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The aim of the paper is to test the Heterogeneity Construct as a second‐order construct determined by dimensions expressing the resource utilization process carried out by firms, and to test the different impacts of Heterogeneity sub‐dimensions on firm's performance.

After collecting data on the machine tools industry, two models are tested by Lisrel. The first model is a second order confirmatory model. The second one is a structural model testing the causal relations between Heterogeneity components and Performance.

It is found that Heterogeneity is a second order construct, whose dimensions differently contribute to firm performance: two of them positively and a third dimension negatively.

Limitations of the study refer to single industry used, limited sample size, and single respondents. Even if the sample size is low, it allows to run the model and to estimates results. The single respondent bias is mitigated by interviewing managers involved in the resource utilization process. Future research could improve our comprehension of the heterogeneity construct by testing the model in other industries.

By discovering the different effect of the Heterogeneity dimensions on firm performance, we provide some useful implications for managers involved in the resource utilization process. To reach a competitive advantage, firms should orient their decisions to leverage on “contextuality” and “complexity”, while mitigating the effect of “intertwinedness”.

Studies in the strategic management field of study measure Heterogeneity by using single variables. This paper fills in this gap by providing a measure of the Heterogeneity construct on a multidimensional basis, showing the different role played by each dimension on firm performance.

The authors argue that organization design needs to play a more active role in the explanation of differential performance and outline a set of ideas for achieving this both in theoretical and empirical research. Firms are heterogeneous in terms of (1) how well they do things, capturing persistent productivity differences, and (2) how they do things – and both reflect firms’ organization design choices. Both types of heterogeneity can be persistent, and are interdependent, although they have typically been studied separately. The authors propose a simple formal framework – the “aggregation function framework” – that aligns organization design thinking with the emphasis on performance heterogeneity among firms that is characteristic of the strategy field. This framework allows for a more precise identification of how exactly organization design may contribute to persistent performance differences, and therefore what exactly are the assumptions that strategy and organization design scholars need to be attentive to.

The link between openness and innovative performance has been established as an inverted U-shape relationship, namely, the openness-performance connection is not always positive. The purpose of this paper is to introduce the concept of partner heterogeneity to characterize the influence of “quality” changes in partners on innovative performance, that is, the focus of this paper. Given that partner heterogeneity is crucial in explaining open innovative performance, it is also worth placing the examination of this key construct in emerging regions such as China.

The sample selection of this study covers a wide range of industries, but requires that the sample firms be manufacturing enterprises with an open innovation strategy. With opportunities and challenges associated with partner collaboration toward open innovation, the Chinese province of Zhejiang has established its reputation. Thus, empirical data were collected randomly from data pool of Zhejiang Province Economic and Information Commission, as well as a survey questionnaire. Data were using a cross-sectional survey methodology encompassing diverse organizations, industries, and nations.

Empirical testing of this assumption in a sample of 217 manufacturing firms indicates that partner heterogeneities, which are classified as organizational heterogeneity, industry heterogeneity, and national heterogeneity are all positively associated with innovative performance, but the strength of this association is influenced by environmental turbulence. Technological turbulence significantly and positively modulates the relationships of organizational and national heterogeneities with innovative performance. Market turbulence also plays a significant positive role on the relationship between national heterogeneity and innovative performance, while technological and market turbulence roles on the relationship between industry heterogeneity and innovative performance are not confirmed.

This paper refines the connotative dimensions of partner heterogeneity around the core concept of partner heterogeneity in open innovation in the context of emerging region, China. The study presents a systematic, in-depth analysis, and verifies the impact mechanisms of partner heterogeneity in open innovation on innovative performance by integrating the resource-based view, organizational learning theory, and transaction cost theory.

The resource‐based view (RBV) of the firm has gained much attention in recent years as a means to understand how a strategic business unit obtains a sustainable competitive advantage. In this framework, several research studies have explored the relationships between resources/capabilities and firm performance. This paper seeks to extend this line of research by explicitly modeling the heterogeneity of such relations across firms in various different industries in exploring the interrelationships between capabilities and performance.

