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Article
Publication date: 8 April 2021

Zonghui Li and Douglas Johansen

Drawing on the resource-based view, this study aims to examine how family involvement in migrant-founded small businesses gives rise to distinctive resources that help these…

Abstract

Purpose

Drawing on the resource-based view, this study aims to examine how family involvement in migrant-founded small businesses gives rise to distinctive resources that help these businesses survive.

Design/methodology/approach

Using microdata from the 2007 US survey of business owners (SBO), this study uses logit regression modeling to test the hypothesized relationships.

Findings

Results show that small businesses founded by migrant entrepreneurs are less likely to survive and that family involvement weakens the negative relationship between founder migrant status and business survivability. In addition, the positive moderating effect associated with family involvement is further strengthened by the use of external/borrowing startup capital, thus migrant families founded small businesses with access to external capital have the highest probability of survival.

Originality/value

This study contributes to the literature on both migrant entrepreneurship and family business. This paper finds family involvement in the business, interacting with the founder’s migrant status, tends to create distinctive resource endowments that help to compensate for the resource constraints associated with migrant entrepreneurs. Such resource endowments may take the form of high levels of solidarity among migrant family members and the spanning role of the migrant kinship networks extended from the country of origin to the country of residence.

Details

Journal of Enterprising Communities: People and Places in the Global Economy, vol. 17 no. 1
Type: Research Article
ISSN: 1750-6204

Keywords

Article
Publication date: 13 October 2021

Manish Mohan Baral, Rajesh Kumar Singh and Yiğit Kazançoğlu

Nowadays, many firms are finding ways to enhance the survivability of sustainable supply chains (SUSSCs). The present study aims to develop a model for the SUSSCs of small and…

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Abstract

Purpose

Nowadays, many firms are finding ways to enhance the survivability of sustainable supply chains (SUSSCs). The present study aims to develop a model for the SUSSCs of small and medium enterprises (SMEs) during the COVID-19 pandemic.

Design/methodology/approach

With the help of exhaustive literature review, constructs and items are identified to collect the responses from different SMEs. A total of 278 complete responses are received and 6 hypotheses are developed. Hypotheses testing have been done using structural equation modeling (SEM).

Findings

Major constructs identified for the study are supply chain (SC) performance measurement under uncertainty (SPMU), supply chain cooperation (SCCO), supply chain positioning (SCP), supply chain administration (SCA), supply chain feasibility (SCF) and the SUSSCs. From statistical analysis of the data collected, it can be concluded that the considered latent variables contribute significantly towardsthe model fit.

Research limitations/implications

The present study contributes to the existing literature on disruptions and survivability. The study can be further carried out in context to different countries and sectors to generalize the findings.

Practical implications

The research findings will be fruitful for SMEs and other organizations in developing strategies to improve survivability during uncertain business environments.

Originality/value

The study has developed a model that shows that the identified latent variables and their indicators contribute significantly toward the dependent variable, i.e. survivability. It contributes significantly in bridging the research gaps existing in context to the survivability of SMEs.

Details

The International Journal of Logistics Management, vol. 34 no. 4
Type: Research Article
ISSN: 0957-4093

Keywords

Open Access
Article
Publication date: 4 November 2021

Beata Agnieszka Żukowska, Olga Anna Martyniuk and Robert Zajkowski

Survivability capital is a unique resource resulting from the “familiness” constituting an inherent feature of family firms. Familiness represents the ability of family members to…

2562

Abstract

Purpose

Survivability capital is a unique resource resulting from the “familiness” constituting an inherent feature of family firms. Familiness represents the ability of family members to reinforce the financial and non-financial resources of businesses facing threats to their economic existence. This work proposes and examines various dimensions of the survivability capital construct, verifying whether family firms expecting deterioration of their economic situation or problems with survival due to the COVID-19 crisis can mobilise sufficient capital to survive.

Design/methodology/approach

This article provides empirical evidence based on a cross-sectional online survey of 167 Polish family firms, conducted at the beginning of the COVID-19 pandemic. The method (scale) of survivability capital measurement was elaborated and validated using principal component analysis (PCA) and confirmatory factor analyses (CFA). Next, the mobilisation of the different dimensions of survivability capital was examined using PLS-SEM modelling.

Findings

The survivability capital of family firms is composed of two dimensions: internal (based on directly involved family members) and external (based on not directly involved family members). Family firms facing crisis-induced deterioration of the economic situation engage its internal component. Subsequently, family firms forecasting decreasing probability of survival during a crisis try to engage both the internal and the external components of survivability capital. Such behaviour is in line with the resource-based view as well as with the sustainable family business theory.

