Mergers and acquisitions in the contemporary business markets: The differences and similarities between them, and the significance of the allusion that ‘mergers seldom produce the expected benefits that managers wish for’

2020 ◽  
Vol 8 (8) ◽  
pp. 334-347
Author(s):  
Francis Kwadade-Cudjoe

Mergers and acquisitions have been popular in the time past, where organizations pride themselves by engaging in that venture to develop and promote their businesses to achieve competitive advantage. However, in the modern technological business dispensation, it has been a different ball game all together. This is due to the abandonment of the significance associated with the concept that mergers and acquisitions produce the expected gains that management look for. Currently, the magic wand found for organizations is to integrate backward / forward within the industry’s processing line or value chain for expansion and achievement of competitive advantage. This has been made possible, because organizations in the same market and value chain could easily integrate backward / forward to expand their businesses for success, as being practiced by the Japanese and most American companies in the vehicular and computer industries, respectively. Furthermore, the previous belief in the myth that mergers and acquisitions produce the expected results that managers look for, is now vilified. It therefore, behooves on organizations to integrate backward / forward within their market / supply chain for expansion, and consequently work hard to achieve sustainable competitive advantage.

Author(s):  
Gowri Vijayan ◽  
Nitty Hirawaty Kamarulzaman ◽  
Aroop Mukherjee ◽  
Selvakkumar K. N. Vaiappuri

This chapter is designed to give the readers a concise understanding of supply chain strategies and the process involved in its formation. It is a background study on the changing role of supply chain in gaining competitive advantage for the firm. The chapter discusses on traceability and integration along a supply chain, its inception and the advantages to the corporate world through its implementation. The chapter focuses on the topic of value creation in a supply chain through strategic management decisions like vertical and horizontal integration. The value chain analysis model for competitive advantage is covered in this chapter. A discussion on the differences between vertical and horizontal integration systems and the best strategic decision among them is provided. The concepts of sustainable supply chain integration, traceability, and the limitations to their implementation have also been discussed. The best examples on practitioners of supply chain strategy and integration are provided along the chapter.


2018 ◽  
Vol 38 (12) ◽  
pp. 2286-2312 ◽  
Author(s):  
Amy V. Benstead ◽  
Linda C. Hendry ◽  
Mark Stevenson

Purpose The purpose of this paper is to investigate how horizontal collaboration aids organisations in responding to modern slavery legislation and in gaining a socially sustainable competitive advantage. Design/methodology/approach Action research has been conducted in the textiles and fashion industry and a relational perspective adopted to interpret five collaborative initiatives taken to tackle modern slavery (e.g. joint training and supplier audits). The primary engagement has been with a multi-billion pound turnover company and its collaborations with 35 brands/retailers. A non-government organisation and a trade body have also participated. Findings Successful horizontal collaboration is dependent on both relational capital and effective (formal and informal) governance mechanisms. In collaborating, firms have generated relational rents and reduced costs creating a socially sustainable competitive advantage, as suggested by the relational perspective. Yet, limits to horizontal collaboration also exist. Research limitations/implications The focus is on one industry only, hence there is scope to extend the study to other industries or forms of collaboration taking place across industries. Practical implications Successful horizontal collaborative relationships rely on actors having a similar mindset and being able to decouple the commercial and sustainability agendas, especially when direct competitors are involved. Further, working with non-business actors can facilitate collaboration and provide knowledge and resources important for overcoming the uncertainty that is manifest when responding to new legislation. Social implications Social sustainability improvements aim to enhance ethical trade and benefit vulnerable workers. Originality/value Prior literature has focussed on vertical collaboration with few prior studies of horizontal collaboration, particularly in a socially sustainable supply chain context. Moreover, there has been limited research into modern slavery from a supply chain perspective. Both successful and unsuccessful initiatives are studied, providing insights into (in)effective collaboration.


