Institutional influences on firm strategy in authoritarian emerging economies

2019 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Stephen Wilkins ◽  
Serap Emik

Purpose This is one of the first studies to investigate the influences of institutions in an authoritarian regime on the strategies of firms that operate in a potentially sensitive industry. The purpose of this paper is to examine how institutional pressures affect the strategies of multi-platform mass media companies (print, broadcast and internet) in the United Arab Emirates (UAE). Design/methodology/approach This qualitative study used a purposive sampling strategy to conduct interviews with 28 senior managers who have responsibility for strategic level decision making in a UAE media company. All of the interviews were audio recorded and transcribed. A mainly deductive process of thematic analysis was undertaken to identify key ideas, patterns and relationships in the data. Findings The survey participants reported that increased multi-platform delivery in the media industry brings rewards, challenges and new risks. Although the normative and cultural-cognitive pressures are both strong in the UAE, it is the regulative pressures that seem to have the largest constraining influence on firm decision making and business strategies. The strong institutional pressures existing in the UAE encourage tight coupling, where firm structures and processes are linked and designed in response to the institutional constraints. Evidence was found only of some minor decoupling. Originality/value In response to the authors’ findings, the authors hypothesise that in nations under authoritarian rule, political pressures will likely override all other institutional pressures and that it will be most sensible for firms to adopt tight coupling strategies. However, the success of many UAE firms both at home and internationally suggests that strong institutional constraints do not necessarily act as a barrier to superior firm performance.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shinaj Valangattil Shamsudheen ◽  
Saiful Azhar Rosly ◽  
Syed Abdul Hamid Aljunid

Purpose This study aims to examine the decision-making behaviour of Islamic banking practitioners of the United Arab Emirates with special reference to the operational line heterogeneity by employing factors that are religious in nature such as intellect, satanic force and divine knowledge as encapsulated in al-Ghazali’s ethical philosophy. Design/methodology/approach A total of 337 samples were collected from the Islamic banking practitioners in the United Arab Emirates using a purposive sampling technique, and the empirical analysis was conducted with the measures of model fit and bootstrapping technique using Partial least square Structural equation modelling and multi-group analysis. Findings The empirical findings reveal that the dedicated use of intellect in making decisions related to ethical issues where desires and emotions tend to overwhelm reason and human choices. While divine knowledge is found ineffective guidance of the intellect, the element of satanic force is found significantly impacting decision-making. As the lack of religious consciousness is evident among respondents, higher exposure to operational risk is expected. These findings were found identical across the Islamic banking practitioners in different lines of operations. Research limitations/implications The span of the study is limited to a single country. Future studies are recommended to replicate the study to more markets where the share of Islamic finance is significant. Practical implications Findings of the study highly suggest respective authorities of Islamic financial institutions to intensify the capacity-building programs on the foundation of faith which includes Islamic thought and worldview, to enhance the corporate ethical decision-making. Moreover, equal importance should be given to all the banking practitioners regardless of line of business operations. Originality/value With undue emphasis is given to the juristic (fiqh) aspects of Shariah compliance in the Islamic banking and finance industry, less has been attempted to explore its ethical dimension (akhlaq) in the compliance parameters that leave a relatively large gap to address prevailing unethical practices in Islamic finance institutions. Findings from this study can be useful as a warning to the Islamic banking firms to enhance the sense of God-fearing and improve existing measures in the organisation in mitigating operational risks that may arise from people or system and consequently ensure the smooth governance of the Islamic banks.


