When firms mature: keeping the ho-hum at bay and embracing change

2017 ◽  
Vol 38 (5) ◽  
pp. 12-17
Author(s):  
Candace TenBrink ◽  
Betsy Gelb
Keyword(s):  
Life Cycle ◽  
Mature Stage ◽  
Maturity Stage ◽  
Growth Strategies ◽  
Content Type ◽  
Industry Life Cycle ◽  
Life Cycle Theory ◽  
Unique Approach ◽  
Organizational Maturity ◽  
Practical Implications

Purpose This paper aims to offer a research-based assessment of why mature firms in mature industries may struggle to survive. The basic issues explored are major hurdles to the dynamic path that the contingency theory would predict. Design/methodology/approach By examining dozens of studies through the lens of organizational and industry life cycle theory, the authors investigate how organizational maturity itself thwarts better choices. Findings Environmental shifts in the marketplace, rigid policies, lengthy procedures and internally focused politics often hinder change. Research limitations/implications Limited to examining the work of others, this paper, nevertheless, offers an approach to using the life cycle theory for new insights. Practical implications The results provide practitioners with a roadmap. The authors advise them to prepare early for the maturity stage, possibly bring in external talent, evaluate potential mergers or partnerships and consider building the R&D budget. Social implications Firm failure brings dislocation to a wide array of stakeholders. This paper emphasizes viable growth strategies, given the constraints firms face in maturity. Originality/value This paper deals with survival, integrating both environmental and organizational obstacles. This unique approach offers practitioners a synthesized view of the challenges they face in a mature stage and simultaneously suggests methods for change.

When marketing mirrors jazz: creativity during the mature stage of a product’s life cycle

2016 ◽  
Vol 32 (4) ◽  
pp. 15-17
Keyword(s):  
Life Cycle ◽  
Design Methodology ◽  
Reading Time ◽  
Mature Stage ◽  
Operating Environment ◽  
Content Type ◽  
The Public ◽  
Competitive Edge ◽  
Pertinent Information ◽  
Practical Implications

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Structured Abstract Findings Marketers are a canny lot. Then again, they have to be. Their operating environment is invariably congested, so securing the attention of the public is rarely an easy task. Any lasting competitive edge will only be obtained by those able to constantly outwit their rivals. Marketing goes hand-in-hand with creativity. It might therefore be assumed that the best marketers are the most creative ones. This capability becomes even more valuable when it comes to findings ways of revitalizing ideas which have become stale in consumers’ eyes. Author George Kneller articulated the essence of this when claiming that marketers must take a fresh look at what’s familiar to them to think creatively. Practical Implications The paper provides strategic insights and practical thinking that have influenced some of the world’s leading organizations. Originality/value The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

Time and space in business: dynamic geographic concentration and localized industry life cycle

2017 ◽  
Vol 10 (4) ◽  
pp. 374-400 ◽  
Author(s):  
Liang Wang
Keyword(s):  
Life Cycle ◽  
Growth Stage ◽  
Temporal Dynamics ◽  
Mature Stage ◽  
Content Type ◽  
Geographic Concentration ◽  
Industry Life Cycle ◽  
Economic Agglomeration ◽  
Changes Over Time ◽  
Over Time

Purpose The purpose of this paper is to theorize how the industry life cycle unfolds differently across places and how economic agglomeration varies over time. Design/methodology/approach The paper relies on literature review and conceptual analysis. Findings It generates a dynamic geographic concentration model (i.e. an industry’s degree of geographic concentration drops in the growth stage, rises in the mature stage, and drops again in the new growth stage) and a localized industry life-cycle model (i.e. temporal dynamics differ between the center and the periphery). Originality/value It makes contribution by theorizing that the extent to which an industry is geographically concentrated changes over time, and by demonstrating how an industry’s center and periphery may experience different temporal dynamics.

