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.

Business model design and firm performance

2018 ◽  
Vol 21 (2) ◽  
pp. 315-333 ◽  
Author(s):  
Blendi Gerdoçi ◽  
Guido Bortoluzzi ◽  
Sidita Dibra
Keyword(s):  
Firm Performance ◽  
Developing Country ◽  
Business Model ◽  
Positive Impact ◽  
Service Firms ◽  
Developing Economy ◽  
Content Type ◽  
And Performance ◽  
The Impact ◽  
The Relationship

Purpose The purpose of this paper is to contribute to the literature on business model (BM) design by deepening the relationship between BM design themes and performance in a sample of firms based in a developing country. In particular, the authors deepen the relationship between business model novelty (BMN), business model efficiency (BME), the trade-off between novelty and efficiency – that the authors call BM ambidexterity – and performance. Design/methodology/approach Data are drawn from a sample of 107 manufacturing and service firms based in a developing country (Albania). Hierarchical regression is used to assess the impact on firm performance from the two BM design themes and their interaction. Findings The authors find novelty-centred BM design is significantly related to firm performance while efficiency-centred design has no direct effect on performance. However, the authors also find that BME positively moderates the relationship between BMN and firm performance. Research limitations/implications The relationship between BM design and firm performance can be better understood if contextualised. In the paper, the authors find that different types of BM designs have different impacts on the performance of firms based in a developing economy. While novelty matters, quite surprisingly the authors find no support for efficiency. Additionally, the authors find the interaction between the two design themes (BM ambidexterity) to have a positive impact on firm performance. Practical implications The surveyed firms based in a developing economy appear to benefit from novelty-centred BM designs. Efficiency-centred designs have a more ambiguous role: while efficiency alone seems not to pay off, an efficient BM design may facilitate the market exploitation of a novel design. Originality/value This study responds to a precise call for additional quantitative empirical studies on the relationship between BM and performance. The study also contributes to an emerging stream of research focused on BM ambidexterity.

scholarly journals The differentiated effects of CSR actions in the service industry

2014 ◽  
Vol 28 (7) ◽  
pp. 558-565 ◽  
Author(s):  
Ana B. Casado-Díaz ◽  
Juan L. Nicolau-Gonzálbez ◽  
Felipe Ruiz-Moreno ◽  
Ricardo Sellers-Rubio
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Service Industry ◽  
Positive Impact ◽  
Manufacturing Firms ◽  
Service Firms ◽  
Related Factors ◽  
Content Type ◽  
Good Corporate Governance ◽  
The Impact

Purpose – The purpose of this study is to attempt to explain why the impact of Corporate Social Responsibility (CSR) initiatives may be different and/or more important in service firms compared to manufacturing firms. CSR is becoming a common strategy, hence its extensive research. Central to it is the analysis of the effect of CSR on a firm’s performance, whose outcome depends on firm-specific and industry-related factors. Design/methodology/approach – The event study methodology is applied to all the 248 companies that have ever traded on the Spanish Stock Market between 1990 and 2007. A regression analysis examines potential different effects of CSR on service and goods firms. Findings – The results show that CSR activities have a positive impact on firm performance that is higher for service firms than for manufacturing firms. Actions related to the environment, responsible labor relationships and good corporate governance are especially important in the service context. Research limitations/implications – This research is focused on shareholders’ performance, but it does not consider other stakeholders, such as real consumer behavior or employees’ commitment and productivity. Practical implications – Service firms are likely to gain from focusing on some CSR activities (environment, employees and good corporate governance) and should use their responsible behavior as a valuable tool for public relations and differentiation in the market. Originality/value – This article is the first attempt to empirically test and explain why the relationship between CSR and firm performance may be different (more positive) for service vs manufacturing firms.

Accommodating ethnic minority consumers during service encounters: the fine line

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sarah Mady ◽  
John B. Ford ◽  
Tarek Mady
Keyword(s):  
Service Quality ◽  
Ethnic Minority ◽  
Service Providers ◽  
Service Encounter ◽  
Service Encounters ◽  
Service Firms ◽  
Content Type ◽  
Quality Perceptions ◽  
Language And Ethnicity ◽  
The Impact

Purpose This paper aims to examine the effect of intercultural accommodation efforts on service quality perceptions among ethnic minority consumers. Specifically, the paper postulates that during an intercultural service encounter, the impact of the service provider’s language and ethnicity on the consumer’s service quality perceptions is moderated by the level of service involvement, consumer acculturation and perceived discrimination, which, in turn, influence purchase intent. Design/methodology/approach A 2 × 2 between-subjects experimental design with an online nationwide consumer panel of Hispanic consumers was conducted where 377 participants were randomly assigned to a series of service encounter scenarios in the banking service context to manipulate accommodation efforts (yes vs no) and the level of involvement with the service (high vs low). Findings When such language and ethnicity accommodations were offered, highly acculturated minority consumers regarded the service encounter less favorably than low acculturated minority consumers. Moreover, during low-involvement service encounters, intercultural accommodations positively impacted consumer’s service quality perceptions compared to situations involving high-involvement services. Also, minority consumers with perceptions of past discrimination had less favorable evaluations of the service quality than when such perceptions were nonexistent when intercultural accommodation efforts were made by the service provider. Research limitations/implications The findings add to the sparse literature that examines the effectiveness of intercultural accommodation and focuses on the combined use of service provider’s language and ethnicity as a means to enhance service quality. Practical implications The study delivers cautions for service firms not to generalize the receptivity of intercultural accommodation efforts. Given the increasingly sizable segments of minority customers, this study offers insights for service providers to develop suitable recruitment strategies and training programs when devising effective ethnic targeting strategies. Originality/value This research is among the first to explain why the effect of target marketing is not homogenous by expanding the research on intercultural accommodations toward a new context considering service involvement levels among varied minority consumer groups.

