Impact of multilevel strategic alliances on innovation and firm performance

2017 ◽  
Vol 9 (1) ◽  
pp. 53-80 ◽  
Author(s):  
Murat Atalay ◽  
Onur Dirlik ◽  
Fulya Sarvan
Keyword(s):  
Firm Performance ◽  
Strategic Alliances ◽  
Strategic Alliance ◽  
Positive Impact ◽  
Performance Outcomes ◽  
Innovation Performance ◽  
Network Ties ◽  
Content Type ◽  
Specific Category ◽  
The Impact

Purpose The purpose of this study is to explore the configuration of network ties that would have a positive impact on performance outcomes and test the presumed impact of multilevel strategic alliances on innovation and firm performance in a specific industry. Design/methodology/approach This study comprises part of a larger project on the network relations of yacht-building firms operating in Turkey. Data of the study was collected through face-to-face interviews and questionnaires with 143 yacht-building firms operating in major yacht-building regions of the country. Findings The findings of the study indicated the presence of meaningful relationship between total number of (strong) network relations perceived as strategic alliance and overall innovation performance. The generally presumed positive relationship between innovation performance and firm performance was supported. The type of innovation performance that was found to be related to the total number of network ties perceived as strategic alliance at national and global levels was product innovation performance. Practical implications A possible contribution of this study for industry members would be the implications of the finding that indicates positive impact of strategic alliances with different actors of the industry. Originality/value This study contributes to the exploration of network configurations that have a positive impact on innovation and firm performance, by dealing with the impact of the size, strength and geographical level of network relations in one single study. The yacht-building industry as the empirical setting represents a specific category of industry that rests on customized individual or small-batch manufacturing requiring considerable interaction with customers and suppliers. Because no study exists on this topic, findings can inspire similar industries.

scholarly journals Product diversification and large construction firm productivity: the effect of institutional environments in Malaysia

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohd Azrai Azman ◽  
Carol K.H. Hon ◽  
Bo Xia ◽  
Boon L. Lee ◽  
Martin Skitmore
Keyword(s):  
Firm Performance ◽  
Positive Impact ◽  
Product Diversification ◽  
Content Type ◽  
Construction Firms ◽  
Unrelated Diversification ◽  
Construction Firm ◽  
Related Diversification ◽  
Generalised Method Of Moments ◽  
The Impact

PurposeMany large construction firms (LCFs) adopt product diversification (PD) to counter downturns and spread risks. However, no detailed information is available concerning the type of PD that improves their performance. In addition, it is still uncertain how much changes in institutional dimensions influence the effectiveness of PD. Therefore, the aim is to resolve this issue by establishing a model that shows the extent of this influence.Design/methodology/approachThe generalised method of moments (GMM) estimator is used to model the PD strategies of 86 LCFs in Malaysia over 14 years (2003–2016) and its impact on productivity and profitability performance.FindingsUnrelated diversification (UD) decreased firm performance in 2003–2016, while related diversification (RD) had a positive impact during the more liberal 2010–2016 phase. The models show that the impact of PD is highly dependent on changes in institutional dimensions.Practical implicationsFirstly, managers may adjust the type of PD and its level of diversification to improve firm performance. Secondly, they may devise PD strategies based on changes in institutional dimensions to maximise their effectiveness.Originality/valueThe study contributes to the literature by determining the optimal amount of PD (including RD and UD) and its impact on performance. Secondly, the study is the first to investigate the moderating relationship of the institutional dimensions of economic and regulatory institutions on PD-firm performance. Thirdly, the study is the first to explore the components of technical-scale-scope economies (movement towards and around the production frontier), this being crucial to the strategy that was only conjectured in previous studies.

The impact of service innovation on firm performance: a meta-analysis

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Changli Feng ◽  
Ruize Ma ◽  
Lin Jiang
Keyword(s):  
Firm Performance ◽  
Positive Impact ◽  
Meta Analysis ◽  
Service Innovation ◽  
Future Research ◽  
Quantitative Review ◽  
Content Type ◽  
And Performance ◽  
The Impact ◽  
The Relationship

PurposeWith the rise of service economy, many companies are attempting to gain a competitive advantage through service innovation. However, the existing research has not drawn consistent conclusions about the relationship between service innovation and firm performance. Hence, the purpose of this paper is to provide a quantitative review on the service innovation-performance relationship based on research findings reported in the extant literature.Design/methodology/approachStudies from 46 peer-reviewed articles were sampled and analyzed. A meta-analytic approach was adopted to conduct a quantitative review on the relationship between service innovation and firm performance, and the effects of any potential moderators were further explored.FindingsThe results found that service innovation has a significant positive impact on firm performance. Additionally, the relationship between service innovation and firm performance is influenced by measurement moderators (economic region and performance measurement), and contextual moderators (firm type, innovation type, customer factors and attitudes toward risk).Originality/valueThe meta-analysis has been used to explore the relationship between service innovation and firm performance, and the findings have contributed to the literature on service innovation, as well as providing future research directions.