A unique latent structure regression model is developed to provide a discrete representation of this heterogeneity in terms of different clusters or groups of firms who employ different paths to achieve firm performance vis‐à‐vis alternative capabilities. An application of the proposed methodology to a sample of 216 US firms were provided.

Finds that the derived four group latent structure regression solution statistically dominates the one aggregate sample regression function. Substantive interpretation for the findings is provided.

The paper contributes to the understanding of the performance effects of investing in capabilities in the RBV framework, which has previously been lacking, especially in the areas of information technology capabilities.

The purpose of this paper is to examine how, taking customer relationships as the unit of analysis, the heterogeneity of customer relationship performance influences the heterogeneity of firm performance, and how firms can balance the heterogeneity of customers, customer relationships, and customer portfolios by differentiated business models.

The approach to the topic is one of theoretical analysis and conceptual development.

Value capture is defined as the discounted present value of all future economic profit from the relationship. Three sources of value capture heterogeneity are identified: the customer, the relationship with the customer, and the interdependence between customers in a customer base. Relationship performance can be improved by investing in business model differentiation, in order to facilitate controlled adaptation to specific customer relationships and/or customer portfolios. Firms have to manage parallel business models and a central capability is the ability to create internal fit between the elements of a specific business model.

The research presented relates to business‐to‐business customer relationships. Some of the conceptual thinking will not be applicable in consumer relationships.

A firm should have an optimum mix of customer relationships in its customer base, in relation to firm goals and strategy. Management needs to recognize the heterogeneity of customer relationship performance, and manage customer portfolios accordingly. In order to deal with the heterogeneity, it may be necessary to manage parallel business models. This will necessitate new capabilities, such as customer insight generation, account management, modularized production platforms, and relationship performance control.

For a scholarly audience the paper contributes to the discussion on how marketing improves firm performance by assuming responsibility for increasing firms' market value. For a practitioner audience it offers ideas for genuinely customer‐centric management.

The purpose of this paper is to review the empirical literature on the relationship between the characteristics of the top management teams (TMTs) and the performance of entrepreneurial firms.

A literature review was carried out on 33 empirical studies related to TMTs and performance through analyzing and summarizing the quantitative studies conducted in this area.

The results of the literature review show that the relationship between TMTs (demographics and heterogeneity) and the performance of entrepreneurial firms is not straightforward and further investigation is still needed in this area.

The author maps the theoretical and empirical research of TMT demographics and heterogeneity in relation to firms’ performance and possible moderators and mediators, which govern the relationship between TMT composition and firms’ performance.

The author presents a detailed future research agenda for the purpose of advancing the theoretical and empirical knowledge on TMT-performance links. The review provides a comprehensive picture of TMT-firms’ performance literature and what should be done to enrich the literature.

Prior studies have shown that heterogeneity plays a crucial role in addressing soft issues linked to a firm’s corporate social responsibility stance. The purpose of this paper is to extend the prior literature on the effect of gender heterogeneity on environmental, social and economic performance dimensions, specifically, whether the female boardroom presence weakens or strengthens the performance along the three dimensions, commonly referred to as the corporate sustainability.

The study from a positivist philosophy adopts a quantitative approach, and the final sample consisted of forty-six companies listed on the Nigerian Stock Exchange for the year 2011–2018. The final sample was a balanced panel of 344 firm years. The dependent variables were return on assets (ROA), environmental performance (ENV) and donations made for social causes (SOP). The ENV was measured using a content scoring system, with range of 1 to 5. The data were analysed using the fixed effects and GLM regression models. To further address the issue of endogeneity, a two-stage least squares regression was conducted.

The findings show a positive relationship between gender heterogeneity and ROA, which was also confirmed for the environmental performance index. However, the sign reversed in the SOP model and showed a negative relationship between gender heterogeneity and donations, the proxy for SOP. The results are in tandem with the stakeholder axioms that argue that commitment to other stakeholder groups strengthens firm performance in the long run.

An implication of this study is the fact that information availability has been rapidly escalating in the country, leading to rising social movements and civic unrest; therefore, corporations that face negative castigations may pay the huge price of product boycott and loss of market value.

