Revisiting the Business Environment at the Bottom of the Pyramid (BOP)—From Theoretical Considerations to Practical Realities

ABSTRACT

The area of constraints that firms face when conducting business in difficult environments, such as the bottom of the pyramid (BOP), has been subject to scrutiny in international business. While there has been a general discussion of constraints that firms face in doing business at the BOP, there has been limited effort to constantly revisit these issues in view of the dynamic environment that makes up the BOP. The author critically reexamines the impediments that firms face operating at the BOP with the view of identifying coping strategies used to mitigate the impact of these impediments within a BOP context and their practical, social, and policy implications. Previous studies focus on constraints at the expense of coping strategies and implications. This Zimbabwean study provides a contrasting perspective. Key findings include the identification of changing nature of impediments that are embedded in the BOP context and dynamic coping strategies used by firms to minimize the negative impact of these impediments. The author provides practical, social, and policy implications that can be used to expand insights into the importance of understanding the changing nature of impediments faced by firms at the BOP and the subsequent coping strategies used.     

Corporate Community Involvement and Local Institutions: Two Case Studies From the Mining Industry in Tanzania

Corporate community involvement contributes capital or resources in various forms to a community. However, such involvement may also influence local institutions that determine how well these resources are used, that is, the extent to which they are used to promote the public good rather than being subject to private capture. For community involvement to have a beneficial effect on local development, corporations need to consider their impact on local institutions. Presented in this article are two case studies from Tanzania that illustrate how community involvement activities of two mining firms have resulted in misappropriation of and conflict over corporate community involvement funds. It is argued that corporations need an analytical approach that integrates a differentiated stakeholder approach with institutional theory to contribute to local development in poor communities.     

African Business Research: A Review of Studies Published in the Journal of African Business and a Framework for Enhancing Future Studies

ABSTRACT

The development of Africa depends on productivity and effectiveness of businesses. One objective of the Journal of African Business (JAB) is to facilitate business effectiveness through dissemination of research and practitioner knowledge. Reviewing 96 articles published over a seven year period (2000–2006) published in JAB, the study looked for patterns in the research described (i.e., disciplinary focus, geographic coverage, characteristics of authors, etc). The study also focused on the degree of correspondence (or fit) between Western theory and data provided. Four important findings are: (1) JAB published research from diverse disciplines; (2) there seems to be a bias toward Business rather than Management disciplines, (3) a majority of the research is empirical; and (4) there seems to be a lack of context-specific theories. A proposed framework and implications for future research are discussed.     

The 2009 Nobel Prize in Economics to Oliver E. Williamson: Recognition of the Influence of Transaction Cost Economics on Business Research

This article provides an introduction to the Journal of Retailing Special Issue dedicated to Oliver Williamson and transaction cost economics. The paper briefly outlines transaction cost economics contributions to marketing and related social sciences.     

Using a Qualitative Approach to Gain Insights into the Business Ethics Experiences of Australian Managers in China

This study investigated the business ethics experiences of Australian managers in China, using qualitative methodology to identify themes. Thirty-one Australian managers who had spent on average 8.7 years working in business connected to China participated in in-depth interviews regarding their business ethics experiences in China. Commonly, managers identified issues relating to a broad spectrum which could be labelled "bribery and facilitation". Other repeated themes included requests for visa assistance, employee theft, nepotism and non-adherence to contractual obligations. This study has important implications for helping Australian managers improve the way they approach potential ethical situations in China. Four key coping strategies can be identified from the data: managers spoke of not compromising their own morals, of attempting to understand the motivation of Chinese colleagues, of talking to others and of adhering to company policy. These strategies suggest practical steps may be taken by organisations when training managers for business activities in China. In particular, structuring of mentoring relationships between experienced and less experienced practitioners may be of assistance. Cultural training for managers and clear company policy on contentious issues such as bribery may also be of benefit. The themes identified in the study also have implications for academics researching expatriate business peoples' experiences in China.     

