Search results
1 – 10 of over 15000Gunjan Malhotra, Gunjan Dandotiya, Shipra Shaiwalini, Adnan Khan and Shreya Homechaudhuri
The paper tries to investigate the impact of applications of the resource-based view (RBV) theory in the management field to improve the firm’s profitability. Global firms are…
Abstract
Purpose
The paper tries to investigate the impact of applications of the resource-based view (RBV) theory in the management field to improve the firm’s profitability. Global firms are innovating and adopting new technology, paving the way to improve their performance.
Design/methodology/approach
We have adopted RBV in management practices such as marketing, strategy, finance, and human resources.
Findings
RBV has gained researchers' attention with the growing competitive world and new challenges to retaining customers and achieving their pre-defined targets. We attempt to identify the issues related to the usage of RBV in management.
Originality/value
Using RBV in management may help researchers create a competitive mindset and be prepared for uncertain challenges in the business world.
Details
Keywords
Juciara Nunes de Alcântara, Cristina Lelis Leal Calegario, Marco Túlio Dinali Viglioni and Jorge Carneiro
Although emerging markets are distinctly known for the rapid growth and international expansion of their state-owned enterprises, little is known about the influence of parent…
Abstract
Purpose
Although emerging markets are distinctly known for the rapid growth and international expansion of their state-owned enterprises, little is known about the influence of parent resource advantages and mixed state ownership on a subsidiary’s performance. Using the resource-based view, this study aims to investigate how resource advantages from the parent company and state ownership influence the performance of subsidiaries.
Design/methodology/approach
This study included a unique data set of 207 subsidiaries from 33 large Brazilian multinationals located in 32 countries from 2000 to 2015. The authors used a hierarchical linear modeling and a multilevel structure based on data at different levels to analyze the influence of home-country parent resource advantages and state ownership on host-country subsidiary’s performance.
Findings
This study illustrates that state ownership can alleviate the resource advantages of parent companies. Evidence is presented, indicating that low and medium degrees of state ownership have a negative impact on the resource advantages of the parent company, consequently reducing the subsidiary’s performance. Moreover, this study highlights that low and medium degrees of state ownership lead to conflicting interests between state ownership and parent resource advantages, resulting in an overall decline in subsidiary performance.
Originality/value
This research contributes new evidence regarding state ownership and resource advantages to the field of international business studies and the domain of Latin American multinational enterprises, Multilatinas. The results suggest that low and medium levels of state ownership diminish the influx of resources from parent companies, thereby restricting the subsidiary’s performance.
Details
Keywords
Luis Miguel Bolivar, Cristóbal Casanueva and Ignacio Castro Abancéns
Multinational enterprises (MNEs) strive to expand into new markets either by exploiting their resource base or by gaining access to partner companies that own the required…
Abstract
Purpose
Multinational enterprises (MNEs) strive to expand into new markets either by exploiting their resource base or by gaining access to partner companies that own the required resources. Thus, companies face the compete–cooperate–coopete decision. The purpose of this study is to determine the effect of MNEs’ networks of interorganisational alliances, and their interaction with resource ownership, and market attractiveness, on the choice of international expansion modes, whether they are sole venture (competitive) or collaboration agreements (cooperative) or both (coopetitive).
Design/methodology/approach
A biprobit model is used to analyse more than 50,000 new international operations by 164 MNEs in a five-year window. A moderation analysis is carried out to reveal the interaction between network centrality, resource ownership and market size.
Findings
The results show the extent to which the competitive–collaborative contradictory forces attenuate each other in different market scenarios. This study’s contribution advances the resolution of the resource allocation dilemma by recognising the conditions for the selection of each expansion mode: sole venture, cooperation and coopetition.
Originality/value
Mainstream international business theory claims that firm’s own resources and transaction outcomes are generally sufficient to explain their international expansion decisions, whereas network and social capital theories focus on the role of relationships and network embeddedness. Both perspectives seem to neglect the fact that firms frequently develop both factors simultaneously. This study bridges these perspectives and reveals the interplay between resource ownership, alliance network centrality and market size for MNEs’ expansion mode choice.
Details
Keywords
Yousef Alsafadi and Hasan Yousef Aljuhmani
Despite the widespread recognition of the significance of entrepreneurial innovations in driving financial success and building firms' competitive advantage, there is a lack of…
Abstract
Purpose
Despite the widespread recognition of the significance of entrepreneurial innovations in driving financial success and building firms' competitive advantage, there is a lack of empirical investigation into their impact on organizations. This research paper aims to address this gap by exploring how entrepreneurial innovations can contribute to firms' competitive advantage and the mediating role of entrepreneurial thinking in this relationship. To answer these research questions, this paper utilizes the resource-based view (RBV) of the firm and the dynamic capabilities view (DCV).
Design/methodology/approach
The study employed a quantitative research design, and survey data were collected from 102 chief executive officers (CEOs) of Jordanian manufacturing companies in various industries. Structural equation modeling was used to test the hypothesized relationships.