Originality/value

To the best of the authors' knowledge, this is one of the first studies to examine analytically the survivability capital construct. While previous studies mentioned the existence of survivability capital, this study attempts to introduce its various dimensions and test the mobilisation of survivability capital during the COVID-19 crisis.

Details

International Journal of Entrepreneurial Behavior & Research, vol. 27 no. 9
Type: Research Article
ISSN: 1355-2554

Keywords

Article
Publication date: 1 February 2000

DAVID ARDITI, ALMULA KOKSAL and SERDAR KALE

The objective of the research presented in this paper is to explore the factors associated with company failures in the context of the construction industry. To that end, the four…

3064

Abstract

The objective of the research presented in this paper is to explore the factors associated with company failures in the context of the construction industry. To that end, the four quadrants of an ‘environment/response’ matrix developed by Boyle & Desai (1991. Journal of Small Business Management, 29, 33–42) are populated with Dun and Bradstreet's US business failure data for the construction industry. The study indicates that budgetary and macroeconomic issues represent 83% of the reasons for construction company failures. This implies that firms that take vigorous administrative measures to address budgeting issues and that react promptly to economic conditions by implementing appropriate strategic policies should be able to avoid failure. On the other hand, issues of adaptability to market conditions and business issues appear to have limited effects on company survivability (6% of the reasons for failure). This implies that administrative measures to fend off internal conflicts that originate for reasons beyond management's control and long‐term strategic decisions to regulate the firm's adaptation to market conditions can also help to prevent failure. An ‘input/output’ model appears to explain the business failure phenomenon better than the ‘environment/response’ one.

Details

Engineering, Construction and Architectural Management, vol. 7 no. 2
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 28 June 2013

John C. Alexander, Ping Cheng, Ronald C. Rutherford and Thomas M. Springer

The purpose of this paper is to examine how long a real estate investment trust (REIT) initial public offer (IPO) survives until a merger occurs, and to determine the impact of…

Abstract

Purpose

The purpose of this paper is to examine how long a real estate investment trust (REIT) initial public offer (IPO) survives until a merger occurs, and to determine the impact of different firm characteristics that exist at the time of the IPO on that survival in the aftermarket period.

Design/methodology/approach

The authors apply an accelerated failure time (AFT) duration model to determine how long the IPO will survive until merger occurs.

Findings

The results indicate that the time from the IPO to an eventual merger increases with size, the age of the REIT at IPO, and the percentage of institutional ownership. In contrast, the authors find that the time until merger decreases with increased market performance prior to the time of the offering and with the number of additional IPOs occurring at the time of the IPO.

Practical implications

There is a growing body of research that suggests that IPOs might be motivated by subsequent mergers. An understanding of those characteristics that effect the time until a merger occurs these relationships will enable market participants and capital providers to make better decisions about proceeding with, or evaluating, a REIT IPO.

Originality/value

There is a significant body of research on IPOs in general; however, the findings of this research vary depending upon the industry being examined. Further, there are a limited number of papers on IPO aftermarket survival. This is the only paper on REIT IPO aftermarket survival.

Details

Managerial Finance, vol. 39 no. 8
Type: Research Article
ISSN: 0307-4358

Keywords

Article
Publication date: 12 April 2021

Vishnu Chandar Venkatesh, Meeta Dasgupta, Anupama Prashar and Torben Juul Andersen

Turbulent hypercompetitive market conditions make small and medium enterprises (SMEs) vulnerable to abrupt crises caused by unexpected competitor moves. In these situations…

Abstract

Purpose

Turbulent hypercompetitive market conditions make small and medium enterprises (SMEs) vulnerable to abrupt crises caused by unexpected competitor moves. In these situations, enterprise risk management (ERM) can serve as a dynamic capability (DC) to overcome the impending crisis and improve SMEs' survival rates. To explore this capacity, which has only been vaguely addressed in prior research, we conduct an exploratory, abductive study to update the extant (ERM and DC) literature with empirical evidence from expert interviews.

Design/methodology/approach

We conduct an exploratory, abductive study using empirical evidence from expert interviews.

Findings

Our findings reveal ERM as a second-order DC in the micro-foundational components of competitive intelligence gathering, alliance building and integrative capabilities. We find that competitive intensity and government policy moderate the effects of these foundational capabilities. Finally, our study proposes a survivability model that provides new valuable knowledge of ERM as a DC for SMEs to deal with competition-driven crises.

