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This study aims to explore the patterns and transformational dynamics of the executive–interpreter network in the innovation processes of small- and medium-sized enterprises in hospitality.

Grounded in social network theory and adopting a case-based approach, this study features a multi-case design focusing on three Chinese boutique hotels. Data were collected through Web page and document reviews, participant observations and semistructured interviews.

Results capture how executive–interpreter network dynamics contribute to innovation in small- and medium-sized hotels. Key factors in social networks (e.g. size, scope and strength) shift throughout innovation. This study presents a design-driven approach as a means of innovation. Findings also delineate the network development conditions under which innovation dynamically occurs in boutique hotels.

Practical implications center on how network dynamics help small- and medium-sized hotels innovate more effectively. These insights can assist hotel operators and prospective market entrants in improving their hotels’ performance and competitiveness.

This study blends social network theory with a design-driven approach to explore innovation mechanisms in small- and medium-sized hotels. It offers empirical evidence for practitioners regarding design-driven innovation. Findings enrich the body of knowledge on both design-driven innovation theory and hospitality innovation.

This study aims to explore how emotional intelligence (EI) in members of family businesses can enhance the relationships with the stakeholders and whether adopting a relationship marketing approach could extend a family businesses' longevity, the businesses' success through generations.

A mixed-method approach was adopted, and two studies (quantitative followed by qualitative) were conducted in Mexico on small to medium-sized enterprises. This study considers the perspective of owners and employers of family businesses.

The study provides important insights into the relationship between EI and relationship marketing. Enhancing EI in family members whilst conducting a relationship marketing approach, both internal and external, will result in better performance. Family businesses can alleviate conflicts inherent to family emotions whilst building and maintaining strong relationships with customers and suppliers that can secure the long-term success of the organisation by enhancing EI.

Considering the majority of the literature is focussed on highly developed economies such as the USA, the UK and major developing economies such as China and India, this mixed-method study offers Mexico as a novel setting that has become an important procurement hub in light of the recent global developments and international relationship policies.

This article focusses on the hybrid strategy, a simultaneous combination of cost leadership and differentiation strategy. The study aims to examine the impact of hybrid strategy on firm performance through its anticipated positive effects on process and product innovation. In addition, we study the moderating role of adaptive capacity in the direct relationships of hybrid strategy with process and product innovation.

Structural equation modelling was used to analyse 1,842 Spanish firms with fewer than 250 employees. We randomly selected small and medium-sized enterprises (SMEs) operating in Spain from the Spanish Central Business Directory (2021) database. The overall sample design was based on stratified sampling.

We found that hybrid strategy is positively related to firm performance and to process and product innovation. Additionally, in firms implementing hybrid strategies, process innovation fostered firm performance. Finally, adaptive capacity strengthened the relationships of hybrid strategy with process and product innovation. This sheds light on how and when hybrid strategy is most effective in fostering SME performance.

We highlight that SMEs need to establish strategies that use diverse resources and capabilities and not just generate competitive advantage using one strategy (cost leadership or differentiation strategy). This requires an agile and flexible systems and structures.

Our research provides novel results by proposing the adoption of hybrid strategies instead of pure strategies (cost leadership and differentiation strategy) as a way for SMEs to survive during crises. Unlike “stuck in the middle” strategies, our study demonstrates the importance of hybrid strategies in a comprehensive model that links them to innovation and firm performance, with adaptive capacity being a determining factor.

The purpose of this paper is to fill a gap in the literature regarding the open innovation management approaches that small and medium-sized enterprises (SMEs) can use to access digital technologies and incorporate them into their organizational processes. The research question is: What organizational and process-level managerial actions do SMEs take to successfully access and implement digital technologies within their organizational processes?

Using Guertler et al.'s (2020) Action Innovation Management Research (AIM-R) framework, this study examines the digital transformation experiences of 10 European SMEs to gain insights into the managerial actions that foster successful digital transformation.

