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The purpose of this paper is to empirically examine the mediating role of decentralization in the relationship between a firm’s strategy and its performance in the context of an advanced economy where the chief corporate strategy is differentiation.

The study uses data collected by an online survey targeting a stratified sample of 1,238 private firms operating in Denmark. The empirical analysis was carried out by estimating a structural equation model.

The key finding was that a decentralized organization (DO) can act as a mediator between a firm’s differentiation strategy and its performance. A multi-group analysis revealed that the mediating impact of decentralizing was affected by contingency factors such as firm size, strategic clarity, degrees of business environment risk and industry competition. Thus, a DO can be said to play a more important role in larger firms, in firms with less strategic clarity, and in companies with multiple plants.

Although the study offers empirical evidence from a relatively large and representative sample of firms, the specificity of the context should be noted. In particular, firms in Denmark, while facing strong competition, do not compete with low costs. Clearly, studies of the mediating role of decentralization in low-cost strategy environments would be an important next step.

Several implications of the findings for organizational design and creation of beneficial conditions for strategy implementations are discussed.

The novel contribution of the study lies in the focus on decentralization as a mediator in the strategy–performance relationship. While previous research has shown that strategy is related to decentralization, and that decentralization is associated with higher performance, an empirical analysis of the relationship between the factors in the strategy-decentralization-performance path had not previously been undertaken.

The purpose of this paper is to examine the impact of off-farm employment on the concentration of farmland via households’ land rental activities in rural China.

The paper uses Probit and Tobit models to estimate the effect of off-farm employment on land rental activities. Furthermore, the paper compares the degree of land concentration between pre-renting and post-renting in terms of Gini coefficients of farmland ownership at village level.

The authors find that off-farm employment has a positive effect on the renting out farmland, and insignificant effect on renting in farmland. Moreover, off-farm employment intensifies the concentration of farmland from small farms toward big farms by renting activities.

The authors believe that the results will contribute positively to the assessment of the effect of off-farm employment on land concentration in the context of the urbanization process in China.

The purpose of this paper is to reveal the mediating role of leadership style on the relationship between strategy and company performance.

The study uses empirical data gathered from top managers in a stratified sample of 476 Danish private businesses.

The results show the mediating effects of leadership styles on strategic performance. In particular, both supportive and directive leadership styles partially mediate the effect of the differentiation strategy, while the supportive leadership style displays a stronger mediating effect than the directive one. The multi-group analysis shows the moderating impact of the manager’s tenure, managerial level, strategy clarity, industry and business environment risk.

The study is limited by its nature and the specificity of the national context in which it was conducted. In this vein, the evidence collected here can be enlarged and complemented by having access to panel data or the generalization of some results to neighboring or other developed countries.

Several implications of the findings for managerial practices are discussed.

There are very few discussions of the mediating effect of leadership style between strategy and performance. The paper fills the gap by examining the role of leadership style planning on the relationship between those two variables in Denmark.

The purpose of this paper is to describe how gender stereotypes and self-stereotypes of Danish managers vary among managers at different job levels, from lower level managers to CEO level, in a large survey of Danish private-sector managers.

This study is explorative. Measures of stereotypes and self-stereotypes are constructed and analyzed with regressions models that control for a large number of individual and firm characteristics.

The results document significant gender differences in stereotyping among managers. Male managers have significantly more masculine stereotypes of successful leaders, and they rate themselves higher on masculine traits than female managers. For CEOs, the picture is different. Stereotypes do not differ by gender and female CEOs have more pronounced masculine stereotypes than female managers at lower levels. Female managers at the age of 50 are the least gender stereotyping managers. Younger female managers have significantly more masculine stereotypes about the role as a successful leader.

This study is based on cross-sectional data and does not claim to uncover causal relationships.

The results suggest that gender stereotypes and self-stereotypes among Danish private-sector managers are not going to change quickly indicating that new government policies with more focus on gender equalization and affirmative actions are called for.

Most earlier studies of stereotypes concerning female managers are based on studies of samples drawn from the general population or consisting of students. This study makes use of a large sample of managerial employees from all levels of the corporate hierarchy in different types of firms.

This volume of Advances in the Economic Analysis of Participatory and Labor-Managed Firms comprises nine original research chapters and a short comment.¹ The chapters cover a broad range of topics: from share ownership plan membership to determinants and performance outcomes of adoption of high performance work and pay practices, to changes in traditional participatory organizations. Geographically, the chapters span over a relatively wide range: from Northern Europe, a southeast European transition economy, Israel, Korea, Japan to an international corporation with operations in at least four continents.

The series Advances in the Economic Analysis of Participatory & Labor-Managed Firms was launched 25 years ago by Derek C. Jones and Jan Svejnar. Since then, Advances has been a leading forum for high-quality original theoretical and empirical research in the broad area of participatory and labor-managed organizations. Although general and specialized journals publish work in this field, many do so only occasionally. Advances has been the only annual periodical that presents some of the best chapters in the field in a single volume.

There is abundant evidence that innovative work practices (IWPs) of various kinds, such as teams, quality control circles, no-layoff policies, job rotation, and employee ownership, have spread rapidly in developed market economies during the past thirty years or so. Between 1983 and 1993, Freeman, Kleiner, and Cheri (2000) report survey evidence that the number of nonmonetary incentive programs offered by firms increased by 500% in the United States. Similar trends appear to be at work in other countries including the United Kingdom, Japan (e.g., Kato, 2000), Denmark (e.g., Datta Gupta, & Eriksson, 2004), and Finland (e.g., Kalmi & Kauhanen, 2008). Whereas the corresponding evidence for transition economies is much slimmer, the available evidence is also suggestive that such practices are limited though spreading.¹ Unsurprisingly, both theoretical and an empirical literature have appeared to examine the impact of IWPs on both business performance and employee outcomes. As different scholars from diverse fields in the broad area of industrial relations have applied varying approaches to explore several research questions, those literatures have grown rapidly. At the same time, while it is clear that analytical work of the kind is becoming commonplace for advanced economies, work that focuses on developing and transition economies is very slim. As it is important to determine whether findings for firms in advanced market economies carry over to other economies, the first contribution of this chapter is to extend the geographical coverage of the empirical literature. This we do by assembling and analyzing new survey data set for a large Croatian manufacturing firm with our chapter perhaps representing one of the first such investigations for a former communist economy.

This chapter describes the spread of new work and pay practices in Danish private sector firms during the last two decades. The data source is two surveys directed at firms and carried out ten years apart. The descriptive analysis shows that large changes in the way work is organised in firms have occurred during both decades, whereas the progression of pay practices predominantly took place in the nineties. There is considerable firm heterogeneity in the frequency of adoption of the practices. In particular, the prevalence of both incentive pay and work practices is higher in multinational companies and firms engaged in exporting.