Steven Michael

Steven Michael

Professor of Business Administration

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391 Wohlers Hall

1206 S. Sixth

Champaign, IL 61820



Educational Background

  • Ph.D., Business Economics, Strategy, Structure, and Control in Franchise Systems, Harvard University, 1993
  • MBA, Kellogg School of Management at Northwestern University, 1987
  • M. Eng., Systems Engineering, University of Virginia, 1981
  • B.A., Mathematical Sciences, Rice University, 1980

Positions Held

  • Professor of Business Administration, University of Illinois, 2010 to present
  • Co-Director, Hoeft Technology and Management Program, University of Illinois, College of Business and College of Engineering, 2004 to present
  • Associate Professor of Business Administration, University of Illinois, 2001-2010
  • Assistant Professor of Business Administration, University of Illinois, 1997-2001
  • Assistant Professor, George Mason University, 1993-1997
  • Software Engineer II, Wang Laboratories, 1983-1985
  • Technical Staff, Bell Laboratories, 1981-1983

Recent Publications

  • Michael, S. Forthcoming (2019). Dual Agency in Retail Chains. Journal of Marketing Channels,.
  • Michael, S. Forthcoming (2019). What Should We Teach in the New Ventures Class? An Empirical Analysis. Journal of Entrepreneurship Education,.
  • Pettus, M., Kor, Y., Mahoney, J., & Michael, S. (2018). Sequencing and timing of strategic responses after industry disruption: Evidence from post-deregulation competition in the US railroad industry. Strategic Organization, 16 (4), 373-400.
  • Pettus, M., Kor, Y., Mahoney, J., & Michael, S. (2018). Sequencing and Timing of Strategic Responses after Industry Disruption: Evidence from Post-Deregulation Competition in the US Railroad Industry. Strategic Organization, 16 (4), 373-400.
  • Riley, S., Michael, S., & Mahoney, J. (2017). Human Capital Matters: Market Valuation of Firm Investments in Training and the Role of Complementary Assets. Strategic Management Journal, 38 (9), 1895-1914.

