Search results

1 – 10 of over 2000
Book part
Publication date: 8 April 2013

Ray-May Hsung, Yi-Jr Lin and Ke-Wei Lu

Purpose – Structural embeddedness of social networks within and beyond work organizations has shown its association with the innovation at work for employees from literature…

Abstract

Purpose – Structural embeddedness of social networks within and beyond work organizations has shown its association with the innovation at work for employees from literature. Structural embeddedness includes three dimensions: the diversity, density, and trust of accessed networks. This chapter attempts to compare how structural embeddedness mechanizes on innovation at work differently for employees in hi-tech and non-hi-tech sectors.Methodology/approach – We analyzed 1,817 cases of currently employed respondents from the 2005 Taiwan national survey on social capital. All the indicators on structural embeddedness are operationalized from position-generated networks, and we performed regression models for total, hi-tech, and non-hi-tech samples.Findings – Except the universal effects of diversity on innovation at work for employees in both hi-tech and non-hi-tech sectors, density and trust of accessed networks significantly affect innovation at work only for employees in non-hi-tech sectors. There is a slight interaction effect between trust and density on innovation at workplaces. Those individuals with high-degree trust in accessed networks tend to have a lower degree of innovation while their network density is high. It implies that complementary networks seem to be more useful for applying new ideas at the workplace for non-hi-tech workers.Originality/value of chapter – This chapter contributes to the literature by presenting the importance of structural embeddedness of accessed social networks for innovation at work.

Details

Networks, Work and Inequality
Type: Book
ISBN: 978-1-78190-539-5

Keywords

Article
Publication date: 3 August 2021

Ajay Kumar Singal and Faisal Mohammad Ahsan

Emerging economy firms seek strategic assets through cross-border acquisitions (CBAs) to upgrade their capabilities. The paper explores the relation between emerging economy firms

Abstract

Purpose

Emerging economy firms seek strategic assets through cross-border acquisitions (CBAs) to upgrade their capabilities. The paper explores the relation between emerging economy firms' investments in CBAs and subsequent investments in domestic R&D. It investigates the underlying mechanism that links a firm's decision to pursue CBAs and the outcomes from the CBAs. The main idea behind the study is that firms have higher possibility of creating value from cross-border acquisitions when they simultaneously invest in domestic R&D though both investments are constrained by financial and managerial resources.

Design/methodology/approach

The hypotheses are tested on a panel data set of 296 Indian firms over a period of 13 years (2003–2015). The authors use a two-stage Heckman procedure for testing their hypotheses. In the first stage, a probit model predicts the probability of a firm being a cross-border acquirer. The second stage model is estimated by a pooled-data GLS (generalized least squares) regression technique.

Findings

The authors find a nonlinear (inverted U-shaped) relationship between firm's investments in CBAs and domestic R&D. This suggests a complementary relation between investments in CBAs and a firm's domestic R&D at lower levels of investments in CBAs. At higher levels of investments in CBAs, CBA investments begin to substitute for firm's domestic R&D investments. For firms with higher international product-market experience and those operating in the hi-tech industry, the relationship between investments in CBAs and domestic R&D is complementary even at higher levels of CBA investments.

Originality/value

The study highlights the role of an emerging market firm's investment in domestic R&D as a link between the decision to invest in CBAs and related outcomes thereof. Emerging market firms face resource constraints while pursuing simultaneous investments in CBAs and R&D, but investment in R&D is essential for realizing the acquisition objectives. The authors also establish the significance of industry context and experiential learning in deciding the allocation of resources between CBAs and internal R&D.

Details

International Journal of Emerging Markets, vol. 18 no. 9
Type: Research Article
ISSN: 1746-8809

Keywords

Article
Publication date: 27 February 2007

Khaled Abdou and Mehmet F. Dicle

The purpose of this paper is to investigate whether all of the risk factors were priced during the internet bubble period.

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Abstract

Purpose

The purpose of this paper is to investigate whether all of the risk factors were priced during the internet bubble period.

Design/methodology/approach

A unique hand collected dataset was used from public prospectuses for companies that issued an initial public offering during the internet bubble period. Three hypotheses were proposed: the risk factors mentioned in the prospectus are important for IPO trading and therefore affect IPO underpricing; risk factors affect the IPO deal attributes; and the number of risk factors cited by the issuing firm is affected by direct participants such as venture capitalists and investment bankers.

