How Hybrids Manage Growth and Social–Business Tensions in Global Supply Chains: The Case of Impact Sourcing

This study contributes to the growing interest in how hybrid organizations manage paradoxical social–business tensions. Our empirical case is “impact sourcing”—hybrids in global supply chains that hire staff from disadvantaged communities to provide services to business clients. We identify two major growth orientations—“community-focused” and “client-focused” growth—their inherent tensions and ways that hybrids manage them. The former favors slow growth and manages tensions through highly integrated client and community relations; the latter promotes faster growth and manages client and community relations separately. Both growth orientations address social–business tensions in particular ways, but also create latent constraints that manifest when entrepreneurial aspirations conflict with the current growth path. In presenting and discussing our findings, we introduce preempting management practices of tensions, and the importance of geographic embeddedness and distance to the paradox literature.     

Investitionsvolumen und Herausforderungen eines nationalen Glasfaserausbaus in Deutschland

Der fl?chendeckende Glasfaserausbau in Deutschland ist mit hohen Kosten verbunden. Insbesondere die Anschlüsse in dünn besiedelten Gebieten lassen die Kosten steigen. Die Autoren berechnen verschiedene M?glichkeiten der Kostenaufteilung.     

When Stress Frustrates and When It Does Not: Configural Models of Frustrated versus Mellow Salespeople

The purpose of this study is to elucidate the stress–strain relationship by examining compound causes of frustration in the workplace. Drawing on configuration theory, this article describes stress patterns, that is, configurations of role stressors and social stressors, and underlying frustration and its negation, that is, mellowness. In addition, this article describes potential sources of such frustration‐stimulating stress patterns by examining constellations of employee and task characteristics. Based on a sample of 118 salespeople, the authors analyze the data using fuzzy‐set Qualitative Comparative Analysis—an analytic method pertinent to describing configurational patterns of causal factors. The findings from this study indicate the coexistence of alternative patterns of stressors for frustration. In addition, the findings show that configurational patterns for frustrated salespeople are quite different from those characterizing mellow salespeople. In summary, knowledge of these constellations of stressors helps sales managers detect conditions that frustrate, and develop strategies to diminish these conditions in order to improve sales force performance.     

Moving on from nascent entrepreneurship: measuring cross-national differences in the transition to new business ownership

Nascent entrepreneurship and new business ownership are subsequent stages in the entrepreneurial process. We illustrate how information from the largest internationally harmonized database on entrepreneurship, the Global Entrepreneurship Monitor project, can be used to approximate the entrepreneurial process. We make a methodological contribution by computing the ratio of new business ownership to nascent entrepreneurship in a way that reflects the transition from nascent to new business ownership and provides cross-nationally comparable information on the efficiency of the entrepreneurial process for 48 countries. We report evidence for the validity of the transition ratio by benchmarking it against transition rates obtained from longitudinal studies and by correlating it with commonly used entrepreneurship indicators and macro-level economic indices. The transition ratio enables future cross-national research on the entrepreneurial process by providing a reliable and valid indicator for one key transition in this process.     

The impact of search costs on consumer behavior: A dynamic approach

Prices for grocery items differ across stores and time because of promotion periods. Consumers therefore have an incentive to search for the lowest prices. However, when a product is purchased infrequently, the effort to check the price every shopping trip might outweigh the benefit of spending less. I propose a structural model for storable goods that takes into account inventory holdings and search. The model is estimated using data on laundry detergent purchases. I find search costs play a large role in explaining purchase behavior, with consumers unaware of the price of detergent on 70 % of their shopping trips. Therefore, from the retailer’s point of view raising awareness of a promotion through advertising and displays is important. I also find a promotion for a particular product increases the consumer’s incentive to search. This change in incentives leads to an increase in category traffic, which from the store manager’s perspective is a desirable side effect of the promotion.     

Governance modes for offshoring activities: A comparison of US and German firms

A new field of research centered on the offshoring of white-collar tasks is opening. We analyze the choice of governance mode for international offshoring activities based on a four-fold framework that integrates multiple theoretical perspectives. Firms choose between an internal or external mode based on their institutional environment, the offshoring behavior of similar firms in their reference group, firm-specific characteristics and objectives, and the particular setting of specific implementations. We test our relationships using detailed data on offshoring activities of US and German firms. Based on the outcomes we conclude that each dimension of the chosen framework is needed to explain the governance mode decisions of firms and this overarching framework may also be applicable to other topics in internationalization research.     

Complaint management expectations: An online laddering analysis of small versus large firms

This study explores complaint management expectations in business relationships, particularly the qualities and behaviours that affect buying companies as part of the complaint handling encounter with a supplier. An exploratory empirical study uses a hard laddering approach which also allows us to compare the expectations of large and small companies to understand size-effects. The research indicates that complaining companies perceive disruptions of their supplier relationships in the context of the business network within which they are embedded, especially vis-à-vis the benefits associated with long-term supplier ties. However, these network concerns are more pronounced for large companies. Issues of effective complaint management in business-to-business settings therefore need to be addressed not just as isolated managerial activities with limited benefits for the parties involved, but should be seen as being part of a wider activity set of strategic networking activities with an impact on whole business systems. Thus, the findings enrich the existing limited stock of knowledge on the context of complaint management in business relationships and networks.     

Resource acquisition strategies in business relationships

Integrating the IMP Group approach with aspects of the resource-based view of the firm, we seek to develop and test a typology of relationship strategies based on different resource acquisition foci. For this purpose, we conducted interviews with thirty CEOs and other senior marketing managers in the UK and the USA. In-depth content analysis identified five main resource acquisition strategies (RAS) behind building business relationships: money bonds, new market bonds, utilization bonds, intellectual bonds, and credibility bonds. We further carried out a quantitative study with 658 senior managers in the USA to test for the generalizability of our findings. Results of a one-way repeated ANOVA and multinomial logistic regression analysis show significant differences between the five RAS for business relationships. However, a pair-wise comparison provides evidence for the existence of hybrid strategies. In addition, an investigation of the association between the RAS of business relationships on the one hand, and business strategy on the other, revealed equifinality of alternative business strategies vis-à-vis the applied relationship strategy. Finally, our analysis revealed no significant differences between the distributions of RAS types for knowledge intensive versus non-knowledge intensive business services. However, we found that RAS distribution is significantly associated with company size.     

How Big is the Crowding-Out Effect of User Fees in the Rural Areas of Ethiopia? Implications for Equity and Resources Mobilization

Using a nested multinomial logit model, this study investigates the demand “reduction” and “diversion” effects of user fees in rural areas of Ethiopia. The results reveal that an increase in user fees of public clinics, which are the most widely used alternative, can have a significant demand reduction effect on the poorest of the poor. This implies that despite cost recovery has been advocated as an alternative means of health care financing in most of the developing world, increasing user fees may drive the poorest segment of the population out of the health care market unless some protective measures are taken.