parsons, Clarke and Chapman.

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^208. DS/CC1/1/1, June 14, 1895.

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^215. DS/CC1/1/1, June 17, 1893.

^216. Wilson, “Dick, Kerr & Co,” 34.

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^218. Jefferys, “Denomination and Character of Shares,” 50.

^219. Jones and Rose, “Family Capitalism,” 8.

^220. He was involved in the foundation in 1871 of the Durham College of Science, later Armstrong College which became Newcastle University.

^221. Hite and Hesterly, “Evolution of Firm Networks,” 277.

^222. Prior and Kirby, “Society of Friends and the Family Firm,” 82.

^223. Sluyterman and Winkelman, “Dutch Family Firm,” 176.

^224. DS/CC1/1/1, April 17, 1901.

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^226. Pollard and Robertson, British Shipbuilding Industry, 26

^227. Pollard and Robertson, British Shipbuilding Industry, 88.

^228. DS/CC1/77/1–2.

^229. Zeitlin, “Craft Control,” 271.

^230. DS/CCI/2/1, February 23, 1901.

^231. DS/CC1/2/1, March 1, 1902.

^232. DS/CC1/1/1, July 7, 1893.

^233. DS/CC1/77/2

^234. Church, “Family Firm,” 25.

^235. Cotrell, Industrial Finance, 169

^236. Chandler, Scale and Scope, Chap. 7; Lazonick, Business Organisation, Chap. 1.

^237. McKelvie and Wiklund, “Advancing Firm Growth Research,” 261–2.

^238. Penrose, Growth of the Firm, 24.

^239. Kor and Mahoney, “Penrose's Contributions to the Resource-based View,” 190.

^240. Hannah, “Mergers,” 2.

^241. Chandler, Scale and Scope, 287.

^242. Garnsey et al., “New Firm Growth,” 2.

^243. Lockett et al., “Organic and Acquisitive Growth,” 62.

^244. Zeitlin, “Craft Control and the Division of Labour,” 271.

^245. Pitelis, “Behavioural Resource-based View of the Firm,” 478.

^246. Mishina et al., “Resources,” 1181.

^247. Lieberman and Montgomery, “First-mover Advantages.”

^248. Pettus, “Trucking Industry,” 891.

^249. Holbrook et al., “Semiconductor Industry,” 1019.

^250. Mishina et al, “Resources,” 1191.

^251. Davidsson et al., “Growing Profitable”, 399–400.

^252. Penrose, Growth of the Firm, 89.

^253. Penrose, Growth of the Firm, 41–4.

^254. Granoveter, “Embeddedness,” 490–93.

^255. Nahapiet and Ghoshal, “Social Capital,” 243–5.

^256. Kor and Mahoney, “Penrose's Contributions to the Resource-based View,” 187.

^257. McKelvie and Wiklund, “Advancing Firm Growth Research,” 273.

^258. Karim and Mitchell, “Path-dependent and Path-breaking Change,” 1067–9.

^259. Barney, “Firm Resources,” 102.

^260. March, “Exploration and Exploitation,” 72.