Constructing useful models of firms' heterogeneities in implemented strategies and performance outcomes

This study advances the proposition that applying core tenets of complexity theory is useful for solving the “crucial problem” in strategic management—describing, explaining, and predicting firm heterogeneity. The study describes the core tenets (e.g., the necessity of constructing models for cases with relationship reversals to a significant main effect—cases occur whereby both high and low scores of an antecedent condition indicate high scores in an outcome condition; asymmetric models are necessary because the causes of successful outcomes are not the mirror opposite of the causes of unsuccessful outcomes). Constructing “somewhat precise outcomes models” (SPOM) rather than null hypothesis statistical testing (NHST) is the principal analytic tool. The study describes asymmetric models of implemented strategy and competitive advantage for ROE, negation of ROE, and complex outcome statements for agribusiness firms (n = 247) across seven Latin America national as well as tests the predictive validities of models across specific nations for the models of sampled firms within Costa Rica, El Salvador, Guatemala, and Nicaragua. The findings support the propositions that constructing complex antecedent statements (i.e., algorithms/configurations/recipes/screens) are useful for indicating high performance or the negation of high performance consistently. Configural implemented strategy models have direct influences on both high and low performance outcomes, while competitive advantage models impact low, but not, high performance outcomes. Complex competitive advantage conditions contribute indirectly to high performance outcomes.     

Achieving success in technology alliances: The Rover-Honda strategic collaboration

Dynamic changes within global markets are creating a need for different strategies for firms in the pursuit of competitive advantage. International technology alliances are one mode of organising the acquisition of competitive technologies which is especially important in technology-intensive industries. However, managers have an especially difficult challenge when trying to deal with problems of high technical risk, frequent changes in technologies, different cultural and managerial styles and perspectives. This article addresses these issues as it examines the planning and implementation of the international technology alliance between Rover and Honda, during the past fourteen years. By most criteria used, this alliance was highly successful, and the article discusses not only the areas of successful technical impact which the alliance had on these companies, but also the insights learned by Rover from the management process of the alliance. It also develops a framework of issues which managers can use to implement and manage international technology alliances.     

A tale of two tails: Explaining extreme events in financialized agricultural markets

The substantial booms and busts in agricultural prices marked by extreme events across commodities lead to heated debates about the effects of speculative trading on commodity price fluctuations. This study proposes a new approach to understanding extreme events and boom–bust processes in agricultural markets. Using weekly futures data for twelve indexed agricultural commodities during 2006 to 2016, we find that extreme price changes, located in the 10% tails of the distribution, cluster across agricultural markets. We then implement a multinomial logit model to investigate which factors are associated with the propagation of extreme events. Specifically, we disentangle three transmission conduits. (1) The macroeconomic conduit captures the possibility that the synchronized extreme price events are generated by business-cycle driven demand shifts mainly in emerging economies. (2) The financial conduit refers to potential links between extreme returns and the increasing flow of money from financial participants into agricultural futures markets. (3) Finally, the energy conduit accounts for possible spillover effects due to oil price shocks. Our results indicate an important role of managed money positions and oil prices while the real demand channel remains mostly insignificant.     

企业公司治理中银行债权监控的机制及其效应研究文献综述

中国证券市场发展的时间较短,企业资金主要来源于银行体系.次货危机的发生使得银行金融风险拉制问题受到空前关注.对企业公司治理中银行债权监控的机制及其效应研究的文献进行梳理,具有非常重要的理论与实际意义.我们围绕负债融资对会司治理的作用及负债的代理成本与银行作为大货款人所拥有的监控优势这一思路对相关文献进行了梳理,并提出了进一步研究的方向.     

FROM EXPERIENCE: Balancing the Product Development Process: Achieving Product and Cycle-Time Excellence in High-Technology Industries

Most companies' product development process (PDP) is inefficient and slow. Consequently, products are often late-to-market, over cost and not well-aligned with customer's needs. Because it involves all levels of the organization and crosses all functional boundaries, the PDP is very difficult to control. Unbalanced control is at the root of many of the symptoms of a troubled PDP. Michael T. Anthony and Jonathan McKay investigate the four primary unbalanced PDP behaviors exhibited by organizations and present four balancing mechanisms to correct these flaws. In their view, a balanced PDP contains a structured development methodology and project reviews at specific, high-impact points that involves top management appropriately while still allowing empowerment of the project teams.     

Behind Migrant and Non-Migrant Worktime Inequality in Europe: Institutional and Cultural Factors Explaining Differences

Migrants often work longer hours than their non-migrant counterparts. In this article, we examine reasons behind this inequality, arguing that institutional working time configurations at the country level have impact on worktime inequality. Our cross-country comparative study uses data from the European Labour Force Survey. We focus on France, Sweden, Austria and the UK as archetypal examples of working time configurations and breadwinner models in Europe. Our findings indicate that institutional and cultural factors play a role in working hour differences between migrants and non-migrants. We conclude that more centralized worktime regulation and bargaining foster equality, and we suggest several avenues for future research.     