Originality/value

This research survivability model shows how ERM as DC can facilitate the survivability of SMEs against competitive surprises. Although restricted to crises arising out of competitive surprises, this study provides valuable knowledge to the literature on what type of DCs are useful for specific situations. The study findings not only extended Teece's (2007) DCs framework to competitive crises but also placed it within a hierarchy of capabilities. The research findings indicate that an ERM culture in SMEs promote the growth and development of sensing, seizing and reconfiguring capabilities, vital for tiding competitive crises.

Details

Journal of Small Business and Enterprise Development, vol. 28 no. 4
Type: Research Article
ISSN: 1462-6004

Keywords

Article
Publication date: 27 May 2014

Karyn L. Neuhauser and Thomas H. Thompson

The purpose of this paper is to examine the survivability of 810 reverse splits during the 1995-2006 period and show that companies that undertake reverse stock splits often fail…

Abstract

Purpose

The purpose of this paper is to examine the survivability of 810 reverse splits during the 1995-2006 period and show that companies that undertake reverse stock splits often fail within a relatively short time following the split.

Design/methodology/approach

Applying both a logit model and an adapted version of the Hensler et al. (1997) accelerated failure time model to 810 reverse splits during the 1995-2006 period, the authors are the first to study the survivability of reverse split companies.

Findings

The paper finds that the market reaction to the reverse split on the ex-date is an important predictor of the likelihood of survival and of survival time. The paper finds that the likelihood of survival also depends on firm size, pre-split firm returns, and the post-split share price level. The paper finds that post-split survival time also depends on firm size, pre-split operating performance as measured by return on assets, pre-split firm returns, leverage, and the post-split share price level.

Practical implications

The study may be of interest to investors considering investing in stocks that have undergone reverse splits.

Originality/value

The research sheds light on which reverse splitting firms are most likely to survive and for how long.

Details

International Journal of Managerial Finance, vol. 10 no. 3
Type: Research Article
ISSN: 1743-9132

Keywords

Article
Publication date: 1 February 2012

Adli Abouzeedan, Magnus Klofsten and Thomas Hedner

Small to medium‐sized enterprise (SME) evaluation models lack a clear coupling to innovation and its impact on firm performance. A model which can achieve this is the Survival…

Abstract

Purpose

Small to medium‐sized enterprise (SME) evaluation models lack a clear coupling to innovation and its impact on firm performance. A model which can achieve this is the Survival Index Value (SIV) model. The purpose of this paper is to demonstrate the ability of the SIV model to indicate and predict the performance of a company. The firm, Autoadapt AB, is an innovation‐oriented enterprise, adapting personal cars to be driven by handicapped people. The authors knew in advance about the good performance of the firm and its high efficiency in conducting its operations and expected the SIV model to reflect correctly on Autoadapt's performance. Because the handicap degree of each of the individuals who benefit from the firm activities differs from one person to another, product solutions have to be individually designed. Therefore the firm has had to pursue a high level of innovativeness and it had to abide with this policy right from the start. The product development processes in the firm needed to adapt to such strategies.

Design/methodology/approach

To be able to demonstrate the ability of the SIV model to indicate a positive performance due to the intensive innovation activities of Autoadapt AB, a case study approach was used. Case studies are very suited for in‐depth analysis of an object under a longer period of time. It is a widely‐used research method in firm performance studies.

Findings

The results of the SIV analysis indicated that the model is able to project correctly the performance of the object firm. At all the four levels of analysis, i.e. SI values, the SPI slope, the survival factors, and the survivability coefficients, the SIV analysis performance indicated a stable positive development of the firm through the life time of the enterprise.

Originality/value

Measuring performance of SMEs is an important issue. There are couple of models stemming from the traditional accountancy disciplines in use; however these models suffer from clear disadvantages. Recently a new model, the SIV model, was introduced and has shown the ability of being a better candidate for performance analysis. The paper demonstrates the ability of the SIV model to judge correctly the performance of an innovative firm.

Article
Publication date: 30 March 2022

Piyal Sarkar, Mohamed Wahab Mohamed Ismail and Timur Tkachev

In light of the COVID-19 pandemic, all business sectors have critical needs. They face multiple challenges to restructuring their operations to build a resilient, cost-effective…

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Abstract

Purpose

In light of the COVID-19 pandemic, all business sectors have critical needs. They face multiple challenges to restructuring their operations to build a resilient, cost-effective and sustainable supply chain. Therefore, this paper aims to investigate the practice and the research gaps related to supply chains.

