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1 – 3 of 3Gaël Le Floc’h and Laurent Scaringella
Literature on business models (BMs) has grown very rapidly since the beginning of the twenty-first century, and although the theoretical and empirical literature has developed…
Abstract
Purpose
Literature on business models (BMs) has grown ve ry rapidly since the beginning of the twenty-first century, and although the theoretical and empirical literature has developed significantly, the number of practical and management-oriented studies remains relatively low. A recent debate in the field has focused on the definition of BM invariants: sensing customer needs, creating customer value, sustaining value creation and monetizing value. Extant empirical studies have mainly focused on multinational enterprises (MNEs) and successful BMs; however, this study concentrates on the failure of BMs in the case of small and medium enterprises (SMEs). An important source of a BM’s failure is the misalignment between MNE and SME involved in an acquisition.
Design/methodology/approach
Looking through the lens of the four BM constants, the aim of this study is to examine the case of the acquisition Domestic Heating (an SME) by Ventilair (an MNE).
Findings
Although both separate entities were achieving good results and each had a specific BM, the acquisition produced poor results mainly due to the misalignment of the two BMs. The findings lead the authors to make recommendations to practitioners on avoiding BM misalignment during an acquisition.
Originality/value
The authors encourage practitioners to enhance communication, promote organizational experiments, acknowledge specificities of both entities, foster employee commitment and ensure homogeneity in IT system usage.
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Keywords
Knowledge is a strategic resource for firms and it can enable them to achieve competitive advantage. Large companies engaged in internationalization pay particular attention to…
Abstract
Purpose
Knowledge is a strategic resource for firms and it can enable them to achieve competitive advantage. Large companies engaged in internationalization pay particular attention to knowledge as a source of innovation. The purpose of this paper is to investigate current debates in the field: the first is about cumulative vs composite knowledge; the second concerns the degree of diversity and redundancy in knowledge-based dynamics; and the third debate is about incremental vs radical innovation.
Design/methodology/approach
The authors have used an inductive approach to perform a longitudinal case study of multinational corporation-semiconductor (MNC-SC). Total of 13 interviews were conducted over a four-year period. The MNC-SC case study has given the opportunity to analyse knowledge resources, knowledge, and innovation processes in a context of internationalization.
Findings
The findings indicate that in order to achieve technological innovation in a context of internationalization, the company builds knowledge in a cumulative fashion, which can create a path dependency problem. To ensure complementarity between cross-functional teams located long distances from one another, and maximize the utilization of resources, MNC-SC must establish common standards. To maximize returns from composite knowledge, in a context of internationalization, knowledge diversity is preferable over redundancy. However, true knowledge transfer, sharing, and learning are limited. Combinatorial and incremental innovation through internationalization is a process based on trial and error; it maximizes technological performance and enables the company to fulfil needs without diverging from the technological trajectory of the SC industry.
Originality/value
The internationalization process revealed limitations: limited understanding of the content of each knowledge module, competency traps, limited innovativeness, and therefore limited wealth creation.
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Christoph Barmeyer and Ulrike Mayrhofer
The purpose of this paper is to examine whether characteristics of French organizations can be found in the Airbus Group, ancient European Aeronautic Defence and Space Company…
Abstract
Purpose
The purpose of this paper is to examine whether characteristics of French organizations can be found in the Airbus Group, ancient European Aeronautic Defence and Space Company (EADS) Group, and how these characteristics have evolved over time in comparison to German ones.
Design/methodology/approach
This article presents an in-depth case study by using a contextual approach, considering influential factors which are likely to influence the evolution of organizations.
Findings
The analysis shows that the Airbus Group reflects characteristics of French organizations: the importance of strategy, the principle of honour, centralization of decision and power, the role of the state in the capital and its influence via professional networks of its elite coming from the Grandes Ecoles. These findings confirm a relative continuity of national peculiarities over time. The recent evolution of the company also highlights the German influence, notably in terms of shares and management positions.
Research limitations/implications
The case study demonstrates that the Airbus Group has become a multinational company where contextual elements and organizational structures regulate intercultural relationships of interests, influence and power.
Originality/value
Five contextual factors are proposed, which allow to understand and structure the peculiarities of French organizations, in comparison to German ones as well as power distribution within the Airbus Group.
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