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1 – 10 of over 2000Sheshadri Chatterjee, Ranjan Chaudhuri and Demetris Vrontis
This study examines the significance of the hybrid offerings of servitization by manufacturing small and medium-sized enterprises (SMEs). This study also examines why and how…
Abstract
Purpose
This study examines the significance of the hybrid offerings of servitization by manufacturing small and medium-sized enterprises (SMEs). This study also examines why and how hybrid offerings matter for manufacturing SMEs. The study also investigates the moderating role of risk-taking ability (RA) and technology turbulence (TT) on manufacturing SMEs' performance.
Design/methodology/approach
This study has used literature from the areas of servitization, hybrid offerings and internationalization related to SMEs. Also, with the help of theories and literature, a model has been developed conceptually. This model has been validated using a structural equation modeling (SEM) technique on survey data collected from manufacturing SMEs.
Findings
This study finds the significance of manufacturing SMEs' servitization for internationalization effort. Also, this study highlights the moderating impacts of RA and TT on the performance of manufacturing SMEs.
Research limitations/implications
This study provides valuable inputs to the management of SMEs, especially practitioners that are involved in formulating strategies for hybrid offerings, including servitization activities for the manufacturing SMEs. This study also contributes to the overall body of literature on hybrid offering and servitization.
Originality/value
The study adds values to the overall body of literature for both servitization and internationalization. This study focuses mainly on the significance of hybrid offerings, including servitization by the manufacturing SMEs. Few studies have dealt with such hybrid offerings by manufacturing SMEs as part of the SMEs' internationalization effort. Thus, this study can be considered unique. Moreover, the study investigates the moderating role of RA and TT for SME performance, which adds value toward the body of knowledge in the extant literature.
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Muanfhun Ratanavanich and Peerayuth Charoensukmongkol
This study aims to analyze the effect of entrepreneurs’ improvisational behavior on business risk-taking and opportunity recognition, as well as to analyze its subsequent impact…
Abstract
Purpose
This study aims to analyze the effect of entrepreneurs’ improvisational behavior on business risk-taking and opportunity recognition, as well as to analyze its subsequent impact on firm performance. Moreover, this study examined whether the effect of entrepreneurs’ improvisational behavior on business risk-taking and opportunity recognition could be moderated by firm size and the business experience of entrepreneurs.
Design/methodology/approach
Online survey data were collected from 304 firms in Thailand that were randomly selected from a business directory. The data were assessed using partial least squares structural modeling.
Findings
The results confirmed that entrepreneurs who exhibited high levels of improvisational behavior tended to report that their firms engaged more actively in risk-taking and opportunity recognition. Moreover, risk-taking and opportunity recognition played a chain mediating effect in explaining the association between the improvisational behavior of entrepreneurs and firm performance. Regarding the moderating effects, this paper found that firm size negatively moderated the effect of improvisational behavior on risk-taking and opportunity recognition, while business experience of entrepreneurs only positively moderated the effect of improvisational behavior on risk-taking.
Originality/value
This study provided new knowledge by showing that improvisational behavior of entrepreneurs should be integrated with other firm advantages determined by firm size and the business experience of entrepreneurs to strengthen the ability to be more effective at risk-taking and opportunity recognition.
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This research examines whether mentoring is a predictor of entrepreneurial intentions. It also explores how intent translates into action through implementation intentions. The…
Abstract
Purpose
This research examines whether mentoring is a predictor of entrepreneurial intentions. It also explores how intent translates into action through implementation intentions. The study tests if the mentoring-intentions association is mediated by self-efficacy. The potential moderating effect of achievement motivation on the relationship was also investigated.
Design/methodology/approach
PLS-SEM was used to test the hypotheses of the 242 valid responses collected from final-year students from Libyan public universities.
Findings
Results show that self-efficacy partially mediated the mentoring-intentions association, while motivation negatively moderated the relationship. Entrepreneurial intentions had a significantly strong effect on implementation intentions.
Research limitations/implications
The results verify mentoring as a practical socializing instructional approach. Therefore, universities should implement structured mentoring programs, offering emotional guidance, counsel and networking opportunities. Also, mentors should undergo training, and progress tracking is essential for improvement.
