scholarly journals The Relationship between Strategic Agility and Resource Base View of the Firm Performance in Manufacturing Industry: The Research Framework

2021 ◽  
Vol 1764 (1) ◽  
pp. 012148
Author(s):  
R Nurjaman ◽  
A Rahayu ◽  
L A Wibowo ◽  
Widjajani ◽  
Mujiarto
2021 ◽  
Vol 13 (2) ◽  
pp. 233-248
Author(s):  
Manogna R.L. ◽  
Aswini Kumar Mishra

Purpose The study aims to analyze the impact of Research & Development (R&D) intensity on the firm’s performance, measured by growth of sales in the emerging market like India. Innovation strategy and its outcomes for firms may be different in developing countries as compared to developed countries. Thus, a study that focuses on the emerging economy like India, with a majority of the population dependent on agriculture, is of prime importance to the firm performance in the food and agricultural manufacturing industry. For this study, the broader focus will be on one widely recognised factor which may influence the growth rate of firms, i.e. investment in innovations which is in terms of R&D expenditure. Design/methodology/approach The paper investigates the relationship between the R&D efforts and growth of firms in the Indian food and agricultural manufacturing industry during 2001–2019. To empirically test the relationship between firm’s growth (FG) and R&D investments, system generalised method of moments technique has been used, hence enabling to avoid problems related to endogeneity and simultaneity. Findings The findings reveal that investments in innovations have a positive effect on the growth of firms in the Indian food and agricultural manufacturing industry. Investment in R&D also enables the firms to reap benefits from externalities present in the industry. Further analysis reveals that younger firms grow faster when they invest in R&D. More specifically, this paper finds evidence in the case of the food and agricultural industry that import of raw materials negatively affects the FG and export intensity positively affects the growth in the case of R&D firms. Research limitations/implications This study suggests that the government should encourage the industries to invest optimally in R&D projects by providing favourable fiscal treatments and R&D subsidies which are observed to have positive effects in various developed countries. Originality/value To the best of the author’s knowledge, the current paper is the first to analyse the impact of innovation in food and agricultural industry on firm’s performance in an emerging economy context with the latest data. This paper agrees that a government initiative to increase private R&D expenditure would have favourable effects on FG as growing investments in R&D lead to further growth of the firms.


2017 ◽  
Vol 3 (3) ◽  
pp. 217-225
Author(s):  
NOFRIZAL NOFRIZAL ◽  
EFRITA SOVIYANTI

Bisnis asuransi di provinsi Riau semakin tumbuh dan berkembang, setiap perusahaan termasuk PT. Prudential Indonesia berusaha mengeluarkan strategi baru untuk dapat merebut pangsa pasar yang tersedia,  namun apakah strategi yang sudah dibuat sudah sesuai dengan keadaan bisnis eksternal dan internal saat ini. Untuk itu diperlukan indentifikasi peluang, ancaman, kekuatan, kelemahan yang baik untuk menyusun strategi yang tepat. Tujuan penelitian ini adalah untuk mengindentifikasi pelaung, ancaman, kekuatan, kelemahan PT. Prudential Indonesia di provinsi Riau. Metode penelitian ini menggunakan analisis diskriptif dengan tahapan indentifikasi yaitu Eksteral faktor analisis (EFAS), Five force porter dan Internal faktor analisis (IFAS), VRIO, dan Resource base view. Hasil penelitian ini menunjukan bahawa peluang, ancaman, kekuatan, dan kelemahan PT. Prudential Indonesia dalam keadaan baik dimana nilai kekuatan lebih besar dari nilai kelemahan dan nilai peluang lebih besar dari ancaman sehingga dapat membuat beberapa strategi pertumbuhan untuk merebut pangsa pasar di Provinsi Riau.


2018 ◽  
Vol 2 (1) ◽  
pp. 38-48
Author(s):  
Ahmad Rizal Mazlan ◽  
Choong Yuen Leng

This research examines working capital management moderating role on the relationship between the key determinants of working capital and firm performance among 282 public-listed manufacturing firms in Malaysia for the period of 2010 to 2014. In this study, working capital management components are categorized into working capital requirement and net liquid balance. The evidence suggests that the relationship between critical determinants of working capital and firm performance is moderated by both working capital requirement and net liquid balance. Further, the results show that the research framework does form a contemporary working capital management model.


2021 ◽  
Vol 292 ◽  
pp. 02054
Author(s):  
QianYu Zhao ◽  
Gang Fu ◽  
WanTing Liu

Manufacturing industry is the lifeblood of national economy, and innovation input is the lifeline of manufacturing enterprises. This paper selects the financial data of China’s listed manufacturing companies from 2015 to 2019 to study the moderating effect of governance structure on the relationship between innovation input and firm performance. It is found that innovation investment has a negative influence on firm performance with lag. In terms of ownership structure, ownership concentration has a negative moderating effect on the relationship between innovation input and firm performance. The degree of equity balance has a positive moderating effect on the relationship between innovation input and firm performance. According to the conclusion of this study, it is expected to optimize the governance structure of China’s manufacturing enterprises and promote industrial development.


