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1 – 10 of over 15000Dong Liu, Beilei Dang and Yapu Zhao
Managerial ties (i.e. business ties and political ties) could help manufacturers conduct learning ambidexterity by providing external resources. However, the resource management…
Abstract
Purpose
Managerial ties (i.e. business ties and political ties) could help manufacturers conduct learning ambidexterity by providing external resources. However, the resource management perspective claims that merely accessing external resources does not guarantee learning ambidexterity. As manufacturers utilize their resources by implementing services, this study aims to investigate how the impact of managerial ties on learning ambidexterity depends on human resource service practices (i.e. manager service support and employee service rewards).
Design/methodology/approach
This study collected data from 150 high-tech manufacturing firms through a survey-based questionnaire, which was completed by two managers in one firm. The ordinary least squares regression was employed to test the research model and hypotheses.
Findings
Business ties hurt learning ambidexterity when manager service support is high, whereas business ties benefit learning ambidexterity when employee service rewards are high. Similar findings are not applied to political ties.
Research limitations/implications
The authors did not examine the mechanism underlying the effect of managerial ties on learning ambidexterity. The non-significant findings on political ties suggest potential mediators for future research. Another limitation is that the study’s data are only from China. Manager ties are also important in other developing countries like Turkey. More data from other countries are needed to test the generalization of the authors’ findings.
Practical implications
First, managers should focus on business ties more than political ties when learning ambidexterity is important to their firms. Second, managers should reward service-oriented employees.
Originality/value
The study enriches the literature on investigating the impact of managerial ties on learning ambidexterity. The authors also contribute to the literature by examining servitization as a service context. Prior studies mainly examine servitization as a driver of firm performance. The findings suggest that servitization as a business context can affect other business activities.
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Henry F.L. Chung and Mia Hsiao-Wen Ho
Given the contradictory findings of standardization/adaptation of marketing strategy in explaining export performance in the extant research, this study aims to examine the…
Abstract
Purpose
Given the contradictory findings of standardization/adaptation of marketing strategy in explaining export performance in the extant research, this study aims to examine the contingent effects of managerial ties and born global orientation in the standardized advertising-export performance conceptualization.
Design/methodology/approach
The study used two-respondent method in the survey research by a sample of 155 exporting firms operating in the industrial marketing based in Australia and New Zealand and applied hierarchical regression analysis to test the hypotheses.
Findings
The findings demonstrate that standardized advertising has a significant effect on export performance and this relationship is positively moderated by business ties. Such effect is particularly enhanced for born global firms (than nonborn global firms). However, political ties negatively influence the impact of standardized advertising on performance and such effect is stronger for born global firms.
Research limitations/implications
A broader perspective of contingent variables should be included to examine the underlying relationship between standardized advertising and export performance in capturing the dynamism in international marketing contexts, such as institutional frameworks or sociocultural environments in host countries.
Practical implications
Standardized advertising is critical for born global firms’ export performance as it can increase efficiency and speed up internationalization processes. Such positive impact of standardized advertising on export performance is further enhanced if born global firms allocate resources to develop strong business ties with host country partners instead of building political ties with host country governments, because smooth business networking can facilitate standardized advertising on industrial marketing, yet justifiable political relations require intricate negotiations that often prolong internationalization progress.
Originality/value
This study incorporates managerial ties and born global orientation as contingent factors in fixing the theoretic interlock between standardization advertising strategy and export firm performance.
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Hai Guo, Jintong Tang and Zelong Wei
By integrating the resource management perspective and the optimal distinctiveness perspective, the purpose of this paper is to explain how firms configure their managerial ties…
Abstract
Purpose
By integrating the resource management perspective and the optimal distinctiveness perspective, the purpose of this paper is to explain how firms configure their managerial ties and competences to identify entrepreneurial opportunities.
Design/methodology/approach
Using survey data collected from 238 firms in a transition economy, this paper tests a model of firms’ exploration and exploitation competences under which managerial ties promote or constrain opportunity discovery.
Findings
The paper finds that managerial ties are positively related to opportunity discovery. More importantly, competence exploration strengthens the impact of business ties on opportunity discovery, whereas it weakens the impact of political ties. On the contrary, competence exploitation strengthens the effect of political ties on opportunity discovery, whereas it weakens the impact of business ties.
Originality/value
First, the findings enrich the social network perspective of opportunity recognition by linking managerial social ties to opportunity discovery in the context of a transition economy. Second, this paper adds to current understanding of the resource management perspective and the optimal distinctiveness perspective by exploring the fit between different managerial ties (business ties vs political ties) and different competences (exploration vs exploitation) in contributing to opportunity discovery.