Originality/value
Examining entrepreneurial self-efficacy as a mediator and achievement motivation as a moderator in the mentoring-intentions association is unprecedented. The findings narrow the search for antecedents to entrepreneurial intentions and pinpoint intervention points.
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Margaret Fitzsimons, Teresa Hogan and Michael Thomas Hayden
Bootstrapping is a practitioner-based term adopted in entrepreneurship to describe the techniques employed in micro, small and medium-sized enterprises (MSMEs) to minimise the…
Abstract
Purpose
Bootstrapping is a practitioner-based term adopted in entrepreneurship to describe the techniques employed in micro, small and medium-sized enterprises (MSMEs) to minimise the need for external funding by securing resources at little or no cost and applying strategies to effectively use resources. Working capital management (WCM) is a term used in financial management to define a set of practices used to manage business resources, including cash management. This paper explores the overlap and divergence between these two disciplinary distinct concepts.
Design/methodology/approach
A dual methodology is employed. First, the usage of the two terms in prior literature is analysed and synthesised. Second, the study uses factor analysis to explore how bootstrapping practices described by owners of 167 established MSMEs relate to the components of WCM in financial management.
Findings
The factor analysis identifies two main bootstrapping practices employed by MSMEs: (1) delaying payments and owner-related bootstrapping and (2) customer-related bootstrapping. Delaying payments is an integral practice in trade payables management and customer-related bootstrapping includes practices that are integral to trade receivables management. Therefore, links between bootstrapping practices and WCM practices are firmly established.
Research limitations/implications
The study is not without limitations. Based on cross-sectional evidence for established firms in Ireland only, future studies could explore cross-country longitudinal panel data to fully examine life cycle and sectoral effects, as well as other external shocks (for example, COVID-19) on bootstrapping and WCM practices. This study does not explain why some factors (for example, joint utilisation and inventory management) are present in some bootstrapping studies and not in others; further case study research might help explain this. Finally, changes in the business environment facing start-ups and established enterprise, including increased digitalisation, online trading, self-employment, remote hub working and sustainability, offer new avenues for bootstrapping research.
Originality/value
This is the first study to comprehensively explore the conceptual and empirical links between bootstrapping and WCM. This study will enable researchers and practitioners in these two distinct disciplines to learn from each other. Accounting researchers and practitioners can broaden their understanding of how WCM “works” in MSME settings. Similarly, entrepreneurship researchers and practitioners can deepen their understanding of how bootstrapping can be adopted by businesses to manage resources effectively.
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Mohamed A. Ayadi, Anis Chaibi and Lawrence Kryzanowski
Prior research has documented inconclusive and/or mixed empirical evidence on the timing performance of hybrid funds. Their performance inferences generally do not efficiently…
Abstract
Purpose
Prior research has documented inconclusive and/or mixed empirical evidence on the timing performance of hybrid funds. Their performance inferences generally do not efficiently control for fixed-income exposure, conditioning information, and cross-correlations in fund returns. This study examines the stock and bond timing performances of hybrid funds while controlling and accounting for these important issues. It also discusses the inferential implications of using alternative bootstrap resampling approaches.
Design/methodology/approach
We examine the stock and bond timing performances of hybrid funds using (un)conditional multi-factor benchmark models with robust estimation inferences. We also rely on the block bootstrap method to account for cross-correlations in fund returns and to separate the effects of luck or sampling variation from manager skill.
Findings
We find that the timing performance of portfolios of funds is neutral and sensitive to controlling for fixed-income exposures and choice of the timing measurement model. The block-bootstrap analyses of funds in the tails of the distributions of stock timing performances suggest that sampling variation explains the underperformance of extreme left tail funds and confirms the good and bad luck in the bond timing management of tail funds. We report inference changes based on whether the Kosowski et al. or the Fama and French bootstrap approach is used.
Originality/value
This study provides extensive and robust evidence on the stock and bond timing performances of hybrid funds and their sensitivity based on (un)conditional linear multi-factor benchmark models. It examines the timing performances in the extreme tails funds using the block bootstrap method to efficiently identify (un)skilled fund managers. It also highlights the sensitivity of inferences to the choice of testing methodology.
