From Marshall’s Triad to Porter’s Diamond: added value?

Author(s):  
Stephen Brosnan ◽  
Eleanor Doyle ◽  
Sean O’Connor

Purpose The purpose of this paper is to offer clarity on a central concept introduced in Porter’s The Competitive Advantage of Nations, i.e. the cluster. The authors situate the concept introduced by Porter (1990) relative to two of its antecedents, the industrial district and industrial complex. Placing the cluster in a historical context permits consideration of the extent to which it, as a concept for analysis, may be differentiated from other geography-based approaches to economic phenomena. In this way, this paper examines the added value of the cluster concept derived from economic factors. Design/methodology/approach The paper provides a detailed literature review tracing the evolution of theories of location and agglomeration into which Porter’s cluster fits. The evolution of Porter’s own conceptualisation of the cluster and how this relates to theoretical clarity surrounding the concept is explored. Comparative analysis of theories of location, agglomeration and clustering is provided to identify similarities and differences across the approaches and identify the added value of the cluster concept in relation to other approaches. Findings Clustering represents a process associated with spatial organisational form which may offer advantages in efficiency, effectiveness and flexibility. Cluster benefits can be appreciated through the lens of Young’s (1928) identified sources of increasing returns. A key aspect in clustering is revealed in terms of its role in enabling four sources of increasing returns. The authors outline how these sources of increasing returns are related to “soft” processes of networking, interaction and individual and collective learning. Porter’s Diamond is a self-reinforcing system which can permit increasing returns and reinforce such tendencies of economic activity within agglomerations. Originality/value Added value from Porter’s cluster concept is identified in the context of both its locational anchoring and in terms of its potential for understanding the role of exploitation of increasing returns for development. This points to the importance of focusing on clustering as a process rather than on cluster within typologies of organisational form. This implies that the nature of relationships (and how they change) within and across markets, institutions and actors lies at the heart of clustering because of their roles in knowledge-generation, including innovation, knowledge sharing and upgrading.

2016 ◽  
Vol 24 (2) ◽  
pp. 123-143 ◽  
Author(s):  
Pornlapas Suwannarat

Purpose This paper aims to study the direct and indirect influence of three important intangible resources: export knowledge, negotiation skills and specialisation and trustworthiness on export intermediary performance via the competence to reduce clients’ transaction costs. Design/methodology/approach The study has been provided with the official database of export intermediary firms by the Department of Export Promotion, Ministry of Commerce, Thailand. The samples of 400 export intermediary firms were identified from the 1,486 population firms. The postal questionnaires were sent to sample firms. Ordinary least square regression analysis has been adopted to test the hypotheses of the study. Findings The results indicate that valuable resources of export knowledge, negotiation skills and specialisation and trustworthiness significantly and positively affect both export intermediary performance and the competence to reduce clients’ transaction costs. The competence to reduce clients’ transaction costs partially mediates the relationship between resources and export intermediary performance. Research limitations/implications A “cost-based” perspective needs to be supplemented in future research with a more behavioural approach. Practical implications Export intermediaries must be able to deliver “true added value” to remain a viable organisational form, hence, the intermediaries need ceaselessly to acquire, utilise and develop resources and capabilities in reducing clients’ export-related transaction costs. Social implications From a public policy perspective, gaining more knowledge about the role of export intermediaries can greatly facilitate the export promotion efforts in which most nations’ governments are involved. Originality/value This study is a first attempt to study the mediating effect of the competence to reduce transaction costs, which mediates the relationship between resources and performance of export intermediary.


2019 ◽  
Vol 1 (1) ◽  
pp. 121-131
Author(s):  
Ali Fauzi

The existence of big data of Indonesian FDI (foreign direct investment)/ CDI (capital direct investment) has not been exploited somehow to give further ideas and decision making basis. Example of data exploitation by data mining techniques are for clustering/labeling using K-Mean and classification/prediction using Naïve Bayesian of such DCI categories. One of DCI form is the ‘Quick-Wins’, a.k.a. ‘Low-Hanging-Fruits’ Direct Capital Investment (DCI), or named shortly as QWDI. Despite its mentioned unfavorable factors, i.e. exploitation of natural resources, low added-value creation, low skill-low wages employment, environmental impacts, etc., QWDI , to have great contribution for quick and high job creation, export market penetration and advancement of technology potential. By using some basic data mining techniques as complements to usual statistical/query analysis, or analysis by similar studies or researches, this study has been intended to enable government planners, starting-up companies or financial institutions for further CDI development. The idea of business intelligence orientation and knowledge generation scenarios is also one of precious basis. At its turn, Information and Communication Technology (ICT)’s enablement will have strategic role for Indonesian enterprises growth and as a fundamental for ‘knowledge based economy’ in Indonesia.


