The moderating effect of corporate reputation on inter-firm alliance impact on company performance

2019 ◽  
Vol 31 (4) ◽  
pp. 524-543
Author(s):  
Xiaoyu Liu ◽  
Harrie Vredenburg ◽  
Urs Daellenbach

Purpose The purpose of this paper is to untangle the impacts of a firm’s corporate reputation and its alliance partners’ social capital on its financial performance, drawing on the relational and the network points of view. Design/methodology/approach This paper explored the moderating effect of corporate reputation on the relationship between partners’ social capital (e.g. resource heterogeneity, structural relations and partners’ social ties) and a focal firm’s performance. An OLS three-step regression model (controls, main effects and interaction effects) was used to test the proposed hypotheses based on 265 US joint ventures. Findings The influence of partners’ social capital on a focal firm’s performance is negatively moderated by the focal firm’s reputation at the firm and network levels; larger and more prestigious firms listed in Fortune database tend to choose partners with a higher level of resource heterogeneity, whereas smaller firms tend to choose partners in similar industries to increase economies of scale. The social capital factors of the partners will have different effects on the focal firm performance. Originality/value The value of this paper is in providing insight into the importance and nuances of corporate reputation in offsetting the advantages of inter-firm alliances and their impact on firm performance. In particular, the performance benefits of inter-firm alliance partners’ social ties and heterogeneous resources are negatively affected by the corporate reputation of a firm.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Manuel-Alejandro Ibarra-Cisneros ◽  
María del Rosario Demuner-Flores ◽  
Felipe Hernández-Perlines

PurposeThe purpose of this article is to study the moderating effect of absorptive capacity, defined as the set of organizational routines and processes through which companies acquire, assimilate, transform and exploit knowledge to produce a dynamic organizational capacity (Zahra and George, 2002), in three strategic orientations: market orientation; technology orientation and entrepreneurial orientation and their positive relationship in the performance of the medium and large Mexican manufacturing firms. Likewise, it is determined whether these three combined SOs influence firm performance.Design/methodology/approachThe data was collected from 171 medium and large-sized Mexican manufacturing firms. The proposed hypotheses are tested using partial least square structural equation modeling (PLS-SEM).FindingsDespite the importance of knowledge for the development of firms, the results indicate that the moderating effect of absorptive capacity is only present in the relationship between entrepreneurial orientation and firm performance. That is, firms cannot take advantage of knowledge simultaneously between the three strategic orientations. For their part, market orientation and entrepreneurial orientation exert a positive influence on firm performance.Practical implicationsThe main practical implication for the manufacturing industry is that they must develop mechanisms to detect what kind of knowledge affects each strategic orientation, in this way it can make the absorptive capacity influence the relationships between SO and FP.Originality/valueThe main contribution consists of studying the moderating effect of the absorptive capacity on the relationship between three strategic orientations and firm performance, and not concentrating solely on the simultaneous use of these strategies as is commonly done.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chien Wen Yuan ◽  
Yu-Hao Lee

PurposeSocial networking sites (SNSs) offer people the possibility of maintaining larger networks of social ties, which also entails more complex relationship maintenance across multiple platforms. Whom to “friend” and via which platform can involve complex deliberations. This study investigates the relationships between users' perceived friending affordances of five popular SNSs (Facebook, Twitter, Instagram, Snapchat and LinkedIn) and their friending behaviors concerning strong ties, weak ties (existing and latent ties) and parasocial ties.Design/methodology/approachAn online survey using Qualtrics was provided to participants (N = 626) through Amazon's Mechanical Turk (MTurk). The survey asked their SNS use and their friending behaviors with different ties on each of the sites.FindingsUsers' friending decisions are dependent on an interplay of socio-technical affordances of each SNS and specific needs for the ties. The authors found that the affordances of bridging social capital and enjoyment are aligned with friending weak and parasocial ties, respectively. The affordances of bonding social capital were not valued to friend strong ties.Originality/valueThe study extends the affordance and social capital literature by assessing users' perceived, contextualized SNS affordances in relation to actual communication behaviors in friending different social ties. This approach provides contextualized insights to friending decisions and practices on SNSs.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Amiram Markovich ◽  
Kalanit Efrat ◽  
Daphne R. Raban

PurposeThis study aims to augment the understanding of dynamic capabilities (DCs) by exploring the interrelations among the DC categories (sensing, seizing, reconfiguring) and the distinct impact of each DC on firm performance under low and high levels of competitive intensity.Design/methodology/approachThe analysis is based on a cross-sectional survey of 139 managers in Israel. The data were collected through Web-based questionnaires using the Qualtrics software. A two-stage data analysis was performed using structural equation modeling (SEM).FindingsThe findings indicate that DCs follow a sequence in which sensing drives seizing, which, in turn, enhances reconfiguring. The effects of sensing are mainly manifested through its direct impact on seizing, with no evidence for an impact of sensing on company performance. Moreover, under low competitive intensity, only seizing appears to impact performance, while under high competitive intensity, reconfiguring joins seizing in improving firm performance.Originality/valueThe study's findings advance the debate on the direct vs sequential nature of DCs by indicating an internal DC sequence. Our research also advocates for a crucial role of sensing in enhancing DCs, regardless of the level of competitive intensity. Furthermore, this research expands the understanding of the consequences of DCs and enables the prioritization of DC categories under low and high competitive intensity.


