Performance Implications of Co-Alignment of Business and Technological Innovation Strategy

2003 ◽  
Vol 4 (4) ◽  
pp. 213-224 ◽  
Author(s):  
Sanjay Goel ◽  
Ángela González-Moreno ◽  
Francisco J. Sáez-Martínez
Keyword(s):  
Firm Performance ◽  
Technological Innovation ◽  
Business Strategy ◽  
Positive Relationship ◽  
Electronics Industry ◽  
Superior Performance ◽  
Business Strategies ◽  
Innovation Strategy ◽  
Versatile Tool

Since technology is a versatile tool that can be deployed strategically, the authors hypothesize that there are certain non-random combinations of technology and business strategy choices that lead to superior performance. Findings from a sample of SMEs in the Spanish electronics industry show that there is a positive relationship between a co-alignment of the two strategies (business and technological innovation) and firm performance. In practical terms, this study shows that although SMEs can achieve equally good performance with different business strategies, within every business strategy, entrepreneurs must emphasize different sets of technological innovation dimensions to outperform the competition.

scholarly journals Market Orientation, Firm Performance And The Mediating Effect Of Corporate Social Responsibility

2012 ◽  
Vol 28 (5) ◽  
pp. 851 ◽  
Author(s):  
Roshayani Arshad ◽  
Siti Mariam Mansor ◽  
Rohana Othman
Keyword(s):  
Firm Performance ◽  
Business Strategy ◽  
Mediating Effect ◽  
Superior Performance ◽  
Business Strategies ◽  
Annual Reports ◽  
Csr Strategies ◽  
Strategic Value ◽  
Csr Disclosure ◽  
The Relationship

This study examines the effect of CSR disclosure and MO on firm performance as well as the mediating effect of CSR on the relationship between MO and firm performance. These relationships are examined based on content analysis of 242 Malaysian public listed companies annual reports for 2006, 2007 and 2008. Results of this study provide evidence that CSR activities communicated in corporate annual reports are important business strategy in creating continuous superior performance for organisations. The results also indicate that MO companies are integrating CSR activities into their business strategies. However, the insignificant mediating effect of CSR on the relationship between MO and firm performance indicates that MO and CSR strategies have not been effectively integrated in creating a synergistic effect that can bolster firm performance. Overall, findings in this study indicate the strategic value of CSR in creating economic sustainability for organizations even in an environment characterised by concentrated ownership structure where the companies may be less market focused.

Strategic human resource management and employees' intention to leave: testing the moderated mediation

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Subhash C. Kundu ◽  
Archana Mor ◽  
Neha Gahlawat
Keyword(s):  
Human Resource Management ◽  
Human Resource ◽  
Business Strategy ◽  
Intention To Leave ◽  
Strategic Human Resource Management ◽  
Business Strategies ◽  
Innovation Strategy ◽  
Quality Enhancement ◽  
Content Type ◽  
The Relationship

PurposeThe purpose of this study is to examine the relationship between business strategies (i.e. cost reduction, quality enhancement and innovation strategy) and employees' intention to leave (ITL), through the mediating role of high-performance work system (HPWS). It also attempts to study variability in the relationship between business strategies, HPWS and employees' ITL on the basis of nature and ownership forms of the firms.Design/methodology/approachPrimary data based on 573 respondents from 192 organizations operating in India were analysed using structural equation modelling and conditional process modelling.FindingsThis study has revealed that HPWS mediates the relationship between business strategy (specifically innovation and quality-enhancement strategy) and employees' ITL. Findings further indicate that the mediated relationships between quality enhancement and innovation strategy, HPWS and ITL do not vary across nature and ownership forms of the firms.Practical implicationsIn context of dynamic business environments in developing countries, the findings provide some important insights in exploring the relevance of strategic human resource management in improving employees' behavioural intentions.Originality/valueBy applying a three dimensional business strategy system (innovation, quality and cost) and by exploring the relevance of several contextual factors, this study attempts to expand the focus of turnover research.

In search of the frugal innovation strategy

2020 ◽  
Vol 30 (2) ◽  
pp. 245-263 ◽  
Author(s):  
Leandro Lima Santos ◽  
Felipe Mendes Borini ◽  
Moacir de Miranda Oliveira Júnior
Keyword(s):  
Citation Analysis ◽  
Business Strategy ◽  
Research Question ◽  
Empirical Studies ◽  
Research Field ◽  
Business Strategies ◽  
Innovation Strategy ◽  
Resource Constrained ◽  
Frugal Innovation ◽  
Content Type