New evidence of the relationship between employee satisfaction and firm economic performance

2015 ◽  
Vol 44 (6) ◽  
pp. 906-929 ◽  
Author(s):  
Santiago Melián-González ◽  
Jacques Bulchand-Gidumal ◽  
Beatriz González López-Valcárcel
Keyword(s):  
Firm Performance ◽  
Organizational Performance ◽  
Employee Satisfaction ◽  
Performance Outcomes ◽  
Firm Level ◽  
Content Type ◽  
Worker Satisfaction ◽  
The Impact ◽  
The Relationship ◽  
Level Performance

Purpose – Employee satisfaction appears in any discussion about how employees can contribute to organizational performance. The purpose of this paper is to test the relationship between employee satisfaction and organizational performance; this later measured with three firm-level performance outcomes (return over assets, operating margin, and revenue per employee). Design/methodology/approach – At different times and from two independent sources the authors obtained firms’ data about worker attitudes and financial and productivity performance, respectively. The analyzed sample of 475 firms is the biggest among the studies that analyze performance and employee satisfaction at the firm level. The impact of employee satisfaction over firm performance was assessed. Findings – Overall satisfaction and satisfaction with senior leadership, compensation, and work/life balance, respectively impact firm performance. Research limitations/implications – The ratings come from both employees and ex-employees and the individual characteristics were unknown. Additionally as an internet-based sample there has been a lack of control over the individuals’ response process. Practical implications – Managers have evidence about the importance of their employees’ satisfaction on firm performance, and on how the facets involved on worker satisfaction impact the performance. Social implications – Employer review web sites are increasing their popularity. However, unlike the marketing field with consumers HR area has not taken advantage of this trend. The found results may contribute to highlight the importance of this kind of data. Originality/value – Hitherto there is only one empirical evidence about the positive role of worker satisfaction in objective and financial firm level performance. That was based in best-firms type data. The current study draws in a big sample independent of this kind of rankings. Additionally, the job facet satisfaction conceptualization considered demonstrates the usefulness of this way to understand the employee satisfaction.

Does entrepreneurs’ improvisational behavior improve firm performance in time of crisis?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Peerayuth Charoensukmongkol
Keyword(s):  
Firm Performance ◽  
Human Resources ◽  
Structural Equation ◽  
Positive Impact ◽  
Small And Medium Enterprises ◽  
Equation Modeling ◽  
Online Questionnaire ◽  
Competitive Intensity ◽  
Content Type ◽  
The Impact

Purpose This paper examines the effect of improvisational behavior of entrepreneurs on firm performance of small and medium enterprises (SMEs) in Thailand during the economic crisis following the COVID-19 pandemic. The study also explores external factors in terms of competitive intensity and internal factors in terms of financial and human resources possessed by firms that could enhance the impact of improvisational behavior on firm performance. Design/methodology/approach A self-administered online questionnaire survey was used to collect the data from the random sample of 312 SMEs in Thailand. Partial least squares structural equation modeling was used to analyze the data. Findings The analysis supports the positive relationship between the improvisational behavior of entrepreneurs and firm performance. Moreover, the moderating effect analysis shows that the positive impact of improvisational behavior on firm performance tends to be stronger for firms that encountered a higher level of competitive intensity and for firms that possessed a higher level of financial and human resources. Originality/value This research extends the knowledge from prior research by confirming some moderating factors that could strengthen the benefit of improvisational behavior during the crisis.

Government and innovation performance: evidence from the ICT enterprising community

2022 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Herolinda Murati-Leka ◽  
Besnik Fetai
Keyword(s):  
Positive Impact ◽  
Public Funding ◽  
Research Direction ◽  
Innovation Performance ◽  
Future Research ◽  
Innovation Ecosystem ◽  
Content Type ◽  
The Government ◽  
The Impact ◽  
Ict Companies