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Li Wang, Longwei Wang and Min Zhang
Based on social capital theory and the institutional theory, this paper aims to explain how a firm’s business ties and political ties affect contractual governance in an interfirm…
Abstract
Purpose
Based on social capital theory and the institutional theory, this paper aims to explain how a firm’s business ties and political ties affect contractual governance in an interfirm cooperation, and under which institutional conditions they can play a better role.
Design/methodology/approach
This study tests conceptual model using questionnaire survey data collected from 227 firms in China. Hierarchical regression analysis is used to test the hypotheses.
Findings
This study finds that business ties have significant effect on contract completeness, while political ties have significant effect on contract enforcement. Moreover, these effects are contingent on some institutional factors. Market information transparency strengthens the effect of business ties on contract completeness and weakens the effect of political ties on contract completeness. Legal system completeness weakens the effect of political ties on contract enforcement.
Practical implications
This study suggests that managers could actively and selectively use their managerial ties to enhance contractual governance in an interfirm cooperation.
Originality/value
This study adds to the current understanding of how an interfirm cooperation is shaped by the firm’s social capital derived from external network relationships and extends the research on what social antecedents affect contractual governance. Moreover, this study sheds new light on when managerial ties can play a more beneficial role in emerging economies.
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Haowen Chen, Heng Liu and Han Cheung
This study aims to investigate the relationships between radical innovation, market forces and political/business relationships in China by combining social capital theory and…
Abstract
Purpose
This study aims to investigate the relationships between radical innovation, market forces and political/business relationships in China by combining social capital theory and contingent theory. The paper focuses on how two types of managerial ties (i.e. business and political ties) impact firms’ capacity for radical innovation. It also examines the different moderating effects of market forces (i.e. demand uncertainty, technological turbulence and competitive intensity) on the linkage of managerial ties with radical innovation in the Chinese transitional context.
Design/methodology/approach
A systematic literature review on managerial ties, radical innovation and market forces in emerging markets provides the theoretical foundation of our conceptual model and hypothesis. Using a survey sample of 119 Chinese firms, the authors conduct a regression analysis on the theoretical model and hypotheses.
Findings
The results show that business ties have an inverted U-shape effect on radical innovation, while political ties have a positive impact on radical innovation. Furthermore, the market forces in transitional economies (i.e. demand uncertainty, technological turbulence and competitive intensity) have different moderating effects on the relationships between two types of managerial ties and Chinese firms’ radical innovation.
Research limitations/implications
This study adopts its data set from the Chinese context. It would be necessary to replicate this research in other transitional economies because of specific differences between China and other transitional economies.
Practical implications
Findings from our study indicate that firms which wish to succeed in radical innovation may need to adapt their tie-based strategies according to different market settings.
Originality/value
The paper is original in its comparative investigation of the effect of business ties and political ties on radical innovation in contingent transitional market environments using a combination of social capital and contingent theories.
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Parinaz Sami, Farajollah Rahnavard and Alireza Alavi Tabar
The purpose of this study is to investigate the mediator role of product innovation in the relationship between political and business ties (independent variables) and firm…
Abstract
Purpose
The purpose of this study is to investigate the mediator role of product innovation in the relationship between political and business ties (independent variables) and firm performance (dependent variable).
Design/methodology/approach
In this study, research hypotheses were tested using the structural equation modeling method.
Findings
The findings from 267 manufacturing companies in Iran show that business ties have an effect on firm performance through product innovation, while the role of innovation is not proved as a mediating variable in the relationships between political ties and firm performance. In addition, business ties have an effect on product innovation and firm performance, whereas political ties have no such effect.
Practical implications
These results provide useful points for developing economies, theoretically and practically.
Originality/value
Despite the increasing attention to the role of managerial ties (political and business ties) in improving product innovation and firm performance, there is no study conducted on the mediating role of product innovation in the relationship between managerial ties and firm performance.
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Volkan Yeniaras, Anthony Di Benedetto, Ilker Kaya and Mumin Dayan
Drawing on the literature on dynamic skills, this study builds upon and empirically tests a conceptual model that connects business and political ties, organizational unlearning…
Abstract
Purpose
Drawing on the literature on dynamic skills, this study builds upon and empirically tests a conceptual model that connects business and political ties, organizational unlearning, organizational learning and firm performance. Specifically, this study suggests that business ties enable and political ties inhibit organizational unlearning (i.e. regenerative dynamic capability), which may, in turn, affect exploratory (i.e. renewing dynamic capability) and exploitative (i.e. incremental dynamic capability) innovation behaviors of the firm. Thus, the purpose of this study is to offer a theoretical framework in which organizational unlearning and learning act as mediating mechanisms between business and political ties and firm performance.