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The present article focuses on crises that arise from provocative advertisement images and products and introduces the shooting star crisis. Moreover, it aims to shed some light…
Abstract
Purpose
The present article focuses on crises that arise from provocative advertisement images and products and introduces the shooting star crisis. Moreover, it aims to shed some light on the interconnection between the boomerang effect, crisis, crisis management and workforce diversity.
Design/methodology/approach
By examining the cases of two leading organizations of the fashion industry that found themselves involved in crises and how they confronted them, it seeks to explore whether investments in workforce diversity is a solution for these problems.
Findings
Sometimes provocative products and images that intend to spark customers' imagination can backfire and initiate a crisis. Based on the findings, organizations that admit their wrongdoing and react promptly to their stakeholders' demands tend to overcome a crisis relatively faster than organizations with passive behavior. By understanding the need for a proactive approach, fashion organizations can evade future crises and avoid creating products or images that can be perceived as racist and invoke public outrage. Additionally, the study revealed that workforce diversity initiatives can mitigate a crisis and its aftermath.
Originality/value
Its novelty is that it deals with the interrelationship between boomerang effect, crisis, crisis management and workforce diversity. Moreover, it introduces a new type of crisis, the shooting star crisis, in order to capture new crises that emerge in modern era, as a result of the extensive power of modern social media.
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Mojtaba Azhdary Moghadam, Mohsen Akbari, Gholamreza Mahfoozi and Mahyar Mohaghegh Montazeri
The purpose of this study is to simultaneously investigate a comprehensive analysis of the extent to which strategic orientations, namely, imitation and innovation orientations…
Abstract
Purpose
The purpose of this study is to simultaneously investigate a comprehensive analysis of the extent to which strategic orientations, namely, imitation and innovation orientations, and knowledge management affect firm performance.
Design/methodology/approach
Drawing on the theoretical frameworks of the resource-based view and dynamic capability theory, this scholarly inquiry has proposed a comprehensive framework that delineates the relationships amongst imitation, innovation, absorptive capacity (ACAP), innovation performance and financial performance. To scrutinize the proposed research model, bootstrap routines were used through Smart partial least squares to estimate the procedures. To collect the necessary data, a questionnaire and financial statements were acquired from a sample of 100 Iranian firms listed on the Tehran Stock Exchange. The findings of the study have important implications for both scholars and practitioners seeking to enhance firm performance through the effective utilization of imitation, innovation and ACAP.
Findings
The results indicate that imitation activities have directly led to the improvement in innovation performance, even in the presence of innovation and ACAP. However, the relationship has not been confirmed by financial performance.
Originality/value
Imitation and innovation orientations have been identified as pivotal strategic orientations that can significantly affect firm performance. As far as the authors know, this investigation represents the first comprehensive examination of both imitation and innovation activities as a critical transition in emerging markets (EMs) characterized by complex economies, such as Iran. The findings may aid firms in enhancing their performance by providing insight into the strategic importance of imitation and innovation orientations in EMs.
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Tuan Ho, Y Trong Nguyen, Hieu Truong Manh Tran and Dinh-Tri Vo
The pupose of the paper is to study the usefulness of Piotroski (2000)'s F-score in separating winners and losers in Vietnam.
Abstract
Purpose
The pupose of the paper is to study the usefulness of Piotroski (2000)'s F-score in separating winners and losers in Vietnam.
Design/methodology/approach
The authors adopt a portfolio analysis and regression analysis on a sample of 501 of listed firms between 2009 and 2019 in Vietnam.
Findings
The authors find that a hedge strategy that buys high-F-score firms and sells low-F-score firms yield market-adjusted return of over 30 percent annually, which is statistically and economically significant. The hedge strategy based on F-score is not only profitable for value (high book-to-market [BM]) firms but also earn abnormal returns in a sample of growth (low BM) firms, suggesting that the usefulness of F-score strategy is not just a phenomenon in value firms as documented in previous literature.