2020 ◽  
Vol 33 (3/4) ◽  
pp. 361-379
Author(s):  
Juan Manuel Bruno ◽  
Francisco J. Sarabia-Sanchez ◽  
Enrique Carlos Bianchi

PurposeThis study verifies the influence of the dimensions of corporate social responsibility (CSR) practices and consumer involvement on the identification of the individual with the company and the corporate reputation, moderated by the product category.Design/methodology/approachA covariance-based structural equation modelling is used to test the model, using a sample of 568 Argentine consumers. A multigroup analysis is employed to assess the moderating effect of the product category.FindingsCSR practices have heterogeneous influence based on their dimension, and this influence is moderated by the product category. Accordingly, environmental practices promote consumer identification with the company, whereas those economically oriented have a direct influence on reputation. In contrast, social practices contribute to reputation if they are connected to the business model.Research limitations/implicationsThe study is focussed on Argentina, analysing two product categories (laptops and financial services for final consumers) and using a large, but not strictly random, sample. In order to mainstream the results, it would be relevant to replicate the proposed model in other countries and with other product categories.Originality/valueIt provides information about the perception of consumers regarding the CSR practices from a multi-dimensional perspective, since they have an uneven effect on identification of consumer with the company and corporate reputation due to the moderating effect of the product category. The findings of this study may be relevant for managers of technology and banking service companies.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Erin Oldford ◽  
Saif Ullah ◽  
Ashrafee Tanvir Hossain

PurposeThe objective of this paper is to leverage a two-sided view of social capital to develop a model of board gender diversity and firm performance using social capital data from Northeast Regional Center of Rural Development.Design/methodology/approachThe authors examine a large sample of 2,322 US publicly listed firms over the period 1996 to 2009. The final sample consists of 14,634 firm-year observations.FindingsThe authors find that when a firm's social network is not supportive of gender diversity, corporate boards have lower levels of female representation. The strength of a social network's social ties exacerbates the relationship between social capital and board gender diversity. The authors also report a negative relationship between female board membership and firm performance in social networks that are not pro-diversity. Robustness tests reveal that the authors’ social capital view of board diversity also applies to board ethnic diversity.Research limitations/implicationsThis study focuses primarily on blue chip firms due to data constraints. It will be interesting for future researchers to investigate a broader spectrum of firms from a broader perspective of diversity beyond the study’s gender and ethnicity findings. Furthermore, this study assesses the US context, and future research could investigate firm sociability in other national contexts.Practical implicationsThis study contributes new insights to the discourse on gender diversity on corporate boards which stand to inform both policy and practice. The results of the study can inform the position of an industry association on board gender diversity, with guidance on how messaging across networks can be more effective should it account for the hidden bias that the authors uncover in the current study. From a manager's perspective, this study can help those managers and boards trying to enhance board gender diversity by providing a more complete understanding of the factors that can limit progress.Originality/valueThis study contributes a social capital view of board gender diversity to the growing literature of corporate governance, board diversity and local environmental influences on corporate policies.


2019 ◽  
Vol 54 (4) ◽  
pp. 533-547 ◽  
Author(s):  
Charles Kirschbaum

Purpose Network analysis is a well consolidated research area in several disciplines. Within management and organizational studies, network scholars consolidated a set of research practices that allowed ease of data collection, high inter case comparability, establishment of nomological laws and commitment to social capital motivation. This paper aims to elicit the criticism it has received and highlight the unsettled lacunae. Design/methodology/approach This paper sheds light on Network Analysis’s breakthroughs, while showing how its scholars innovated by responding to critics, and identifying outstanding debates. Findings The paper identifies and discusses three streams of criticism that are still outstanding: the role of human agency, the meaning of social ties and the treatment of temporality. Originality/value This paper brings to fore current debates within the Network Analysis community, highlighting areas where future studies might contribute.