2017 ◽  
Vol 7 (2) ◽  
pp. 1-13
Author(s):  
Syed Zamberi Ahmad ◽  
Norita Binti Ahmad

Subject area Strategic management, Strategic marketing, Entrepreneurship and Small business ventures. Study level/applicability This case study will be useful for undergraduate level students majoring in strategic management, entrepreneurship, small business ventures and marketing. Case overview Just Fresh Juice is a small entrepreneurial venture in the United Arab Emirates (UAE), specialising in preparing all-fresh juices, special mixes and fruit salads. The purpose of this paper is to analyse how Just Fresh can maintain its competitive advantage, and how it could sustain its rapid growth in the market and gain more market share in the long run. Just Fresh focuses on satisfying its customers more effectively than its competitors through a competitive strategy of cost leadership (Papulova and Papulova, 2006), direct interaction with the customers through social media (Srinivasan, 2014) and creating a customer experience (Porter, 2008), as delivering a good customer experience is often more effective in building a competitive advantage than optimising internal processes. Expected learning outcomes The purpose of this case is to enable management students to evaluate and analyse a small business established in the United Arab Emirates. Students will gain a comprehensive understanding of new business set-up and build proper business strategy. They will be able to perform the company’s competitive standing using Porter’s Five competitive forces and analyse its business strategies as well. They will be able to analyse the current status of the company using SWOT analysis and to design alternative strategies for the company using TOWS analysis. Furthermore, students will be able to build a cost analysis model for the company. Supplementary materials Teaching notes are available for educators only. Please contact your library to gain login details or email [email protected] to request teaching notes. Subject code CSS 3: Entrepreneurship.


2016 ◽  
Vol 24 (2) ◽  
pp. 186-203 ◽  
Author(s):  
Francis C. Uzonwanne

Purpose The purpose of this study is to fill the gap by investigating the relationship between age and other demographics on decision-making and leadership styles of executives in the non-profit sector. Design/methodology/approach This study is a quantitative research using correlation analysis and analysis of variance. The quantitative approach establishes facts, makes predictions and tests stated hypothesis and used the Pearson correlation coefficient, the ANOVA and the two-way analysis of variance. This study used surveys to collect data. Findings H1 states that there will be no significant difference in the decision-making models used among non-profit organizational leaders (rational, intuitive, dependent, spontaneous and avoidant) based on demographic variables: gender and age. H2 states that there will be no significant difference in the leadership style used among non-profit organizational executives (selling, telling, delegating and participating) and different dimensions of demographic variables: gender and age. Research limitations/implications This study explored the relationship between the demographics, age and gender and the decision-making models (rational, intuitive, dependent, spontaneous and avoidant) and leadership styles (selling, telling, delegating and participating) of executives in non-profit organizations. The age of the executives also showed to be important factors that influenced executive’s leadership styles and decision-making models as well. Practical implications Rational decision-making as reflected to in this study has been used by older, possibly more experienced non-profit executives. This model is favorable towards making decisions on complicated issues. The final choice rational decision-makers select will maximize the outcome; it is assumed that the decision-maker will choose the alternative that rates the highest and get the maximum benefits (Robbins and Decenzo, 2003, pp. 141-142). The researcher suggests that non-profit executives, especially the younger executives, should attend management and leadership conferences that focus on rational decision-making models as concerns business strategies and making the best choices based on possible alternatives. Social implications Rational decision-making as reflected to in this study has been used by older, possibly more experienced non-profit executives. This model is favorable towards making decisions on complicated issues. The final choice rational decision-makers select will maximize the outcome; it is assumed that the decision-maker will choose the alternative that rates the highest and get the maximum benefits (Robbins and Decenzo, 2003, pp. 141-142). The researcher suggests that non-profit executives, especially the younger executives, should attend management and leadership conferences that focus on rational decision-making models as concerns business strategies and making the best choices based on possible alternatives. Originality/value This is an original piece of research that contributes to the literature on leadership style.


