“Marketing and flexibility”: debates past, present and futureIan Combe
doi: 10.1108/03090561211248116pmid: N/A
Purpose – The purpose of this paper is to outline the articles presented in the Special Issue on the topic of “Marketing and flexibility”, and to discuss key issues associated with major debates relating to flexibility in order to position the articles within a wider context and highlight some key issues for further research. Design/methodology/approach – Themes in prior research relating to “Marketing and flexibility” are documented and the growth of research interest into strategic flexibility is tabulated. The contributions of each article are briefly discussed. Findings – There has been a steady growth of research interest into flexibility. To provide an example of this growth, the increase in the number of articles published on the topic of strategic flexibility in scholarly journals is highlighted over a 20‐year period. Key issues in prior research such as alternative definitions and the different postulated relationships between market orientation and strategic flexibility are revealed, as are issues for future research. Originality/value – Key issues relating to research into flexibility for marketing scholars are revealed.
Coping with unpredictable supply: the role of flexibility and adaptationBent Dreyer; Kjell Grønhaug
doi: 10.1108/03090561211248026pmid: N/A
Purpose – This paper aims to address how firms cope when input due to primary uncertainty is unpredictable, and thus timely and adequate supply to customers are impossible to guarantee. Design/methodology/approach – Two sets of data are applied to capture uncertainties, flexibilities and adaption strategies amongst suppliers and producers respectively. Findings – The findings show that flexibility is a prerequisite to cope when faced with unpredictable supply. Flexibility comes in many forms. They are partly firm‐specific and can be conceived as a valuable resource. Research limitations/implications – The present study is limited to one industry only. Practical implications – Unpredictability imposes the need for adaptations, which requires flexibility. However, adjustment to the new landscape is a prerequisite to succeed. Originality/value – This paper offers insight on how firms cope when needed input to operate is unpredictable, i.e. an almost neglected topic in the marketing literature, where adequate supply in most cases is seen as unproblematic.
Co‐creation of meaning as a prerequisite for market‐focused strategic flexibilityCatharina Gylling; Richard Elliott; Marja Toivonen
doi: 10.1108/03090561211248035pmid: N/A
Purpose – In this paper the authors aim to introduce the perspective of shared meanings as a prerequisite for the formation of market‐focused strategic flexibility. Design/methodology/approach – The authors apply the ideas of co‐creation of meaning, which derive from research into the narrative process of strategy and the practice turn of strategy. The authors' view is illustrated with a case example from a Finnish property rental company. Using action research methodology, data were collected through interviews and workshops from the company, from its clients and from its subcontractors. Findings – The case presented here shows that the lack of common understanding may lead to poor service quality even though the provider aims at meeting clients' needs. On the other hand, the results confirm that developing a shared understanding is possible in business practice. A common lexicon and the conscious use of human narrative capability facilitate the achievement of this goal. Research limitations/implications – Since the empirical results are based on one case, the possibility for generalisations is limited. However, the study highlights important aspects of strategic flexibility that are worthy of further research. Practical implications – The study shows that flexible market orientation needs shared meanings between all the relevant actors in a service chain. The study also suggests some ideas on how the co‐creation of meaning can be promoted in practice. Originality/value – Linking the perspectives of co‐creation of meaning and market‐focused strategic flexibility is a new approach. The paper illustrates these topics in a subcontracting chain, whereas earlier studies have usually focused on companies.
Acquiring market flexibility via niche portfolios The case of Fisher & Paykel Appliance Holdings LtdRobert Hamlin; James Henry; Ron Cuthbert
doi: 10.1108/03090561211248044pmid: N/A
Purpose – This paper seeks to establish that the instability of niche markets, and their predisposition to catastrophic collapse, makes market flexibility a prerequisite for long‐term survival among niche marketers. It describes the two ways by which a niche marketer can acquire this market flexibility and demonstrates the advantages of the second of these two approaches, i.e. the development of a portfolio of separated niches. Design/methodology/approach – An in‐depth discussion of niche instability/implosion, and how niche market flexibility can be acquired to increase the survivability of such events, provides the context for a single in‐depth case study of a company employing a systematic niche market flexibility approach. A multi‐method approach was adopted drawing on both interviews and documentary evidence. Findings – Planning for flexibility is essential for long‐term survival as a niche marketer. Two broad approaches to achieve this exist – i.e. contingency and portfolio planning – which are not mutually exclusive. The portfolio approach offers specific advantages and examples of its successful applications exist. Research limitations/implications – This is a single case study. Practical implications – The article has significant implications for practice, as fragmentation of markets and globalisation of production makes niche marketing desirable/essential for many players. Originality/value – The area of planning for flexibility using a niche portfolio marketing strategy is under‐researched at present.