Enhancing the firm’s strategic behaviour

2018 ◽  
Vol 34 (8) ◽  
pp. 1-3
Keyword(s):  
Design Methodology ◽  
Reading Time ◽  
External Factors ◽  
Demand Side ◽  
Content Type ◽  
Strategic Behaviour ◽  
Industry Life Cycle ◽  
Pertinent Information ◽  
Internal And External Factors ◽  
Practical Implications

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context Findings Strategic behaviour is shaped considerably by demand-side internal and external factors. Through appropriate investment to acquire and enhance customer-related capabilities, firms can become better positioned than rivals to make effective decisions during along an industry life cycle. Originality/value The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

Financial flexibility, managerial efficiency and firm life cycle on firm performance

2019 ◽  
Vol 16 (2) ◽  
pp. 168-180
Author(s):  
Heng-Yu Chang ◽  
Chun-Ai Ma
Keyword(s):  
Life Cycle ◽  
Firm Performance ◽  
Stock Market ◽  
Life Cycles ◽  
Mature Stage ◽  
Chinese Stock Market ◽  
Financial Flexibility ◽  
Content Type ◽  
Listed Firms ◽  
Managerial Efficiency

Purpose As the capital market in China is still developing, several constraints on a Chinese-listed firm’s financing strategy have a direct impact on its financial flexibility. The purpose of this paper is to reconstruct traditional financial flexibility index (FFI) derived from the western context, provide empirical evidence within eastern context by modified FFI and examine how the managerial efficiency of Chinese-listed firms is demonstrated with modified FFI to escort corporate life cycle hypothesis. Design/methodology/approach By tailored FFI to fit the contemporary operations of Chinese-listed firms, this study investigates how managerial efficiency varies across different life stages to demonstrate the moderating power in the firm performance of financially flexible firm. Findings It is found that financially flexible firms in the Chinese stock market generally experience good firm performance, yet the managerial efficiency could gradually be diminishing at their mature stage even firms’ financial flexibility remains consistent with the agency theory. This paper sheds light on the necessity to reexamine the components in financial flexibility based on the eastern context, and provides avenue to further understand the managerial behavior of Chinese listed firms when considering firm life cycles. Research limitations/implications Although it is difficult for this current study to offer the precise weights on each factor in calculating financial flexibility, the judgment matrix method is adopted to at least provide reliable estimates in accordance with Chinese business contexts with less than 10 percent errors in contrast to the actual weights. Practical implications This modified FFI is particularly suitable for Chinese-listed firms under certain unique financial reporting regulations by adjusting a number of weights and factors. This study may help practitioners understand the managerial conduct of publicly listed firms in China. Originality/value The paper constructs a modified FFI with Chinese stock market characteristics embedded, and provides insightful evidence to explain the new pecking order theory by considering the life cycle stage of Chinese-listed companies.

Brand and retailer co-branding

2020 ◽  
Vol 24 (1) ◽  
pp. 49-65
Author(s):  
Michelle Childs ◽  
Byoungho Ellie Jin
Keyword(s):  
Experimental Studies ◽  
Effect Study ◽  
Strategic Partnership ◽  
Perceived Fit ◽  
Growth Strategies ◽  
Content Type ◽  
Brand Evaluations ◽  
Low Degree ◽  
Limited Edition ◽  
Practical Implications

PurposeMany fashion brands employ growth strategies that involve strategically aligning with a retailer to offer exclusive co-brands that vary in duration and perceived fit. While growth and publicity are enticing, pursuing collaboration may change consumers' evaluation of the brand. Utilising commodity and categorisation theory, this research tests how a brand may successfully approach a co-brand with a retailer.Design/methodology/approachThree experimental studies manipulate and test the effect of co-brand duration (limited edition vs ongoing) (Study 1), the degree of brand-retailer fit (high vs low) (Study 2), and its combined effect (Study 3) on changes in consumers' brand evaluation.FindingsResults reveal that consumers' evaluations of brands become more favourable when: (1) brand-retailer co-brand make products available on a limited edition (vs ongoing) basis (Study 1), (2) consumers perceive a high (vs low) degree of brand-retailer fit (Study 2) and (3) both conditions are true (Study 3).Research limitations/implicationsIn light of commodity and categorisation theory, this study helps to understand the effectiveness of a brand-retailer co-branding strategy.Practical implicationsTo increase brand evaluations, brands should engage in a limited edition strategy, rather than ongoing when collaborating with retailers. It is also important to select an appropriately fitting retailer for a strategic partnership when creating a co-brand.Originality/valueWhile previous studies highlight the importance of perceived fit upon extension, perceived fit between brand and retailer co-brand had yet to be investigated. Additionally, this research investigates changes in brand evaluations to more accurately understand how co-branding strategies impact the brand.

