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Article
Publication date: 11 December 2017

Rohit Prabhudesai and Ch. V.V.S.N.V. Prasad

The purpose of this study is to classify and analyze the impact of antecedents studied in the extant literature on two levels of SME alliance performancealliance-level and…

Abstract

Purpose

The purpose of this study is to classify and analyze the impact of antecedents studied in the extant literature on two levels of SME alliance performancealliance-level and firm-level.

Design/methodology/approach

Using online databases and the bibliography section of the selected articles, 45 peer-reviewed studies specifically analyzing the impact of antecedents on the performance of SME alliances at the two levels were studied to gain insights.

Findings

The study differentiates between the impact of antecedents on the two levels of SME alliance performance, alliance-level and firm-level, and finds that certain antecedents, such as absorptive capacity, corporate entrepreneurship, control, network dimensions, partner opportunism and partner reputation, have a peculiar impact on a single level while other antecedents such as trust, commitment and cooperation, have an influence on performance at both levels. Also, the impact of these antecedents is hypothesized to be weak or strong, depending upon the results obtained by the papers in the review.

Research limitations/implications

In a first-of-its-kind approach, the paper provides a conceptual insight into the differentiating impact of antecedents on SME alliance performance at both levels, as opposed to the unitary analysis approach used in the extant literature. The model provided by the study can be used by researchers to gain a systematic understanding of how alliance outcomes are affected.

Practical implications

While the extant literature remains largely ambiguous on the role of antecedents causing variance in SME alliance outcomes, this paper serves to bridge this gap and enhance the understanding of practitioners by systematically analyzing how specific antecedents affect SME alliance performance at both levels.

Originality/value

As opposed to the unitary approach used in the extant literature, which does not differentiate between the two levels of SME alliance performance, this paper arranges and categorizes these studies based on the level at which alliance performance has been analyzed. Furthermore, the paper identifies the impact of antecedents at each level, thereby providing pioneering insights on understanding SME alliance outcomes.

Article
Publication date: 4 March 2022

Rohit Prabhudesai, Nitin Pangarkar, Ch V.V.S.N.V. Prasad and Abhishek Kumar Sinha

This paper aims to fill a gap in the authors’ understanding of alliance-level and the partner-level alliance performance by analysing the influence of behavioural factors for…

Abstract

Purpose

This paper aims to fill a gap in the authors’ understanding of alliance-level and the partner-level alliance performance by analysing the influence of behavioural factors for alliances formed by SMEs. Prior studies on the topic have arrived at inconclusive results. This study plugs gaps in prior studies' approach such as deployment of inconsistent performance measures, and omission of contingent factors.

Design/methodology/approach

The survey method was used to collect responses about 86 alliances of Indian SMEs. The data were analysed using PLS-SEM technique.

Findings

Two relationship capital variables – Trust and Commitment – were found to have differential influence on the two levels of SME alliance performance, and their influence was mediated by the presence of two exchange climate variables – Communication and Conflict.

Research limitations/implications

Since the study employs perceptual measures of performance, it is subject to the limitations of these measures. Similarly, given the relatively small sample size on which analyses were based, the results may need to be replicated in order to generalize the findings.

Practical implications

The study tested a comprehensive model for alliance and partner performance in the context of SMEs. The study's results may be particularly useful to managers of SMEs for focusing on the key factors that influence alliance performance as well as their performance.

Originality/value

The model tested in the study is comprehensive and also accounts for the subtleties about the impact of the two key types of behavioural factors – Relationship capital and Exchange climate – on alliance and partner performance.

Details

International Journal of Productivity and Performance Management, vol. 72 no. 6
Type: Research Article
ISSN: 1741-0401

Keywords

Book part
Publication date: 24 August 2011

Breda Kenny and John Fahy

The study this chapter reports focuses on how network theory contributes to the understanding of the internationalization process of SMEs and measures the effect of network…

Abstract

The study this chapter reports focuses on how network theory contributes to the understanding of the internationalization process of SMEs and measures the effect of network capability on performance in international trade and has three research objectives.

The first objective of the study relates to providing new insights into the international market development activities through the application of a network perspective. The chapter reviews the international business literature to ascertain the development of thought, the research gaps, and the shortcomings. This review shows that the network perspective is a useful and popular theoretical domain that researchers can use to understand international activities, particularly of small, high technology, resource-constrained firms.

The second research objective is to gain a deeper understanding of network capability. This chapter presents a model for the impact of network capability on international performance by building on the emerging literature on the dynamic capabilities view of the firm. The model conceptualizes network capability in terms of network characteristics, network operation, and network resources. Network characteristics comprise strong and weak ties (operationalized as foreign-market entry modes), relational capability, and the level of trust between partners. Network operation focuses on network initiation, network coordination, and network learning capabilities. Network resources comprise network human-capital resources, synergy-sensitive resources (resource combinations within the network), and information sharing within the network.