Balancing between stability and variety: Identity and trust trade-offs in networks

Both stability and variety are necessary when developing business relationships in networks. This paper identifies a number of trade-offs and traps associated with trust and identity when balancing between stability and variety. It suggests that an organisation's identity is a stabilising resource, whereas network identification is an activity that may lead to increased variety. Trust is seen as being either passively or actively mobilised. In the former situation, the services rendered from the resource are stabilising due to established procedures and norms. In the latter case, trust is used to gain acceptance for variety by the extended freedom given to other actors.     

Concentration in ownership of plant variety rights: some implications for developing countries

This paper explores concentration levels in the ownership of intellectual property rights over plant varieties worldwide. An analysis of data for 30 UPOV member-countries shows a high degree of concentration in the ownership of plant variety rights for six major crops at the national level in the developed world. Much of this concentration has arisen owing to the rapid consolidation of the seed industry through mergers and acquisitions, especially in the 1990s. A high degree of concentration in the ownership of plant variety rights, in combination with recent efforts to strengthen plant variety protection regimes, is likely to have significant effects on the prospects for future innovation in plant breeding and the distribution of market power between companies. For developing countries, concentration in intellectual property right ownership may have important implications for the structure of domestic seed industries and access to protected varieties and associated plant breeding technologies. These implications for developing countries are likely to become apparent in the context of the rapid spread of plant variety protection and access legislation, emerging changes in the international exchange regime for plant material and liberalised investment policies permitting foreign investment in the seeds sector.     

Multi-channel strategy in business-to-business markets: Prospects and problems

Multi-channel marketing strategy has become a major force in business-to-business distribution channels, especially since the option of Internet-based online channels emerged less than a decade ago. Making products and services available to business markets via a wide array of different channels can provide increased levels of customer choice and service. But the task of coordinating and integrating multiple channels that operate at high levels of efficiency has forced managers responsible for channel management to deal with a variety of challenging issues. These include the role of e-commerce in the multi-channel structure, finding an optimal channel mix, creating synergies across channels, building strategic alliances, creating sustainable competitive advantages, managing more complex supply chains, dealing with conflict, and providing the leadership necessary to attain well integrated multiple channels.     

How law,politics and transnational networks affect technology entrepreneurship: Explaining divergent venture capital investing strategies in China

This article identifies three distinct patterns of investment behavior by venture capital firms investing in technology sector start-ups in China. The first pattern is the service-oriented, technology-light investment behavior exhibited by the foreign venture capitalist firms not founded by ethnic Chinese. The second pattern is the technology creation investment pattern exhibited by foreign firms founded by ethnic Chinese and embedded in ethnic Chinese communities. The third pattern consists of local state-funded Chinese venture capital firms that choose either to invest in state-directed projects or opt out of investing in technology start-ups entirely. What explains the differences in behavior between the strictly foreign and the ethnic Chinese-embedded foreign firms are the different legal environments in which these firms honed their skills. The different learned experience gained from operating in different environments explains why the foreign firms avoid investing in technology-generating activities in China whereas the ethnic Chinese firms are willing to do so despite China’s notorious weak intellectual property rights regime. The political factors influencing the distribution of finance in China explain the behavior and essential failure of the local state-run venture capital firms. These findings demonstrate that several distinct, separate and non-clashing institutional arrangements are concurrently operating within China and shaping the behavior of venture capital firms there.     

Critical realism and constructivism in strategy research: toward a synthesis

We agree with Kwan and Tsang (2001) that critical realism represents an important point of epistemological departure from mainstream realism, and that it has the potential to inform strategy research. To that end, Kwan and Tsang's argument for a critical realist perspective is valid. There however exist substantial nontrivial differences between constructivism and critical realism. While critical realism contests some of the default assumptions of empiricism and realism which treat social systems as closed systems, it is still predicated upon an inherent order of things that is graspable by research. Constructivism instead focuses on the manner in which researchers constitute theories in the act of describing them. This important distinction makes constructivism far more of a departure from empiricism than critical realism, and therefore it has a different set of implications for strategy research. Copyright © 2001 John Wiley & Sons, Ltd.     

To Extend or Not to Extend: Explaining the Divergent Use of Statutory Bargaining Extensions in the Netherlands and Germany

Employee coverage by multi-employer bargaining declined since the 1980s in many countries, but countries differ in the extent of that decline. These differences are due, in part, to statutory coverage extension. We analyse the use of statutory coverage extension in two countries, Germany and the Netherlands. Agreements are extended frequently in the Netherlands, where coverage remained stable as a result, but sparingly in Germany, where coverage eroded. The article shows that different employer attitudes are the main cause of this difference. These differences in employer attitudes result from (a) different perceptions of the effects of wage competition by non-organized firms on organized firms and (b) differences in employer views on the appropriateness of state compulsion.     