Purpose The purpose of this paper will be on finding and analyzing the impact of government on the information and communication technology (ICT) companies’ innovation performance. The study aims to conduct in-depth research about the government as an integrated actor of the innovation ecosystem (IE), not a sole member. This would be the core finding toward doing further research about the impact of the innovation ecosystem in the ICT sector in Kosovo. Design/methodology/approach Quantitative research has been considered the most suitable data collection method. Furthermore, in this study, it is used convenience sampling as a technique of the sampling process. The sample size of this study is 106 participants. The participants are owners or representatives of ICT companies in Kosovo. Since the study is conducted using the deductive approach, the questionnaire is considered to be the most suitable instrument for gathering data. Findings This paper provides empirical insights that the company’s size and the dedicated department for research and development have no impact on how the company takes advantage of public funding from the government. Furthermore, the authors of the paper found out that government has a positive impact on companies’ introduction of new products and services, while the impact of the government on a company’s financial performance was insignificant. Research limitations/implications The future research direction should be firstly on studying other IE actors and their impact on companies’ innovation performance and secondly on measuring the IE actors as a set of actors to have a broader picture on how IE impacts the companies’ innovation performance. Practical implications The scientific contribution of this study will be on mapping, analyzing and proposing government policies in accordance with the findings of this study that would lead to a more comprehensive and sustainable IE in Kosovo. Originality/value This study tries to fulfill an identified need to study the impact of interconnected actors of an innovation ecosystem and to show how they affect each other. In this study, it is taken for research one fragment of a set of actors.

How do formal and informal institutional distance affect the reverse knowledge spillover of Chinese MNCs?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yi She ◽  
Jin Hong ◽  
Chuwei Ji
Keyword(s):  
Multinational Corporations ◽  
Knowledge Spillovers ◽  
Positive Impact ◽  
Innovation Performance ◽  
Parent Company ◽  
Practical Significance ◽  
Host Countries ◽  
Content Type ◽  
Chinese Mncs ◽  
The Impact

PurposeThis study examines the impact of outward foreign direct investment (OFDI) of Chinese multinational corporations (MNCs) and formal and informal institutional distances between the home and host countries on the innovation performance of parent company.Design/methodology/approachThis study uses panel data to conduct an empirical analysis on the data of 59 mature Chinese MNCs and their 872 overseas subsidiaries over the past 11 years and draws interesting results.FindingsResults show that OFDI and formal and informal institutional distances between countries exert a significant positive impact on the innovation performance of the parent company and formal and informal institutional distances negatively moderate the impact between OFDI and the parent company's innovation performance.Originality/valueAlthough international business research pays increasing attention to transnational differences in institutions and cultures, research on the relationship between technology spillover and distance is relatively limited. In addition, few studies consider the impact of FID and IFID on transnational reverse knowledge spillovers. This research fills these research gaps, and the conclusions have certain practical significance for multinational companies.

The impact of digitalisation vision and information technology on organisations' innovation

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Farzana Parveen Tajudeen ◽  
Devika Nadarajah ◽  
Noor Ismawati Jaafar ◽  
Ainin Sulaiman
Keyword(s):  
Information Technology ◽  
Positive Impact ◽  
Process Innovation ◽  
Innovation Performance ◽  
Content Type ◽  
It Integration ◽  
And Performance ◽  
Questionnaire Method ◽  
The Impact

PurposeBased on the dynamic capability theory (DCT), this study examines the role of digitalisation vision and the impact of key information technology (IT) strategies, such as IT flexibility, IT integration and IT agility, on organisations' process innovation capability and the subsequent impact these may have on innovation performance.Design/methodology/approachData for this study were collected from 153 public listed organisations in Malaysia. The survey questionnaire method was used to collect the data from the organisations' representatives.FindingsResults showed that it is important for organisation to have a strategic digitalisation vision to improve their process innovation capabilities. IT agility and IT integration also had a significant positive relationship with the process innovation capabilities of the organisations, which in turn had a positive impact on innovation performance.Originality/valueDigital transformation and innovation are crucial for organisations to survive in the era of Industry 4.0. However previous studies have not captured the role of digitalisation vision, strategic IT components and its impact on process innovation capabilities. The current study filled up the gap and examined these relationships. The outcome of this study provides valuable insights for managers to understand the importance of digitalisation and the need to focus on key IT strategies. Such insights can be used to improve organisations' process capability which is critical for innovation and performance.

Strategic alliances on performance of retail firms in Nairobi County, Kenya

2015 ◽  
Vol 27 (6) ◽  
pp. 732-740 ◽  
Author(s):  
Rosemary Muange ◽  
Loice C. Maru
Keyword(s):  
Firm Performance ◽  
Strategic Alliances ◽  
Production Efficiency ◽  
Strategic Alliance ◽  
Technology Development ◽  
Practical Implication ◽  
Capital City ◽  
Top Management ◽  
Content Type ◽  
Marketing Alliances