Other Publications


  • Michael, S. (2014). Can Franchising Be an Economic Development Strategy? An Empirical Investigation. Small Business Economics, 42 (3), 611-620.  link >
  • Horsky, S., Michael, S., & Silk, A. (2012). The Internalization of Advertising Services: An Inter-Industry Analysis. Review of Marketing Science, 10 (1),  link >
  • Michael, S. (2012). Monitoring Technical Managers: Theory, Evidence, and Prescriptions. Journal of High Technology Management Research, 26 (1), 36-45.
  • Gillis, W., Crook, T., McEwan, E., & Michael, S. (2011). Using Tournaments to Reduce Agency Problems: The Case of Franchising. Entrepreneurship: Theory and Practice, 35 (3), 427-447.
  • Michael, S. (2009). Entrepreneurial Signaling to Attract Resources: The Case of Franchising. Managerial and Decision Economics, 30 (6), 405-422.
  • Combs, J., Michael, S., & Castrogiovanni, G. (2009). Institutional and Economic Influences on the Choice of Organizational Form: The Case of Franchising. Journal of Management, 35 (5), 1268-1290.
  • Michael, S., & Pearce II, J. (2009). The Need for Innovation as a Rationale for Government Involvement in Entrepreneurship. Entrepreneurship and Regional Development, 21 (3), 285-302.
  • Michael, S., & Combs, J. (2008). Entrepreneurial Failure: The Case of Franchisees. Journal of Small Business Management, 46 (1), 73-90.
  • Michael, S. (2007). Can Information Technology Enable Profitable Diversification? Journal of Engineering and Technology Management, 24 (3), 167-185.
  • Kor, Y., Michael, S., & Mahoney, J. (2007). Resources, Capabilities, and Entrepreneurial Perceptions. Journal of Management Studies, 44 (7), 1187-1212.
  • Michael, S. (2007). Transaction Cost Entrepreneurship. Journal of Business Venturing, 22 (3), 412-426.
  • Michael, S., & Pearce II, J. (2006). Strategies to Prevent Economic Recessions from Causing Business Failure. Business Horizons, 49 (3), 201-209.
  • Michael, S., & Kim, S. (2005). The Organizational Ecology of Retailing: A Historical Perspective. Journal of Retailing, 81 (2), 113-123.
  • Michael, S., & Pearce II, J. (2004). Choosing Constraints as a Third Solution to Agency. Journal of Management Studies, 41 (7), 1171 - 1198.
  • Michael, S., & Palandjian, T. (2004). Organizational Learning and New Product Introductions. Journal of Product Innovation Management, 21 (4), 268 - 276.
  • Combs, J., Michael, S., & Castrogiovanni, G. (2004). Franchising: A Review and Avenues to Greater Theoretical Diversity. Journal of Management, 30 (6), 907-931.
  • Michael, S. (2003). Determinants of the Rate of Franchising across Nations. Management International Review, 43 (3), 267-290.
  • Michael, S. (2003). First Mover Advantage through Franchising. Journal of Business Venturing, 18 (1), 61-80.
  • Michael, S. (2002). Can a Franchise Chain Coordinate? Journal of Business Venturing, 17 (4), 325-341.
  • Michael, S. (2002). Time to Discovery: The Role of Time in the Entrepreneurial Discovery Process. Business Ethics Quarterly, Ruffin series 3 157-161.
  • Michael, S. (2000). Investments to Create Bargaining Power: The Case of Franchising. Strategic Management Journal, 21 (4), 497-514.
  • Michael, S. (2000). The Effect of Organizational Form on Quality: The Case of Franchising. Journal of Economic Behavior and Organization, 43 295-318.
  • Michael, S. (2000). The Extent, Motivation, and Effect of Tying in Franchise Contracts. Managerial and Decision Economics, 21 191-201.
  • Michael, S. (1999). The Elasticity of Franchising. Small Business Economics, 12 (4), 313-320.
  • Michael, S. (1999). Do Franchise Chains Advertise Enough? Journal of Retailing, 75 (4), 461-478.
  • Dewan, S., Michael, S., & Min, C. (1998). Firm Characteristics and Investments in Information Technology: Scale and Scope Effects. Information Systems Research, 9 (3), 219-232.
  • Michael, S., & Robbins, D. (1998). Retrenchment among Small Manufacturing Firms during Recession. Journal of Small Business Management, 36 (3), 35-45.
  • Holt, D., Godfrey, J., & Michael, S. (1997). The Case Against Cooperative Learning. Issues in Accounting Education, 12 (1), 191-195.
  • Pearce II, J., & Michael, S. (1997). Marketing Strategies That Make Small Manufacturing Firms Recession-Resistant. Journal of Business Venturing, 12 (4), 301-314.
  • Michael, S. (1996). Rents and Competitive Advantage in Franchising. Franchising Research, 1 (3), 38-43.
  • Michael, S. (1996). To Franchise or Not to Franchise: An Analysis of Decision Rights and Organizational Form Shares. Journal of Business Venturing, 11 (1), 57-71.
  • Michael, S. (1994). Competition between Organizational Forms: Mail Order versus Retail Stores, 1910-1940. Journal of Economic Behavior and Organization, 23 269-286.

