Innovation determinants in manufacturing firms

In this paper the findings of an empirical study concerning the innovation determinants in manufacturing firms is presented. The empirical study covers 184 manufacturing firms located in the Northern Marmara region of Turkey. The types of innovation considered here are product, process, marketing and organizational innovations. An extensive literature survey on innovation determinants is provided. A model is proposed to explore the probable effects and the amount of contribution of the innovation determinants to firm’s innovativeness level. Among all possible determinants considered, intellectual capital has the highest impact on innovativeness followed by organization culture

Formal networking and performance in South Africa's ICT industry

A research report submitted to the Faculty of Commerce, Law and Management, University of the Witwatersrand, in partial fulfilment of the requirements for the degree of Master of Management specialising in Entrepreneurship and New Venture Creation Johannesburg, 2017Globally, information communication technologies (ICT) have experienced rapid growth since the 1990’s. In South Africa, information communication technology now accounts for a larger percentage of the Gross Domestic Product than other sectors. Thus, ICT is an important driver of entrepreneurship, employment creation and economic development in SA. As such, one of the critical questions is how to ensure the competitiveness and performance of ICT firms. Entrepreneurship studies argue that the performance of entrepreneurial firms is affected by, amongst other things, the firms’ social capital such as formal networks. This study, therefore, examined the impact of formal networks on firm entrepreneurial performance of ICT firms in SA, paying specific attention to weak ties as well as the moderating role of the environment. The study adopted a positivist paradigm which relied on quantitative data, using a descriptive survey method. Applying probability sampling, a sample of 120 firms were surveyed from an industry database, achieving a 14% response rate. This response rate is adequate for the generalisation of the results (Urban & Sefalafala, 2015). In analysing the data, factor analysis to reduce several variables into latent factors was performed. Thereafter, statistical linear regression modelling was performed using the continuous dependent variable – Firm Entrepreneurial Performance indicated by: Growth in Sales and Market Share, and Profitability; and the continuous independent variable of Formal Networking indicated by: Network Tie Strength and Relationship Quality and Nature sub-constructs. The results demonstrate significant correlation between formal networking and firm entrepreneurial performance as well as weak ties. However, the results indicate no evidence for the moderating role of the environment. At a theoretical level, this shows that formal networking and weak ties are beneficial to ICT firms but the environment is a contingent factor. At a practical level, managers and firm owners should consider joining formal networks that promote weak tie relationships in order to access complementary assets and valuable information. Policy makers and other stakeholders should devise policies and programmes that support entrepreneurial ICT firms to engage in formal networking. The limitations of the study include the following: first, the study was cross sectional and limited to ICT firms on an industry database; second, the control variables did not include firm size. Future research should consider a longitudinal study to test the long-term impact of firm entrepreneurial behaviour as well as firm size to inform firm specific research. More studies should test the moderating role of environment.MT 201

Subsidiary Entrepreneurial Alertness: Antecedents and Outcomes

This thesis brings together concepts from both international business and entrepreneurship to develop a framework of the facilitators of subsidiary innovation and performance. This study proposes that Subsidiary Entrepreneurial Alertness (SEA) facilitates the recognition of opportunities (the origin of subsidiary initiatives). First introduced by Kirzner (1979) in the context of the individual, entrepreneurial alertness (EA) is the ability to notice an opportunity without actively searching. Similarly, to entrepreneurial alertness at the individual level, this study argues that SEA enables the subsidiary to best select opportunities based on resources available. The research further develops our conceptualisation of SEA by drawing on work by Tang et al. (2012) identifying three distinct activities of EA: scanning and search (identifying opportunities unseen by others due to their awareness gaps), association and connection of information, and evaluation and judgement to interpret or anticipate future viability of opportunities. This study then hypothesises that SEA leads to opportunity recognition at the subsidiary level and further hypothesises innovation and performance as outcomes of opportunity recognition. This research brings these arguments together to develop and test a comprehensive theoretical model. The theoretical model is tested through a mail survey of the CEOs/MDs of foreign subsidiaries within the Republic of Ireland (an innovative hub for foreign subsidiaries). This method was selected as the best method to reach the targeted respondent, and due to the depth of knowledge the target respondent holds, the survey can answer the desired question more substantially. The results were examined using partial least squares structural equation modelling (PLS-SEM). The study’s findings confirm two critical aspects of subsidiary context, subsidiary brokerage and subsidiary credibility are positively related to SEA. The study establishes a positive link between SEA and both the generation of innovation and the subsidiary’s performance. This thesis makes three significant contributions to the subsidiary literature as it 1) introduces and develops the concept of SEA, 2) identifies the antecedents of SEA, and 3) demonstrates the impact of SEA on subsidiary opportunity recognition. Implications for subsidiaries, headquarters and policy makers are discussed along with the limitations of the study

The moderating effect of brand orientation on inter-firm market orientation and performance

