Doing well by doing good—case study: ‘Fair & Lovely’ whitening cream

According to the ‘doing well by doing good’ proposition, firms have a corporate social responsibility to achieve some larger social goals, and can do so without a financial sacrifice. This research note empirically examines this proposition by studying in depth the case of ‘Fair & Lovely,’ a skin whitening cream marketed by Unilever in many countries in Asia and Africa, and, in particular, India. Fair & Lovely is indeed doing well; it is a profitable and fast‐growing brand. It is, however, not doing good, and I demonstrate its negative implications for public welfare. I conclude with thoughts on how to reconcile this divergence between private profits and public welfare. Copyright © 2007 John Wiley & Sons, Ltd.     

The economic modeling of strategy process: ‘clean models’ and ‘dirty hands’

We argue that our model of learning in alliances ( Khanna, Gulati and Nohria, 1998 ) is an economic model of strategy process. We discuss implications of this view for the strategy process vs. content debate, for the appropriate testing of models of strategy process, and for the role of economics in helping understand strategy process. We propose that the ‘clean models’ from economics and ‘dirty hands’ of traditional process inquiries offer research designs that are complementary rather than incompatible ( Hirsch, Michaels and Friedman, 1987 ). Copyright © 2000 John Wiley & Sons, Ltd.     

Work–Life Balance and the Demand for Reduction in Working Hours: Evidence from the British Social Attitudes Survey 2002

Work–life balance policies aimed at reducing working hours are often assumed to be of particular interest to workers with family responsibilities such as young children. Although workers in Britain report the kind of time‐stress envisaged by the debate over a ‘long‐hours culture’, there is little relationship between workers’ family situation and preferences for working fewer hours. Women workers’ hours already reflect family commitments to some extent, while families with young children may need the income levels that only substantial working hours bring. Conversely workers without family commitments may have more capacity to swap income or career progression for increased leisure time.     

The ‘Flexible Firm’: Strategy and Segmentation

This paper draws together and provides further analysis of two research projects commissioned by the Department of Employment, with a focus on employers' labour use strategies in Britain. It seeks to place on a firmer statistical basis arguments about the presence and growth of the ‘flexible firm’, and it draws also on case-study data to explore some of the issues relating to flexibility and strategy. Our conclusions are that there has been a marked absence of strategy in this area, and reasons for this are explored, as are the implications for gender and segmentation in the labour market.     

‘Fair Work’ and the Modernization of Australian Labour Standards: A Case of Institutional Plasticity Entrenching Deepening Wage Inequality

Australia was long recognized for its relatively compressed wage structure. From the 1940s to the 1970s this was associated with a comprehensive regime of ‘award‐based’ minimum wages. Since the 1980s, this has been subjected to comprehensive ‘modernization’. After three decades of reform and in the most supportive economic environment in the OECD, Australian wage inequality has deepened. Although multiple political‐economic forces have been at play, the evolution of Australia's labour standards regime is an example of ‘institutional plasticity’ whereby the purpose and operations of wage‐setting institutions not only evolves but can actually be inverted over time.     

‘Double marginalization’ problems: evidence from the Korean fixed-to-mobile service market

In this paper, examination of the possibility of a ‘double marginalization’ problem existing in the Korean telecommunication industry is conducted and suggestions are made for the provision of a new scheme to eliminate this possibility by changing the pricing system for fixed-to-mobile calls. Based on five key economic characteristics in the Korean mobile market, a simple model for double marginalization in the telecommunication market is introduced. Evidence was found to suggest that a double marginalization problem is likely to exist within Korea's telecommunication industry as it is presently structured, and that this problem is further likely to have an adverse effect on the industry by inflating the price of fixed-to-mobile calls. Two alternatives are proposed to effectively remedy this double marginalization issue. It is also shown that prices of fixed-to-mobile calls could be lowered by changing the caller pays principle into a receiver pays principle.     