Systems thinking in school organizations – perspectives from various leadership levels

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Lars Norqvist ◽  
Helene Ärlestig
Keyword(s):  
Systems Thinking ◽  
School Organization ◽  
Thinking Skills ◽  
Leadership Positions ◽  
Content Type ◽  
Future Behavior ◽  
Unique Approach ◽  
And Behavior ◽  
Deputy Superintendents ◽  
Practical Implications

PurposeThe purpose of this paper is to understand how leaders within a school district system understand their own and others' leadership positions from the perspectives of systems thinking and systems thinking skills.Design/methodology/approachThe findings are based on interviews with superintendents, area managers (deputy superintendents), principals and first teachers in Sweden. Sets of systems thinking skills guide the analysis, specifically how various leadership positions are related (their structure and relationships), how leaders understand themselves in relation to the whole and the parts (mindset), what they think about how the organization is organized (content) and how they relate to the organization's history and future (behavior).FindingsLeaders at all levels in the school organization have regular communications, but a wider systems thinking perspective is underdeveloped. The systems are hierarchical, with each level taking responsibility for its subsystem to such a high extent that it does not use or learn from other levels. We also found that change in the investigated schools is subtle, and in the schools, it did not seem important to understand change over time or the nature of important leverage points; the organizations' histories and futures were emphasized less than current issues and relations.Practical implicationsIncreased knowledge on systems thinking skills can provide insights as to whether mindsets, content, structure and behavior are supporting each other or not. These perspectives can help actors on all levels to learn together.Originality/valueIn addition to the study outcomes, this paper offers a unique approach for studying the leadership positions of the governance chain and their impact on an organization's work and results. It obtains a broader picture of school districts' systems when various members of the governing chain express how they understand their organizations, in relation to systems thinking.

Embedding physician leadership development within health organizations

2014 ◽  
Vol 27 (4) ◽  
pp. 330-342 ◽  
Author(s):  
Anita Joanne Snell ◽  
Chris Eagle ◽  
John Emile Van Aerde
Keyword(s):  
Leadership Development ◽  
Development Strategies ◽  
Extensive Literature ◽  
Physician Leadership ◽  
Healthcare Organizations ◽  
Health Organizations ◽  
Content Type ◽  
Unique Approach ◽  
Conceptual Paper ◽  
Practical Implications

Purpose – The purpose of this conceptual paper is to provide strategies on how to embed physician leadership development efforts within health organizations. Design/methodology/approach – Findings from our previous research, which include an extensive literature review and analysis of 53 interviews with representatives from healthcare organizations across the globe, are integrated within the context of the Influencer© framework to provide a useful and grounded tool for physician leadership development strategies. Findings – Physician leadership development strategies are identified for each of the six domains within the Influencer© framework. Practical implications – A number of physician leadership development strategies are provided. They can be used in combination or used independently. Originality/value – Integrating the knowledge gained from practices in health organizations and from the literature within the Influencer© framework is a unique approach and strengthens the usefulness of the identified physician leadership development strategies.

Inertia as inhibiting competitiveness in Philippine family businesses

2015 ◽  
Vol 5 (2) ◽  
pp. 257-276 ◽  
Author(s):  
Andrea Santiago
Keyword(s):  
Life Cycle ◽  
Family Business ◽  
Family Members ◽  
The Philippines ◽  
Business Owners ◽  
Family Businesses ◽  
Business Failure ◽  
Content Type ◽  
Business Operations ◽  
Practical Implications

Purpose – The failure to innovate has been recognized as one of the prime causes of business failure. In addition to this, the purpose of this paper is to explore whether it is the failure to act or inertia that can also explain the inability of family businesses to move forward. Design/methodology/approach – This research documented the experiences of five family businesses in the Philippines that were unable to sustain their business operations. Only five families were identified since it was difficult to trace the business owners of businesses that failed, and once identified, not all were willing to discuss the reason for their business failure. Findings – The cases showed that business decline actually results from the failure of family members to address the challenges brought about the change in the different life cycle dimensions. In hindsight, arresting a downward trend necessitates varied strategic approaches. While some family members may felt incapable of introducing innovation in their business, the failure to act, by itself, was a guarantee of business failure. Research limitations/implications – The research was limited to five family businesses in the Philippines. It is possible that there may be many other reasons for family business failure based on the experiences of other families. Unfortunately, many business families in the Philippines are tight-lipped about failure, even if there are lessons to be learned. Practical implications – This paper brings attention to the need of family business owners to be more proactive in meeting the changing needs of their family business. Formula that worked before may not be appropriate at a different time. Originality/value – Research has shown that there are many reasons for family business failure. This paper shows the importance of transcending the feeling of inertia so that family members can be more proactive in meeting the challenges that they are bound to face as their families, their products, their businesses, and the industries they are in, move from one stage of the life cycle to another.

