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1 – 10 of 10Olimpia C. Racela and Amonrat Thoumrungroje
International marketing, new product development, international business expansion, small business management.
Abstract
Subject area
International marketing, new product development, international business expansion, small business management.
Study level/applicability
This case is intended for senior undergraduate or graduate MBA students taking a course in international business, international marketing, or small business management.
Case overview
Thai Jintan Company Limited (Thai Jintan) is a medium-sized importer, distributor, and marketer of premium confectionery and health care products in Thailand with the exclusive distribution arrangements of Morishita Jintan Company Limited (Morishita), one of Japan's oldest companies and a leader in the Japanese probiotic and confectionery industry. The case takes place in August 2009, approximately 18 months after Thai Jintan implemented its market launch of Morishita's technologically advanced breath and belly mint under the brand name of Jintan Nude. With a limited promotional budget of 8 million baht (€161,128) coupled with Thailand's regulatory environment for the marketing of food and drugs, Thai Jintan, a newcomer to the breath mint market, was faced with having to devise a resourceful marketing and promotional campaign. Thai Jintan management was confronted with assessing its past marketing plan and deciding on what to do to achieve its ambitious goal of capturing a 20 percent market share of the growing mint/menthol candy confectionery segment in Thailand.
Expected learning outcomes
After reading and discussing the case, students should have a better understanding of the following: the challenges faced by small businesses and new entrants; learning to apply different frameworks such as PEST or PESTEL, SWOT, and/or Five Forces to scan and assess a competitive environment; familiarizing themselves with different channels members’ roles in a distribution system; learning to evaluate a company's current marketing strategies and to recommend strategies to improve its segmentation, targeting, and positioning strategies and to design a new marketing mix for a new product launch in an overseas market; and learning how to effectively allocate a marketing budget.
Supplementary materials
Teaching notes are available.
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Amonrat Thoumrungroje and Olimpia C. Racela
Corporate diversification, product portfolio analysis, industry structure, international business expansion, beverage industry.
Abstract
Subject area
Corporate diversification, product portfolio analysis, industry structure, international business expansion, beverage industry.
Study level/applicability
The case is suitable for senior undergraduate and graduate MBA strategic management, international business strategy, and marketing strategy courses.
Case overview
Thai Beverage Public Company Limited (ThaiBev) was Thailand's largest beverage company and was among Asia's major alcoholic beverage companies. The case situation takes place during the latter part of August 2010, two years after the public announcement of ThaiBev's ambitious intentions to become a comprehensive and integrated beverage company and after having recently re-launched its acquired Wrangyer energy brand, a move signaling ThaiBev's strong commitment to its non-alcoholic beverages. The case describes the beverage industries at the global, regional, and country level and discusses ThaiBev's range of businesses. Marut Buranasetkul, Senior Vice President of Corporate Service and Deputy Managing Director of Thai Beverage Marketing, the sales and marketing arm of ThaiBev, must decide on the direction for ThaiBev to pursue to bring ThaiBev's non-alcoholic beverages to account for at least 10 percent of the company's total revenue. This case presents a number of important strategic topics, particularly in discussing industry structure and competition, as well as diversification issues encountered by a firm that was attempting to create a greater balance between the revenue contributions from its market leading dominant businesses and that of its younger and newer business lines.
Expected learning outcomes
Students will: understand the challenges faced by large conglomerates wanting to change their market position; learn to apply different frameworks such as Porter's Five Force Model, portfolio analysis, SWOT and to assess the competitive environment; learn to evaluate a company's current product portfolio and to recommend strategies to improve its allocation of resources; and learn to identify key success factors necessary to compete in a highly competitive industry.
Supplementary materials
Teaching notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes.
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Olimpia C. Racela and Amonrat Thoumrungroje
Grounded on resource-advantage (R-A) theory, the purpose of this paper is to investigate how customer orientation, as a higher-order or interconnected operant resource…
Abstract
Purpose
Grounded on resource-advantage (R-A) theory, the purpose of this paper is to investigate how customer orientation, as a higher-order or interconnected operant resource, enhances firm performance through creativity capability (i.e. idea generation and problem solving) and innovation capability (i.e. the implementation of creative ideas) – among firms of different sizes and within different market contexts. The authors conceptualize customer orientation as a firm’s capacity to create and deliver superior customer value through the processing of market intelligence, as demonstrated by the firm’s composite operant resources of market-sensing, customer-relating and customer-response capabilities.