The Effect of Housing Market Disequilibrium on the Supply of Labor: Evidence from Poland, 1989–1990*

This paper examines the effect of housing market disequilibrium on the supply of labor. Earlier studies suggested that housing market disequilibria affected other markets through altered consumption patterns (Podkaminer 1982 , 1988 ) or because housing shortages restricted labor mobility (Mayo and Stein 1988 ). This paper examines the disincentive to supply labor which arises from housing market disequilibrium. The disequilibrium is measured by four variables. One is a measure of density, while the others are based upon the number of persons in official housing queues. Each of the variables is negative and significant in the two-stage least squares estimates of labor supply. Estimates disaggregated by skill-class are also presented. Housing market disequilibrium has the greatest impact on the labor supply of the least skilled.     

Rational heuristics: the ‘simple rules’ that strategists learn from process experience

While much research indicates that organizational processes are learned from experiences, surprisingly little is known about what is actually learned. Using a novel method to measure explicit learning, we track the learned content of six technology‐based ventures from three diverse countries as they internationalize. The emergent theoretical framework indicates that firms learn heuristics. These heuristics have a common structure centered on opportunity capture and are learned in a specific developmental order. This results in a deliberately small, yet increasingly strategic, portfolio of heuristics. Broadly, we contribute to the psychological foundations of strategy by highlighting the rationality of heuristics as strategy, capability creation as the cognitive transition from novice to expert heuristics, and simplification cycling as a critical dynamic capability for sustaining competitive advantage. Copyright © 2011 John Wiley & Sons, Ltd.     

Negotiating ‘Difference’: Representing Disabled Employees in the British Workplace

Drawing on qualitative interviews with disabled employees, union officers and disability‐related organizations, this article examines employee attempts to negotiate workplace adjustments and associated issues of workplace representation. UK employment law utilizes an individual medical model of disability, which conflicts with traditional collective approaches favoured by trade unions, which has implications for disabled employees and union representation. We explore the different strategies available to unions and conclude that, despite the role played by disability‐related organizations in supporting employees, unions are the only workplace actors who are capable of reconfiguring the ‘personal as political’ and integrating disability concerns into wider organizational agendas.     

Enterprise logic: explaining corporate attention to stakeholders from the ‘inside‐out’

Why are some firms more effective than others at addressing stakeholder concerns? Conventional stakeholder theories focus on variables in the external environment and cannot adequately explain variance across firms operating in the same context. Our matched‐pair study of eight global corporations goes inside the firm and investigates the role of managerial cognition on corporate attention to stakeholders. We find that top management's conceptualization of the firm's relationship with society—which we name enterprise logic—prompts distinct foci of attention and potentially constrains how well a single firm can simultaneously attend to multiple stakeholders. These findings highlight the value of an ‘inside‐out’ perspective, centered on managerial cognition, in explaining why some firms address stakeholder concerns more effectively than their peers. Copyright © 2012 John Wiley & Sons, Ltd.     

From ‘Entering into a Firm’ to ‘Entering into a Profession’: An Anthropological Approach to Changing Personhood in Japan

Drawing on extensive ethnographic fieldwork, the article uses discourse analysis to examine the social dynamics involved in the construction of personhood in Japan. While the gap between powerful discourse and lived reality is a well‐documented phenomenon, there is little systematic empirical research on how to integrate individual and social levels of analysis in this process. By contrasting discourse from above and from below, the article illuminates power asymmetry and the resulting tension between discursive freedom and social exclusion among disadvantaged groups.     

‘Mental mobility’ in the digital age: entrepreneurs and the online home‐based business

Home‐based online business ventures are an increasingly pervasive yet under‐researched phenomenon. The experiences and mindset of entrepreneurs setting up and running such enterprises require better understanding. Using data from a qualitative study of 23 online home‐based business entrepreneurs, we propose the augmented concept of ‘mental mobility’ to encapsulate how they approach their business activities. Drawing on Howard P. Becker's early theorising of mobility, together with Victor Turner's later notion of liminality, we conceptualise mental mobility as the process through which individuals navigate the liminal spaces between the physical and digital spheres of work and the overlapping home/workplace, enabling them to manipulate and partially reconcile the spatial, temporal and emotional tensions that are present in such work environments. Our research also holds important applications for alternative employment contexts and broader social orderings because of the increasingly pervasive and disruptive influence of technology on experiences of remunerated work.     

