Search results

1 – 10 of 661
To view the access options for this content please click here
Article

Xiaoyong Zheng

This paper aims to examine the relationships between the group affiliates’ dual legitimacy (membership legitimacy and societal legitimacy) and dual resource acquisition…

Abstract

Purpose

This paper aims to examine the relationships between the group affiliates’ dual legitimacy (membership legitimacy and societal legitimacy) and dual resource acquisition (intra-group and out-group), and the moderating roles of environmental uncertainty and munificence in the emerging economies.

Design/methodology/approach

This paper adopts hierarchical regression analysis to test the hypotheses based on the unique data of 251 group affiliated firms in China and applies the alternative measurements and alternative methodology of structural equation modeling into robustness check to confirm the results.

Findings

The results show as follows: the group affiliates can benefit from membership legitimacy for intra-group resource acquisition and out-group resource acquisition through the mediations of societal legitimacy and intra-group resource acquisition. However, in the linkage between affiliates’ membership legitimacy and intra-group resource acquisition and the linkage between societal legitimacy and out-group resource acquisition, environmental uncertainty plays the positive moderating roles while environmental munificence plays the negative moderating roles. Under the condition of high environmental uncertainty and low environmental munificence, the linkage between membership legitimacy and intra-group resource acquisition, and the linkage between societal legitimacy and out-group resource acquisition reach the strongest level.

Research limitations/implications

The findings highlight the importance of dual legitimacy building for group affiliates to acquire resources both inside and outside the business group when they operate in emerging economies characterized by high environmental uncertainty and low environmental munificence. However, it does not explore the contextual factors (e.g. institutional distance) affecting the relationship between the affiliate’s membership legitimacy and societal legitimacy. Then more group-level factors are expected to be included and explored with multi-level models in the future studies.

Originality/value

The findings reveal the mechanism of how group affiliates benefiting differently from dual legitimacy to acquire resources in the emerging economies, which also provide a new interpretation for the questions of who benefiting more from the group affiliation, how and why (Carney et al., 2009). This research also explores the moderating roles of task environmental characteristics (environmental uncertainty and environmental munificence) on the affiliate's dual legitimacy and dual resource acquisition, which helps understand why legitimacy building is more important in terms of resource acquisition in the emerging economy characterized by uncertainty and non-munificence.

Details

Chinese Management Studies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1750-614X

Keywords

To view the access options for this content please click here
Article

Kai Wang, Massimiliano Matteo Pellegrini, Jiaan Xue and Cizhi Wang

Strategic change is integral to the survival and development of firms. The purpose of this paper is to analyze the impact of environmental uncertainty on a firm’s…

Abstract

Purpose

Strategic change is integral to the survival and development of firms. The purpose of this paper is to analyze the impact of environmental uncertainty on a firm’s strategic change and further demonstrates the moderating role of political connection and family ownership on the relationship between environmental uncertainty and a firm’s strategic change.

Design/methodology/approach

This paper uses the population sample of Chinese firms listed on the Shenzhen Stock Exchange and the Shanghai Stock Exchange from 2008 to 2014 and quantitatively tests hypotheses through correlation analysis, regression analysis and other methods.

Findings

Environmental uncertainty has a positive effect on the degree of strategic changes made. Political connection and family ownership negatively moderate the impact of the two dimensions of environmental uncertainty (environmental dynamism and environmental munificence) on strategic changes.

Originality/value

Conclusions enrich the research of other studies on firms’ strategic changes. From an open systems perspective, this paper reveals the influences of external environmental factors on firms’ strategic changes. In addition to this, in analyzing the ways in which environmental uncertainty affects a firm’s strategic change, the research expands the application scope of information processing theory and resource-based view. This paper also provides significant practical observations on firms’ strategic decision making in this area.

Details

Journal of Family Business Management, vol. 10 no. 4
Type: Research Article
ISSN: 2043-6238

Keywords

To view the access options for this content please click here
Article

Jintong Tang

Existing literature suggests that the need for a conducive environment is crucial in developing entrepreneurship. Previous research on this trend has focused on what…

Abstract

Purpose

Existing literature suggests that the need for a conducive environment is crucial in developing entrepreneurship. Previous research on this trend has focused on what constitutes a munificent environment and how environmental conditions stimulate an entrepreneur's intentionality to start a venture. However, little is known about how entrepreneurs “switch on” their alertness to business opportunities in a benign environment. The purpose of this paper is to examine the effects of environmental munificence on entrepreneurs' alertness, as moderated by self‐efficacy, and the effects of this alertness on entrepreneurs' commitment to their new ventures.