Findings
The findings of this study suggest that there is a positive and significant impact of entrepreneurial innovation and thinking on the competitive advantage of firms. The authors also found that entrepreneurial thinking positively mediates this relationship. This study’s results support the RBV and DCV perspectives, which suggest that firms need to leverage unique resources and capabilities and develop dynamic capabilities to achieve a sustained competitive advantage.
Originality/value
The significance of this study lies in its contribution to the literature on the relationship between entrepreneurial innovation, thinking and competitive advantage. While previous research has explored these concepts separately, this study integrates them into a comprehensive framework that highlights the mediating role of entrepreneurial thinking in the relationship between entrepreneurial innovation and competitive advantage.
Details
Keywords
Chu-Le Chong, Siti Zaleha Abdul Rasid, Haliyana Khalid and T. Ramayah
This study investigated the relationships among big data analytics capability (BDAC), low-cost advantage, differentiation advantage, market and operational performance…
Abstract
Purpose
This study investigated the relationships among big data analytics capability (BDAC), low-cost advantage, differentiation advantage, market and operational performance underpinning the resource-based view (RBV) and the entanglement view of sociomaterialism (EVS) theories.
Design/methodology/approach
A total of 191 responses from members of the Federation of Malaysian Manufacturers were analysed using a structural equation modelling approach.
Findings
This study has conclusively demonstrated that BDAC is indeed a resource bundle comprising human skills, tangible and intangible resources. This study found that BDAC positively influences competitive advantage and firm performance. The differentiation advantage was found to be a key factor in explaining market performance. Theoretically, both RBV and EVS could be used to link BDAC, differentiation advantage and market performance to explain superior firm performance.
Research limitations/implications
First, the sample is restricted to the manufacturers in Malaysia. Second, a single independent variable, BDAC, is used as a higher-order capability to influence competitive advantage, and thus, superior firm performance. Third, this study uses a self-reported survey, which means that only one respondent from each firm answered the questions. Fourth, this study excludes the focused strategy as it aims to investigate the competitive strategy used in the broader industry environment, rather than in a specific segment pursuing a focused strategy.
Practical implications
First, BDAC is a valuable, rare, inimitable and non-substitutable tool for manufacturers to enhance their firm performance. Second, BDAC is crucial for manufacturing firms to reduce costs and differentiate themselves. Third, a low-cost advantage may not help manufacturers achieve greater market and operational performance.
Originality/value
The relationship among BDAC, low-cost advantage, differentiation advantage, market and operational performance within manufacturing industry is empirically tested.
Details
Keywords
Gilang Puspita Rini and Amie Kusumawardhani
This study aims to identify factors that can improve customer service performance by verifying the relationships between these factors, such as customer orientation, firm-specific…
Abstract
Purpose
This study aims to identify factors that can improve customer service performance by verifying the relationships between these factors, such as customer orientation, firm-specific resource integration, transactive memory system and service innovation capability. In other words, this study identifies the determinants of customer service performance from the perspective of the resource advantage theory of competition.
Design/methodology/approach
This research was conducted through an online survey of hotel managers and supervisors in Indonesia, which produced 327 questionnaires that could be processed with a response rate of 70.6%. Structural equation modelling was used to analyse the data and test the hypotheses with the help of AMOS 23.
Findings
This study confirms that firm-specific resource integration can improve customer service performance, with the antecedents of the former being customer orientation and a transactive memory system.
Research limitations/implications
This research was conducted with a sample of three-, four- and five-star hotels, which have different conditions. In future research, it would be interesting to compare how such hotels over a larger geographical area behave in improving customer service performance using the investigated variables.
Originality/value
This research provides additional insight into the resource advantage theory of competition, namely, that integrated enterprise-specific resources are good antecedents for innovation and customer service performance.
Details
Keywords
Behrooz Ghlichlee, Elnaz Mohammadkhani and Amir Hatami
The purpose of this paper is to examine the relationship between knowledge-enhancing HR practices, intellectual capital and sustainable competitive advantage in knowledge-based…
Abstract
Purpose
The purpose of this paper is to examine the relationship between knowledge-enhancing HR practices, intellectual capital and sustainable competitive advantage in knowledge-based firms.
Design/methodology/approach
A quantitative approach was used to conduct the present study. The respondents were sampled from knowledge-based firms in Iran. Overall, 320 managers in 157 firms were selected using convenience sampling. A structural equation model was employed for testing the hypotheses.
Findings
The study confirmed that knowledge-enhancing human resource (HR) practices established a very strong connection with intellectual capital. The results further disclosed a positive relationship between intellectual capital and firms' competitive advantage. A mediated relationship between knowledge-enhancing HR practices and firms' competitive advantage through intellectual capital was also affirmed.
Research limitations/implications
The study was conducted in knowledge-based firms in Iran, which limits the generalizability of the research findings. Therefore, future studies should be carried out with samples from other contexts. Moreover, as the study was cross-sectional, the causal relationships could not be inferred directly.