Chapter in a Book

  • Michael, S., & Bercovitz, J., J. Nickerson and B. Silverman (Ed.) (2009). A Strategic Look at the Organizational Form of Franchising. Economic Institutions of Strategy ( pp. 193-220). Emerald Group Publishing, Ltd.
  • Mahoney, J., & Michael, S., R. Agarwal, S. Alvarez, & O. Sorenson (Ed.) (2005). A Subjectivist Theory of Entrepreneurship. Handbook of Entrepreneurship ( pp. 33-53). New York: Springer Publications.
  • Michael, S., M. A. Hitt & R. D. Ireland (Ed.) (2005). Franchising. Entrepreneurship Encyclopedia London: Blackwell Publishing House.
  • Michael, S., F. Dansereau & F. Yammarino (Ed.) (2003). Two Faces of Strategic Group Theory. Multi-Level Issues in Organizational Behavior and Strategy, Research in Multi-Level Issues Greenwich, CT: JAI Press.
  • Michael, S., Storey, D., & Thomas, H., M.A. Hitt, R.D. Ireland, S.M. Camp, and D. L. Sexton (Ed.) (2002). Discovery and Coordination in Staregic Management and Entrepreneurship. Strategic Entrepreneurship London: Blackwell Publishing House.
  • Michael, S., S. Ghosh & D. Fedor (Ed.) (1998). Quality Management in Franchise Chains. Advances in the Management of Organizational Quality ( pp. 161-184). Greenwich, CT: JAI Press.

Conference Proceeding

  • Pettus, M., Michael, S., Kor, Y., & Mahoney, J. (2010). Stepping Stones to Firm Growth: Evidence from the Deregulated Railroad Industry. Academy of Management Best Paper Proceedings.


  • Michael, S. (2002). Defining the Business Opportunity. Southern Management Association.
  • Michael, S. (2002). Rethinking Strategy. Southern Management Association.
  • Michael, S. (2000). Quality in Franchising. Purdue University.
  • Michael, S. (1996). Quality and Entrepreneurship in Restaurant Chains. Georgia Institute of Technology.
  • Michael, S. (1995). Rent Capture in Franchise Systems. College of William & Mary.
  • Michael, S. (1994). Strategy, Control, and Performance in Franchise Systems. Wake Forest University.
  • Michael, S. (1994). Returns to Franchising. University of Michigan.
  • Michael, S. (1994). Organizational Experience and New Product Introductions. Harvard University.

Honors and Awards

  • Teacher of the Year, Executive MBA Program College of Business, 2018
  • Award for Excellence in Teaching of Graduate Students College of Business, 2016
  • Most Outstanding Teacher, MBA Program College of Business MBA Program, 2016
  • Teacher of the Year College of Business EMBA Program, 2015


  • Editorial Board Member, Strategic Management Journal, 2011 to present
  • Editorial Board Member, Journal of Small Business Management, 2006 to present
  • Editorial Board Member, Journal of Business Venturing, 2000 to present
  • Associate Editor, Journal of Management, 2008-2015
  • Editorial Board Member, Journal of Management, 2000-2008

Teaching Interests

Teaches courses in technology management, new venture creation, and strategy.

Research Interests

Research focuses on how individuals and companies exploit innovation to create new markets. Recent projects include theoretical underpinnings of new ventures and understanding the business model of franchising.


  • Mgmt of Innov and Technology (BADM 367) Course is the first jointly taken course for the engineering and business college undergraduates in the Technology and Management program. It focuses on the strategic management of technology and innovation in organizations. It builds primarily on broad models of technological evolution and organizational change. Same as TMGT 367.
  • Entrep: New Venture Creation (BADM 446) Focuses on the opportunities, risks, and management problems involved in establishing and operating new ventures. Covers the steps included in starting a new venture, such as evaluating the opportunity, determining financial and operational requirements and resources, and deciding on the structure of the organization. Includes management issues faced by individual entrepreneurs. 4 undergraduate hours. 4 graduate hours.
  • Tech, Eng, & Mgt Final Project (BADM 461) Course is the capstone interdisciplinary new product development project course for the Technology & Management Program. Students work in cross-functional teams (joint business and engineering teams) to solve new product development project problems provided by client firms. Because the client firms differ each year, so do the problems. Same as TMGT 461. 2 undergraduate hours. No graduate credit. May be repeated up to 4 hours.
  • Entrepreneurship (BADM 590) Special topics in the general area of business. Topics are selected by the instructor at the beginning of each term. Approved for letter and S/U grading. May be repeated if topics vary; unlimited credit hours for graduate and professional students.


391 Wohlers Hall

1206 S. Sixth

Champaign, IL 61820