The third research objective is to determine the impact of networking capability on the international performance of SMEs. The study analyzes 11 hypotheses through structural equations modeling using LISREL. The hypotheses relate to strong and weak ties, the relative strength of strong ties over weak ties, and each of the eight remaining constructs of networking capability in the study. The research conducts a cross-sectional study by using a sample of SMEs drawn from the telecommunications industry in Ireland.

The study supports the hypothesis that strong ties are more influential on international performance than weak ties. Similarly, network coordination and human-capital resources have a positive and significant association with international performance. Strong ties, weak ties, trust, network initiation, synergy-sensitive resources, relational capability, network learning, and information sharing do not have a significant association with international performance. The results of this study are strong (R2=0.63 for performance as the outcome) and provide a number of interesting insights into the relations between collaboration or networking capability and performance.

This study provides managers and policy makers with an improved understanding of the contingent effects of networks to highlight situations where networks might have limited, zero, or even negative effects on business outcomes. The study cautions against the tendency to interpret networks as universally beneficial to business development and performance outcomes.

Details

Interfirm Networks: Theory, Strategy, and Behavior
Type: Book
ISBN: 978-1-78052-024-7

Keywords

Article
Publication date: 7 September 2020

Jorge Ferreira, Arnaldo Coelho and Luiz Moutinho

This study delves in the controversy about the nature and the sign of the effect of strategic alliances and exploration and exploitation capabilities on innovation and new product…

2502

Abstract

Purpose

This study delves in the controversy about the nature and the sign of the effect of strategic alliances and exploration and exploitation capabilities on innovation and new product development. The paper analyses the effects of knowledge sharing and strategic alliances relationships at the firm level. Specifically, we study the influence of strategic alliances relationships in new product development and the mediating role of exploration and exploitation as dynamic capabilities.

Design/methodology/approach

This investigation proposes a theoretical model tested using structural equation modeling (SEM). The multigroup analysis was performed to understand the moderating role of. A questionnaire survey was developed to explore the relations between strategic alliances and innovation and new product development variables. For this study, 387 valid questionnaires were collected from a sample of Portugal SME' firms. A 90-item questionnaire was submitted to employees managers of a large number of Portuguese SMEs, which consists to study the relationships among all the variables.

Findings

The results show that exists a positive direct influence of strategic alliances on innovation and new product development, and mediating impact the exploration and exploitation by the moderating role of knowledge sharing.

Research limitations/implications

This study has some methodological limitations affecting its potential contributions. A cross-sectional study that captures one image in time and its ability to identify strict causality between variables is limited. Furthermore, the results are based on log collected from a key respondent, rather than broader actual data. The results are restricted to one country, Portugal. Future research should initially target different countries. Such research could then test the generalizability of the results.

Practical implications

To fill this managerial relevance gap, we propose a process model in which the main antecedents of alliance stability will be examined. We argue that an alliance's evolutionary dynamics depend on these factors and variables that the partners must assess and manage over its developmental stages. In this sense, managers have significant scope to influence the ultimate success of strategic alliances. This study highlights the need to actively manage the cooperation – competition (coopetition) tension with the alliance partner and to apply the knowledge acquired from the partner to create new knowledge to enhance innovative performance

Originality/value

This paper contributes to fill the gap between strategic alliances and new product development mediated by exploration and exploitation in the dynamic capabilities view.

Details

Management Decision, vol. 59 no. 3
Type: Research Article
ISSN: 0025-1747

Keywords

Article
Publication date: 28 October 2014

Fang Zhao

The purpose of this paper is to seek to deliver a new and holistic insight on small- and medium-sized enterprise (SME) strategic alliances in terms of the precursor, motivations…

1336

Abstract

Purpose

The purpose of this paper is to seek to deliver a new and holistic insight on small- and medium-sized enterprise (SME) strategic alliances in terms of the precursor, motivations, selection, governance structure, outcomes and challenges of strategic alliances of SMEs and the relationships between them.

Design/methodology/approach

To better understand the entire process of SME strategic alliances, the author takes a novel approach which is based on a combined perspective of entrepreneurship and innovation, resource-based theory, and social network theory.

Findings

The author develops a theoretical model which seeks to conceptualize the antecedents, process, and outcomes of strategic alliances of SMEs and the relationships between them.

Research limitations/implications

The conceptual framework provides the directions for future empirical testing and further theoretical research.