Design/methodology/approach

Data were used from the Panel Study of Entrepreneurial Dynamics (PSED) to test the hypotheses. Exploratory Factor Analysis and Confirmatory Factor Analysis were conducted to ensure the dimensionality of entrepreneurial commitment scale. Hypotheses were tested using moderated hierarchical regression analysis.

Findings

The results of this study show a strong relationship between environmental munificence and alertness especially when the entrepreneurs have high levels of self‐efficacy in performing the roles and tasks of new venture creation. In turn, entrepreneurial alertness is related to continuance, behavioral and affective commitment of entrepreneurs.

Originality/value

The findings have important implications for the theory and practice of developing entrepreneurial firms.

Details

International Journal of Entrepreneurial Behavior & Research, vol. 14 no. 3
Type: Research Article
ISSN: 1355-2554

Keywords

To view the access options for this content please click here
Book part

Ari Dothan and Dovev Lavie

Resource reconfiguration enables firms to adapt in dynamic environments by supplementing, removing, recombining, or redeploying resources. Whereas prior research has…

Abstract

Resource reconfiguration enables firms to adapt in dynamic environments by supplementing, removing, recombining, or redeploying resources. Whereas prior research has underscored the merits of resource reconfiguration and the modes for implementing it, little is known about the antecedents of this practice. According to prior research, under given industry conditions, resource reconfiguration is prompted by a firm’s corporate strategy and by characteristics of its knowledge assets. We complement this research by identifying learning from performance feedback as a fundamental driver of resource reconfiguration. We claim that performance decline relative to aspiration motivates the firm’s investment in knowledge reconfiguration, and that this investment is reinforced by the munificence of complementary resources in its industry, although uncertainty about the availability of such resources limits that investment. Testing our conjectures with a sample of 248 electronics firms during the period 1993–2001, we reveal a clear distinction between exploitative reconfiguration, which combines existing knowledge elements, and exploratory reconfiguration, which incorporates new knowledge elements. We demonstrate that performance decline relative to aspiration motivates a shift from exploitative reconfiguration to exploratory reconfiguration. Moreover, munificence of complementary resources mitigates the tradeoff between exploratory and exploitative reconfigurations, whereas uncertainty weakens the motivation to engage in both types of reconfiguration, despite the performance gap. Nevertheless, codeployment, which extends the deployment of knowledge assets to additional domains, is more susceptible to uncertainty than redeployment, which withdraws those assets from their original domain and reallocates them to new domains. Our study contributes to emerging research on resource reconfiguration, extends the literature on learning from performance feedback, and advances research on balancing exploration and exploitation.

Details

Resource Redeployment and Corporate Strategy
Type: Book
ISBN: 978-1-78635-508-9

Keywords

To view the access options for this content please click here
Article

Nitish Singh, Jieqiong Ma and Jie Yang

Corporate environmental expenditure has been a growing concern in recent years, yet mixed findings exist regarding its economic impact. The purpose of this paper is to…

Abstract

Purpose

Corporate environmental expenditure has been a growing concern in recent years, yet mixed findings exist regarding its economic impact. The purpose of this paper is to explain the mixed relationship between environmental expenditure and economic performance from the natural-resource-based view.

Design/methodology/approach

Using Global Reporting Initiative survey data from 120 firms in 30 countries, this study uses PROCESS, a path-based analysis software, to test the moderation and mediation hypotheses in an integrated analytical model.

Findings

The findings show that environmental expenditure has a negative impact on economic performance through pollution prevention capability. In contrast, environmental expenditure has a positive impact on economic performance through product stewardship capability. Both effects are significantly strengthened when the firm is located in an environmentally munificent country.

Practical implications

This study intends to inform firm managers, especially those in environmentally munificent countries, to relocate their environmental expenditure to enhance firms’ economic performance. In particular, firms should focus more on the reduction of input, such as raw materials, energy, and water, instead of output, including emissions, effluents, and wastes.

Originality/value

The contrasting indirect effects of pollution prevention and product stewardship offer a viable explanation for the mixed findings in the existent literature on environmental expenditure from a new perspective.