Practical implications
The paper underscored the importance of intellectual capital in improving knowledge-enhancing HR practices and firms' competitive advantage. It suggests to human resource managers to make the organizational arrangements to design knowledge-enhancing HR practices, thereby developing the intellectual capital that brings competitive advantage to knowledge-based firms.
Originality/value
The results of this study contribute to advance research on the intellectual capital literature by trying to explain how intellectual capital as a mediator variable can influence the relationship between knowledge-enhancing HR practices and sustainable competitive advantage.
Details
Keywords
Raffaele Silvestri, Nino Adamashvili, Mariantonietta Fiore and Antonino Galati
This study aims to explore whether the blockchain technology (BCT), as a unique and distinctive resource, affects the development of unique capabilities and the integration and…
Abstract
Purpose
This study aims to explore whether the blockchain technology (BCT), as a unique and distinctive resource, affects the development of unique capabilities and the integration and reconfiguration of internal physical and human resources necessary to gain a trusted competitive advantage.
Design/methodology/approach
A case study approach has been used to identify the internal resources and capabilities that affect the decision to implement BCT and to determine whether this new technology can become a strategic internal resource in the wine industry.
Findings
Results show the role of two strategic resources: human resources, such as IT specialists and software developers for BCT applications, and skills of companies’ management to grant sensitive and confidential data to IT specialists and the ability to read the analytics from the BCT application, becoming a distinctive enabling assets.
Research limitations/implications
The main limitation of this study is related to the analysis of a single case, which, on the one hand, does not allow generalisation of the empirical findings but, on the other hand, is themost appropriatemethod for the explorative nature of this research.
Practical implications
Our findings have useful practical implications for wineries and agri-food companies in overall because they can support managers and entrepreneurs in effectively implementing these innovative digital technologies in their valuecreation process.
Originality/value
The study of this underexplored topic gives interesting insights into the resources needed for the successful adoption of this emerging technology, which can support wineries in improving the value-creating process. In particular, compared to the previous studies, this research analyses the adoption process under the resource-based theory lens.
Details
Keywords
It Nguyen Van, Thanh Tiep Le and Anna Kotaskova
This study aims to show how market orientation (MO), brand (BR) and business strategy (cost leadership strategy and differentiation strategy), which play mediating and moderating…
Abstract
Purpose
This study aims to show how market orientation (MO), brand (BR) and business strategy (cost leadership strategy and differentiation strategy), which play mediating and moderating roles, respectively, can increase competitive advantage (CA). With a focus on brand, market orientation, cost leadership strategy (CS) and differentiation strategy (DS), as well as an analysis of variance control on varying business sizes per business seniority, the current study made a theoretical contribution.
Design/methodology/approach
An empirical study was created using a quantitative methodological technique. The surveyed data were collected from 379 managers or owners who participated in a face-to-face survey at different food processing companies in Vietnam. To test the hypotheses, the gathered information was examined utilizing multigroup analysis and partial least squares structural equation modeling.
Findings
The brand was found to have the greatest positive impact on competitive advantage, followed by a business strategy that positively influenced competitive advantage, and, finally, business strategies that significantly moderated the third strong positive impact between market orientation and competitive advantage. Market orientation has the fourth strong positive impact on competitive advantage, whereas brand has the lowest positive impact on market orientation.
Originality/value
This is the first investigation, according to the authors’ knowledge, into the role of market orientation as a mediator in the relationship between brand and competitive advantage in addition to the regulatory role of business strategy at two strategic levels: cost leadership and strategic focus as well as the difference between competitive advantage and market orientation in the Vietnamese food sector.
Details
Keywords
Mark Anderson, Shahid Khan, Raj Mashruwala and Zhimin (Jimmy) Yu
To create and sustain a resource-based competitive advantage, managers acquire and develop specialized resources as they grow their firms. The authors argue that an important part…
Abstract
To create and sustain a resource-based competitive advantage, managers acquire and develop specialized resources as they grow their firms. The authors argue that an important part of committing to a resource-based strategy is a willingness to keep spending on specialized resources during periods when sales and profits are down. The authors seek to validate this conjecture by examining whether such resource-based commitment to a customer-centered strategy results in improved customer satisfaction. The authors use the stickiness of selling, general, and administrative (SG&A) expenses to capture this commitment empirically. The authors first document that future customer satisfaction is positively associated with SG&A cost stickiness, consistent with the premise that the retention of specialized SG&A resources during low demand periods helps firms to build and maintain relationships with customers over time. Next, the authors test whether expected future benefits of customer satisfaction are enhanced when SG&A cost stickiness is higher. The authors find that the positive relation between Tobin’s Q and customer satisfaction is positively moderated by SG&A cost stickiness. Finally, the authors test whether earnings persistence, a quality of earnings associated with sustained performance over time, is positively associated with the interaction between customer satisfaction and SG&A cost stickiness. The authors find that it is. Their evidence supporting these predictions is consistent with the conjecture that resource-based commitment reflected in cost stickiness is an important dimension of creating and sustaining a resource-based competitive advantage.
Details