The findings of this study provide additional insight into the influence of female boardroom presence on the environmental, social and economic performance of firms. The findings suggest the relevance of the resource dependence theory, especially from a developing country context, to ensure an improved corporate governance structure in Nigerian manufacturing firms.

The purpose of this paper is to investigate whether the Boardroom heterogeneity affects IPO underpricing for entrepreneurial firms, where Boardroom heterogeneity was classified in terms of functional background, educational background, age and length of tenure.

A national research design was conducted using data collected from 355 firms listed on China’s Growth Enterprise Market from its start in 2009 to 2012.

The author found that IPO underpricing has a significant negative correlation with functional heterogeneity, a positive correlation with educational heterogeneity, a significant negative correlation with age heterogeneity, but it does not show significant correlation with heterogeneity in tenure. Board heterogeneity affects IPO underpricing of entrepreneurial firms partially, which means functional, educational and age heterogeneity conveys signals to potential investors regarding a firm’s quality.

More entrepreneurial firms in more years for data and long-term performance research design in future research would be required for further understanding of the relationships among the variables in this study.

This paper suggests that IPO firms may make use of such an influencing mechanism to determine the issue price or to control the IPO underpricing by showing the Boardroom heterogeneity.

This paper revealed the influence of the characteristics of board members of such firms on IPO underpricing, which is rare in recent studies comparing to the study for the top management team; also this study provides empirical support for such effect.

The purpose of this paper is to undertake research on the relationship of firm heterogeneity and innovation diffusion performance, and the role of absorptive capacity in this relationship.

Based on the diffusion of innovation theory, enterprise heterogeneity directly affects the evaluation stage (considering whether to adopt it) and the experimental stage (observing whether it is suitable for one’s own situation) of the diffusion process. Therefore, the paper uses a structural equation model to construct the influencing factors model of enterprise heterogeneity on technology diffusion. Furthermore, questionnaires were distributed to 236 enterprises with different scales, nature and location to explore the impact of heterogeneity on technology diffusion with scientific, objective and comprehensive data.

Firm heterogeneity has a positive effect on absorptive capacity and absorptive capacity has a positive effect on technological innovation diffusion performance. Thus, absorptive capacity plays an intermediary role in the effect on enterprise heterogeneity and technological innovation diffusion performance. More interestingly, the authors get some results that are not entirely consistent with the theoretical assumptions.

Firm heterogeneity plays a central role in the process of innovation diffusion. Enterprises should build internal management platforms to enhance cooperation among employees, and establish links with other enterprises for opportunities for win-win cooperation. In addition, enterprises should control the frequency of internal activities, which will undermine the enthusiasm of enterprise members to participate in technology sharing.

This paper explores the interaction between technology potential, cooperation frequency and absorptive capacity from the perspective of systems theory. The findings enrich the theory of innovation diffusion, and explore the inherent reasons why enterprise heterogeneity affects innovation diffusion. Furthermore, the theory that intra-firm cooperation promotes innovation diffusion is not always correct.

This paper aims to examine the effect of new product launch actions and firm reputation on firm performance in the Chinese auto industry.

This analysis adopts empirical data from 66 auto firms in China’s auto market from 2007 to 2012 to explore how new product launch actions undertaken by a firm can contribute to achieving superior performance and to investigate the relationships between new product launch actions and firm performance. Moreover, how firm reputation interacts with new product launch actions to affect firm performance is also investigated. Fixed effects regression model following the Hausman specification test was used to quantitatively examine the relationship.

It was concluded that the focal firm’s new product launch actions, including new product launch breadth, complexity and heterogeneity of its new repertoire of product launch actions, and firm reputation can impact its performance. Firm reputation can impact the signaling process and the capability of firms to enhance their performance via new product launch movements.

This research contributes to new product launch research by providing a more comprehensive view of competitive dynamic actions by which a firm’s performance is strengthened by examining the effects of two factors that affect performance. These factors are as follows: the characteristics in terms of breadth, complexity, and heterogeneity of new product launch actions undertaken by a firm and the characteristic of firm reputation.