Measuring and modelling changes in strategy: Theoretical foundations and empirical directions

Confronted by increasingly turbulent and complex environments, general managers have become more interested in understanding the conditions and forces that enable or disable successful changes in organizational strategies. Yet, largely because of their tendency to use fuzzy definitions and inadequate methodologies, empirical studies of changes in strategy have not provided practitioners with a set of well-tested theories. To provide a basis for circumscribing, evaluating, and directing future research, this paper begins by developing a framework for assessing and modelling changes in strategy. After discussing the forces that influence their occurrence and performance outcomes, the paper reviews a representative sample of empirical studies in terms of two major questions: (1) how are changes in strategy conceptualized and modelled? and (2) what methods of observation and analysis are employed? This review concludes with a report of important patterns and concerns followed by suggestions for future research.     

Explaining Employment Effects in Multipolar Value Chains: A Cross‐National Study on Soft Drinks and Dairy Manufacturing in Europe

The article develops an integrated framework that employs a dynamic perspective on interlinked levels of value chain governance in order to explain employment in value chains. It compares two multipolar chains in food and beverage manufacturing, in two different producer and consumer markets, Belgium and Germany. Analysis reveals that varied value capture dynamics in the food and beverage industries underpin distinct employment effects at specific inter‐firm nodes, as well as between labour and product markets. This reveals institutional and product variation explaining firms’ value capture trajectories. However, it also illustrates a concomitant transnational trend of deteriorating working conditions, stemming from overall chain governance.     

Explaining the reduction in child undernutrition in the Indian state of Maharashtra between 2006 and 2012: An analysis of the policy processes

The Indian state of Maharashtra has been lauded as a ‘success story’ for its rapid and significant decline in undernutrition amongst children. Between 2006 and 2012, childhood stunting fell from 39 to 24%. Whilst the global policy and academic literature strongly emphasises the need to act on nutrition, there are still too few studies outlining the policy processes which been part of successful state-led strategies – particularly at a sub-national level. This study is intended to contribute to future policy via unpacking the unfolding story of policy and programme attention to nutrition. Stakeholder perceptions and opinions on the wider policy, political and contextual reasons for Maharashtra’s decline in child undernutrition were sought and used alongside documentary evidence to construct a chronology of key events. Key factors identified via this process include the way in which issue framing and evidence helped catalyse a political response; the particular governance structures employed in response (the State’s ‘Nutrition Mission’) and the way in which leadership and a focus on system-wide capacity combined in an innovative fashion to focus resources on pockets of deprivation in high-burden areas.     

Knowledge management and innovation strategy: The challenge for latecomers in emerging economies

The success of latecomer firms from the emerging economies challenges the conventional wisdom on entry timing and resource-based competence. Building on research on institutions in emerging economies and the resource-based perspective in strategic management, we propose a model to explain how resource poor latecomer firms in emerging economies catch up with the multinational incumbents. We classify latecomers based on their strategic learning intent as either emulators or blind imitators. The strategic learning intent depends on a firm’s complementary assets and its absorptive capacity. Firms that choose emulation develop flexible routines, while firms that choose blind imitation end up with rigid routines. Over time, when there is a need for resource renewal, firms that have flexible routines are better positioned to respond. We take the Chinese mobile phone industry as an exemplar to illustrate the core issues in latecomer catching up of emerging economy firms.

Adoption of improved maize varieties in Southern Ethiopia: Factors and strategy options

This paper identifies factors that influence the decision behavior of farmers in Southern Ethiopia in adopting improved maize varieties by estimating a logistic regression. Data for this study came from 222 farmers interviewed as part of a national adoption survey conducted in three selected maize growing administrative zones of Southern Ethiopia in 1998. The paper also assesses the impact of pure and mixed strategy options on the probability of adoption of improved maize varieties through simulation under different scenarios. As far as pure strategies are concerned, the credit strategy is more powerful than the others in terms of raising the probability of adoption. However, results from the analysis of pure versus mixed strategies imply that mixed strategies are no necessarily much better than pure strategies.     

Consensus on strategy formulation and organizational performance: Competitors in a fragmented industry

This paper examines the relationship between organizational performance and consensus (or agreement) within top management teams on company objectives and competitive methods for a sample of nineteen firms competing within a highly fragmented industry—paints and allied products (SIC 2851). It was hypothesized that intense competitive pressures and the resultant low industry profitability would constrain organizational resources and augment the need for consensus on both objectives and methods. However, findings indicate that consensus on either objectives or methods is positively related to organizational performance.     

Environment,strategy, organization structure and performance: Patterns in one industry

This paper reports the findings of an empirical field study of savings and loan associations. The investigation centres upon whether combinations of environment, strategy, and organization structure of “high”-performance firms differ from combinations associated with “low”-performance firms. Results show that such combinations differ, both statistically and with respect to their basic character. There is also evidence that norms held by managers of competing institutions and the nature of relationships between organizations and populations served to influence the vigour and form of interfirm rivalries and, in turn, organizational performance.