Practical implications

This study may help managers better understand the importance of an integrated approach to entrepreneurship and innovation, and the process and outcomes of enhancing their entrepreneurship and innovation capacities through strategic alliances.

Originality/value

To the author's knowledge, this study is the first of its kind that takes a holistic and integrated approach to study SME strategic alliances.

Details

Business Process Management Journal, vol. 20 no. 6
Type: Research Article
ISSN: 1463-7154

Keywords

Article
Publication date: 3 February 2023

Luca Giraldi, Sofia Coacci and Elena Cedrola

The present article aims to investigate the quality of the relationships in a business partnership for a project in Medtech field and the components that most influence them, with…

Abstract

Purpose

The present article aims to investigate the quality of the relationships in a business partnership for a project in Medtech field and the components that most influence them, with special attention to relational capabilities (RCs). Dyadic relationships and mainly RCs are considered critical factors for the success of a partnership.

Design/methodology/approach

A case study was used to evaluate the influence of RC on the progress of an alliance between a start-up and a small and medium scale enterprise (SME). The evaluation is performed using a questionnaire. To highlight such progress, the same questions were asked at the start of the partnership and one year later. The results were compared to analyse the improvement of RC and draw conclusions on the correlation between RC and alliance performance.

Findings

The method adopted allowed for a clear identification of the criticalities of the partnership. The authors found evidence that poor RCs lead to confusion, a sense of exclusion and a lack of collaboration amongst members. Results confirmed that increased RC and aligning the allies' capabilities positively affect the alliance's performance.

Research limitations/implications

Exogenous variables influencing the partnership's progress were not included in the present study. Future research may consider them.

Originality/value

Limited prior research is available on collaboration between SME and start-ups. The present authors aim to investigate the topic further, investigating RCs between firms. The article is also a starting point for future case study comparisons.

Details

International Journal of Productivity and Performance Management, vol. 73 no. 2
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 3 July 2023

Oleksiy Osiyevskyy, Galina Shirokova and Mehrsa Ehsani

Economy-wide crises create major challenges for small and medium enterprises (SMEs). Existing studies emphasize the crucial role of contrasting behavioral strategies, effectuation…

Abstract

Purpose

Economy-wide crises create major challenges for small and medium enterprises (SMEs). Existing studies emphasize the crucial role of contrasting behavioral strategies, effectuation and causation in SMEs' adaptation to crisis conditions. Yet, prior literature concentrated predominantly on exploring the impact of effectuation and causation on firm performance rather than survival. The authors present and empirically test a theoretical model explaining how behavioral strategies affect SME survival during an economy-wide crisis under different levels of environmental dynamism.

Design/methodology/approach

The authors propose a theoretical framework based on the combination of the effectuation literature and the emerging variance-based perspective on entrepreneurial actions. The theoretical model is then tested using a sample of Russian SMEs during a period of economic adversity and recovery (2015–2019).

Findings

The empirical results reveal that causation reduces the probability of firm survival in dynamic environments, while effectuation increases the chance of survival irrespective of the state of the environment. In a nutshell, the study provides evidence that the effectuation logic serves a viable way for SMEs to increase the chances of survival through the economic shock and subsequent recovery period.

Originality/value

For the first time in the literature, the authors demonstrate the role of behavioral strategy (effectual and causal) as a crucial antecedent of SME survival in the short and medium term, particularly during an economy-wide downturn. Furthermore, the study demonstrates the power of variability-based theorizing for explaining and predicting the survival/failure implications of entrepreneurial actions.

Details

International Journal of Entrepreneurial Behavior & Research, vol. 29 no. 7
Type: Research Article
ISSN: 1355-2554

Keywords

Article
Publication date: 26 November 2020

Dimitrios Kafetzopoulos

The purpose of this study is to gain insight into existing empirical studies on performance management of small and medium-sized enterprises (SMEs). It categorizes the main…

1556

Abstract

Purpose

The purpose of this study is to gain insight into existing empirical studies on performance management of small and medium-sized enterprises (SMEs). It categorizes the main antecedents for SMEs’ performance, the dimensions of SMEs’ performance and all variables used as moderators in the conceptual relationships.

Design/methodology/approach

This study undertakes a systematic literature review of 58 articles published in 33 peer-reviewed academic journals from 2000 to 2020 followed by a synthesis of individual studies to analyze the trends and background of research into SMEs.

Findings

A new academic conceptual model was developed grounded in selected theoretical lenses to advance our understanding of the different categories of antecedents, moderators and SMEs’ performance dimensions.