2020 ◽  
Vol 21 (2) ◽  
pp. 483-493 ◽  
Author(s):  
Maria Kontesa ◽  
Esmie Obrin Nichol ◽  
Jia-Sing Bong ◽  
Rayenda Khresna Brahmana

This study investigates the role of board capital on bank’s efficiency for a sample of 45 banks in Vietnam over 2011–2015. Using robust panel regression, we find board capital is important in making Vietnamese bank efficient even after controlling its endogeneity issue. This study further documents that networking capital and experience capital are the important factors, but not education for bank efficiency. The findings of this research contribute to the entrenchment hypothesis in agency theory, where networking and experience can be the bargaining power for manager (agent) in securing their compensation. It also contributes to human capital theory and resource base view theory where it shows networking and experience are stratetic human capital resources for bank efficiency. The findings imply that shareholders should consider the networking and experience of board members during board elections. Future research may engage with the intervention of corporate governance monitoring or test it in other developing countries context.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jonathan H. Reed

PurposeThe purpose of this empirical paper is to operationalize the Doz and Kosonen (2010) model of strategic agility, consisting of three dimensions and 15 subfactors and to test its relationship with firm performance under multiple contingencies.Design/methodology/approachA CEO-level survey is conducted to collect a sample of 73 firms from three industries in the US state of Florida. Factor analysis and convergence with similar criterion are used to validate the strategic agility construct. Multiple regression is used to test hypothesized relationships.FindingsThe findings support construct validity of Doz and Kosonen's model. Moreover, firm age and environmental turbulence are found to be important contingency factors. Environmental turbulence is found to moderate the relationship between firm age and strategic agility. Firm age and environmental turbulence are found to jointly moderate the relationship between strategic agility and firm performance.Research limitations/implicationsIt is evident that firms may benefit from strategic agility depending on their age and environment. The results encourage future longitudinal research addressing causality.Originality/valueThe paper contributes to research by validating a more comprehensive model of strategic agility and identifying contingency factors that help to explain prior mixed results on the relationship between strategic agility and performance.


Author(s):  
Ahmad Fathi Alheet

Environmental sustainability is an important component of a firm’s Corporate Social Responsibility. It relates to firm practices that ensure the conservation of the environment and natural resources, such as water, land and air. This research study aims to study the concept in relation to firm performance in Jordan. It proposes that environmental sustainability practices of a company in Jordan’s manufacturing industry positively influence its financial performance. For this purpose, the study assesses the relationship between environmental sustainability score and the profitability ratios. Results reveal a significant positive impact of sustainability score on the ROA of the companies. It is therefore recommended to manufacturing firms in Jordan to focus more on environmental CSR and sustainability practices, which would result in improved efficiency and profitability.


2020 ◽  
Vol 10 (1) ◽  
pp. 1
Author(s):  
M. A. Arokodare

Scholars in strategic management argued that strategic agility measures do enhance firm performance and mitigate environmental turbulence risks. This study therefore examined the moderating effect of environmental turbulence on the relationship between strategic agility and performance of oil and gas marketing companies in Lagos State, Nigeria. Population of the study was 515 managers of major oil and gas marketing companies in Lagos State. Cross-sectional survey research design was adopted with total enumeration. The research instrument was found reliable and valid with Cronbach’s alpha and KMO greater than 0.7 and 0.5 respectively. The data was analyzed using descriptive statistics, Pearson correlation, and multiple and hierarchical regression methods of analyses. Findings revealed that among oil and gas marketing companies in Lagos State, Nigeria, there was positive and significant relationship between strategic agility and performance; strategic agility had positive and significant effect on performance while environmental turbulence significantly moderated the relationship between strategic agility and performance. The study concluded that strategic agility affected and related with firm performance and also environmental turbulence moderated the relationship between strategic agility and performance of oil and gas marketing companies in Lagos State, Nigeria. Therefore, it is recommended that oil and gas marketing companies in Nigeria should fully and dynamically embrace strategic agility practices and continuously develop their capabilities for proper and timely sensing of and responding to changes in their business environment in order to improve their performance over their competitors. Limitations of the study and areas for future research were highlighted.


2020 ◽  
Vol 5 (1) ◽  
pp. 28-37
Author(s):  
Mochammad Ridwan Ristyawan

Objective – The performance of MSMEs (Micro, Small, and Medium Enterprises) is one of the main indicators to increase Indonesia's economic growth. The contribution of Indonesia's MSMEs is low in the global market and the lowest in ASEAN. One of the ways to increase the contribution is to create the value of competitiveness product. Management of resources is needed to provide high-quality products and competitive advantage of the company. This study aims to examine the combination of resources of the company through the Resource Base-View (RBV) approach. Methodology/Technique – A mix research method was employed, utilizing multiple criteria decision making as the analysis method and the Analytical Hierarchy process (AHP) as the instrument tool of the analysis. The respondents were 100 MSMEs in Pontianak. Findings – The criteria were determined by RBV Concept and the characteristic of company resources. The combination was the sequence level of the weight of the resources. The study also formulated the integration of the Artificial Intelligence and RBV model. The results of the study indicated that human resource is as the highest priority of company attention and the following sequences are marketing and distribution, finance and funding, operational and production, and the internet usage and technology. Novelty – The study also resulted in the creation of the RBV-AI Framework model to obtain strategic resources maintaining the competitive advantage of the company. Type of Paper: Empirical. Keywords: Artificial Intelligence (AI), Resource Base-View (RBV), MSMEs. Reference to this paper should be made as follows: Ristyawan; M.R. 2020. An Integrated Artificial Intelligence and Resource Base View Model for Creating Competitive Advantage, J. Bus. Econ. Review, 5(1) 28– 37 https://doi.org/10.35609/jber.2020.5.1(4) JEL Classification: M15, O32


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