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1 – 5 of 5Valentina Cucino, Giulio Ferrigno, James Crick and Andrea Piccaluga
Recognizing novel entrepreneurial opportunities arising from a crisis is of paramount importance for firms. Hence, understanding the pivotal factors that facilitate firms in this…
Abstract
Purpose
Recognizing novel entrepreneurial opportunities arising from a crisis is of paramount importance for firms. Hence, understanding the pivotal factors that facilitate firms in this endeavor holds significant value. This study delves into such factors within a representative empirical context impacted by a crisis, drawing insights from existing literature on opportunity recognition during such tumultuous periods.
Design/methodology/approach
The authors conducted a qualitative inspection of 14 Italian firms during the COVID-19 pandemic crisis. The authors collected a rich body of multi-source qualitative data, including 34 interviews (with senior managers and entrepreneurs) and secondary data (press releases, videos, web interviews, newspapers, reports and academic articles) in two phases (March–August 2020 and September–December 2020).
Findings
The results suggest the existence of a process model of opportunity recognition during crises based on five entrepreneurial influencing factors (entrepreneurial knowledge, entrepreneurial alertness, entrepreneurial proclivity, entrepreneurial personality and entrepreneurial purpose).
Originality/value
Various scholars have highlighted that, in times of crises, it is not easy and indeed very challenging for entrepreneurs to identify novel entrepreneurial opportunities. However, recent research has shown that crises can also positively impact entrepreneurs and their capacity to identify new entrepreneurial opportunities. Given these findings, not much research has analyzed the process by which entrepreneurs identify novel entrepreneurial opportunities during crises. This study shows that some entrepreneurial influencing factors are very important to identify new entrepreneurial opportunities during crises.
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Shuwei Zang, Mengyuan Sun, Qimeng Wang, Haofu Wang and Shanwu Tian
The purpose of this paper is to discuss how enterprises can effectively perceive and use the digital opportunities brought about by digital technologies and dynamic environments…
Abstract
Purpose
The purpose of this paper is to discuss how enterprises can effectively perceive and use the digital opportunities brought about by digital technologies and dynamic environments and how they can enhance their capabilities to realize digital transformation and adapt to the development of the digital economy era.
Design/methodology/approach
Based on the windows of opportunity theory and strategic cognition theory, this paper conducts an empirical analysis of the questionnaire data of 268 enterprises and discusses the influence of external windows of opportunity and internal windows of opportunity on the digital transformation of enterprises, as well as the action mechanism of strategic cognition and entrepreneurship.
Findings
The results show that both the external windows of opportunity and the internal windows of opportunity have significant positive effects on the digital transformation of enterprises. Strategic cognition plays a partial mediating role in the external windows of opportunity and the internal windows of opportunity influencing the enterprise digital transformation process. Entrepreneurship plays a positive regulatory role in the process of external windows of opportunity and internal windows of opportunity influencing strategic cognition.
Originality/value
This paper deepens the relationship between internal and external windows of opportunity and enterprise digital transformation and contributes a new theoretical cognition. This paper integrates the strategic cognition theory to clarify the complex process mechanism of digital transformation using external situational opportunities and internal capabilities. This paper introduces entrepreneurship into the path mechanism of digital transformation and expands the characteristics of the study of digital transformation antecedents to the individual level within the enterprise.
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Sanna Joensuu-Salo, Anmari Viljamaa and Emilia Kangas
This paper aims to examine the growth rates of small- and medium-sized enterprises (SMEs) over a three-year period, the relationship between firm size and firm growth in the…
Abstract
Purpose
This paper aims to examine the growth rates of small- and medium-sized enterprises (SMEs) over a three-year period, the relationship between firm size and firm growth in the context of SMEs, and the effect of marketing capability (MC) on firm growth and how it relates to firm size. The theoretical framework is based on the resource-based view and dynamic capabilities.
Design/methodology/approach
Data were gathered from Finnish SMEs (n = 214) and analyzed with Latent growth curve modeling (structural equation modeling). Respondents were chief executive officers or company owners.
Findings
Results show that firm size is unrelated to the rate of change, and MC has a significant effect on both the intercept and slope parameters. Smaller SMEs have less MC than larger SMEs.
Practical implications
While the overall human resources level of the SME is not linked to the rate of growth, MC is. This is an important point for small business growth studies, for it shows what type of personnel is called for during rapid growth. SMEs could advance significantly and rapidly if they invest in versatile human capital, especially in the marketing area.
Originality/value
Majority of the MC research involves larger corporations. This study brings new insights from SME perspective. In addition, this study suggests that it is imperative to consider different types of growth separately. This study contributes to this need by demonstrating the connection between employee growth rate and MC in SMEs.