2017 ◽  
Vol 45 (12) ◽  
pp. 1298-1316 ◽  
Author(s):  
Magali Jara ◽  
Gérard Cliquet ◽  
Isabelle Robert

Purpose The purpose of this paper is to tackle the issue of store brand equity by considering two store brand’s positioning strategies: those with high perceived added value (the organic store brands), as opposed to economic brands. It takes place in the current environmental considerations showing the important role played by the packaging in determining the store brand equity. Design/methodology/approach A PLS Path model divided into four sub-models enables the authors to make specific predictions about customers’ purchase intentions. It also provides a concise operational calculation of the brand equity of each studied store brand. Findings Results show that economic brands build their equity with reinforced packaging, and organic brands maximise their brand equity by using simple packaging. In general, reinforced packaging improves the perceived quality of economic store brands but destroys that of organic brands. The calculations of overall equity scores for each studied store brand reveal that economic brands could benefit from further development whilst organic brands already maximise their equity. Practical implications Results will enable large retailers to develop effective campaigns focussing on perceived quality and more specifically by designing packaging that are suitable for the positioning of their brands – a simple packaging for organic brands and a reinforced packaging for economic brands to maximise customers’ value. Originality/value This is one of the first studies to deepen the store brand equity, comparing two contrasting types of brands, by studying specifically variations of the levels of customers’ perceived quality depending of two types of packaging.


2014 ◽  
Vol 5 (3) ◽  
pp. 247-262 ◽  
Author(s):  
Stephen Henderson ◽  
James Musgrave

Purpose – To translate theory into a practical tool, the purpose of this paper is to provide a conceptual framework for the development of social marketing strategies to modify event attendee behaviour in a sustainable direction. Design/methodology/approach – Consumer value is synthesised with social marketing and consumer behaviour theory to develop the framework. A major problem for festivals (throwaway tents) and current pro-environmental practices are used to determine the framework's applicability. Findings – The conceptual framework suggests that achieving desired behaviour(s) within an audience requires consideration of the added value at the downstream level, strategies that recognise offsite/onsite behaviour settings, engagement of upstream advocacy and more attention to the evaluation of success. Research limitations/implications – A single low-involvement behaviour example is used to validate the conceptual framework suggesting further work is needed to widen tests of its applicability. Originality/value – This paper synthesises theory into a framework that has significant potential as a tool to develop behavioural change strategies at events.


2017 ◽  
Vol 11 (1) ◽  
pp. 2-15 ◽  
Author(s):  
René Michel ◽  
Igor Schnakenburg ◽  
Tobias von Martens

Purpose This paper aims to address the effective selection of customers for direct marketing campaigns. It introduces a new method to forecast campaign-related uplifts (also known as incremental response modeling or net scoring). By means of these uplifts, only the most responsive customers are targeted by a campaign. This paper also aims at calculating the financial impact of the new approach compared to the classical (gross) scoring methods. Design/methodology/approach First, gross and net scoring approaches to customer selection for direct marketing campaigns are compared. After that, it is shown how net scoring can be applied in practice with regard to different strategical objectives. Then, a new statistic for net scoring based on decision trees is developed. Finally, a business case based on real data from the financial sector is calculated to compare gross and net scoring approaches. Findings Whereas gross scoring focuses on customers with a high probability of purchase, regardless of being targeted by a campaign, net scoring identifies those customers who are most responsive to campaigns. A common scoring procedure – decision trees – can be enhanced by the new statistic to forecast those campaign-related uplifts. The business case shows that the selected scoring method has a relevant impact on economical indicators. Practical implications The contribution of net scoring to campaign effectiveness and efficiency is shown by the business case. Furthermore, this paper suggests a framework for customer selection, given strategical objectives, e.g. minimizing costs or maximizing (gross or lift)-added value, and presents a new statistic that can be applied to common scoring procedures. Originality/value Despite its lever on the effectiveness of marketing campaigns, only few contributions address net scores up to now. The new χ2-statistic is a straightforward approach to the enhancement of decision trees for net scoring. Furthermore, this paper is the first to the application of net scoring with regard to different strategical objectives.


2017 ◽  
Vol 5 (42) ◽  
Author(s):  
Matthew J. Sullivan ◽  
Brian M. Forde ◽  
Darren W. Prince ◽  
Deepak S. Ipe ◽  
Nouri L. Ben Zakour ◽  
...  

ABSTRACT Here we report the complete genome sequence of Streptococcus agalactiae strain 874391. This serotype III isolate is a member of the hypervirulent sequence type 17 (ST-17) lineage that causes a disproportionate number of cases of invasive disease in humans and mammals. A brief historical context of the strain is discussed.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Frank Bodendorf ◽  
Manuel Lutz ◽  
Stefan Michelberger ◽  
Joerg Franke

Purpose Cost transparency is of central importance to reach a consensus between supply chain partners. The purpose of this paper is to contribute to the instrument of cost analysis which supports the link between buyers and suppliers. Design/methodology/approach Based on a detailed literature review in the area of cost analysis and purchasing, intelligent decision support systems for cost estimation are identified. Subsequently, expert interviews are conducted to determine the application possibilities for managers. The application potential is derived from the synthesis of motivation, identified applications and challenges in the industry. Management recommendations are to be derived by bringing together scientific and practical approaches in the industry. Findings On the one hand, the results of this study show that machine learning (ML) is a complex technology that poses many challenges for cost and purchasing managers. On the other hand, ML methods, especially in combination with expert knowledge and other analytical methods, offer immense added value for cost analysis in purchasing. Originality/value Digital transformation allows to facilitate the cost calculation process in purchasing decisions. In this context, the application of ML approaches has gained increased attention. While such approaches can lead to high cost reductions on the side of both suppliers and buyers, an intelligent cost analysis is very demanding.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jorge Armando López-Lemus