Details

Management Decision, vol. 54 no. 10
Type: Research Article
ISSN: 0025-1747

Keywords

To view the access options for this content please click here
Article

Wenbin Sun and Joseph M. Price

This paper aims to examine the relationship between corporate social responsibility and customer satisfaction and evaluate the impact of this relationship on firm…

Abstract

Purpose

This paper aims to examine the relationship between corporate social responsibility and customer satisfaction and evaluate the impact of this relationship on firm performance, specifically the moderating impact of environmental uncertainty on the corporate social responsibility to customer satisfaction relationship.

Design/methodology/approach

The authors constructed a panel data set by collecting data from Fortune Magazine’s World’s Most Admired Companies and Compustat. The authors used two methods, Newey–West and White–Cluster robust regressions, to estimate the empirical models.

Findings

The results from this moderating analysis of environmental uncertainty are largely consistent with this study's hypotheses. In particular, the authors find that corporate social responsibility contributes to increased customer satisfaction for large firms, in highly competitive environments and in highly dynamic industries. This paper also finds that in high growth environments, corporate social responsibility can result in decreased customer satisfaction.

Research limitations/implications

The study is limited to environmental factors in the examination boundary conditions. Researchers should broaden the moderators to include criteria such as market orientation, marketing and/or operations capability.

Practical implications

The empirical results provide practitioners with insight to better translate corporate social responsibility into higher levels of customer satisfaction.

Social implications

The empirical results support corporate social responsibility as a viable and productive means of increasing customer satisfaction.

Originality/value

This study is the first that builds upon the work of Luo and Bhattacharya (2006) and Saeidi et al. (2015) by examining environmental factors that influence the relationship between corporate social responsibility and customer satisfaction. This research provides useful implications for marketing theories as well as business practice.

Details

European Journal of Marketing, vol. 50 no. 7/8
Type: Research Article
ISSN: 0309-0566

Keywords

To view the access options for this content please click here
Article

Changwei Pang, Hao Shen and Yuan Li

The purpose of this paper is to investigate the relationships between organizational slack, environmental characteristics, and new venture performance in China. The paper…

Abstract

Purpose

The purpose of this paper is to investigate the relationships between organizational slack, environmental characteristics, and new venture performance in China. The paper focuses on how different types of organizational slack, such as absorbed slack and unabsorbed slack, impact Chinese new venture performance. And it also examines the moderating effects of environmental characteristics, such as munificence and dynamism, on the slack‐performance linkage in Chinese transitional context.

Design/methodology/approach

A literature review on organizational slack and institutional environment characteristics provides the model and hypothesis. Using a sample of 91 Chinese new ventures, the authors conduct the examination on the theoretical model and hypotheses.

Findings

The results show that the relationship between absorbed slack and new venture performance is negative and unabsorbed slack has an inverse U‐shaped effect on new venture performance. Furthermore, the institutional environments, such as munificence and dynamism in transitional economies have different moderating effects on the relationship between organizational slack and new venture performance.

Research limitations/implications

This study focuses on the new ventures of China, which is context specific. It is necessary to replicate this research in other transitional economies because of some specific differences between China and other transitional economies.

Practical implications

The results of the study suggest that new ventures should strengthen the management of resources and decrease absorbed slack in order to reduce the managerial cost, and then raise the level of resource utilization. In addition, how the new ventures make better utilization of organizational slack to deal with institutional environment uncertainty would be a core task in future business operations.

Originality/value

The paper is original in its investigation of the effect of organizational slack on new venture performance in contingent transitional environments. The paper explains the relationship between different types of organizational slack and new venture performance from a contingent perspective, thus extending the extant research.

Details

Chinese Management Studies, vol. 5 no. 2
Type: Research Article
ISSN: 1750-614X

Keywords

To view the access options for this content please click here
Article

Rimi Zakaria, Whitney Douglas Fernandez and William D. Schneper

The purpose of this study is to explain how factors relating to resource availability affect managerial risk-taking with regard to the geographic and institutional…

Abstract

Purpose

The purpose of this study is to explain how factors relating to resource availability affect managerial risk-taking with regard to the geographic and institutional proximity of cross-border merger and acquisition (M&A) targets. The paper further considers the impact of organizational learning by testing the moderating effect of the acquiring firms’ prior international M&A experience.

Design/methodology/approach

This study uses linear regression with robust standard errors to account for dependence among clustered observations at the firm level. The authors used country and industry fixed-effects specifications to account for unobserved heterogeneity.

