Fostering sustainable logistics businesses: the role of innovation ecosystems and institutional contexts for logistics firms in China

PurposeDrawing on institution embeddedness and the resource-based view, the authors develop a theoretical framework and empirically examine how intra-national innovation ecosystems and environmental institutions impact logistics service providers' (LSPs) technological innovation (TI) and green practices.Design/methodology/approachThe authors test the theoretical framework based on survey data of 328 Chinese LSPs. Archival datasets complement the survey data.FindingsThe research reveals that intra-national institutional forces of formal and informal environment-related institutions can mitigate LSPs' reliance on their firm-specific advantages when engaging in TI and green practices. Results from a three-way interaction indicate that intra-national innovation ecosystems positively moderate the effects of environmental institutions.Research limitations/implicationsThe research has three critical implications. First, the study reveals the contingency role of intra-national environment-related institutions and innovation ecosystems in shaping green logistics. Second, the study finds new results about the roles of informal environmental institutions. Finally, intra-national innovation ecosystems can override environmental institutions in influencing the green practices of LSPs.Originality/valueTaking a unique angle of institution embeddedness coupled with the resource-based view, the authors examined how intra-national ecosystems and environmental institutions impact LSPs' TI and green practices.

Enhancing competitive advantage and financial performance of consumer-goods SMEs in export markets: how do social capital and marketing innovation matter?

PurposeBuilding on the resource-based view (RBV), this study examines the differential roles of internal and external social capital (SC) in enhancing the marketing innovation (MI), competitive advantage and financial performance of Korean small and medium-sized enterprises (SME) in export markets.Design/methodology/approachIn total, 197 valid cases were obtained from Korean manufacturing SMEs in the consumer goods sector. Then, a path analysis was employed to test the proposed hypotheses.FindingsFirst, SME internal SC positively influenced MI, whereas external SC positively influenced foreign distributor's MI (or foreign distributor MI). Second, SME MI was positively associated with foreign distributor MI. Third, no statistical differences were found in the strength of the paths from foreign distributor and SME MI to competitive advantage. Meanwhile, foreign distributor MI positively affected financial performance more than SME MI. Fourth, SME competitive advantage predicted a positive financial performance. Finally, the effect of SME MI on financial performance had an inverted “U” shape.Originality/valueThis study fills a research gap in the MI literature by identifying MI in terms of its actors (SMEs and their foreign distributors) and examining the differential roles of internal and external SC in MI.

Strategic Supplier Selection's Effects on Buyer Competitive Performance in Matching Domains: Is Supplier Integration Effective at Mediating Relationships?

The purpose of this research is to determine whether strategic supplier selection based on supplier capability in new product development, supplier quality, and supplier cost directly or indirectly improves the buyer's competitive performance capabilities in the matched domains of buyer product innovation, buyer quality, and buyer competitive pricing. The resource-based view of the firm is used to frame the direct effects of strategic supplier selection, arguing that a buyer's ability to select a supplier with resources and expertise in a specified domain should improve the buyer's performance capability in the "matched" domain (but not necessarily in "unmatched" domains). Two supplier integration techniques are considered as potential mediators, assuming indirect pathways. The research hypotheses examine both direct and indirect impacts for each of the matched domains, but do not assume cross-domain interactions. For instance, supplier selection for new product development capability should have an effect on buyer product innovation (in matched domains), but not always on buyer quality capability (unmatched domains). While the direct impacts of strategic supplier selection on buyer performance are supported in each matched domain, the indirect effects via supplier integration are not substantial for the matched domains. Strategic supplier selection is identified as a viable source of competitive advantage in the resource-based view. By contrast, supplier development and supplier partnership do not provide additional performance benefits in a particular domain over and beyond those obtained from strategic supplier selection in that domain; rather, it is the type of the resources selected that determines competitive advantage.