2018 ◽  
Vol 30 (2) ◽  
pp. 1016-1034 ◽  
Author(s):  
Said Elbanna ◽  
Tamer H. Elsharnouby

Purpose The purpose of this study is to address a timely research question by clarifying whether formal planning is a worthy approach for hotels. In so doing, the authors developed a theoretical model that extends prior research by exploring how the formal planning process influences organizational capabilities and decision-making style. The model also examines the impact of the three identified factors on planning effectiveness. Design/methodology/approach Data were collected from 175 hotels located in United Arab Emirates (UAE) and Qatar and hypotheses were tested using structural equation modeling (SEM). Findings The study concludes that the practice of formal planning in the tourism sector does matter and both organizational capabilities and decision-making style are important factors in predicting planning effectiveness. Research limitations/implications Generalizations to organizations operating in other sectors, such as manufacturing or government sectors, should be drawn cautiously. Practical implications Taking into account oil price volatility and serious political crises in the region, this study provides several insights to hotel managers into how the formal planning process can influence planning effectiveness. Originality/value The findings enrich the debate on the role of formal planning in the tourism sector, which has been relatively devoid of similar studies.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mehrajunnisa Mehrajunnisa ◽  
Fauzia Jabeen ◽  
Mohd Nishat Faisal ◽  
Khalid Mehmood

Purpose This study aims to identify and prioritize Green human resource management (GHRM) practices from the policymaker’s perspective in the United Arab Emirates (UAE)-based manufacturing and service sectors to facilitate sustainable environmental performance. Design/methodology/approach Drawing upon the ability–motivation–opportunity (AMO) and corporate environmentalism theory, this study uses the analytic hierarchy process (AHP), a multi-criteria decision-making model, to rank the most influential enablers of GHRM practices. Data were collected from 24 C-suite executives of UAE-based manufacturing and service units. Findings Top management orientation for Green, Green organizational culture and Green corporate strategic planning were the most critical enablers that promote GHRM practices in the UAE’s manufacturing and service firms. Past research has mostly overlooked the strategic variables and focused only on organizational level antecedents based on HR bundles of practices. Research limitations/implications Data were collected only from UAE firms, hence limiting its generalizability. The study shall help organizations operating in emerging countries adopt the best GHRM practices toward Green goal agendas. Originality/value This research provides an AHP framework that can be used to conceptualize and prioritize GHRM practices, which aids in a firm’s Green decision-making and transition toward sustainable Green growth. This study furthers understanding of GHRM practices play out at the various levels-of-analysis within organizations to present a comprehensive paucity of integrative and multi-level studies over recent years. The study may be relevant for other organizations in other national contexts with similar governance homogeneity.


2019 ◽  
Vol 23 (2) ◽  
pp. 251-272
Author(s):  
Jaime Sierra

Purpose The funding of innovation is explained by typical cost-based financial approaches. This paper breaks away from such tradition, and the purpose of this paper is to propose an alternative view where innovation funding decisions are strategic and concern interactions between actors – each with their own characteristics and strategic intentions – project features, and traits of the setting in which interactions take place. Design/methodology/approach This paper builds up an alternative framework to understand how innovation is financed by considering the interplay of innovation characteristics, the strategic reasons of project owners and funders, and the role of the matching environment and conditions. This proposal includes explanatory elements overlooked by extant theories. An illustrative case is presented to support the need for this proposal. Findings The framework proposed proves useful to better understand innovation funding cases where the traditional financial theory does not suffice. Practical implications Innovative companies may improve decision making about resource allocation to innovation; innovation funders may refine their decision-making criteria and implementation; and policy makers and practitioners need to devise better supporting strategies for innovative companies. Originality/value This proposal considers a continuum of funding options where supply/demand will match on the grounds of strategic decisions made during the interaction itself, under certain contextual conditions. Hence, it enriches the understanding of strategic decisions regarding firm capital structure and investment theory when it comes to funding innovation.


2011 ◽  
Vol 1 (1) ◽  
pp. 1-2
Author(s):  
Conchita Mary Fonseca

Subject area Business strategy and human resource management. Study level/applicability Undergraduate Business and Management. Case overview This case spotlights Oilfield Services branch in Abu Dhabi, United Arab Emirates. It focuses on various problems encountered whilst operating in Abu Dhabi. Oilfield Services was first established in Dubai in 1995, primarily to meet the growing demand of quality human resources in the oilfield, shipping, and fabrication sectors in the Middle East and Persian Gulf region. The case highlights the challenges of motivation and compensating staff and the importance of strategic decision making. Expected learning outcomes This case can be used to teach decision making, cost/benefit analysis, employee motivation, and compensation and elements relating to international business strategy. Supplementary materials A teaching note is available on request.