Findings

It was found that hi‐tech dummy played a significant role during the bubble period. Moreover, not all risk factors are regarded important, some of them are not significant at all as predicted by first hypothesis. The most striking observation is the negative economic significance of the risk factor no prior market for the traded stock. This reveals that, traders are selective in valuing risks and may value some factors as opportunities and not as risk factors. In addition, the results reveal that risk factors do affect the deal attributes as predicted by our second hypothesis. Also, the pricing of these risk factors are not different between retail and hi‐tech companies. Regarding the participants, it was found that venture capitalists and investment bankers have a significant statistical and economic effect on the number of risk factors reported in the prospectus.

Originality/value

The paper contributes to the literature by investigating the IPO underpricing phenomenon in the internet bubble period.

Details

Journal of Financial Regulation and Compliance, vol. 15 no. 1
Type: Research Article
ISSN: 1358-1988

Keywords

Article
Publication date: 23 April 2018

Qifeng Zhao and Yongzhong Wang

The purpose of this paper is to investigate how the pay gap between the management and ordinary employees influence corporate technology innovation.

Abstract

Purpose

The purpose of this paper is to investigate how the pay gap between the management and ordinary employees influence corporate technology innovation.

Design/methodology/approach

This study built a tournament model based on inventor innovation and career promotion. In addition, the authors use IV-GMM estimation method to address the possible endogeneity issue in the regressions.

Findings

Based on the unbalanced panel data of patents and pay gap in 1,501 Chinese listed manufacturing firms during 2001-2015, this paper finds that the pay gap could lead inventor innovation and improve technology innovation. The pay gap could encourage corporate innovation significantly: 1 percent increase in pay gap may increase the number of patents by 2 percent in the next year. The pay gap between the management and ordinary employees facilitates corporate innovation via two possible channels. First, inventor innovation and career promotion. Inventors are selected into the management mainly based on their innovation output. The larger the pay gap, the more innovation incentives and patents would gain. Second, investment increase in technology innovation. The pay gap and more patents that inventors gain would increase the ratio of inventors promoted to the management, who tend to pour more resources into R&D activities and absorb more inventors to the management due to their sectionalism and R&D preference. The above two channels constitute a positive feedback mechanism among technology innovation, inventor promotion and increase in R&D investment.

Research limitations/implications

This paper highlights that pay gap between the management and ordinary employees is an important issue that could encourage corporate innovation. The conclusions imply that pay gap could encourage inventors to work hard and produce more patents, which could help them to enter into the management such as executives or directors.

Originality/value

This study contributes to the current literature by implying that pay gap could have positive effects on innovation through theoretical and empirical analysis. Also, this study finds that inventor promotion due to the pay gap is a critical channel to stimulate corporate technology innovation.

Details

China Finance Review International, vol. 9 no. 2
Type: Research Article
ISSN: 2044-1398

Keywords

Article
Publication date: 11 January 2019

Elena Precourt

The purpose of this paper is to examine the section of the Jumpstart Our Business Startups (JOBS) Act related to information dissemination by sell-side security analysts. The…

Abstract

Purpose

The purpose of this paper is to examine the section of the Jumpstart Our Business Startups (JOBS) Act related to information dissemination by sell-side security analysts. The paper analyzes how the abolishment of the quiet period requirements for emerging growth companies (EGCs) changes the analyst initiation timing and market expectation of and reaction to the issuance of the analyst recommendations.

Design/methodology/approach

This paper considers the effect of the abolishment of the quiet period requirements on analyst coverage initiations for EGCs with IPOs between January 2006 and December 2015 using regression analyses and probability models.

Findings

The results confirm the current anecdotal and empirical evidence that a shorter, de facto, quiet period exists. Analyst issue stronger average ratings for EGCs than for similar firms with IPOs before the JOBS Act. EGCs with initiations from multiple analysts also experience stronger positive market reaction than the firms with initial offerings before the JOBS Act. The market seems to anticipate which EGCs will have initiations and particularly which EGCs will have initiations from multiple analysts. The investors, however, do not fully anticipate the strength of actual recommendations.

Practical implications

This paper is important for researchers, practitioners and policy-makers to understand how analysts impact the financial markets, how timing of analyst initiations affects stock prices of EGCs and what firm characteristics play a role in securing analyst coverage shortly after initial offerings.

Originality/value

This paper adds to the emerging literature on consequences of and changes brought by the JOBS Act. Specifically, this paper extends the limited literature on analyst initiations issued for firms with IPOs following the JOBS Act, timing of those initiations and magnitude of the market’s response to the initiations.