The findings of the paper reveal two major contributions. First, a digital transformation roadmap for SMEs is proposed, with a focus on accessing external resources and reconfiguring internal ones to ease their digital transformation journey. Second, three distinct paradoxes that influence the digital transformation process in SMEs are highlighted, providing useful insights into the challenges and tensions SMEs face during this journey.

This paper provides a unique perspective on the digital transformation of SMEs by examining the managerial actions required for successful technology adoption and revealing the paradoxes that may emerge during this transformative process. The findings form the basis for future research, deepening our understanding of digital transformation in SMEs and providing actionable advice to managers and practitioners navigating this journey.

The role of family business staffing practices in their ultimate success remains largely unknown. The purpose of this paper is to test the notion that firms with greater family essence manifest their commitment by leveraging referrals as a recruitment source, which in turn is associated with higher performance. The hypothesized model posits that reduced agency costs from hiring through owner referral utilization (ORU) provide high-family essence firms with stronger performance.

The study draws upon a sample of 194 small and medium-sized family business owners.

Findings from OLS regression and the PROCESS model in SPSS support the hypothesis that recruiting nonfamily employees from referrals helps lessen agency conflicts and serves as an intervening mechanism in the relationship between family firm essence and firm performance.

This study draws on agency theory to shed light on how family firms successfully bring nonfamily employees into the fold despite their human resource limitations. The results extend theory on family businesses by demonstrating that those with higher degrees of family essence are more likely to attract applicants via ORU. Leveraging this recruiting practice allows family businesses to hire nonfamily employees who share the values and goals of the family firm, thus lowering agency costs and fostering higher performance. More broadly, the findings offer insight into the role of staffing practices in family firm success.

Drawing on social capital theory, this study aims to explore the effect of corporate social responsibility (CSR) on organizational resilience. The research investigates the mediating role of relationship quality in the association of CSR with organizational resilience, and the moderating role of data-driven culture in the association between CSR and relationship quality.

Data were collected from Chinese agricultural firms with a sample of 241 senior or middle executives and structural equation modeling was used to test the research model and hypotheses.

The results indicate that CSR positively affects the relationship quality between agribusinesses and farmers, which in turn positively affects both proactive resilience and reactive resilience. Relationship quality has a partial mediating role in the association of CSR with proactive resilience and reactive resilience. Data-driven culture has a positive moderating effect on the relationship between CSR and relationship quality.

By arguing for CSR toward organizational resilience and analyzing its underlying mechanism, this study enriches the literature on CSR and organizational resilience and expands the existing knowledge on the roles of relationship quality and data-driven culture. This study also provides practical insights into how to improve organizational resilience.

The purpose of this study is to examine the benefits and challenges of using logistics service providers (LSPs) for small and medium-sized enterprises (SMEs) and large corporations.

This study uses the focus group interview method with eight LSP companies of varying sizes in the UAE. The aim is to obtain detailed insights into the advantages and obstacles associated with using LSPs.

The interview results reveal differences in the services and payment options offered by large and small-medium-sized LSPs, leading to varying impacts on SMEs. Additionally, both large and small-medium-sized LSPs encounter challenges in delivering services to SMEs, including sustaining logistic excellence in a competitive market, meeting the high customer expectations from SMEs and large enterprises, difficulty in recruiting skilled and competent employees and high costs of business technology.

This study is limited to the UAE context and the perspectives of eight LSP companies. The findings may not be generalizable to other regions or industries.

The findings of this research provide valuable insights for SMEs and large corporations considering the use of LSPs. Understanding the benefits and challenges associated with outsourcing logistics services can assist in making informed decisions and developing effective collaborations with LSPs.

This research contributes to the existing literature by specifically examining the benefits and challenges of using LSPs for SMEs and large corporations. This study provides a comprehensive analysis of the factors that influence logistics outsourcing decisions and highlights the unique challenges faced by LSPs and SMEs in the context of the UAE.