Understanding the antecedents of family influence in the family firm

PurposeWhat makes family influence so influential in the family firm? Time and again, research studies point to family influence as a factor that significantly impacts decision-making in the family business, thus highlighting the need to investigate the variables which cause family influence to be so powerful. The purpose of this study is to explore the construct of family influence in the family firm, under an integrative lens that combines insights from Institutional Theory and the Resource-Based View.Design/methodology/approachThe quantitative approach was used using a 35-item survey measuring 6 constructs, where data collection yielded a total of 206 completed surveys included in the data analysis. Data were analyzed using SmartPLS (3.0) and results were appropriately reported.FindingsThe findings of this study propose that the two theoretical perspectives can be useful in explaining how various factors are able to intensify family influence on strategic family firm decisions like internationalization. Specifically, the lack of resources, government support, managerial knowledge and capability in foreign markets represent serious barriers that render the family firm more reliant on and subjected to family influence. Similarly, informal institutions like the fear of failure in foreign markets and uncertainty avoidance often make the family firm more dependent on, and accepting of, family influence.Originality/valueThe path analysis undertaken in this study has empirically depicted how resource-related and institution-based forces can together augment the effects of “family influence,” making it a more powerful and prohibitive factor in the internationalization decision, thus offering an insightful interpretation of these results and valuable practical and theoretical implications.

What Drives Eco-Design Innovations in European SMEs?

Building on the natural-resource-based view, and using a sample of 7,165 European SMEs, this chapter investigates the drivers of eco-design innovations among SMEs under three categories: (1) sustainability-oriented firm capabilities, (2) technological capabilities, and (3) access to finance. The findings reveal that sustainability-oriented capabilities achieved through investments into circular economy are the strongest driver of SMEs' eco-design innovations. Firms' technological capabilities are also found to boost their ability to adopt eco-design innovations. While equity finance increases the possibilities for SMEs to devote resources to eco-design, grant finance is interestingly observed to decrease such possibilities. The more traditionally used form of debt finance remains detached from eco-design implementations. The study contributes to a better understanding of how eco-design practices can be broadened within SMEs and highlights policy recommendations in this regard.

Digital Value Innovation and Strategic Management Practices of Adyar Ananda Bhavan

This case focuses on the strategic management practices of Adyar Ananda Bhavan (prevalently known as A2B), a quickly developing contemporary sweet chain of Chennai in South India that is currently proclaiming a target of 900 crores turnover from 2021 onwards with 8,000 employees. The case has a close theoretical association with the famous strategic management models, for instance Michael E. Porter's model, Ansoff Matrix, Blue Ocean Strategy, Balanced Scorecard, and Resource-Based View and explains how an organization can strategically grow its business through digital value-based innovation. Contending sources of data, for example print and electronic media, have been utilized to accumulate and report raw facts and figures. The authors analyzed based on insights gained from various academicians from different universities across India, some mid-level managers from industry, and some unofficial conversations with A2B staff in Bangalore. This case is planned to be utilized in the strategic management subject for both undergraduate and postgraduate courses.

Socially Responsible Value Creation in the Post-COVID-19 Era

The unfortunate economic environment emanated from the outbreak of the coronavirus has suddenly raised business organizations' concerns over the value creation. This new era forced them to focus on dynamic and digital capabilities to cope with the adverse changes. Following the stakeholder theory and the resource-based view, this chapter attempts to specify value creation of companies to preserve strategic position while satisfying the demands and interests of their stakeholders. In this sense, corporate social responsibility (CSR) seems a viable way of providing help and support to stakeholders during the fight against the pandemic as well as a catalyzer for the integration of sustainable development goals that can bridge the widened gap in the society. Hence, this chapter seeks to present an understanding on socially responsible value creation, dynamic and digital capabilities, and implementation of sustainability-driven CSR initiatives to ensure recovery, growth, and achieve sustainable development goals.

Drucker and Porter on Management and Analysis

The work of Drucker is reviewed with particular regard to comments about the role of management and the approach Drucker suggests concerning determining the focus of the business. These statements are evaluated for their relationship to the business model and its importance in business analysis. The work of Porter is reviewed concerning competitive advantage and the suggestions regarding business analysis and the detailed information sources. The concept of analysing the linkages between resources across the organization and the supply chain is reviewed. The relationship between the resource-based view of competitive advantage and the connection to the VRIO framework is considered. The suggestions Porter makes concerning the industry analysis and within industry analysis are reviewed. The possibility of using the same approach and developing similar related questions to analyse the organization is considered.