Design/methodology/approach
Data were collected via qualitative in-depth interviews for scale development followed by a mail questionnaire survey for quantitative responses. A final sample size of 190 firms based in Thailand participated and the data were analyzed using structural equation modeling and bootstrapping multi-group comparisons to investigate the hypothesized mediation and moderation effects.
Findings
Customer orientation enhances organizational creativity and innovation capabilities, which improve firm revenue and financial performance. The relationships among customer orientation, creativity capability, innovation capability and firm performance vary depending on firm size, market dynamism and customer type.
Practical implications
Managers need to consider contextual factors, particularly firm size, market dynamism and the nature of their buyer markets as key contingencies in their resource deployment decisions intended to develop customer orientation and innovation capabilities.
Originality/value
This study advocates R-A theory by empirically revealing how different hierarchical resources within a firm are intertwined to provide firms with competitive R-A. The findings further highlight a contingent nature of customer orientation–innovation–performance relationships among firms in an emerging economy.
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Amonrat Thoumrungroje and Patriya Tansuhaj
Building on the entrepreneurship, marketing and strategic management literature, we propose a conceptual model to investigate the effects of entrepreneurial strategic…
Abstract
Building on the entrepreneurship, marketing and strategic management literature, we propose a conceptual model to investigate the effects of entrepreneurial strategic posture (ESP), perceived environmental uncertainty and international diversifi cation strategy on performance. The ESP‐International diversification‐Performance relationship is investigated using a contingency framework. Entrepreneurial strategic posture is postulated to influence the use of international diversifi cation strategy of entrepreneurial fi rms. Moreover, perceived environmental uncertainty is hypothesized to strengthen the relationship between a firm’s entrepreneurial strategic posture and international diversification strategy, which ultimately affect the firm’s performance. Propositions for further empirical studies are provided in addition to managerial and theoretical contributions.
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Owing to the inconclusive results of prior studies on the strategic change–firm performance relationship, this paper extends the marketing strategy literature by…
Abstract
Purpose
Owing to the inconclusive results of prior studies on the strategic change–firm performance relationship, this paper extends the marketing strategy literature by postulating an “inverted U-shaped” relationship and the moderating roles of “organizational learning” (OGL) and “strategic flexibility” (STF).
Methodology/approach
A self-administered survey was employed to collect data from different strategic business units of 550 firms operating in Thailand. The data collection yielded a response rate of 17.27%. Confirmatory factor analysis was used to validate the scales, and path analysis was employed to test the hypotheses in this study.
Findings
Although no significant curvilinear relationship was found, the directions of the path coefficients are consistent with the hypothesis. Both OGL and STF serve as significant moderators in the marketing strategic change (MSC)–business performance relationships. While STF strengthens the relationship, the generative OGL tends to weaken it.
Practical implications
Managers need to understand the type of learning that fits different types of strategic changes in order to enhance business performance. Generative OGL may seem harmful for changes that are less proactive. Furthermore, firms should incorporate flexibility in managing political, economic, and financial risks in their strategies by emphasizing investments and cost sharing, flexible human capital allocation, and spontaneous and impromptu actions.
Originality/value
This study extends international marketing strategy literature by empirically testing the hypotheses in an emerging Asian economy. The research proposes a nonlinear relationship between MSC and business performance as well as introduces the moderating roles of OGL and STF.
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Chaiporn Vithessonthi and Amonrat Thoumrungroje
The primary purpose of this research is to review and discuss the potential associations among strategic change, organisational learning, and firm performance, and to…
Abstract
Purpose
The primary purpose of this research is to review and discuss the potential associations among strategic change, organisational learning, and firm performance, and to propose a conceptual model to investigate such relationships.
Design/methodology/approach
The literature on the strategic change‐performance relationship was explored with the emphasis on elaborating the effects of frequency of strategic change on firm performance. In addition, a moderating role of organisational learning on such a relationship is introduced.
Findings
From the literature review, it is proposed that the relationship between strategic change and firm performance is an inverted U‐shape. Extremely frequent and infrequent strategic changes are deemed to be detrimental to firm performance. However, the research reveals that the strategic change‐performance relationship may alter due to the moderation of organisational learning.