Research limitations/implications
Whilst the authors' paper documents economically significant returns obtained from the F-score strategy, the authors do not examine what drives the abnormal returns.
Practical implications
The results provide supporting evidence for the use of financial statement analysis as a screening tool to improve the performance of value investment in Vietnam stock market and for the training of financial reporting and fundamental analysis in universities.
Originality/value
The authors' research is the first study examining the F-score strategy in Vietnam that provides insights about the usefulness of fundamental analysis in separating winners and losers in a frontier market and contributes to the literature on fundamental analysis and market efficiency in emerging and frontier markets.
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Yihays Fente Tarekegn, Weifeng Li and Huilin Xiao
The current paper's goal is to examine the productivity of the closed banking sector evidenced from Ethiopia. In addition, the inclusion of intangibles on productivity was…
Abstract
Purpose
The current paper's goal is to examine the productivity of the closed banking sector evidenced from Ethiopia. In addition, the inclusion of intangibles on productivity was examined in the current paper.
Design/methodology/approach
First, the standard Malmquist Productivity Index (MPI) was employed for 13 commercial banks for both stages. Second, by excluding the state-owned commercial bank, the analysis employed a bootstrapped MPI for the robust and comprehensive conclusion. Furthermore, from 2010 to 2019, the fixed effect Ordinary Least Square (OLS) regression with balanced panel data was used.
Findings
The standard MPI in both stages shows that the productivity of Ethiopian commercial banks is declining. The technological shock was the main reason for the loss. The catch-up in both stages scored above unity, mainly due to the pure efficiency change. Besides, when combined with tangible resources, the inclusion of resource-based view (RBV) proxy variables reduces technological shock regress and ultimately improves productivity change. The bootstrapped MPI also reveals that technological shock is the primary source of the productivity decline. However, efficiency change also contributes to the productivity decline based on this estimation.
Research limitations/implications
Future research could examine the more extensive productivity analysis by considering the primary sources of data collections for resource-based variables.
Practical implications
According to the study's results, banking regulatory authorities and bank management, including the shareholders, should continue to invest in cutting-edge technology to improve the productivity of the banking sector.
Originality/value
This is the first comprehensive study of productivity for Ethiopian commercial banks based on the standard MPI, bootstrapped MPI, and OLS by incorporating all resources into the analysis.
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Teddy Ossei Kwakye and Kamran Ahmed
The study examines the mediating role of accounting information quality (AQ), a proxy for firms' information risk, in firms' business strategy and the cost of equity (COE) nexus…
Abstract
Purpose
The study examines the mediating role of accounting information quality (AQ), a proxy for firms' information risk, in firms' business strategy and the cost of equity (COE) nexus to highlight how AQ provides a mechanism through which a company's business strategy affects its COE.
Design/methodology/approach
The research study utilises data from 12,100 firm-year observations of United States (US) non-financial firms from 2001 to 2017, drawn from multiple databases, and employs the bootstrapping method of mediation analysis to test the indirect effect of AQ on the business strategy–COE relationship. The authors rely on Miles and Snow's two pure business strategy typologies, prospectors and defenders and use innate accrual quality and implied COE models to measure AQ and COE, respectively.
Findings
The results suggest that AQ partially mediates the relationship between business strategy and COE. The authors document that while innovative-oriented prospector firms have a lower AQ and a higher implied COE, efficiency-oriented defenders are associated with a higher AQ and lower COE. The higher (lower) COE of prospector (defender) firms is observed to be partly due to their lower (higher) AQ. The results indicate that while the idiosyncratic risk implied in firms' strategic orientation can directly influence their COE, the business strategy implications on firms' COE can be indirect through their AQ, a source of information risk.
Research limitations/implications
Due to data limitation, it was not possible to measure all possible methods of measuring implied COE.
Practical implications
The paper highlights the role of firm's business strategy in pricing decisions by investors.
Originality/value
The paper contributes to the existing literature by providing evidence that AQ, a proxy for information risk, is a mechanism through which business strategy affects firms' COE. The authors thus complement extant literature to empirically test the information risk effect inherent in strategic orientation on security pricing.
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