Design/methodology/approach
Structural equation modeling and mediation analyzes were used on a sample of 302 small and medium-size enterprises in Turkey.
Findings
This study found that business ties enable organizational unlearning while political ties impede it. This study further demonstrates that business ties positively and political ties negatively relate to organizational learning through organizational unlearning. In addition, this study shows that political ties are mostly negatively and indirectly related to firm performance through organizational learning while business ties positively and indirectly relate to firm performance.
Practical implications
The findings demonstrate the critical role that personal networks play in organizational learning and firm performance. This study provides evidence to the need to recognize and evaluate the potential and undesirable impacts of political ties on cultivating innovation skills and firm performance. In addition, this study recommends managers to embrace the significance of organizational unlearning in strategic renewal, particularly as it applies to building renewing and incremental dynamic skills for enhanced firm performance.
Originality/value
This study offers a deeper perspective of the dissected relations of social ties in emerging economies to firm performance by considering organizational unlearning and learning behaviors as mediating mechanisms.
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Aim of the present monograph is the economic analysis of the role of MNEs regarding globalisation and digital economy and in parallel there is a reference and examination of some…
Abstract
Aim of the present monograph is the economic analysis of the role of MNEs regarding globalisation and digital economy and in parallel there is a reference and examination of some legal aspects concerning MNEs, cyberspace and e‐commerce as the means of expression of the digital economy. The whole effort of the author is focused on the examination of various aspects of MNEs and their impact upon globalisation and vice versa and how and if we are moving towards a global digital economy.
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The purpose of this paper is to examine the relationships among taking a prospector local-market focus, managerial ties (business ties and political ties) and performance in the…
Abstract
Purpose
The purpose of this paper is to examine the relationships among taking a prospector local-market focus, managerial ties (business ties and political ties) and performance in the Chinese market.
Design/methodology/approach
This study, using a sample of 371 Taiwanese subsidiaries of multinational corporations (MNCs) in China, applies regression analyses to investigate the following questions: does taking a prospector local-market focus negatively impact performance? Do managerial ties (business ties and political ties) positively impact performance? Do these managerial ties positively moderate the effect of the taking a prospector local-market focus on performance?
Findings
Taking a prospector local-market focus negatively impacts the performance of MNC subsidiaries. Business ties positively impact the performance of MNC subsidiaries, as do political ties. Finally, the impact of a prospector local-market focus on performance is positively moderated by business ties.
Practical implications
The Chinese market is still a guanxi exchange business system and political connections usually require significant investment in exchange for advantageous market conditions. Thus, political ties must be carefully considered by MNC subsidiaries when they employ a prospector local-market focus in the Chinese business environment.
Originality/value
First, this study clarifies the key relationship between the strategic choice of taking a prospector local-market focus and performance of MNC subsidiaries in the Chinese market. Second, it identifies the moderating role of managerial ties (political and business ties) in influencing the relationship between a prospector local-market focus and subsidiary.
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Volkan Yeniaras, Ilker Kaya and Nick Ashill
The purpose of this paper is to offer a theoretical and empirical understanding of how social ties affect innovation behavior and new product performance in Turkey, which is an…
Abstract
Purpose
The purpose of this paper is to offer a theoretical and empirical understanding of how social ties affect innovation behavior and new product performance in Turkey, which is an emerging economy where high levels of economic and political uncertainties exist.The authors examine whether innovation behavior binds the political and business ties of the firm to new product performance. They also examine if these effects are contingent on variations in the institutional environment and market environment.
Design/methodology/approach
Structural equation modeling and mediation analyses were used on a sample of 344 small- and medium-sized enterprises in Istanbul.
Findings
Business ties are positively related to exploratory innovation behavior and political ties hamper such behavior. The authors also show that government support hinders firms’ disruptive innovation while encouraging incremental innovation behavior. The authors further demonstrate that the positive and indirect relation of business ties to new product performance through exploratory and exploitative innovation is largely insensitive to changes in market and institutional environments. Political ties are negatively (positively) and indirectly related to new product performance through exploratory (exploitative) innovation.
Practical implications
Managers should choose the form of their personal interactions (political and/or business) based on the type of innovation that is being pursued. Additionally, managers should consider both the institutional environment and the market environment as important contingencies in their decision of whether to invest resources in developing social ties to build innovation behavior.
Originality/value
The authors offer a deeper perspective of how social ties in emerging economies affect new product performance by considering exploratory and exploitative innovation behavior as mediating mechanisms. These mediating effects are conditional on institutional and market environments.
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