Purpose In the past years, many contributions have been published addressing frugal innovation and other types of resource-constrained innovations in the management field. Throughout this paper frugal innovation is reported as a phenomenon, concept, research field and strategy, showing the different ways the literature refers to it and how scattered the concept is. However, based on the understanding, the authors decided to address frugal innovation as a kind of innovation strategy that helps companies to innovate in resource-constrained environments. Therefore, considering the increasing interest in the frugal innovation topic and adding the perspective of business strategy for resource-constrained conditions, the research question addressed in this paper is: what are the main features of the frugal innovation literature that unfold its current perspectives for business strategy? In this sense, the purpose of this study is to analyze the scientific production in frugal innovation through a literature mapping and review to better understand it, delimiting different perspectives and creating boundaries to other business strategies or approaches. Design/methodology/approach The authors performed a co-citation analysis using the Vosviewer software to notice how authors are arranged in clusters based on their understanding of the topic. Furthermore, the authors also performed a systematic literature review (SLR) analyzing the extant literature on frugal innovation based on the clusters found through the co-citation method. The final sample used in the study included 42 papers published between 2011 and 2019, using the Web of Science platform as a data source. Findings By means of SLR, the findings of this study provided a more organized view of frugal innovation through the co-citation analysis and the qualitative analysis of the clusters, which were the basis for the parameters established. After the conceptualization of frugal innovation strategy (FIS) and the delimitation of boundaries of FIS, the authors bring the reflections about the contribution to the literature and the practice (managers and society) by showing three assumptions to be tested and confirmed in future studies and a framework to guide companies in search of a FIS. Originality/value This study contributes to the discussion on frugal innovation moving a step forward to clarify the research field on this subject providing the main characteristics for researchers and practitioners. The paper has delimited the boundaries of FIS. The assumptions established in the discussion can become hypotheses for empirical studies. In addition, the authors explain why, what is, where and to whom the FIS can be developed and applied. Furthermore, the authors contribute by developing the FIS framework, with four strategic positions based on the boundaries of FIS organized by the complexity technological level. The strategic positions are frugal innovation orientation (FIO), FIO to value shared, FIO to market and FIS.

Human Resource Practices and Firm Performance in China: The Moderating Roles of Regional Human Capital Quality and Firm Innovation Strategy

2015 ◽  
Vol 11 (2) ◽  
pp. 237-261 ◽  
Author(s):  
Xiaobei Li ◽  
Xin Qin ◽  
Kaifeng Jiang ◽  
Sanbao Zhang ◽  
Fei-Yi Gao
Keyword(s):  
Human Capital ◽  
Firm Performance ◽  
Human Resource ◽  
Business Strategy ◽  
Innovation Strategy ◽  
Performance Study ◽  
Firm Level ◽  
Capital Theory ◽  
Hr Practices ◽  
Capital Development

ABSTRACTWe conducted two studies to investigate the contingent role of regional human capital quality (i.e., the knowledge, skills, and abilities of the collective workforce in a region) in the relationship between firm-level human resource (HR) practices (i.e., practices focusing on employees’ human capital development) and firm performance in China. Drawing upon human capital theory, we hypothesized that the human capital–enhancing HR practices and regional human capital quality have a substitutive effect on firm performance. Study 1 uses a World Bank survey of 9,125 firms in 30 provinces. We found that the human capital–enhancing HR practices relate more strongly to firm performance when regional human capital quality was lower than when it was higher. Study 2 used a sample of 203 firms across seven provinces. We found similar results. We further hypothesized and found that the substitutive effect of regional human capital quality was stronger when a firm adopted an innovation strategy. Our findings provide new evidence for the contingency perspective of strategic HR management and highlight the importance of matching HR practices with local labor quality conditions and the business strategy of the firm.

scholarly journals IMPACT OF MARKET ORIENTATION ON FIRM PERFORMANCE; THE MEDIATING ROLE OF INNOVATION STRATEGIES IN EXCELLENCE AWARDED CORPORATE SECTOR

2018 ◽  
Vol 14 (1) ◽  
pp. 129-142
Author(s):  
Khawar Naheed ◽  
Keyword(s):  
Firm Performance ◽  
Market Orientation ◽  
Indirect Effect ◽  
Direct Relationship ◽  
Focal Point ◽  
Technological Development ◽  
Superior Performance ◽  
Innovation Strategy ◽  
Corporate Sector ◽  
Innovation Strategies

Innovation strategy and market orientation is vital for firm performance and competitive advantage. The survival of organizations dependent on its innovation strategies regarding the product, process and technological development and market orientation in order to increase firm performance. Innovation strategies. Market orientation helps in giving direction to the organization by providing superior value to the customers. The market orientation from organization perspective makes the customer as the focal point that influence on its performance. These main objectives of this study are; to examine the direct relationship between market orientation and firm performance and examine the indirect relationship of innovation strategies (mediation) between market orientation and firm performance. Using quantitative technique, this study collected questionnaires from 240 employees and managers working in corporate excellence awarded organizations. The data was analyzed in SPSS and PLS-SEM for analysis. The results indicated that market orientation has direct relationship with firm performance. The results also confirmed the indirect effect of innovation strategies between market orientation and firm performance. This indirect effect indicated that innovation strategies partially mediate between market orientation and firm performance. The finding of this study suggest that the corporate sector top managers and policy makers should adopt and implement the innovation strategy for the long term success and gain superior performance.

scholarly journals Generic Strategies and Firm Performance: An Investigation of Informal Sector Micro-Enterprises in Kenya