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Qian-Ru Liu, Jian-Mei Liu and Zhen-Peng He
What distinguishes digital transformation from other traditional IT transformations is its involvement of the entire organization, rather than merely the IT department. Thus…
Abstract
Purpose
What distinguishes digital transformation from other traditional IT transformations is its involvement of the entire organization, rather than merely the IT department. Thus, instead of taking a perspective that is confined to the IT department, this paper studies the ambidextrous nature of digital transformation (DT) from the standpoint of the whole firm. The authors define DT ambidexterity as the capability to utilize digital technology to simultaneously improve the efficiency of existing businesses (DT exploitation) and to promote business growth (DT exploration).
Design/methodology/approach
Using annual reports of Chinese firms as a mining material, this paper deploys text mining and word frequency analysis to develop a data set of digital transformation to construct DT exploitation, DT exploration and DT ambidexterity, so that the authors can examine and compare their impact on business performance.
Findings
This study's statistics show that observations in this research sample mainly manifest DT ambidexterity and DT exploitation, while DT exploration makes up the smallest proportion. The authors find that DT exploitation, DT exploration, and DT ambidexterity have positive, yet heterogeneous effects on business performance.
Research limitations/implications
This study expands the existing literature of IT-related ambidexterity by examining the ambidextrous nature of DT from the angle of company-wide strategy instead of the perspective from IT-department and expands the extant literature of digital transformation by examining the heterogeneous effects of its different components on business performance. The authors also add to the digital strategizing literature by showing that different business strategy goals can be attained through different stages of DT.
Originality/value
This study expands the existing literature of IT-related ambidexterity by examining the ambidexterity nature of DT from the angle of company-wide strategy instead of the perspective from IT department and expands the extant literature of digital transformation by examining the heterogeneous effects of its different components on business performance. The authors also add to the digital strategizing literature by showing that different business strategy goals can be attained through different stages of DT.
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Tiziano Volpentesta, Esli Spahiu and Pietro De Giovanni
Digital transformation (DT) is a major challenge for incumbent organisations, as research on this phenomenon has revealed a high failure rate. Given this consideration, this paper…
Abstract
Purpose
Digital transformation (DT) is a major challenge for incumbent organisations, as research on this phenomenon has revealed a high failure rate. Given this consideration, this paper reviews the literature on DT in incumbent organisations to identify the main themes and research directions to be undertaken.
Design/methodology/approach
The authors adopt a systematic literature review (SLR) and computational literature review (CLR) employing a machine learning algorithm for topic modelling (LDA) to surface the themes discussed in 103 peer-reviewed studies published between 2010 and 2022 in a multidisciplinary article sample.
Findings
The authors identify and discuss the five main themes emerging from the studies, offering the state-of-the-art of DT in established firms' literature. The authors find that the most discussed topics revolve around the DT of healthcare, the process of renewal and change, the project management, the changes in value performances and capabilities and the consequences on the products of DT. Accordingly, the authors identify the topics overlooked by literature that future studies could tackle, which concern sustainability and contextualisation of the DT phenomenon.
Practical implications
The authors further propose managerial insights which equip managers with a revolutionary mindset that is not constraining but, rather, integration-seeking. DT is not only about technology (Tabrizi B et al., 2019). Successful DT initiatives require managerial capabilities that foster a sustainable departure from the current organising logic (Markus, 2004). This study pinpoints and prioritises the role that paradox-informed thinking can have to sustain an effective digital mindset (Eden et al., 2018) that allows for the building of momentum in DT initiatives and facilitates the renewal process. Indeed, managers lagging behind DT could shift from an “either-or” solutions mindset where one pole is preferred over the other (e.g. digital or physical) to embracing a “both-and-with” thinking balancing between poles (e.g. digital and physical) to successfully fuse the digital and the legacy (Lewis and Smith, 2022b; Smith, Lewis and Edmondson, 2022), enact the renewal, and build and maintain momentum for DTs. The outcomes of adopting a paradox mindset in managerial practice are enabling learning and creativity, fostering flexibility and resilience and, finally, unleashing human potential (Lewis and Smith, 2014).
Social implications
The authors propose insight that will equip managers with a mindset that will allow DT to fail less often than current reported rates, which failure may imply potential organisational collapse, financial bankrupt and social crisis.
Originality/value
The authors offer a multidisciplinary review of the DT complementing existing reviews due to the focus on the organisational context of established organisations. Moreover, the authors advance paradoxical thinking as a novel lens through which to study DT in incumbent organisations by proposing an array of potential research questions and new avenues for research. Finally, the authors offer insights for managers to help them thrive in DT by adopting a paradoxical mindset.
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