Details

Journal of Financial Regulation and Compliance, vol. 27 no. 1
Type: Research Article
ISSN: 1358-1988

Keywords

Book part
Publication date: 27 August 2014

Niron Hashai

The benefits of network relations for firms’ competitive advantage are increasingly acknowledged in the strategic management literature. Yet, the cost implications of engaging in…

Abstract

The benefits of network relations for firms’ competitive advantage are increasingly acknowledged in the strategic management literature. Yet, the cost implications of engaging in network-specific relations, stemming from the irreversibility of sunk costs invested in creating network relations, are largely ignored. Such costs tend to be especially pronounced in high technology firms. It follows that the costs of creating network relations may mask the benefits of such relations, suggesting that networks can be a competitive risk for firms in cases where network relations unexpectedly terminate. This chapter adopts a cost-benefit approach to an empirical analysis showing that while in the long term, network relations enhance high technology firms’ performance, short-term efforts in creating network relations may hamper their performance. Furthermore, we show that greater technological intensity intensifies the negative performance implications of short term network participation and the positive performance implications of long term network participation.

Details

Understanding the Relationship Between Networks and Technology, Creativity and Innovation
Type: Book
ISBN: 978-1-78190-489-3

Keywords

Article
Publication date: 22 October 2010

Chaoying Tang

The purpose of this paper is to analyse the influence approach between team leadership and research and develop (R&D) team creativity in one joint‐venture firm of Chinese hi‐tech

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Abstract

Purpose

The purpose of this paper is to analyse the influence approach between team leadership and research and develop (R&D) team creativity in one joint‐venture firm of Chinese hi‐tech industries.

Design/methodology/approach

Data were collected from 14 R&D teams in one leading electronic joint‐venture firm in China based on questionnaires. Data were analyzed using hierarchical regression analysis to test the mediate effect of knowledge sharing on the relationship between leader's empowerment behavior and team creativity.

Findings

The results reveal that, after the effects of leader's empowerment behavior had been controlled, tacit knowledge sharing contributed significantly to the explained variance of team creativity, while the explicate knowledge sharing was not significantly affect the creativity. Thus, tacit knowledge sharing partially mediated the relationship between leader's empowerment behavior and team creativity. The limitations of this study include it just selects the self‐report questionnaire to do the data collection, and the samples just come from one company in China.

Practical implications

This empirical study implicates that it is necessary for R&D team leader to manage team communication, such as management the team communication channel and work place, as team communication is the pre‐requirement of the team divergent thinking. Second, team leaders can use the empowerment behaviors to encourage team members do tacit knowledge sharing. This might be a challenge of Chinese R&D team leaders in the hi‐tech industries. It means instead of maintaining personal authority which is the traditional leadership behavior in China, R&D team leader should learn to do more empowering behavior to improve the team creativity.

Originality/value

This paper points out team communication is the important approach between team leader's empowering behavior and the team creativity under the merging contexts. Furthermore, it empirical finds that the tacit knowledge share rather than the explicit knowledge sharing has such mediation effect.

Details

Journal of Science and Technology Policy in China, vol. 1 no. 3
Type: Research Article
ISSN: 1758-552X

Keywords

Article
Publication date: 1 September 2006

Gillian Sullivan Mort and Jay Weerawardena

International entrepreneurship (IE) is a new field of multi‐disciplinary enquiry that has its origins in the research on born globals. Within international marketing the concept…

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Abstract

Purpose

International entrepreneurship (IE) is a new field of multi‐disciplinary enquiry that has its origins in the research on born globals. Within international marketing the concept has attracted the attention of researchers examining the factors driving small‐ and medium‐size firm internationalisation. These small, rapidly internationalising, entrepreneurial new ventures have recently both challenged and fascinated scholars and practitioners. While IE researchers are beginning to call for a broadening of the field of IE enquiry, this research continues the focus on the special breed of small firms, the born globals. We do this to deepen our understanding of IE, and focus on networking in born globals to attempt to develop richer insights directed towards establishing more in‐depth understanding and more robust theoretical frameworks.

Design/methodology/approach

Relationships and networking have been important in internationalisation studies for some time, and for small firms in particular are of interest for their role in helping overcome “resource poverty”. Case study method is adopted to examine the generative mechanisms and processes of networking capabilities. Drawing on six exemplar case studies from low‐tech and hi‐tech industry sectors, this research identifies the role and characteristics of the entrepreneurial owner/manager and the development of networking capability over time.

