Journal of Strategy and Management

Saha, Krishnendu; Malesios, Chrisovaladis; Chowdhury, Soumyadeb; Dey, Prasanta Kumar

2023 Journal of Strategy and Management

doi: 10.1108/jsma-07-2021-0155

There is a critical gap in assessing how institutional voids affect SMEs' growth, investment commitment and reputation. The purpose of this paper is to explain how institutional void affects these three dimensions of SME performance; and to develop an institutional void-SME performance framework that can be applied for strategising, resourcing and competency acquisition for better performance.Design/methodology/approachThe study used the Enterprise Survey Data of the World Bank, consisting of 118,763 firms from 140 countries. The structural equation modelling (SEM) is used to analyse the data, validate our analytical model and investigate the imposed theoretical claims of causality as indicated by specific research questions through correlation/covariation between the constructs of institutional void and SME performance.FindingsEvidence suggests that there is a strong positive correlation between formal institutional infrastructure (independent variable) and SMEs' reputation (dependent variable). Among the institutional sub-constructs, tax administration, business licensing and permits, access to a bigger market and skilled labour and informal competition are significant for the SME performance constructs. We find similar results while comparing SMEs with large businesses.Practical implicationsThe institutional void-SME performance framework developed from our findings will allow SMEs to manage institutional voids affecting their performance. The analytical framework can also be the foundation for future empirical research.Originality/valueThe originality of the study is embedded in its investigation of SMEs' investment commitment and reputation in relation to institutional voids. The latent relationship between the sub-constructs of institutional voids and SME performance adds new knowledge to the dynamic relationship between institutions and firm performance.

Lukito-Budi, Andy Susilo; Manik, Hardo Firmana Given Grace; Indarti, Nurul

2023 Journal of Strategy and Management

doi: 10.1108/jsma-07-2021-0156

This paper offers innovative strategies on how small- and medium-sized enterprises (SMEs) can respond to the COVID-19 crisis by incorporating an entrepreneurial orientation concept corresponding to the nature of the environmental shock.Design/methodology/approachThis paper conceptualises a solution by elaborating three critical items, namely entrepreneurial orientation, adaptive process and strategy types as key factors to develop the framework solution. This paper outlines a strategy proposal for SMEs to respond to the crisis.FindingsThe environmental factor represents the crisis, which leads to a degree of innovation, i.e., radical and incremental, and can be approached using an adjusted adaptive consolidation process from Child. This paper identifies four strategy options from Miles and Snow to respond to the crisis; i.e. (1) defender–exploitative innovation; (2) analyser–organisational ambidexterity; (3) prospector–exploratory innovation and (4) reactor–abandon or shut down the business.Originality/valueWhile most of the suggestions from previous COVID-19-related works are acknowledged, this paper brings more insight from an academic perspective, specifically organisational theory, to cope with the pandemic crisis. The steps and strategy to be chosen can guide policymakers to decide what is their best move to respond to this crisis. In addition, the proposed strategies call for future research to provide empirical evidence by exploring and examining various scenarios in different kinds of businesses.

Krishnamurthy, Sayee Manohar; Venkitachalam, Krishna

2023 Journal of Strategy and Management

doi: 10.1108/jsma-02-2022-0035

The purpose of this research is to portray the historical evolution of retailing from 1980 to 2020. The study considers India as the domain as it is one of the fastest growing markets, and the retail growth is anticipated to reach more than one trillion dollars within this decade.Design/methodology/approachThis paper captures the historical growth trajectory of retailing from the pre-online era to the online era and highlights how the retail environment has become modernized and sophisticated in the process in India.FindingsThe study traces the journey of retail from 1980 to the multi-billion-dollar sector it had become by 2020 in India. Furthermore, the article provides an overview of how the different retail forms and players in the Indian retail sector have been shaping the industry over the last four decades. During this period, there has been a transformational change in the format of Indian retailing. The Indian consumers' shopping mindset moved from physical in the 1980s to online, and now “Phygital” (Physical and Digital) in 2020s has become an omni-channel platform in Indian retail.Originality/valueThis paper aims to present a viewpoint of the evolutions of retailing from the unorganized to the organized form and from the physical to the online form over the last 40 years in the Indian retail sector landscape.

Kim, Jisun; Woo, Hyun-Soo; Balven, Rachel; Hoetker, Glenn

2023 Journal of Strategy and Management

doi: 10.1108/jsma-10-2021-0196

Decades of research offer mixed results regarding the relationship between green product strategies and corporate financial performance. On the one hand, many scholars put forward green product strategies as a source of competitive advantage and in turn enhance financial performance. On the other hand, some studies suggest the opposite – that green product strategies may encounter managerial difficulties or are too costly, consequently leading to meager, if any, financial gain. This study explores cross-country contextual differences as a contingency to resolve this inconsistency. Thus, the research question is, “Do stakeholders of a country affect the link between green product strategies and financial performance?”Design/methodology/approachUsing a meta-analytic approach, the authors examine three country-level contingencies related to stakeholders: the impact of regulatory (stringency of environmental regulators), economic (consumer economic wealth) and political conditions (democratic vs. authoritarian governments) of a country in which the effects of a green product strategy on financial performance may vary.FindingsConsistent with our predictions, the meta-analysis of 26 studies published over a 20-year period reveals that green products positively relate to financial performance in countries with lax environmental regulation, low consumer economic status and authoritarian regimes.Originality/valueThe authors applied both (natural) resource-based and resource dependence theories by focusing on the interactions between firms' internal resources/capabilities and the external resources that firms can access. By doing so, the study adds to our understanding of stakeholders as resource providers to enhance financial benefits of green product strategies and provide insight into key boundary conditions of the link.

