The antecedents of SME innovativeness in an emerging transition economy

Understanding forces that contribute to the success of small and medium enterprises (SMEs) is very important, as these enterprises are vital for both developed and developing economies. Since innovativeness is among the most important means through which such businesses contribute to economic growth, numerous research studies were conducted to determine which factors positively impact SME's innovative efforts. This is an even more important issue for developing economies, where SMEs are often faced with inadequate infrastructure. Since there is a lack of studies on SME innovation in developing economies, often policy in such countries is based on findings from developed countries.In this paper, we explore factors that drive innovation activities in SMEs in a small emerging transition economy (Croatia), and compare it with findings from developed economies. In addition to factors used in most previous studies, we consider market scope, firm's market orientation and presence of strategic, managerial and marketing changes. We find that most factors that were found to be important in developed economies are important in developing economies as well. In addition to that, market scope was discovered to be a very important factor in both product and process innovation. Implementing corporate changes has positive impact on radical product innovation while implementing new organizational structures has positive effect on incremental innovation. When investigating determinants of product innovation, we distinguish new products of low novelty from new products of high novelty, and show that they need to be supported by different policies. To gain additional insight in innovation efforts, we examine obstacles to innovation. We find that firms that report facing obstacles are not less likely to innovate less, which suggests that innovators are able to work around obstacles without damaging effects to innovation. This study is based on a postal survey of 448 SMEs in Croatia, which was performed in 2004.     

Consumers’ perception of CSR motives in a post‐socialist society: The case of Serbia

Questionnaire‐based consumer research was conducted in Serbia, as a country in a long post‐socialist transition. The focus was on consumers’ opinions of benefits and attitudes which motivate companies to act in a socially responsible way. Analysis resulted in a division of CSR motives into two main clusters: cluster I—stakeholder and value‐driven motives, and cluster II—egoistic motives, performance, and market‐driven motives. The division obviously concerned motives which were the socialist legacy (endogenous motives in cluster I), and motives imported from open market economies (exogenous motives in cluster II). Consumers’ perceptions are significantly different for endogenous and exogenous CSR motives. Exogenous motives are perceived as principal companies’ motives to practice CSR, but there are no significant correlations between the perception of these motives and consumers’ purchase decisions. Endogenous, value, and stakeholder‐driven motives are perceived in a significantly lower degree as CSR motivators with highly divided consumers’ opinions and female consumers rating them significantly higher. Consumers’ purchase decisions are in a statistically significant positive correlation with attribution of endogenous, value, and stakeholders’ needs‐driven motives.     

Liberalising the German model: institutional change,organisational restructuring and workplace effects

Institutional change at supranational, European Union level affects national and firm level institutions in various ways. This article traces effects of liberalisation measures in the airport industry enacted in two airport firms in Germany. The study, based on qualitative empirical research, found that EU liberalisation facilitated company creation of subsidiaries (subsidiarisation) and elevated shareholder interest in corporate governance. These factors affected institutional practices and cultural norms within the German industrial context that in turn influenced significant alterations in employment and workplace relations. Considerable disruption of the German social partnership model of corporate governance and industrial relations was observed. However, in addition to patterns of convergence towards neoliberal practices and outcomes frequently observed in Anglo‐Saxon systems, the study found some elements of effective retention of cultural institutional resources of the German model. Both ‘path departure’ and social embeddedness appear to coexist.     

Dynamics of decision power in the localization process: comparative case studies of China-Western IJVs

International HRM has focused on the MNC and its control and compliance mechanisms, particularly the tension between ‘internationalizing’ practices and normative host-country practices. This contingency approach does not capture the complexity of MNC interactions in the local environment, however, particularly with regard to international joint ventures (IJVs). Partners to the IJV may wish to impose their own practices, and use contractual and non-contractual resource power, internationalization expertise and operational consistency requirements to gain relative decisional advantage. Case studies of four Sino-Western IJVs illustrate the dynamics of IHRM development under conditions of weak socio-legal constraint and high cultural distance between partners.     

Effects of background music endings on consumer memory in advertising

Background music is widely used in advertising to attract audiences' attention. However, no research to date has considered the effect of background music endings on consumer memory for advertised products and messages. Across two experiments, the present research shows that background music that ends abruptly (i.e., truncated ending) distracts consumers' attention, reducing memory for both products and messages, compared to background music that ends with a note in the chord of the dominant tonality (i.e., regular ending) or that concludes with a fading-out ending.     

Nanomarketing: A New Frontier for Neuromarketing

The emergence of neuromarketing has significantly advanced conventional marketing research, illuminating how unconscious responses and emotions impact consumers’ perceptions and decision‐making processes. Neuromarketing is founded on the assumption that individual sensory and motor systems can be identified in specific networks of brain cells, the observation of which can reveal the unconscious or emotional characteristics of consumer decision making. Yet, neuromarketing technologies present several limitations that can impede the extension and validation of their application: (i) the development of high‐priced and time‐restricted neuroimaging experiments; (ii) the employment of large and immovable devices confined to artificial laboratory environments; (iii) the use of a single neuroimaging technology at a time (usually the functional magnetic resonance imaging); (iv) the use of a single nonneuroimaging device at a time; and (v) the potentially unethical manipulation of research subjects. One way to address these issues involves nanotechnologies, which present a ground‐breaking opportunity for neuromarketing research. These technologies encompass not only the traditional notion of structures, devices, and systems created by limiting shape and size at the nanometer scale, but also the new miniaturized tools based on one or more nanocomponents. The integration of neuromarketing and nanotechnologies could start a new field of research, which is termed here nanomarketing. Nanomarketing makes it possible to: (i) carry out noninvasive and nonintrusive experiments in shopping places; (ii) monitor consumers’ mental processes in real time; (iii) combine different technologies to corroborate results obtained by different neuroscientific tools; (iv) integrate neurophysiological field indicators with laboratory neuroimaging results; and (v) highlight ethical issues raised by the use of these novel, portable, and easy‐to‐use nanodevices. This study thus has a twofold aim: (i) investigating both the limitations and opportunities, for researchers and practitioners, that accompany the miniaturization process and application of nanotechnologies to neuromarketing; and (ii) providing a critical review of the aforementioned limitations, highlighting the theoretical and managerial implications, and summarizing the discussion for future research.     

Relational Well-Being and Wealth: Māori Businesses and an Ethic of Care

Care is at the heart of the Māori values system, which calls for humans to be kaitiaki, caretakers of the mauri, the life-force, in each other and in nature. The relational Five Well-beings approach, based on four case studies of Māori businesses, demonstrates how business can create spiritual, cultural, social, environmental and economic well-being. A Well-beings approach entails praxis, which brings values and practice together with the purpose of consciously creating well-being and, in so doing, creates multi-dimensional wealth. Underlying the Well-beings approach is an ethic of care and an intrinsic stakeholder view of business.     

Online social network fundraising: Threats and potentialities

There has been a growth in online fundraising from crowdfunding apps, like GoFundMe, that propagate fundraising appeals on social networking sites. In the online space, these crowdfunding apps pose a potential threat to the traditional intermediation role of charities. The disintermediation threat is that donors choose crowdfunding intermediaries instead of charities to channel their giving. In this article, we discuss what makes crowdsourced fundraising effective and how charities can adapt to this new dynamic for more effective online fundraising emphasizing two key success factors: brand strength/reputation and managing the donor experience. In addition, we explain the advantages and disadvantages of social media fundraising and giving and propose ways charities can leverage their good reputations and public trust to stimulate reintermediation. Finally, we propose a landscape for future research based on model that emphases the fundraising campaign's ability to stimulate viral sharing within and between online social networks.