Research limitations/implications
Given the conceptual nature of this paper, a review of relevant literature and a conceptual model are presented with suggestions for future empirical study. This paper also extends the strategic change‐performance research by advocating an inverted U‐shape relationship as one plausible explanation for inconsistent findings found in past literature.
Practical implications
Managers should try to understand their organisations and implement an appropriate level of strategic change in order to maximise the firm's overall performance. In addition, a significant role of organisational learning in supporting firms to manoeuvre in today's increasingly dynamic and competitive environment is highlighted to managers.
Originality/value
This paper attempts to explain: why firms might attain different levels of performance provided that they undergo various degrees of strategic change (in terms of frequency); and what factors contribute to the variations in organisational performance among firms that have undertaken the same number of strategic changes during a given period of time.
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Olimpia C. Racela, Chawit Chaikittisilpa and Amonrat Thoumrungroje
This paper aims at investigating and uncovering the potential effect of exporters' market orientation upon international business relationship with particular emphases on…
Abstract
Purpose
This paper aims at investigating and uncovering the potential effect of exporters' market orientation upon international business relationship with particular emphases on cooperation, dependence, and relationship distance.
Design/methodology/approach
This is a quantitative study using a mail survey among Thai exporting firms in various industries. The final sample size was comprised of 388 strategic business units (SBU's) from 279 Thai export firms in over eight industries. Data were analyzed using structural equation modeling by means of AMOS 4.01.
Findings
Exporters' market orientation enhances the cooperation between the exporters and their major overseas distributor while minimizing their dependence and relationship distance. In addition, export performance is higher with greater exporter cooperation and lower relationship distance. Interestingly, the influence of exporter dependence on export performance varied among industry groups.
Practical implications
This study extends the domain of market orientation in international contexts by illustrating and empirically testing how exporters' market orientation serve as an antecedent to the development of business‐to‐business relationships, which ultimately enhances export performance. To business practitioners, this research pinpoints a particular challenge faced by exporters in managing their relationships with their overseas distributors in order to achieve better performance. Our findings show that market orientation plays a crucial role in developing and nurturing cooperative efforts with overseas distributors. As a result, exporters and their overseas distributors are recommended not only to form cooperative norms that are critical to joint marketing decisions and actions, but also aim to establish and maintain mutual dependence for their superior performance enhancement.
Originality/value
This study contributes to marketing and international business literature and provides insights to exporters by investigating the relationships among market orientation, behavioral aspects of business relationships and export performance. It also provides some evidence that market orientation practices are beneficial in enhancing cross‐cultural relationships, which have been given limited attention in previous literature.
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The purpose of this paper is to identify firm groups pursuing different configurations of customer-, entrepreneurial-, and information technology (IT) orientation and to…
Abstract
Purpose
The purpose of this paper is to identify firm groups pursuing different configurations of customer-, entrepreneurial-, and information technology (IT) orientation and to compare their new product development (NPD) capability and NPD performance.
Design/methodology/approach
Hierarchical cluster analysis was used on the sample of 156 firms on the basis of their mix of customer-, entrepreneurial-, and IT- orientation. Then, analysis of variance was used to compare the groups’ NPD capability (NPDCAP), NPD process efficiency (NPDPROC), new product effectiveness (NPEFF), and new product financial performance (NPPERF).
Findings
Of the seven strategy configurations posited, four emerge and two unexpected configurations are revealed. Overall, firms simultaneously pursuing multiple strategic orientations have higher NPDCAP, NPEFF, and NPPERF. Interestingly, all six strategy groups have equally low levels of NPDPROC.
Practical implications
To enhance NPDCAP and NPD performance, managers should consider more complex strategy configurations that act in complementary ways, in particular, customer-orientation complemented by either entrepreneurial- and/or IT-orientation. Moreover, more attention is needed to improving NPDPROC, as achieving gains in this area would contribute positively to firm performance.
Originality/value
This study presents initial evidence that, at least for firms in Thailand, resources must be configured by pursuing several strategic orientations simultaneously to enhance their dynamic capabilities in NPD, a strategic issue that has not been given much attention in previous literature.
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