Research limitations/implications

The author has provided a future research agenda in the context of SMEs. Future studies may investigate the role of different categories of determinants, the influence of key cultural values, the digital capability in SMEs and the Internet in the internationalization of SMEs.

Practical implications

This paper offers a framework for both practitioners and scholars in thinking about those factors that may be critical for success in SMEs.

Originality/value

This is a systematic review that suggests a new conceptual model of what existing empirical studies have found on SMEs. It can be used to influence thinking and research design in the area of SMEs’ performance and success.

Details

International Journal of Productivity and Performance Management, vol. 71 no. 1
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 8 March 2022

Ahmad Khraishi, Antony Paulraj, Fahian Huq and Chandrasekararao Seepana

In spite of the increased attention on knowledge management processes as important variables for firms to generate performance benefits within supply chain literature, little is…

1258

Abstract

Purpose

In spite of the increased attention on knowledge management processes as important variables for firms to generate performance benefits within supply chain literature, little is known about how these variables could impact offshoring innovation (OI) relationships held by small and medium-sized enterprises (SMEs). Considering their growing importance, this study aims to investigate the interplay between the internal knowledge creation capability, absorptive capacity and formal knowledge routines in attaining OI performance benefits for SMEs.

Design/methodology/approach

Grounded in the knowledge-based view theory, this study forwards various hypotheses between the variables of interests. The authors test the hypotheses using survey data collected from 200 European SMEs that engage in offshore supplier relationships.

Findings

The findings suggest that internal knowledge creation capability is positively associated to absorptive capacity. Not only is absorptive capacity positively associated to OI performance outcomes but it also positively mediates the effect of internal knowledge creation capability on OI performance. Additionally, formal knowledge-sharing routines negatively moderate the relationship between absorptive capacity and OI performance.

Originality/value

This study contributes to the supply chain as well as SMEs innovation literature by empirically showing that through enhanced internal knowledge creation capability, absorptive capacity goes beyond merely accessing and assimilating the supplier’s knowledge to achieve innovation gains. The results suggest that to succeed in gaining knowledge and subsequent performance benefits within OI, it is essential for SMEs to create and retain knowledge internally.

Details

Supply Chain Management: An International Journal, vol. 28 no. 2
Type: Research Article
ISSN: 1359-8546

Keywords

Article
Publication date: 28 October 2021

Vivek Kumar Dubey and Arindam Das

This paper aims to investigate the effect of governance – a proxy for network effects on small and medium enterprises (SME) growth through access to new markets. Specifically…

Abstract

Purpose

This paper aims to investigate the effect of governance – a proxy for network effects on small and medium enterprises (SME) growth through access to new markets. Specifically, investigate how export intensity (EI) and performance are affected. This study also tests related theories, given the growth in the post-liberalization setting of a developing economy. Specifically, this study tests Uppsala and born global (BG) perspectives for internationalization and resource-based view for performance.

Design/methodology/approach

The authors collect secondary data for each SME over a 20 year period from a growth-oriented developing economy – India. This period is after the liberalization of the Indian economy. Thus, the authors test the hypotheses in this context. The authors expect that exports would surge for SMEs given the governance structures considered. The authors consider several governance modes and two types of product classifications, namely, products and services.

Findings

The authors find conditional support for the two models – indicating that governance structures do not consistently support finding new markets. Further, given the governance structure, EI is not consistently a means to improved performance. This is contrary to the expectations. However, at the same time, the authors do find evidence that governance matters and affects products and services differently.

Research limitations/implications

While the authors conduct research in India which has a variety of cultures and state policies, the authors still believe comparative study with multi-country data from developing countries might bring further insights. Further, primary data would also help to understand governance and motivational effects (the authors did not consider the later). Implications: The authors believe the research will have implications for policy since the authors find effects of governance. Hence, specific policies that improve the performance of a governance type could be adopted.

Practical implications

Although SMEs are affected by many factors, the authors find significant effects for important variables. Hence, the authors believe the government could use the study to design proper policies so that new markets could be discovered through different governance forms, through strategic investment and capacity building.

Social implications

SMEs are a key part of the social fabric of a society/country. The work deals with how SMEs could be helped. Hence, the authors believe the work has important implications for society. Further, as the work deals with large firm-SME interfaces, the authors also inform how these different governance structures are performing and where attention is needed.

Originality/value

The authors find that certain governance-type and SME-type work well together. Further, networks through the governance structures help find new markets – depending on SME-type. The authors find partial support for the Uppsala model and also for the BG model, again depending on the SME-type.

Details

Journal of Research in Marketing and Entrepreneurship, vol. 24 no. 1
Type: Research Article
ISSN: 1471-5201

Keywords

1 – 10 of over 1000