How audacious strategies pay off during hard times: Case studies of Indian information technology firms
Abstract
Purpose
This paper aims to identify strategies used by companies during the recent global recession and to investigate the effectiveness of offensive and defensive strategies. It also investigates how these different types of strategies are sequenced.
Design/methodology/approach
The paper draws on cases from seven publicly listed Indian information technology (IT) and information technology-enabled services (ITESs) companies. This longitudinal study draws on 32 semi-structured interviews with top management. The data were triangulated using annual and quarterly reports, emails, organization profiles and customer satisfaction reports.
Findings
Offensive and defensive strategic responses were deployed concurrently, not sequentially. Offensive responses were crucial in turning around a firm. Identical strategies can yield different results in product and service companies.
Research limitations/implications
The findings of this paper should be generalized with care because of the sampling scope. Future studies should include quantitative research over different recession periods.
Practical implications
The paper provides insights for practitioners on how to respond to economic recession and prepare for recovery.
Originality/value
The paper enriches the corporate turnaround and business cycle management literature by analyzing the behavior of firms from India and from the high-tech industry.
Keywords
Acknowledgements
The authors would like to sincerely acknowledge Professor Lalit Johri for his valuable feedback, comments and suggestions throughout the research process. They would also like to acknowledge Mr Venkatesh for his assistance in obtaining access to literature and to all the participants in the seven Indian IT/ITES companies. The authors express sincere thankfulness to the peer reviewers for their contribution toward improving the quality of this case research article.
Citation
Kailasam, M. and Wongsurawat, W. (2016), "How audacious strategies pay off during hard times: Case studies of Indian information technology firms", Management Research Review, Vol. 39 No. 4, pp. 468-496. https://doi.org/10.1108/MRR-05-2014-0118
Publisher
:Emerald Group Publishing Limited
Copyright © 2016, Emerald Group Publishing Limited