Purpose The purpose of this paper is to identify the influence exerted by a quality management system (QMS) under ISO 9001: 2015 on the quality of public services organizations in Mexico. Design/methodology/approach The methodological design was quantitative, explanatory, observational and transversal, for which a sample of 461 public servants from the state of Guanajuato, Mexico was obtained. To test the hypotheses, a structural equation model (SEM) was developed through the statistical software Amos v.21. For the analysis of the data, software SPSS v.21 was used. Regarding the goodness and adjustment indices of the SEM (χ2 = 720.09, df = 320, CFI = 0.933, TLI = 0.926 and RMSEA = 0.05) which, therefore, proved to be acceptable. Findings According to the results obtained through the SEM model, the QMS under ISO 9001: 2015 is positively and significantly influenced tangible aspects (β1 = 0.79, p < 0.01), reliability (β2 = 0.90, p < 0.01), related to response quality (β3 = 0.93, p < 0.01), guarantees (β4 = 0.91, p < 0.01) and empathy (β5 = 0.88, p < 0.01) of the quality related to public services in Mexico. The study’s key contribution is that it discovered that implementing a QMS in accordance with the ISO 9001: 2015 standard has an impact on the quality of public services, with the most influential quality of response. Similarly, the assurance and dependability of service quality turned out to be important in providing public service quality. Research limitations/implications In this paper, the QMS was only evaluated as a variable that intervenes in the process of obtaining quality in public service under the ISO 9001 standard in its 2015 version. In this regard, the results’ trustworthiness is limited to the extent that the findings may be generalized in the state of Guanajuato, Mexico’s public service. As a result, the scientific community is left primarily focused on service quality to promote new future research. Practical implications The ISO 9001: 2015 standard’s QMS is one of the tools for success in both the commercial and government sectors. However, there are practical limitations, which focus on the time during which managers exercise their vision in the public sector: first, the dynamics that managers play in public policy; second, the length of time they have served in public office; and third, the interest of directors of public institutions to improve the quality of service provided by the government. Other practical consequences concern organizational culture and identity, public servant commitment, senior management or secretaries of government, as well as work and training. Originality/value The findings of this paper are important and valuable because they foster knowledge generation in the public sector through the ISO 9000 quality area. A model that permits the adoption and implementation of a QMS based on the ISO 9001: 2015 standard in public organizations that seek to provide quality in their services offered to the user is also presented to the literature. Similarly, the paper is important because there is currently insufficient research focusing on the variables examined in the context of public service in Mexico.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Pericles Ramón Mejía-Vásquez ◽  
Roberto Sánchez-Gómez ◽  
Sheila Serafim da Silva ◽  
Luis Vázquez-Suárez

PurposeThis research seeks to discover how the organisational form (franchising vs vertical integration) of 384 fashion stores belonging to a Spanish franchise chain influences unit-level performance measured through three key indicators commonly used in the retail literature: sales per square metre, sales per employee and service quality scores.Design/methodology/approachThe authors have analysed this research question using bivariate and multivariate analyses, with a panel dataset that includes quarterly establishment-level data covering the period from January 2018 to December 2019.FindingsThe aggregated data initially reveal weaker outcomes among franchised establishments. However, after controlling for other variables related to the fashion stores and their local markets, the authors have found that franchised establishments record higher sales both per square metre and per employee than vertically integrated stores. The findings also reveal that franchised establishments record lower service quality scores than their company-owned counterparts.Originality/valueNothing has been published on the differences between franchising and company ownership in terms of establishment-level performance in fashion retailing.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Rodrigo Valio Dominguez Gonzalez

Purpose This study aims to investigate the relationship between knowledge-based dynamic capability and organizational structure on team innovative performance in Brazilian industrial companies. Design/methodology/approach This study is based on data from a survey of 262 respondents from 65 companies in the Brazilian industrial sector with project teams and followed the partial least squares approach to model the structural equation that was used for data analysis. Findings The results of the study show that mechanical structures with a high degree of formalization and centralization have a negative impact on knowledge-based dynamic capability and integration has a positive relationship with dynamic capability. Moreover, the research shows that project team innovative performance is directly affected by knowledge generation and combination capability; however, knowledge acquisition/absorption does not interfere with project team innovative activity. Practical implications This study contributes to the managers of firms in the industrial sector by analyzing how the characteristics of organizational structure impact dynamic capability and project team innovative performance. The results of this study indicate that more mechanical structures have more difficulty in developing knowledge-based dynamic capability in the context of project teams. Originality/value This study advances the concept of knowledge-based dynamic capability from the firm level to the project team level. This study accesses a research gap that characterizes organizational structure as an antecedent of dynamic capability, analyzing the impact of organizational structure on the dimensions of dynamic capability and of the latter on project team innovative performance.


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