Findings

Fundamental and secondary networking capabilities are identified. How networking capability enables identification and exploitation of market opportunities, facilitates the development of knowledge‐intensive products and firm international market performance in the born global firm is discussed. The issue of network rigidity is also highlighted. A conceptual model is presented, implications discussed and future research directions, in particular the extension of networking capability research to large firms exhibiting IE, are promulgated.

Originality/value

Overall the findings of the study contribute to the development of IE research by identifying the centrality and scope of the impact of networking capabilities in small born global firms arguing that dynamic networking capability characterises IE in this context.

Details

International Marketing Review, vol. 23 no. 5
Type: Research Article
ISSN: 0265-1335

Keywords

Article
Publication date: 1 January 2006

Graham W. Winch and Carmine Bianchi

Many, if not most, small to medium‐sized enterprises (SMEs) are subject to the impacts of globalisation. This article seeks to explore the extra dimension of challenge to their…

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Abstract

Purpose

Many, if not most, small to medium‐sized enterprises (SMEs) are subject to the impacts of globalisation. This article seeks to explore the extra dimension of challenge to their already difficult environments when they have to venture into the world‐trade system.

Design/methodology/approach

Recent research undertaken separately by Polish, Italian, Norwegian and UK collaborators examined eight case studies of disparate smaller companies with international operations. This article brings together the common features found, and discusses them in terms of structural drivers and dynamic implications.

Findings

Research findings include the stretching of capabilities in supporting customers in unfamiliar markets, the internal competition for funds in pursuing multiple international markets, the importance of word‐of‐mouth marketing, and the pressures on R&D functions.

Practical implications

The critical importance of balance in smaller enterprises where resources are likely to be tightly constrained is highlighted, and the article observes that, while some of the challenges apply to many firms and other contexts, they are especially critical in SMEs.

Originality/value

This article identifies common pressures and challenges facing SMEs when going global, and uses causal loop diagramming to capture the drivers and consider longer‐term dynamic implications.

Details

Journal of Small Business and Enterprise Development, vol. 13 no. 1
Type: Research Article
ISSN: 1462-6004

Keywords

Article
Publication date: 12 April 2018

Salim Chahine and Naresh K. Malhotra

Social media have recently become an important strategic marketing tool to increase firm value. Based on an integrated theoretical framework, this study aims to examine the market…

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Abstract

Purpose

Social media have recently become an important strategic marketing tool to increase firm value. Based on an integrated theoretical framework, this study aims to examine the market reaction at the time of the creation of a Twitter platform for 312 firms from the Fortune 500 firms.

Design/methodology/approach

To test the hypotheses related to the effect of social media platforms on firm value, the event history analysis (EHA) was used, also known as event study, usually designed to examine the impact of a historical phenomenon for the US Fortune 500 firms that developed a Twitter platform.

Findings

A significant market reaction was found around the starting date of Twitter activities for the subsample of firms that are not contaminated by any other corporate announcements, but not for the overall sample. The market reaction is higher for firms with two-way interaction strategies rather than one-way messaging in both the uncontaminated subsample and the overall sample. It is higher in smaller firms, firms with losses and those with a family and/or a dominant shareholder. Further, firms in the contaminated subsample are likely to follow a two-way strategy after a positive revision of their earnings per share. We have run several robustness checks, including cross-validation on a holdout sample, and these findings remain consistent.

Research limitations/implications

The integrated theoretical framework is another significant contribution. To our knowledge, this is the first study across disciplines that integrates the social exchange theory (SET), social representation theory (SRT), social network analysis (SNA), social identity theory (SIT), signaling theory (ST) and the impression management theory (IMT) into one framework that is built around information as a resource and social interaction.

Practical implications

The results suggest that Twitter can be used to add value if firms interact and reciprocate with the various stakeholders.

Social implications

Firms using social media must interact and reciprocate with the various stakeholders.

Originality/value

This research is different than the published research on this topic in that it examines the impact on stock prices of the introduction of a specific social media platform, i.e. Twitter. The present results of the paper add to the prior research on database marketing and show that marketing “with” the customer is adding more value than marketing “to” the customer. The use of the net extends the scope of database marketing into a certain form of interaction marketing with “face-to-face” interaction within the relationships between the firm and its customers. Finally, the conditions under which social media platforms are used in an interactive manner are shown, and depicts that firms are more likely to use a two-way interactive strategy following a one-year period of positive momentum.

Details

European Journal of Marketing, vol. 52 no. 7/8
Type: Research Article
ISSN: 0309-0566

Keywords

1 – 10 of over 2000