Author(s):  
Ivan Arana-Solares ◽  
Jose Machuca ◽  
Rafaela Alfalla-Luque

In the rapidly changing global business environment, it can be seen that supply chain designs based solely on efficiency and speed do not necessarily lead to a sustainable competitive advantage. According to Lee (2004), this can only be done if supply chains are designed to incorporate the Triple A: Agility, Adaptability and Alignment. Although Lee provided some examples, to date his claim has not been empirically tested, which is essential. A number of studies have looked at the three component parts of the Triple A separately, but as yet no studies have focused on all three Triple A components concurrently, or on the impact they have on business performance. The main aim of this chapter is to determine the dimensions and factors that characterize these variables, in order to empirically test the accuracy of Lee’s claim.


Author(s):  
David L. Bahn

The strategic benefit of IT (information technology) in supporting business functions is often seen as the basis for competitive advantage that is sustainable. The value chain concept has been a handy tool widely utilized in business strategy analysis to match firm competency in performing business activities with the achievement of sustainable marketplace advantage. When it comes to the assessment of the competitive value of information technology, the value chain concept seems to either categorize IT as a support activity or to overly narrow the scope of IT’s role in achieving sustainable competitive advantage. This chapter reviews the concepts of the value chain and sustainable competitive advantage. Short case studies from a number of industries are presented in order to illustrate the limitations of using the value chain to describe information technology’s role in achieving sustainable competitive advantage. These examples demonstrate the subtle and often complex relationship between information technology and competitive advantage.


Author(s):  
Mark R. Nelson

The strategic benefit of IT (information technology) in supporting business functions is often seen as the basis for competitive advantage that is sustainable. The value chain concept has been a handy tool widely utilized in business strategy analysis to match firm competency in performing business activities with the achievement of sustainable marketplace advantage. When it comes to the assessment of the competitive value of information technology, the value chain concept seems to either categorize IT as a support activity or to overly narrow the scope of ITs role in achieving sustainable competitive advantage. This chapter reviews the concepts of the value chain and sustainable competitive advantage. Short case studies from a number of industries are presented in order to illustrate the limitations of using the value chain to describe information technologys role in achieving sustainable competitive advantage. These examples demonstrate the subtle and often complex relationship between information technology and competitive advantage.


2019 ◽  
Vol 13 (1) ◽  
pp. 163-214 ◽  
Author(s):  
Tino T. Herden

AbstractThe purpose of this paper is to provide a theory-based explanation for the generation of competitive advantage from Analytics and to examine this explanation with evidence from confirmatory case studies. A theoretical argumentation for achieving sustainable competitive advantage from knowledge unfolding in the knowledge-based view forms the foundation for this explanation. Literature about the process of Analytics initiatives, surrounding factors, and conditions, and benefits from Analytics are mapped onto the knowledge-based view to derive propositions. Eight confirmatory case studies of organizations mature in Analytics were collected, focused on Logistics and Supply Chain Management. A theoretical framework explaining the creation of competitive advantage from Analytics is derived and presented with an extensive description and rationale. This highlights various aspects outside of the analytical methods contributing to impactful and successful Analytics initiatives. Thereby, the relevance of a problem focus and iterative solving of the problem, especially with incorporation of user feedback, is justified and compared to other approaches. Regarding expertise, the advantage of cross-functional teams over data scientist centric initiatives is discussed, as well as modes and reasons of incorporating external expertise. Regarding the deployment of Analytics solutions, the importance of consumability, users assuming responsibility of incorporating solutions into their processes, and an innovation promoting culture (as opposed to a data-driven culture) are described and rationalized. Further, this study presents a practical manifestation of the knowledge-based view.


2020 ◽  
Vol 142 ◽  
pp. 06005
Author(s):  
Joni Murti Mulyo Aji

Theoretically, improved food security can be achieved through (a) increased availability – by extending staple food production area, higher productivity, good post harvesting practices; (b) enhanced access – as a result of more stable prices, improved farmer income, or even rural income; and (c) increased stability - through improved and sustained competitive advantage of the member firms, which eventually contribute to sustainable industry including in agriculture. Nonetheless, there has been a limited study linking the concept of food security and the necessity of managing competitive advantage of the agricultural supply chains. This paper links the theoretical foundations of supply chain management the concept of food security policy. Through a review of literature, a concept of how sustainable competitive advantage can be achieved through supply chain management, which in a development context, can improve food security by bringing together the concepts of food availability as well as improved people access to sufficient food is further explored.


Sign in / Sign up

Export Citation Format

Share Document