Environmental proactivity and firms' performance: Mediation effect of competitive advantages in Spanish wineries

The main aim of this paper is to show the extent to which environmental proactivity is able to generate competitive advantages in a firm in order to improve their economic-financial performance by introducing the role of managerial perception into the analysis. This study focuses on Spanish wineries and their environmental practices and covers a total of 4598 wineries with a sample of 142 valid responses during the month of November 2015. The results can be summarized as follows. Firstly, there is positive environmental proactivity in terms of obtaining both cost-based and differentiation-based competitive advantages. Likewise, this proactivity has a positive impact on the manager’s perception of performance. Secondly, obtaining differentiation-based competitive advantages has a positive impact on the manager’s perception of performance although a negative impact on performance itself. There is, however, no significant evidence of the impact of cost-based competitive advantages on financial performance nor on the perception of performance itself, nor the impact of environmental proactivity on financial performance

Environmental proactivity and firms' performance: Mediation effect of competitive advantages in Spanish wineries

The main aim of this paper is to show the extent to which environmental proactivity is able to generate competitive advantages in a firm in order to improve their economic-financial performance by introducing the role of managerial perception into the analysis. This study focuses on Spanish wineries and their environmental practices and covers a total of 4598 wineries with a sample of 142 valid responses during the month of November 2015. The results can be summarized as follows. Firstly, there is positive environmental proactivity in terms of obtaining both cost-based and differentiation-based competitive advantages. Likewise, this proactivity has a positive impact on the manager’s perception of performance. Secondly, obtaining differentiation-based competitive advantages has a positive impact on the manager’s perception of performance although a negative impact on performance itself. There is, however, no significant evidence of the impact of cost-based competitive advantages on financial performance nor on the perception of performance itself, nor the impact of environmental proactivity on financial performance

The development of competitive advantage through sustainable event management

Purpose: Whilst the debate rages between progressive and destructive considerations of economic development, this paper aims to develop thinking around the sustainable event and its contribution to competitive advantage. Design/methodology/approach: The paper defines the sustainable event and considers different position that might be adopted by private and public sector organisations when addressing the triple bottom line of sustainable development. Findings: Cost leadership strategies are unlikely to work and the event organiser must address competitive advantage via differentiation and focus strategies. Practical implications: Event managers must gain a better understanding of the motivations of their audience in relation to sustainability and work towards clearer means to demonstrate that their event meets these sustainable development needs. Originality/value: The intention being that if event organisers can see a competitive advantage in the sustainable event, their contribution to sustainable development will be increased. © Emerald Group Publishing Limited

The Sustainability Practices and Its Effect on Financial Leakages of Star Classified Hotels in Ethiopia

The purpose of this study was to test the effects of sustainability practice on financial leakage. Furthermore, it has aimed at to investigate the effect of the reduction of financial leakage on competitive advantage of star classified hotels from managers’ perspective. A quantitative and cross-sectional approach was applied. Data were  collected  from  all 242 star  classified  hotel  &  resorts  using  a  survey  questionnaire. To this end, after addressing data screening issues 201 of observations were left for this research analyses. CFA  and  SEM  were  applied  to  validate  and to test  the  structural  model respectively. The major findings were the higher sustainability practices of these star classified hotels could not more likely to reduced financial leakage of the studied star classified hotel in Ethiopia. Albeit, this research has brought a valuable insight on dimensions of financial leakage in star classified hotels/resorts has offered and the degree of sustainability practices and its implication for the reduction of financial leakage of star classified hotels in the country. Therefore, hotels in Ethiopia should give due attention for a better sustainability practices implementation so that financial leakage reduced greatly and finally competitiveness of these hotels enhanced. Keywords: sustainability, financial leakage, competitive advantage DOI: 10.7176/RJFA/12-3-05 Publication date: February 28th 202

An evolutionary stage model of outsourcing and competence destruction : a Triad comparison of the consumer electronics industry

Outsourcing has gained much prominence in managerial practice and academic discussions in the last two decades or so. Yet, we still do not understand the full implications of outsourcing strategy for corporate performance. Traditionally outsourcing across borders is explained as a cost-cutting exercise, but more recently the core competency argument states that outsourcing also leads to an increased focus, thereby improving effectiveness. However, no general explanation has so far been provided for how outsourcing could lead to deterioration in a firm‟s competence base. We longitudinally analyze three cases of major consumer electronics manufacturers, Emerson Radio from the U.S., Japan‟s Sony and Philips from the Netherlands to understand the dynamic process related to their sourcing strategies. We develop an evolutionary stage model that relates outsourcing to competence development inside the firm and shows that a vicious cycle may emerge. Thus it is appropriate to look not only at how outsourcing is influenced by an organization‟s current set of competences, but also how it alters that set over time. The four stages of the model are offshore sourcing, phasing out, increasing dependence on foreign suppliers, and finally industry exit or outsourcing reduction. The evolutionary stage model helps managers understand for which activities and under which conditions outsourcing across borders is not a viable option. Results suggest that each of these firms had faced a loss of manufacturing competitiveness in its home country, to which it responded by offshoring and then outsourcing production. When a loss of competences occurred, some outsourcing decisions were reversed

GREEN BUSINESS- Way to achieve globally sustainable competitive advantage

Green business” refers to sustainable business that meets customers’ needs in ways that solve rather than cause environmental and social problems. Green businesses operate across all business sectors from production of conventional goods/services to developing new breakthrough technologies. This model of socially and environmentally responsible business does not assume sacrificing of corporate profits. On the contrary, sustainable businesses show financial success in long-run, benefit many stakeholders while exploiting none. This paper explores the tremendous impact the green movement is having on marketing and business strategies. It explores the possibilities that green technologies and products have on sustainable competitive advantage in the competitive environment. This paper takes an active approach and proposes to turn business green. Potential benefits of such an action are provided as arguments to support the decision. In this paper, three factors were identified as crucial for achieving a so-called green sustainable competitive advantage: entrepreneurship, commitment to the environment, and corporate social responsibility. As the competitive arena is constantly being shifted by institutions towards ecology through new regulation, utilization of those resources enables firms to better respond to the changes and gain a favorable position in the market. Green business also provides an opportunity to expand through substituting products or by entering new geographical areas