The role of R&D investments and export on SMEs’ growth: a domain ambidexterity perspective

2018 ◽  
Vol 56 (9) ◽  
pp. 1883-1903 ◽  
Author(s):  
Daniele Battaglia ◽  
Paolo Neirotti ◽  
Emilio Paolucci
Keyword(s):  
Life Cycle ◽  
Small And Medium Enterprises ◽  
International Studies ◽  
Content Type ◽  
Theoretical Contribution ◽  
Revenue Growth ◽  
Conflicting Objectives ◽  
Organizational Maturity ◽  
Medium Enterprises ◽  
Technology Industries

PurposeInternational sales are critical for the prosperity of small and medium enterprises (SMEs), because of the limited size of their domestic market, but they can be difficult to attain for a number of reasons. The purpose of this paper is to investigate this topic and use a domain ambidexterity framework to analyze why the relationship between research and development (R&D) investments and export initiatives generates managerial tensions in high- and medium-technology industries. In this paper, it is claimed that R&D investments and internationalization can be conflicting objectives that entail a diversity of routines and managerial approaches. This aspect is critical, especially when SMEs are in the early stages of their life cycle and are resource constrained.Design/methodology/approachThis issue is tested using multiple regressions on data collected through a survey that was conducted in 2014. The sample is composed of 221 SMEs operating in Italy in high-and medium-technology industries.FindingsThe estimates show that combining contemporary high R&D investments and high export activities negatively affects the growth of revenues of SMEs. In detail, when exports over revenue are below 10 percent, R&D investments have a positive effect on revenue growth, whereas when exports over revenue are above 50 percent, the effect of R&D investments on revenue growth is negative. However, age acts as a moderator on this relationship, thus implying that the effect of combining these initiatives varies according to the life cycle of a firm. In particular, combining R&D investments and export generates tensions that limit the growth of revenues in young SMEs (less than ten years old). For firms aged between 10 and 25 years, the effect is positive, while the effect is positive but not statistically significant for mature firms (older than 25 years). These results demonstrate that the diversity of the organizational maturity in SMEs has an impact on their ability to combine activities that require different capabilities (technological vs market).Originality/valueThis paper offers a theoretical contribution to the literature on domain ambidexterity, as it shows that combining contemporary innovation-related activities with international activities may constrain the performance of SMEs, according to the age of the firm. It extends the theoretical framework of domain ambidexterity to international studies and it reconciles previous mixed evidence about the combination of innovation and internationalization activities of SMEs.

Evolution of framework foresight

foresight ◽  
2020 ◽  
Vol 22 (5/6) ◽  
pp. 643-651
Author(s):  
Andy Hines
Keyword(s):  
Iterative Process ◽  
Design Methodology ◽  
Theory And Practice ◽  
Teaching Tool ◽  
Established Method ◽  
Content Type ◽  
Strategic Approach ◽  
The Future ◽  
Unique Approach ◽  
Practical Implications

Purpose The organization’s core approach to exploring and influencing the future, Framework Foresight, emerged from piecemeal roots in the 1990s to an established method circa 2013. Since then, it has evolved from primarily a teaching tool to a project methodology in its own right. The purpose of this paper is to explore the iterative process that has emerged in which teaching and practice inform and advance one another. Design/methodology/approach Innovations in technique will be highlighted and illustrated by commentary from project experience. The piece will be providing readers with a birds-eye view into the evolution of a foresight method in both theory and practice. Findings The continuous iteration between theory and practice, or the classroom and the client world, provides an excellent means to advance the teaching and practice of foresight. Significant changes include three horizons, inputs, drivers, archetypes, rating scenarios and strategic approach. Practical implications This paper suggests that closer relationships between academia and the external/client world provide practical benefit by improving teaching and providing more innovative approaches for clients. Originality/value The description of the development of this unique approach to doing foresight work provides an example for other programs or firms to emulate.

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