Legacies,Conflict and ‘Path Dependence’ in the Former Soviet Union

This article analyses management–union–worker relations in a foreign‐owned Moldovan clothing factory. Studies of post‐socialist industrial relations have focused on explaining labour quiescence, advancing ‘path dependence’ and ‘Soviet legacy’ arguments. These draw attention to strong links between management and unions, and weak relations between the latter and workers. We show how the union has, in one case, drawn creatively on Soviet legacies to develop strong articulation between itself and women workers. This was part of a wider adaptive strategy within which the union transformed the meaning of previous functions and developed novel ones. The outcome is a well‐organized representative union capable of challenging management at the negotiating table, as well as on the shop floor. This seems unlikely to be universal but equally unlikely to be unique.     

‘Keep out’ signs: the role of deterrence in the competition for resources

To explain resource heterogeneity, past research focuses on how rivals' resources are hidden from firms and firms accordingly have difficulties accessing them. We argue that resource heterogeneity may also arise when firms are deterred from a technological space upon being shown what resources rivals already possess within that space. To illustrate this deterrence effect, we use patent reexamination certificates, which indicate strategic stakes within a technological space without materially disclosing additional details of the underlying technologies and hence avoid the confounding effect of attracting competition through disclosure. We demonstrate how rivals' reexamination certificates within a technological space induce a firm to subsequently allocate less inventive effort in that space, based on two mechanisms—indications of rivals' developmental speed and exclusionary ability. We further develop these two mechanisms by arguing that the deterrence effect is stronger when rivals' speed is enhanced by their downstream capabilities, or when rivals' exclusion is enhanced by their litigation experiences. Findings suggest that a firm's path of resource accumulation evolves through avoidance of rivals' paths, and deterrence may constitute a viable alternative theory of resource heterogeneity. Copyright © 2010 John Wiley & Sons, Ltd.     

Legitimizing Illegal Protest: The Permissive Ideational Environment and ‘Bossnappings’ in France

In France, in 2009–2010, on several occasions, managers announcing redundancies were held hostage by workers. Public opinion polls show widespread support for the ‘bossnappers’, while the State did not taken action against them. Employing the insights of new institutionalism and social movement theory, this article explains the legitimization of such radical, illegal action through the notion of a permissive ideational environment resulting from a tradition of trade union militancy, pre‐existing concerns over globalization and more recent fears of, and government and trade union responses to, globalization and the current economic crisis.     

Flexible Work Hours and Productivity: Some Evidence from the Pharmaceutical Industry

Flexible work hours potentially influence productivity through effects on absenteeism and turnover, organizational attachment, job attitudes, work-related stress, and other areas. Prior studies suggest positive effects on productivity but are inconclusive because of small sample sizes, failure to apply direct productivity measures, or failure to account for other associated changes. We apply alternative fixed- and random-effects models to estimate production functions using panel data, with controls included for firm effects, time effects, capital quality, autocorrelation, and specification error. The results suggest that flexible work schedules contribute to improvements of about 10 percent in productivity.     

Necessity as the mother of ‘green’ inventions: Institutional pressures and environmental innovations

Drawing on institutional theory and innovation literature, we argue that greater regulatory and normative pressures concerning environmental issues positively influence companies' propensity to engage in environmental innovation. Analysis of environment‐related patents of 326 publicly traded firms from polluting industries in the United States suggests that institutional pressures can trigger such innovation, especially in those firms displaying a greater deficiency gap (i.e., firms polluting relatively more than their industry peers). Moreover, we find that this effect is stronger when asset specificity is high, and that the availability of resources plays different roles depending on the type of pressures (regulatory vs. normative).Copyright © 2012 John Wiley & Sons, Ltd.