Social Media as the Missing Link: Connecting Communities of Practice to Business Strategy

Communities of Practice (CoP) have long been considered powerful Knowledge Management (KM) mechanisms. CoP, however, are often viewed independently from organizational goals and structures, as they are primarily seen as a means of individual knowledge sharing and learning. In this article, we argue that CoP supported by social media have great potential to contribute to organizational goals, such as business strategy. We seek to support this statement through an embedded case study that includes 54 CoP within a prominent multinational engineering firm. This investigation explores the extent to which CoP contribute to business strategy. The paper's contribution is in providing five guidelines for practice that outline how CoP can be best designed to contribute to business strategy and how social media can serve as the “missing link” to execute those guidelines.     

The Transition from Product to Solution Selling: The Role and Organization of Employees Engaged in Current Business

ABSTRACT

Purpose: This research investigates how to manage and organize existing employees when launching a solution sales strategy, specifically addressing whether it is possible to migrate existing sales representatives active in product sales to solution sales, and whether it is possible to combine the roles.

Methodology/approach: A case-based approach was applied to a multinational firm, engaged in business-to-business sales that simultaneously launched a solution sales strategy in 17 countries. In-depth interviews with 29 managers and sales representatives were performed to inductively identify why some countries succeeded in the launch, while others did not.

Findings: Because of fundamental differences in approach between solution and product sales, those countries where the solutions and product businesses were separated performed better. The difference in required capabilities and mindset meant that migrating sales representatives from product to solution sales is problematic.

Research implications: This research offers evidence of differences in mindset and approach between different marketing and sales strategies, extending the conclusions to how these differences affect the possibility of migrating existing sales representatives when launching a new selling strategy. Whether to separate service and product sales has been debated. The present results indicate that separating the current product business from the new solution business facilitates the successful implementation of the new strategy. In the case company, the solutions represent a mixture of product and services, suggesting that the problem is not the difference between products and services, but rather different selling strategies and approaches that require different capabilities.

Practical implications: When launching a solution sales strategy, the solution business should be separated from the current product business at both the organizational and personnel levels. Solution sales necessitates a particular approach and capabilities, making it unadvisable to transfer sales representatives and managers to the new solution business based solely on previous product sales success. Instead, a new skill profile must be developed taking account of the requirements of a demand-driven solution strategy.

Originality/value/contribution: Consensus is lacking as to whether to separate product and service businesses. This article extends the debate to the field of solution

sales, demonstrating that separation is needed to succeed in launching a solution sales strategy. Furthermore, this research extends our knowledge of the difference in approaches between different selling strategies, covering the possibility of successfully migrating existing sales representatives to a different selling strategy.     

Applying Stories of the Environment to Business: What Business People Can Learn From the Virtues in Environmental Narratives

The use of narrative to communicate and convey particular points of view in society has increasingly become the focus of academic attention in recent years. In particular, MacIntyre. (1985, 1988, 1990, 1999) has paid attention to the role of narrative in the conflict between different traditions when developing his virtue approach to ethics. Whilst there has been continued debate about the application of virtue approaches, some arguing that it is incompatible with business, I disagree and have already argued for a form of virtue that will focus business on society’s needs rather than better business itself. Here I continue to develop the argument in two ways. First, I will explore the predominant business narrative and offer some comment on the ‘virtues’ that it promotes. However, rather than accepting this narrative, I want to challenge it with a narrative from the environmental tradition. I consider how adopting the virtues promoted by an environmental narrative it would shape business practices and challenge current business conventions. As a second step, I will focus on how we can change managers’ perceptions of business to reflect these environmentally based virtues.     

试论财务战略管理对企业生存发展的影响——佑威国际破产案例研究

选择适当的财务战略类型,需要考虑企业内部财务资源和环境因素的影响。佑威国际破产清算的原因及其财务战略选择的不当之处,为更多企业在财务战略选择决策时提供了借鉴：在内部财务资源不足、大规模投资扩张不符合实际的情况下,企业更应当考虑立足实际,由单纯的规模投资扩张转向充分利用已有财务资源,回归核心业务核心市场的精耕细作,为企业未来快速扩张打下扎实基础。在经济环境和市场环境发生变化时,要对财务战略进行相应的评估和调整,以避免坚持原有不合时宜的财务战略导致的经营失败。     

Managing for competency with innovation change in higher education: Examining the pitfalls and pivots of digital transformation