While prior research has shown that market and brand orientation are key contributors to successful business performance, research to date has not fully explored how inter firm collaboration for these two key orientations can enhance business performance. The purpose of the paper is to investigate the relationship between inter-firm market and performance; to test for the moderating role of brand orientation in that relationship. A total of 169 completed pairs of surveys were collected of small and medium enterprises operating internationally in a variety of industries in Switzerland. The results show that inter-firm market and brand orientation are two antecedents of marketing and financial performance. The impact of inter-firm market on marketing and financial performance is significant when the brand orientation is favorable. This study extends previous research by examining the moderating role of brand orientation on inter firm market orientation, which is important, especially for firms wanting to increase their brand reputation by entering into partnerships with other firms. Further research is indicated, to identify the key moderators of the driving force of inter-firm market in relation to business performance and the reason why maintaining a strong brand presence is important in the international marketplace

The balanced scorecard logic in the management control and reporting of small business company networks: a case study

The purpose of this paper is to assess and integrate the application of the balance scorecard (BSC) logic into business networks identifying functions and use that such performance measuring tool may undertake for SME’s collaborative development. Thus, the paper analyses a successful case study regarding an Italian network of small companies, evaluating how the multidimensional perspective of BSC can support strategic and operational network management as well as communication of financial and extra financial performance to stakeholders. The study consists of a qualitative method, proposing the application of BSC model for business networks from international literature. Several meetings and interviews as well as triangulation with primary and secondary documents have been conducted. The case study allows to recognize how BSC network logic can play a fundamental role on defining network mission, supporting management control as well as measuring and reporting the intangible assets formation along the network development lifecycle. This is the first time application of a BSC integrated framework for business networks composed of SMEs. The case study demonstrates operational value of BSC for SME’s collaborative development and success

The influence of collaboration-oriented organisational capabilities on supply chain competence among small and medium enterprises

Abstract: Orientation: In the contemporary business environment, there is need for firms to strategically interact with partners beyond boundaries, and by collaborating these firms can access resource and technologies beyond their limits. Research purpose: The aim of this study was to investigate the influence of collaborationoriented organisational capabilities (COOC) on supply chain competence among small and medium enterprises (SMEs) in Zimbabwe. Motivation for the study: Small and medium enterprises in Zimbabwe have experienced limited growth, primarily because of their failure to nurture and steer their competencies. The literature suggests that there is value in synchronised cooperative and competitive interactions between firms as such interactions incentivise the pursuit of shared interests. Research design, approach and method: Through a cross-sectional survey, data were collected from 388 SMEs in Zimbabwe, and structural equation modelling was used to analyse the data. Main findings: The study specifically found that there is a positive and significant relationship between collaboration-oriented capabilities and supply chain competence. Practical/managerial implications: The results of this study demonstrate the critical role of organisational capabilities in achieving supply chain competence. The study proves that collaborative capabilities are central to the supply chain success of SMEs, with the possibility of influencing also the firm’s sustainable competitive advantage in line with the dynamic capabilities theory. Contribution/value-add: This study sheds light on the possibility of enhancing the overall supply chain competence of SMEs by establishing and empirically testing the relationships between COOC and supply chain competence

What drives innovativeness in industrial clusters? Transcending the debate

Industrial clusters, Regional agglomerations, Technological learning

Entrepreneurial Orientation and Firm Innovativeness in Manufacturing Small and Medium Enterprises: The Moderating Effect of Environmental Dynamism

In spite of firm innovativeness being identified as essential for firm performance and growth, there exists a dearth of studies that relate entrepreneurial orientation and firm innovativeness in manufacturing small and medium enterprises in Kenya. A cross sectional survey approach was adopted to study this effect. Environmental dynamism as a moderating variable was identified as affecting the relationship between entrepreneurial orientation and firm innovativeness in this model. The unit of analysis was the manufacturing small and medium enterprise firm within Nairobi County, Kenya. Stratified Random Sampling was applied to obtain 363 samples, followed by a series of descriptive and inferential analysis on the collected data. Entrepreneurial orientation was confirmed as having a significant effect on firm innovativeness. It was further confirmed that environmental dynamism had a moderating effect on the relationship between entrepreneurial orientation and firm innovativeness. The study recommends further studies for the construct of innovativeness in small and medium enterprises. It further recommends that active decision-making on the basis of internal and external circumstances are very important for a firm to be innovative. The study also recommends a raft of policy considerations that seek to address the diffusion of innovation across various enterprises segments

Alliance management capability and SMEs’ international expansion : The role of innovation pathways

Although alliance management capability (AMC) has been widely investigated as a firm-level performance driver, it is still unclear whether and how this distinctive type of relational capability can enhance small and medium-sized enterprises (SMEs) internationalization activity. By integrating the alliance capability literature and resource-based view (RBV), as well as using data collected from a sample comprising 248 SMEs in UK manufacturing industries, we address this gap by examining the mechanisms through which SMEs can expand their internationalization via collaboration. We found support for our contention that AMC enhances radical and incremental co-innovation in SMEs, culminating in the international expansion of these firms. Additionally, we reveal the moderating effects of alliance partner diversity on the AMC and co-innovation relationship. The results offer both theoretical and managerial insights, contributing to a better understanding of how SMEs can leverage AMC to drive their global expansion strategies.© 2023 The Author(s). Published by Elsevier Inc. This is an open access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/).fi=vertaisarvioitu|en=peerReviewed