Antecedents to strategic flexibility Management cognition, firm resources and strategic optionsIan A. Combe; John M. Rudd; Peter S.H. Leeflang; Gordon E. Greenley
doi: 10.1108/03090561211248053pmid: N/A
Purpose – Current conceptualisations of strategic flexibility and its antecedents are theory‐driven, which has resulted in a lack of consensus. To summarise this domain the paper aims to develop and present an a priori conceptual model of the antecedents and outcomes of strategic flexibility. Discussion and insights into the conceptual model, and the relationships specified, are made through a novel qualitative empirical approach. The implications for further research and a framework for further theoretical development are presented. Design/methodology/approach – An exploratory qualitative research design is used applying multiple data collection techniques in a branch network of a large regional retailer in the UK. The development of strategic options and the complex relationship to strategic flexibility is investigated. Findings – The number and type of strategic options developed by managers impact on the degree of strategic flexibility and also on the ability of the firm to achieve competitive differentiation. Additionally, the type of strategic option implemented by managers is dependent on the competitive situation faced at a local level. Evidence of managers' limited perception of competition was identified based on their spatial embeddedness. Research limitations/implications – A single, in‐depth case study was used. The data gathered is rich and appropriate for the exploratory approach adopted here. However, generalisability of the findings is limited. Practical implications – Strategic flexibility is rooted in the ability of front‐line mangers to develop and implement strategic options; this in turn facilitates competitive differentiation. Originality/value – The research presented is unique in this domain on two accounts. First, theory is developed by presenting an a priori conceptual model, and testing through in‐depth qualitative data gathering. Second, insights into strategic flexibility are presented through an examination of managerial cognition, resources and strategic option generation using cognitive mapping and laddering technique.
Flexible business modelsKaty Mason; Stefanos Mouzas
doi: 10.1108/03090561211248062pmid: N/A
Purpose – The aim in this paper is to describe and explain the flexibility offered by different business models adopted by different firms as they strive to achieve higher levels of business performance. Design/methodology/approach – Cross‐sectional research is used to investigate a matched pair sample of 20 high‐performing and 20 low‐performing firms in the UK. The relationship between business model architectures and focus are examined and their implications for flexibility are illustrated and discussed. Findings – The flexibility offered by different business models is explored through the way organisations select and integrate three inter‐related elements to devise flexible business models, i.e. network influence, transactional relationships, and corporate ownership. Affected by situated practices in each business network and the market position or business size, companies select and integrate various configurations of these elements to respond to the constantly evolving demands of end‐customers. Research limitations/implications – Although based upon a cross‐sectional analysis of a matched pair sample, the concept of “flexible business models” has far wider managerial implications. The efficiency of the proposed approach is achieved through the reduction into three inter‐related elements that allow flexible configuration and re‐adjustment. Practical implications – Companies can use the flexible business model approach to examine their own selection and integration of network influence, transactional relationships and corporate ownership and scrutinise their flexibility and performance in the marketplace. Originality/value – The contribution of this paper is the development of the flexible business models concept, based on an empirical investigation of firms in the UK.