Purpose – The purpose of this paper is to determine the effect of strategic alliances on firm performance and the moderating effect of firm size in retail firms in Nairobi County in Kenya. Design/methodology/approach – Resource Dependency Theory was used to guide the study. The study adopted explanatory research design. Questionnaires were used to collect data from sample of 216 respondents through stratified and simple random sampling technique. The study used inferential statistics to test hypotheses. Findings – Study findings indicated that joint marketing alliances, procurement-supplier alliances, joint manufacturing alliances and technology development alliances have significant and positive effect on firm performance. Based on the findings, creating a joint marketing, procurement-supplier, joint manufacturing and technology development alliances mostly enhance firm performance. Research limitations/implications – The study considered only one county out of 47, although this county hosts the capital city, where most of the firms considered are located. It therefore is representative of all counties and firms considered in this study. It also considered top management staff and thus may have an effect since the lower cadre staff were not considered. However, most of the required information was expected from top management since these are the ones who make decisions, and hence most affected by strategic alliances. Practical implications – This study has practical implication on firm performance because it has established that strategic alliance improves on overall firm performance. This manifests itself in terms of improve productivity, production efficiency and profitability. It also helps in the availability of products to the end users. Social implications – Through improved productivity, efficiency and profitability, this translates to improved terms of payment of staff and hence improved quality of lives of their families and communities within which they live. It also enables the firms to participate more in corporate social responsibility projects which in turn improves the standard of living of the communities around them. Originality/value – The study has provided an empirical insight on the importance of strategic alliance on firm performance. This is the first study done in the Kenyan context concerning strategic alliances formed by firms to improve on their performance especially on retail firms.

scholarly journals A contextual analysis of the impact of strategic sourcing and E-procurement on performance

2015 ◽  
Vol 30 (1) ◽  
pp. 1-16 ◽  
Author(s):  
Minkyun Kim ◽  
Nallan C Suresh ◽  
Canan Kocabasoglu-Hillmer
Keyword(s):  
Firm Performance ◽  
Product Life Cycle ◽  
Structural Equation ◽  
Positive Impact ◽  
Equation Modeling ◽  
Content Type ◽  
Strategic Sourcing ◽  
Research Results ◽  
Positive Effects ◽  
The Impact

Purpose – The aim of this study is to investigate the relationships among strategic sourcing, e-procurement and firm performance, along with the moderating effects of business characteristics and environmental factors on these relationships. Design/methodology/approach – This empirical investigation relies on structured survey responses from 137 managers of US manufacturing firms. The partial least squares-based structural equation modeling approach is used for data analysis. Findings – The research results confirm that both strategic sourcing and e-procurement have a positive effect on firm performance. In addition, e-procurement is also found to have a positive impact on strategic sourcing. In addition, the research results suggest that business characteristics and the environment, especially the degree of competition, market turbulence, firm size and stage in product life cycle moderate these relationships significantly. The positive effects of strategic sourcing and e-procurement on firm performance are particularly enhanced under the right conditions. Originality/value – This research is the first, to the best of our knowledge, to provide insights into the joint effects of strategic sourcing and e-procurement, and how business characteristics and the environment affect their roles on firm performance. In addition, firm performance is evaluated as a multi-dimensional construct involving financial, operational and supply chain aspects, with the measurements consisting of several second-order constructs. The study makes both theoretical and practical contributions.

The impact of technological-organizational-environmental (TOE) factors on firm performance: merchant’s perspective of mobile payment from Thailand’s retail and service firms

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Thipa Mahakittikun ◽  
Sid Suntrayuth ◽  
Veera Bhatiasevi
Keyword(s):  
Firm Performance ◽  
Service Providers ◽  
Positive Impact ◽  
Critical Mass ◽  
External Support ◽  
Relative Advantage ◽  
Mobile Payment ◽  
Service Firms ◽  
Content Type ◽  
The Impact

Purpose This study aims to identify the impact of mobile payment on firm performance by developing a model based on the technology, organization and environment framework (TOE framework) including relative advantage, complexity, compatibility, innovativeness, mobile payment knowledge, critical mass, competitive pressure and external support. Design/methodology/approach The data were collected from the retail and service firms in Bangkok, Thailand (n = 387). Multiple regression analysis was applied to test the proposed model and carried out in SPSS version 25. Findings The results indicated that the TOE factors, including relative advantage, innovativeness, mobile payment knowledge, critical mass, competitive pressures and external supports, can predict firm performance. While innovativeness is the strongest predictor of positive firm performance, on the other hand, critical mass is found to be negatively significant on firm performance. Practical implications This research suggests that firms that accept mobile payment can identify the positive impact on firm performance and it is important for payment service providers and the government to work closely with firms. Originality/value As some merchants still refuse to implement mobile payment services in their business, this current study seeks to understand the impact of mobile payment. However, not many studies are reported its impact in Southeast Asia. This study is probably the first in Thailand to examine the impact of mobile payment on firm performance in the retail and service firms.

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