Findings

The results suggest that when internal and external resources are more abundant, firms pursue cross-border M&As that are more geographically and institutionally distant. The findings further indicate that a firm’s prior international M&A experience positively moderates the aforementioned relationships..

Research limitations/implications

Extending the behavioral theory of the firm beyond organizational slack resources, the results highlight the importance of taking a multi-level, open-systems perspective of the strategic impact of resource availability. The authors’ theory and findings also provide a more nuanced view of the critical role organizational learning plays in the relationship between resource availability and organizational outcomes.

Originality/value

This is the first study to the authors’ knowledge that develops and tests a theoretical model exploring the impact of both internal (organizational slack) and external (environmental munificence at both the industry and home-country levels) resource availability, as well as prior organizational experience on an important multinational business practice.

To view the access options for this content please click here
Article

Hang Wu and Yang Liu

Internationalization has emerged as a vital catch-up strategy for firms in emerging markets. Although external knowledge search has been widely acknowledged as an…

Abstract

Purpose

Internationalization has emerged as a vital catch-up strategy for firms in emerging markets. Although external knowledge search has been widely acknowledged as an important way within the internationalization process, there appear to be opposing views as to whether local or international knowledge search contributes more for firms’ internationalization. This paper aims to integrate organizational ambidexterity and external knowledge search theory to define the concept of external knowledge search ambidexterity and empirically test the impact of the balance dimension of external knowledge search ambidexterity and combined dimension of external knowledge search ambidexterity on internationalization and the moderating effect of organizational slack and environmental munificence.

Design/methodology/approach

Survey.

Findings

Based on survey data of 219 Chinese manufacturing firms, the authors find that both relative balance and combined dimensions of external knowledge search ambidexterity are positively associated with internationalization. Organizational slack and environmental munificence both negatively moderate the relationship between balance dimension of external knowledge search ambidexterity and internationalization, both positively moderate the relationship between combined dimension of external knowledge search ambidexterity and internationalization.

Practical implications

It is essential for managers to take different external knowledge sources into consideration, so as to both maximize revenues and profits from advanced technological knowledge and foreign marketing knowledge in foreign markets and geographic proximity advantages in local market, while minimizing the risks of lacking of adaptive capacity for lacking of knowledge about international markets and cost of coordination and communication because of long geographical distance and cultural difference.

Originality/value

The findings help us better understand the knowledge seeking activities of emerging economy multinationals by proposing that the balance and combination of local and international knowledge search both can promote internationalization, especially on the background of China. The results also enrich the organizational ambidexterity research and extend it to external knowledge search field.

Details

Chinese Management Studies, vol. 12 no. 4
Type: Research Article
ISSN: 1750-614X

Keywords

To view the access options for this content please click here
Article

Paolo Neirotti, Elisabetta Raguseo and Emilio Paolucci

The adoption of Information and Communication Technology (ICT) in small and medium enterprises (SMEs) has some peculiarities that may depend on the combined effect of size…

Abstract

Purpose

The adoption of Information and Communication Technology (ICT) in small and medium enterprises (SMEs) has some peculiarities that may depend on the combined effect of size and the competitive environment. The purpose of this paper is to use a contingency approach to explore how SMEs develop organizational capabilities through ICT investments in response to environmental conditions.

Design/methodology/approach

A survey on 284 SMEs in Italy was conducted and data were analyzed with regression models for testing seven hypotheses on the environmental influence on the development of ICT-based capabilities and the role played by firm size.

Findings

The results show that the environment influences the development of such capabilities in a different way, depending on size. Within munificent environments, ICT-based capabilities are more diffused among larger SMEs, whereas under environmental complexity, this pattern is inverted, with larger SMEs exhibiting a more limited deployment of ICT in support of both their internally and externally oriented processes. Under environmental dynamism medium-sized firms tend to develop more internally oriented ICT capabilities, but fail in reporting superior capabilities for managing external relationships.

Originality/value

This paper contributes to understand the relationship between the environment and ICT investments in SMEs. Since the combined effect of size and the competitive environment may influence considerably the ICT investments in SMEs, this study investigates the organizational responses with respect to how SMEs use ICT to address their external environment. This focus provides a contribution to understand the challenges that SMEs are facing in the current technological and market environment, where changes in the ICT paradigm raise the level of complexity and dynamism and bring changes in competition levels that leave few resources for growth to SMEs.

Details

Journal of Enterprise Information Management, vol. 31 no. 1
Type: Research Article
ISSN: 1741-0398

Keywords

1 – 10 of 661