2020 ◽  
Vol 40 (11/12) ◽  
pp. 1319-1336
Author(s):  
Chunyu Zhang ◽  
Chunshuo Chen

PurposeZhong-yong thinking is a code of conduct of the Chinese people. The purpose of this study is to explore the relationship among Zhong-yong thinking, social capital, knowledge sharing behavior, and employee survival ability.Design/methodology/approachZhong-yong thinking including multi-thinking, integration and harmony, taking a case study of private enterprise in Guangxi of China. Based on the literature, the establishment of the theoretical model and hierarchical regression analysis are explored.FindingsThe multi-thinking, integration and harmony of Zhong-yong thinking have a significant positive effect on social capital and employee survival ability. In addition, employee survival ability is positively affected by social capital. Moreover, knowledge sharing behavior has a positive moderating between the multi-thinking dimension of Zhong-yong thinking and social capital, and the remaining dimensions have no moderating effect. Knowledge sharing behavior has no moderating effect on the relationship between social capital and employee survival ability.Practical implicationsZhong-yong thinking and social capital are actively affecting employee survival ability. Therefore, companies need to work harder to improve their employees' Zhong-yong thinking and social capital.Originality/valueThe paper extends Zhong-yong thinking, social capital and employee survival ability literature to fill gaps in how China people require to both access employee survival ability. The policy value of the work is in suggesting ways to facilitate employee survival ability of China.


2015 ◽  
Vol 21 (6) ◽  
pp. 898-917 ◽  
Author(s):  
Yosra Mani ◽  
Lassaad Lakhal

Purpose – The purpose of this paper is to investigate how internal social capital – as a part of the familiness resources– affects family firm performance. The social capital theory states that internal social capital within family businesses is composed of three dimensions: the structural dimension, the relational dimension, and the cognitive dimension. The aim of the paper is to study the relationship between each dimension of internal social capital and family firm performance. Design/methodology/approach – The paper employs an empirical investigation which is based on a sample of 114 Tunisian family firms. Findings – Results demonstrate that the structural and relational dimensions are positively associated with financial and non-financial family firm’s performance. However, the cognitive dimension has a significant positive effect on financial performance but not on non-financial family firm performance. Originality/value – The proposed model aims to test the direct effect of internal social capital dimensions on financial and non-financial family firm’s performance. Besides, there is a lack of empirical evidence aiming at understanding the impact of structural, cognitive and relational social capital on the performance of family firms.


2016 ◽  
Vol 20 (4) ◽  
pp. 671-686 ◽  
Author(s):  
Deng-Neng Chen ◽  
Ting-Peng Liang

Purpose Knowledge has been considered a crucial organizational asset for gaining competitive advantages. It is critical for a firm to maintain a knowledge composition that is productive. This study aims to examine the applicability of the diversity–stability principle in ecology to knowledge management and further investigate the impact of knowledge diversity on firm performance. Design/methodology/approach A theoretical framework for knowledge diversity and firm performance is proposed; a questionnaire survey was conducted to evaluate the research framework. Fifty-eight valid responses from experts were collected to measure knowledge strength and diversity of 20 enterprises in four industries, and financial indexes of the 20 enterprises from 2008 to 2012 were collected to analyze the research model. Findings The results show that higher information technology (IT) capabilities in a firm lead to higher levels of knowledge strength and diversity. The strength and diversity of knowledge in a company can improve average company performance and reduce performance variations. Research limitations/implications This paper presents a new perspective that applies the ecological concept of diversity to examine the value of knowledge in organizations. The findings expand our understanding of the role of IT and knowledge in organizational performance. A limitation is that the sample size is relatively small, which may limit the generalizability of the findings. Practical implications CEOs and chief knowledge officers can apply the findings herein to assess their organizational knowledge profiles and maintain a healthy knowledge ecology in strategic planning. They should be aware that both knowledge strength and knowledge diversity are crucial to the stability of firm performance. Originality/value The ecological view of knowledge management stresses the importance of maintaining a healthy intensity and diversity of knowledge at the macro level and indicates a new direction for knowledge management.


Author(s):  
Vilma Luoma-aho

<p align="justify">This paper discusses the concepts of stakeholder, reputation and social capital and their relevance forcorporations in modern society. The paper argues that there is a special demand for reputation managementin today’s corporate communications and public relations due to fragmented publics and stakeholders, as wellas to increased public interest in corporations. The introduction of real-time media has also imposed newdemands which corporations today must meet to survive. Different stakeholders possess the ability to benefitbut also to harm the corporations through corporate reputation. Cultivated stakeholder relations can beespecially beneficial to corporate reputation and long-term development, and the social ties that stakeholdersembody can even be seen as social capital for the corporation. A new concept of “Faith-holders” is alsopresented to better describe corporate social capital.<P>


Sign in / Sign up

Export Citation Format

Share Document