Digital transformation recently converged on organizations as a new paradigm—a must-have exemplar—to enable competitive advantage. While the effects of digital transformation and their analytics, along with platform technologies, are becoming pronounced in companies, there is still a need to examine their implications on higher education. In light of the dynamics of digital transformation, how can higher education better manage the shift toward newer competencies and the need for innovation presented by the emergence of digital technologies? In this article, I examine the issues around the need for this balance—often defined in strategy as ambidexterity, or the need to address both competency with innovation—by outlining the historical trajectories that led to this problem in higher education, identifying three common pitfalls that higher education programs and administrators face, and tying these issues to higher education’s absorptive capacity. To resolve these pitfalls, this article builds upon absorptive capacity frameworks for education practitioners and strategies as a prospective change management tool.     

The Transitioning of Marketing Practices from Segment to Customer-Centric Marketing in the African Business Context: Toward a Theoretical Research Framework

ABSTRACT

Although marketing has long been posited to be shifting from segment marketing to customer-centric marketing, there is little theoretical insight into the status of such transformation, especially in emerging African economies. Therefore, this paper develops an integrated theoretical framework for assessing (a) the extent to which firms in African economies use the segment marketing mix (4Ps) versus the customer-centric marketing mix (4As) as well as (b) their antecedents and performance outcomes. Propositions drawn from qualitative data and theoretical tenets in strategic management and in institutional theory are offered to guide systematic empirical research.     

“一带一路”倡议下我国生物安全问题的法律应对--以非洲猪瘟事件为视角

非洲猪瘟等生物安全事件给我国带来诸多危害,直接影响人们的生活质量和健康,也不利于国际贸易。造成该现象的原因主要有:一带一路倡议下国际合作带来的商品流通速度加快和生物迁移路径的多样性,使动物疫病的侵入防不胜防;我国生物安全风险防范意识、相关制度及其实施等方面存在不足。为有效防控生物安全事件,应参照相关国际条约,借鉴他国做法,在国内和国际两个层面采取有效措施:前者如提升防范意识、完善进出境货物等涉及的生物安全法律法规。后者以构建人类命运共同体理念为指导,推进生物安全全球共治规则的形成与完善,以利于国际贸易和交流的健康发展;在 一带一路参与国间加强合作,建立生物安全防控长效机制。     

中国上市公司现金流管理研究——兼对中美市场现金流管理行为比较研究

This paper examines cash flow management in the Chinese market and compares it to that in the U.S. market. It adopts Burgstahler and Dichev (1997) and Degeorge et al.’s (1999) method and the best-fitted distribution model to analyze the financial data of Chinese listed firms during 1998–2005 and the forecasted cash flow per share (CPS) data for Chinese firms in the I/B/E/S database during 1993–2005. Results reveal that cash flows reports are not as reliable as people think, and managers manipulate cash flows just as they manipulate earnings. Further analyses show that zero point, last year’s cash flow and analyst cash flow forecast are the three thresholds that influence managers’ decision when they report cash flow performance. Over 16% of the firms with small positive cash flows manipulate their cash flow. Moreover, 16.64% of the firms with small changes in cash flow and 9.81% of the firms with small surprises manipulate cash flows to reach the targets. A comparative analysis shows that cash flow management behaviors around zero and zero changes are more prevalent in the Chinese market than in the U.S. market. Cash flow management around analyst cash flow forecasts, however, is no more prevalent than that in the U.S. market. Translated and revised from Zhongguo Kuaiji Pinglun 中国会计评论 (China Accounting Review), 2007, 5(3): 381–400     

The Prospect of Familism in the Global Era: A Study on the Recent Development of the Ethnic-Chinese Business,with Particular Attention to the Indonesian Context

The ethnic-Chinese business is often characterised by a central role of the family both in the structure of the firm and in its corporate culture. This has political, social as well as cultural reasons. The centrality of the family in business has its advantages and disadvantages. On the one hand, it enables a fast, efficient and flexible process of decision-making. On the other hand, it often contradicts modern business professionalism. The younger generation of ethnic-Chinese business actors tend to preserve crucial elements of such family-centred characteristics. Yet, globalisation drives them to transform their business style, lessening its dependence on family resources and adopting more-modern professional ideas. Changes in current political situation, religious-cultural trend, demography and education contribute to making possible the transformation.