Design/methodology/approach

This research paper is influenced by a literature review of the past decade. This review paper incorporates industry challenges of the COVID-19 pandemic, including future steps toward developing resilient supply chains in the new normal economy. The research provides a detailed framework for designing cost-effective survivable supply chains that withstand disruptions for the long term.

Findings

The proposed research focuses on the effects of the COVID-19 pandemic on supply chains and attempts to bridge pre and post COVID-19 research and practice gaps. Post-COVID-19 resilient supply chains need to be transformed into survivable supply chains. The survivability of the supply chain can be achieved by combining both supply chain resilience and supply chain viability measures. To the best of the authors’ belief, this is the first study that grounds a theory to provide interconnection of five critical supply chain concepts to manage supply chain risk. This study is uniquely positioned to develop a theoretical framework to design a cost-effective, resilient and sustainable supply chain by establishing the interconnection among these concepts in supply chains. This framework helps practitioners to implement the key strategies at the operational, tactical and strategic levels that enhance maturity in supply chains.

Research limitations/implications

The research findings are based on secondary reports such as industry reports, cases, research papers and expert opinions. The authors tried to consult with many companies. However, they were reluctant to share the recovery plan information from COVID. Also, as COVID still exists in many places in Canada, the authors could not gather every intended information from the companies. However, the authors have successfully shared the outcomes of this research with a reputed retail company in Canada. They recognized the importance of survivability in supply chains. Going forward, business organizations need to design cost-effective, sustainable and survivable supply chains.

Originality/value

The study attempts to unify current research dealing with supply chain resilience. The study concludes with the limitations of the current research. It highlights the prospects of future research and bridges the supply chain practice gaps from the challenges faced by industries due to COVID-19. The study contributes to the literature by identifying gaps to bridge the supply chain practice and reiterating new research directions to develop a cost-effective, survivable and sustainable supply chain.

Details

Journal of Global Operations and Strategic Sourcing, vol. 15 no. 4
Type: Research Article
ISSN: 2398-5364

Keywords

Article
Publication date: 6 August 2019

Morteza Ghobakhloo and Masood Fathi

The purpose of this paper is to demonstrate how small manufacturing firms can leverage their Information Technology (IT) resources to develop the lean-digitized manufacturing…

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Abstract

Purpose

The purpose of this paper is to demonstrate how small manufacturing firms can leverage their Information Technology (IT) resources to develop the lean-digitized manufacturing system that offers sustained competitiveness in the Industry 4.0 era.

Design/methodology/approach

The study performs an in-depth five years case study of a manufacturing firm, and reports its journey from failure in the implementation of enterprise resource planning to its success in integrating IT-based technology trends of Industry 4.0 with the firm’s core capabilities and competencies while pursuing manufacturing digitization.

Findings

Industry 4.0 transition requires the organizational integration of many IT-based modern technologies and the digitization of entire value chains. However, Industry 4.0 transition for smaller manufacturers can begin with digitization of certain areas of operations in support of organizational core strategies. The development of lean-digitized manufacturing system is a viable business strategy for corporate survivability in the Industry 4.0 setting.

Research limitations/implications

Although the implementation of lean-digitized manufacturing system is costly and challenging, this manufacturing strategy offers superior corporate competitiveness in the long run. Since this finding is rather limited to the present case study, assessing the business value of lean-digitized manufacturing system in a larger scale research context would be an interesting avenue for future research.

Practical implications

Industry 4.0 transition for typical manufacturers should commensurate with their organizational, operational and technical particularities. Digitization of certain operations and processes, when aligned with the firm’s core strategies, capabilities and procedures, can offer superior competitiveness even in Industry 4.0 era, meaning that the strategic plan for successful Industry 4.0 transition is idiosyncratic to each particular manufacturer.

Social implications

Manufacturing digitization can have deep social implications as it alters inter- and intra-organizational relationships, causes unemployment among low-skilled workforce, and raises data security and privacy concerns. Manufacturers should take responsibility for their digitization process and steer it in a direction that simultaneously safeguards economic, social and environmental sustainability.

Originality/value

The strategic roadmap devised and employed by the case company for managing its digitization process can better reveal what manufacturing digitization, mandated by Industry 4.0, might require of typical manufacturers, and further enable them to better facilitate their digital transformation process.

Details

Journal of Manufacturing Technology Management, vol. 31 no. 1
Type: Research Article
ISSN: 1741-038X

Keywords

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