After the completion of this case study, students will be able to understand the importance of being close to local people when embarking on social business; understand that clear purpose and good decision-making can lead to great outcomes; and learn that innovation is crucial to ensure sustainability of both business and impact.

The case highlights the journey of Laiterie du Berger (LDB), a social enterprise in the agribusiness industry and the challenges faced as it expands and innovates. LDB’s roots lie in its commitment to social impact, aiming to uplift the Fulani livestock farmers and address socioeconomic issues. The company’s business model prioritizes people over profits, focusing on sustainable development and poverty alleviation. The LDB case showcases the challenges and opportunities in the agribusiness industry. LDB’s commitment to social impact, demonstrated through its support for farmers and sustainable farming practices, has been integral to its success. As the company expands and innovates, it faces critical decisions that require balancing financial growth with social responsibility. By embracing development, innovation and collaboration, LDB can continue to be a catalyst for positive change in the agribusiness industry while staying true to its roots and the principles that have defined its journey.

This case study is designed for bachelor’s and master’s degree students in the field of entrepreneurship and innovation, as well as MBA students. The case focuses on social entrepreneurship with the example of an agribusiness company located in Senegal, prioritizing social impact and quality of life. The case study explores the dynamics of the sector, including expansion strategy, innovation initiatives and the dilemma of balancing social mission and profit that social entrepreneurs may be facing. By analyzing this real-world situation of LDB, students will have the opportunity to enhance their decision-making skills.

Teaching notes are available for educators only.

CSS 3: Entrepreneurship

This article explores the effect of entrepreneurial orientation (EO), governance and geographic location on the performance of Palestinian family-owned businesses.

This quantitative study uses data collected in the fall of 2022 from 180 Palestinian-owned family companies – 90 were located in Palestine and the other 90 were located in the USA. Using R software, multiple regression analysis was employed to examine the relationships between the constructs that formed the study's conceptual framework.

The results indicate that (1) the risk-taking, innovation and proactiveness dimensions of EO have a significant positive impact on the performance of Palestinian family-owned businesses; (2) Governance moderates the EO dimensions of risk-taking and proactiveness on the performance of Palestinian family-owned companies and (3) geographic location does not moderate the relationship between the EO and performance of Palestinian-owned family businesses.

The current intensified conflict in Palestine warrants exploring the role Palestinian family-owned businesses worldwide can play in rebuilding the local economies of Gaza and the West Bank. The following years will be crucial in determining how proactive risk-taking and innovation will support regional recovery and augment the entrepreneurial and reinvestment capacity of diasporic and home country-based Palestinian family-owned firms. Thus, our study into factors that might enhance these businesses' performance and growth potential is pertinent. A further contribution of this study is new insight into the particularities of Palestinian family-owned businesses, augmenting general theories associated with ethnic and diasporic entrepreneurship.

This study aims to identify and prioritize barriers to corporate social responsibility (CSR) in the construction sector.

A literature review was first conducted to identify barriers to CSR performance. After that, construction professionals were invited to validate the appropriateness of the obstacles. The discussion allowed the establishment of a list of barriers to CSR performance and their corresponding categories. Data collected from the survey were then analyzed to prioritize the importance of these barriers by the fuzzy DEMATEL-based ANP (DANP) technique.

The findings presented 16 barriers to CSR, which were categorized into four clusters. The fuzzy DANP analysis showed that strategic vision is the most crucial cluster, followed by the measurement system, stakeholder perspective and scarce resources. Among the sixteen barriers examined, lack of awareness, knowledge and information of CSR; low priority of CSR; lack of metrics to quantify CSR benefits; lack of guidelines and coherent strategies; and lack of CSR enforcement mechanism are the five most crucial barriers.

This study is one of the first that proposes a comprehensive model to prioritize barriers to CSR performance of contractors considering their interrelationships. It provides construction stakeholders with a framework for understanding the linkage between the barriers and CSR framework under the umbrella of stakeholder theory. Thus, the findings might assist construction practitioners and academics in fostering the success of CSR implementation.