2011 ◽  
Vol 1 (1) ◽  
pp. 1-4
Author(s):  
Jawahitha Sarabdeen ◽  
Kamal Jaafar

Subject area Strategic management, international business, branding, innovation and retail management Study level/applicability Undergraduate, postgraduate business and management students. Case overview Emerging Technologies was the first United Arab Emirates software application developer of Arabic (also available in English and Hindi) voice recognition solutions. Emerging Technologies developed and deployed fully automated voice recognition applications to meet specific business wants and needs. The case provides a practical example of a company which position itself well to be a raising star through proper strategy. Expected learning outcomes The students will be able to learn various business strategies that could be applied in emerging markets. Supplementary materials Teaching note available upon request.


2015 ◽  
Vol 26 (6) ◽  
pp. 791-806 ◽  
Author(s):  
Matloub Hussain ◽  
Mian M. Ajmal ◽  
Mehmood Khan ◽  
Hussein Saber

Purpose – The purpose of this paper is to identify attributes of knowledge management (KM) for large and small manufacturing companies in United Arab Emirates (UAE) and to propose a process to evaluate the competitive priorities of these companies. Design/methodology/approach – This research is designed by composing multi criteria decision making of KM attributes in order to identify competitive priorities of large and small manufacturing companies to achieve better customer focus. To deal with this complexity of multi criteria decision-making process, Analytical Hierarchical Process (AHP) method has been used in this research. Findings – Results show that large manufacturing companies are putting more emphasis on “Know-Why” knowledge attribute in all four competitive priorities for achieving customer focus. While, small size manufacturing companies put higher weight on “Know-What” knowledge attribute by focussing on two competitive priorities (flexibility and quality). Research limitations/implications – Results are derived from a limited number of empirical data only in one country, therefore these cannot be generalized. Future research with larger samples of small and large manufacturing firms from other countries is needed. Practical implications – To be competitive, manufacturing companies must reshuffle their production strategies to allow them to play a role in global knowledge-intensive market. Therefore, they must incorporate knowledge attributes as a way to achieve higher levels of performance. Originality/value – This study is among the first and most exhaustive ones carried out in the small and large size firms operating in the manufacturing sector of UAE. It provides a systematic approach to identify the operational competencies and knowledge attributes being followed by large and small manufacturing companies.


2019 ◽  
Vol 40 (4) ◽  
pp. 28-35 ◽  
Author(s):  
Sabine Khalil

Purpose The purpose of this paper is to explore the role that cloud adoption plays in the strategies of large firms. As an innovative and transforming technology, cloud computing can have a significant impact on firms. It may propel them to adapt their existing strategies to survive in today’s unstable, rapidly expanding, digital environment. Methodology The relationship between cloud computing and company strategy was explored through a qualitative research study. The author conducted 35 semi-structured interviews with business and IT stakeholders working in large French organizations. Findings Analysis of the results demonstrates that large cloud-adopting firms are driven by three main needs: a need to maintain their place in a highly competitive market, a need to implement innovative solutions and a need to lower costs. Research limitations/implications The limitations of this research include a number of contingency factors, such as the location of these firms (France) and their size (large). However, the academic literature does not address how adopting cloud services will affect the strategies used by large firms. Given the complex structures of these firms, it seems inevitable that they will adapt their strategies. This is highlighted by this study, which sheds light on the importance of the relationship between cloud adoption and company strategies. Practical implications This exploratory research study stresses the importance of companies adapting their strategies and enables business professionals to focus on redirecting their strategies when adopting cloud services. In addition, this study provides examples of the behavior of large firms in the French market. Originality/value Companies need to develop effective business strategies to survive, especially in today’s modern world. This paper shows that cloud adoption is leading firms to alter their strategies, and has led to the emphasis of three types of strategy: competition, innovation and cost reduction.


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