Strategic flexibility in open innovation – designing business models for open source softwareRisto Rajala; Mika Westerlund; Kristian Möller
doi: 10.1108/03090561211248071pmid: N/A
Purpose – This paper seeks to explore how market orientation facilitates the strategic flexibility of business models grounded in open innovation. The authors suggest that the new paradigm of open innovation may impact a firm's adaptability and responsiveness under conditions of environmental flux. However, extending innovation capacity by opening the innovation process poses major challenges for firms. The aims of this study are to explore the characteristics of open innovation activity and to contemplate the role of strategic flexibility in the design of business models based upon open innovation. Design/methodology/approach – The study draws upon a qualitative research approach through a longitudinal case study in the field of open source software (OSS). The empirical case illustrates how an OSS firm utilizes signals in its environment to flexibly alter its business model. Findings – A business model that embodies open innovation raises dilemmas between open and closed innovation paradigms. However, the authors' case highlights that an ambidextrous approach that combines market orientation with the principles of open innovation increases profitability, shortens time to market through effective market access, and enhances innovation capability. Research limitations/implications – The results have profound implications for industrial marketers, managers, management consultants and business educators. They can use the insights gleaned from this research to guide the development of business models that involve open innovation. The results indicate that firms involved in open innovation need reactive strategic flexibility to cope with the environmental diversity and variability. However, this study analyzes a single case in the field of OSS and one should be cautious when generalizing the findings. Originality/value – This paper improves the understanding of the relationship between flexibility and market orientation. It combines two areas that have previously been discussed separately, i.e. market orientation and open innovation.
Pursuing “flexible commitment” as strategic ambidexterity An empirical justification in high technology firmsYiannis Kouropalatis; Paul Hughes; Robert E. Morgan
doi: 10.1108/03090561211248099pmid: N/A
Purpose – Firms face high velocity conditions today that render product market strategies increasingly temporal. Strategic flexibility is critical for enabling rapid adaptation to a changing environment. At the same time, managerial commitment to product‐market strategy signifies the extent to which a manager comprehends and supports the strategy and reflects a necessary sense of ownership for any chosen product‐market strategy. The purpose of this paper, then, is to examine strategically ambidextrous firms through the twin lenses of flexibility and commitment to determine whether performance benefits accrue from such characteristics. Design/methodology/approach – While traditional research streams examine strategic flexibility and commitment to product‐market strategy as opposing ends of a continuum, this paper adopts a broader perspective and examines strategic flexibility and commitment to product‐market strategy as elements of strategically ambidextrous firms. Cluster analysis is used to identify groups of high and low strategically ambidextrous firms. Findings – Strategically ambidextrous firms exhibit commitment to product‐market strategy, which enables the effective realisation of selected strategies through focusing managerial attention and firm resources, and strategic flexibility, which enables adaptation of the planned product‐market strategy based on feedback received, or abandonment followed by new strategic choices and impetus. The paper reveals that firms with high strategic ambidexterity exhibit significantly greater levels of strategic resources, decentralisation, product‐market strategy process effectiveness, and implementation effectiveness compared with low ambidexterity firms. Thus, strategic ambidexterity is revealed to endow significant performance benefits. Originality/value – This paper addresses the need to examine ambidexterity as “flexible commitment”.
Strategic flexibilities and export performance The moderating roles of export market‐oriented behavior and the export environmentJohn W. Cadogan; Sanna Sundqvist; Kaisu Puumalainen; Risto T. Salminen
doi: 10.1108/03090561211248107pmid: N/A
Purpose – The study aims to develop and test a model of export performance, focusing on the degree to which firms have different types of export flexibility and the degree to which firms adopt market‐oriented behavior in their export operations (i.e. their degree of export market‐oriented (EMO) behavior). Furthermore, the study seeks to examine the moderating roles that EMO behavior and export environment play with respect to the relationships between export flexibility dimensions and export performance. Design/methodology/approach – The model is tested on a sample of 783 exporting firms. Data were collected via mail survey. Analysis was undertaken using structural equation modeling. Findings – EMO behavior moderates the relationship between export flexibility and export sales performance. However, EMO behavior's moderating role differs depending on (a) the source of the export flexibility, and (b) the environmental conditions the firms face. Increasing levels of EMO behavior are associated with increased export sales performance under all conditions studied. Research limitations/implications – Reliance on cross‐sectional data may limit generalizability, as may the reliance on single country data. Additional sources of export flexibility should be modeled, as should more complex models of the export environment. Practical implications – The findings identify several situations when EMO behavior is most beneficial and others where it is beneficial (but less so). Similarly, the results pinpoint situations where greater levels of export flexibility are a necessity. Managers should look to exploit this knowledge by enhancing EMO behavior and export flexibility. Originality/value – This study is one of the very few that explicitly identifies export flexibility as a source of competitive advantage in the exporting literature. It is also the first study to suggest that EMO behavior's ability to shape export success is determined in part by other factors internal to the firm (e.g. export flexibility), as well as factors external to the firm (environment).