Partners in Crime: The Effects of Diversity on the Longevity of Cartels

Despite the importance of organizational misconduct, still not much is known about coordinated misconduct between firms. In this study, we seek a better understanding of how the profile of the partners involved in cartels affects the longevity of their joint misconduct activities. Drawing upon diversity theory, we leverage a distinction between three types of diversity—variety of age-based experience, separation in uncertainty avoidance, and...