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.

A model of mobile payment usage among Arab consumers

2018 ◽  
Vol 36 (7) ◽  
pp. 1213-1234 ◽  
Author(s):  
Reem Ramadan ◽  
Jawdat Aita
Keyword(s):  
Structural Equation ◽  
Service Providers ◽  
Arab World ◽  
Arab Countries ◽  
Integrative Model ◽  
Primary Data ◽  
Equation Modeling ◽  
Mobile Payment ◽  
Content Type ◽  
The Impact

Purpose The purpose of this paper is to investigate the impact of perceived satisfaction with mobile payment applications based on use experience, and subsequent stated expectations on brand loyalty and future use behavior using a theory-based research integrative model of factors that influence Arabs’ intentions to use mobile payment application(s). Design/methodology/approach A conceptual model was developed using the mixed research method approach. The focus group approach was used for the qualitative study and structural equation modeling for the quantitative study. Primary data were collected online. Participants were 305 Arab consumers from nine countries in the Middle East. Findings Satisfaction with the quality of mobile payment application(s) increased use experience and enhanced consumers’ expectations, which in turn positively affected loyalty and purchase intentions. Research limitations/implications The study encompassed mobile payment application(s) in nine countries rather than focusing on one market, or on one product type and business. The paper did not perform a comparative study between sampled Arab countries, but rather it sees all countries and respondents just as Arabs. Practical implications Service providers should build mobile application(s) based on the features of usability, availability, reliability, adaptability, accessibility, responsiveness and security. Originality/value This study is one of the first studies that empirically examines mobile payment consumer’s usage behavior from nine countries of the Arab world where there is scarce research on the topic in the region.

An emerging market perspective of what makes professional service firms successful

2020 ◽  
Vol 17 (1/2) ◽  
pp. 57-78
Author(s):  
Felix Nana Abaka Sackey ◽  
Livingstone Divine Caesar
Keyword(s):  
Emerging Markets ◽  
Positive Impact ◽  
Emerging Market ◽  
Professional Services ◽  
Professional Service ◽  
Service Firms ◽  
Strategic Partnerships ◽  
Professional Service Firms ◽  
Content Type ◽  
The Impact

Purpose Despite the criticality of strategic partnerships to the survival and success of professional service firms (PSF) in emerging markets, there is a dearth of research on the subject matter. Specifically, not much is known concerning the dynamics of partnerships among small and medium-sized enterprises (SMEs) in the professional services sector of the economy. This paper aims to explore the dynamics of the impact of constructs such as attributes of partnership, communication behaviour and collaborative conflict resolution on partnership success. Design/methodology/approach A quantitative survey sent to 300 small and medium-sized PSFs achieved a 79% response rate. The data is then analysed using bivariate and multi-variate techniques. Findings The results revealed a positive relationship between two of the three constituents of attributes of the partnership (i.e. commitment and coordination) and the success of partnerships. Commitment and coordination emerged as the significant attributes of partners that affect the success of the partnership. Contrary to previous studies, trust and information sharing did not have a positive impact on partnership success. Practical implications PSFs in emerging markets need concerted efforts to maintain competitive and sustainable partnerships. To make any significant impact, they must develop contemporary skills in collaborative conflict management. Originality/value This paper highlights the need for PSFs and SMEs in other service sectors of emerging markets to harness partnerships as a valuable tool to overcome the policy shortcomings of current regulatory frameworks within their respective markets.

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.

scholarly journals Intellectual capital and organizational ambidexterity in Chinese and Irish professional service firms

2016 ◽  
Vol 3 (2) ◽  
pp. 94-114 ◽  
Author(s):  
Na Fu ◽  
Qinhai Ma ◽  
Janine Bosak ◽  
Patrick Flood
Keyword(s):  
Firm Performance ◽  
Organizational Performance ◽  
Intellectual Capital ◽  
Professional Service ◽  
Service Firms ◽  
Organizational Ambidexterity ◽  
Professional Service Firms ◽  
Content Type ◽  
Internal Management ◽  
The Impact

Purpose – Organizational ambidexterity enables firm to simultaneously exploit existing resources and explore new resources. It is associated with high levels of organizational performance. The purpose of this paper is to identify key internal management resources which contribute to building organizational ambidexterity. In particular, this study examines the impact of intellectual capital, i.e. human, social, and organizational capital, on organizational ambidexterity which in turn influences firm performance. Design/methodology/approach – The research was conducted within the context of professional service firms due to the importance of intellectual capital and organizational ambidexterity. Data were collected from 112 Chinese (cross-sectional design) and 93 Irish accounting firms (time-lagged design). Findings – Results provide support for the linkage of intellectual capital to organizational ambidexterity and firm performance. Interestingly, findings are mixed regarding the impact of the three types of capital resources on organizational ambidexterity across both countries. Practical implications – This study finds that various components of intellectual capital facilitate organizational ambidexterity which in turn improves firm performance. Therefore the authors provide managers with evidential support for the salience of intellectual capital in enabling organizations to simultaneously engage in exploiting existing resources while also exploring new ideas and opportunities. Originality/value – This study is unique in that it highlights the importance of internal management resources in building up organization’s ambidexterity capability. The link between intellectual capital and organizational ambidexterity was established using a rigorous research design which has not been done before. It also emphasizes the role of people in leading to organizational effectiveness via developing organizational ambidexterity. Furthermore the evidence is gathered in two countries.

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.

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