Problem Formulation for Theorizing at the Frontier: An Oliver Williamson Inspired Approach

Ostensibly, the evolving science of strategic management addresses vexing managerial problems. In practice, however, scholars in the field tend to formulate problems to fit existing theoretical and methodological frameworks, even at the expense of committing type III errors. While the tendency to do so is often attributed to institutional pressures and the like, we submit that an equally or more compelling reason is the absence of guidance on engaging in problem-driven inquiry and formulating problems to explore theoretical frontiers. In the strategic management field's problem-solving spirit, we provide an approach for problem formulation and theorizing inspired by Oliver Williamson and two of his accomplished advisees. We abduce five principles and six dialectic conversations. We synthesize these principles and dialectics into five protocols to enable canonical problem formulation directed at exploring theoretical frontiers, that is, a "white space." Using a recently rejected manuscript, we show how our Williamson inspired approach can be useful in formulating problems that are managerially relevant and theoretically fruitful.