2017 ◽  
Vol 12 (3) ◽  
pp. 148 ◽  
Author(s):  
Esther Mungai ◽  
Madara Ogot
Keyword(s):  
Developing Countries ◽  
Firm Performance ◽  
Informal Sector ◽  
Business Strategy ◽  
Business Performance ◽  
Low Cost ◽  
Business Strategies ◽  
Strategic Groups ◽  
Generic Strategies ◽  
Micro Enterprises

Micro-enterprises (MEs) have been shown to collectively be the largest employer in most developing countries thus playing a significant role in the countries economies. Using informal sector micro-enterprise furniture makers (wood and metal) in Nairobi, Kenya and based on Porter's competitive business strategies typology, this study sought to determine if the strategies employed by the informal sector MEs fit within the typology framework, and if membership within the strategic groups in the typology are a predictor of better business business performance. From the study, although membership within the two focus strategic groups of differentiation and low cost was confirmed, unlike studies done with medium and large enterprises, membership was not found to be a predictor of better business performance. Porter's typology may therefore not adequately capture the competitive business activities relevant to and directly by MEs, presenting an opportunity for research into the development of competitive business strategy typologies directly derived from their activities and therefore applicable to them.

Integrative capability, business model innovation and performance

2019 ◽  
Vol 22 (3) ◽  
pp. 541-561 ◽  
Author(s):  
Changwei Pang ◽  
Qiong Wang ◽  
Yuan Li ◽  
Guang Duan
Keyword(s):  
Firm Performance ◽  
Business Model ◽  
Business Strategy ◽  
Business Model Innovation ◽  
Mediating Effect ◽  
Business Strategies ◽  
Cross Sectional ◽  
Content Type ◽  
Using Data ◽  
The Relationship

Purpose The purpose of this paper is to examine how business model innovation (BMI) mediates the relationship between integrative capability, business strategy and firm performance. Design/methodology/approach A literature review provides the model and hypotheses. Using a sample of 165 Chinese firms, the authors conduct the examination using a theoretical model and hypotheses following standard analysis methods. Findings The results show that BMI positively mediates the relationship between integrative capability and firm performance. Moreover, a differentiation strategy positively moderates the link between BMI and firm performance, while a cost leadership strategy presents a significantly negative moderating effect. Research limitations/implications First, the authors test the hypotheses using data from China; thus data from other emerging economies should be tested. Second, the authors use cross-sectional data in this study making it impossible to verify the dynamic developed in the process of BMI; a longitudinal study could provide a more comprehensive understanding. Third, the authors consider one intermediate mechanism to test the relationship of integrative capability and firm performance; additional factors may link integrative capability and firm performance. Practical implications The mediating effect of BMI suggests managers should pay more attention to BMI to improve firm performance, and they should understand that BMI’s role varies across different business strategies. Originality/value The paper is original in its investigation of the effect of integrative capability and BMI on firm performance using data from China and demonstrates the mediating effect of BMI on the relationship between integrative capability and firm performance.

scholarly journals Business strategies and tournament incentives: Evidence from China

2021 ◽  
pp. 234094442110227
Author(s):  
Li Sun ◽  
Ahsan Habib ◽  
Hedy Jiaying Huang
Keyword(s):  
Business Strategy ◽  
Positive Relationship ◽  
Important Determinant ◽  
Positive Association ◽  
Jel Classification ◽  
Business Strategies ◽  
Central State ◽  
Firm Level ◽  
Foreign Institutional Investors ◽  
Moderating Role

We investigate the association between business strategy and firm-level tournament incentives in China and find that business strategy is associated with tournament incentives positively. We further find that this positive relationship manifests itself in local, but not central, state-owned enterprises (SOEs). In addition, we also offer some evidence that foreign institutional investors play a moderating role on the positive association between business strategy and tournament incentives. Our study fills a gap in the existing tournament literature by incorporating business strategy as an important determinant of tournament incentives in China. JEL CLASSIFICATION M10; G30; J33

E-Business Strategy and Firm Performance

2011 ◽  
pp. 56-66
Author(s):  
Jing Quan
Keyword(s):  
Firm Performance ◽  
Business Strategy ◽  
New Economy ◽  
Business Leaders ◽  
Superior Performance ◽  
Electronic Business ◽  
Long Run ◽  
Short Run ◽  
Managerial Implications ◽  
Online Exchanges

Electronic business (e-business) has been popularly lauded as “new economy.” As a result, firms are prompted to invest heavily in e-business related activities such as supplier/procurement and online exchanges. Whether the investments have actually paid off for the firms remain largely unknown. Using the data on the top 100 e-business leaders compiled by InternetWeek, this chapter compares the leaders with their comparable counterparts in terms of profitability and cost in both short-run and long-run. The authors find that while the leaders have superior performance based on most of the profitability measurements, such superiority is not observed when cost measurements are used. Based on the findings, this chapter offers managerial implications accordingly.

Sign in / Sign up

Export Citation Format

Share Document