Ahmad Tipu, Syed Awais

2023 Journal of Strategy and Management

doi: 10.1108/jsma-09-2021-0194

This paper provides a review of the academic literature on organizational structure (OS) in family firms, highlighting the contribution to knowledge and identifying research gaps and possible avenues for future research.Design/methodology/approachDifferent databases were used to search the relevant literature on OS in family firms, including Scopus, ABI/Inform Global, Business Source Complete, and Emerald Insight. The systematic literature review presents an analysis of 52 studies on OS in family firms.FindingsThe literature largely reveals inconsistent findings in terms of the characteristics and outcomes of OS in family firms. The majority of the studies (21) are either survey-based or employ a case study approach (18), with relatively fewer studies (8) being conceptual in nature. A large number of the studies (34) were conducted in developed countries, whereas only nine were undertaken in developing countries. Moreover, 23 studies examine characteristics of OS, 23 studies explore the outcomes, while 15 investigate the antecedents of OS in family firms. The characteristics of OS in family firms relate to the degree of centralization and formalization. The antecedents or factors affecting OS in family firms include cultural values, family influence, need for succession, and ownership and management changes. The positive outcomes of OS include legacy building, enhancing entrepreneurial orientation, and efficiency. The negative outcomes of OS include exploitation of fewer opportunities, maintaining the status quo, and adverse effects on sustainability initiatives.Originality/valueExisting reviews generally explore the highest level of OS in family firms. The current review complements this debate and reviews OS in family firms from the perspective of the lower and operational levels. As such, the current review is both timely and relevant, as it identifies limitations of the available literature as well as suggests avenues for future research.

Silva, Pedro; Moreira, Antonio Carrizo; Mota, Jorge

2023 Journal of Strategy and Management

doi: 10.1108/jsma-10-2021-0213

Corporate social responsibility (CSR) is an evolving concept which is increasingly being adopted by companies with the purpose of creating sustained organizational growth. However, while the impact of CSR practices on employees' behaviors and attitudes has been recognized over the years, the relationship between CSR practices and employee performance remains underexplored.Design/methodology/approachDrawing on social identity theory and using the partial least squares structural equation method, this research examines the impact of CSR practices on employees' performance in a sample of 171 employees belonging to the construction industry.FindingsThe findings do not support the existence of a direct relationship between employees' perception of CSR and their performance; instead, they indicate that this relationship is mediated by job satisfaction and organizational trust.Research limitations/implicationsThe data concerns employees' self-reported measures on their perceived CSR and the study was conducted in a single industry.Practical implicationsAdopting CSR initiatives in company strategies is worthy as the perceptions of employees and their performance is positively influenced by their organization's CSR activities. Managers should properly communicate and involve internal stakeholders in socially responsible practices to increase their awareness.Originality/valueThis article analyzes the impact of employees' perception of CSR on employees' performance through the roles of employee organizational trust and job satisfaction as mediating variables in a highly socially pressured industry such as construction.

Khalifa, Azaddin Salem

2023 Journal of Strategy and Management

doi: 10.1108/jsma-12-2021-0243

The purpose of this paper is to contest Mintzberg's influential “five Ps for strategy”. It exposes the negative side effect of these “five Ps” and urges a rethinking of the concept of strategy. It also points to an alternative direction for further research building on a more robust definition of strategy that does not aim to combine the five Ps but to focus instead on, and to draw boundaries around, the substance of strategy.Design/methodology/approachThe key arguments of Mintzberg's article are critically evaluated and alternative arguments are advanced.FindingsNone of the “five Ps for strategy” satisfies the criteria of a good definition. However, their impact is still evident, especially the definition of “strategy as pattern” and the idea that any decision can be “more or less” “strategic”. The “five Ps” have served their intent at the time, and their impact now is more negative than positive.Research limitations/implicationsThe “five Ps” are no longer useful in advancing the descriptive or prescriptive purposes of the strategy field. Researchers need to rethink the concept of strategy.Practical implicationsLeaders should not be confused by the “five Ps”. Instead, they should look for more rigorous and relevant definitions that help them think through their dynamic and uncertain environment.Originality/valueThis paper is probably the first to specifically contest the five definitions of strategy offered by Mintzberg and the argument behind them.

Grieco, Cecilia

2023 Journal of Strategy and Management

doi: 10.1108/jsma-01-2022-0005

The sudden outbreak of COVID-19 has led in a very short time to a worldwide pandemic that has had severe effects on both businesses and daily lives. In a scenario characterised by the social distancing imperative, the sharing economy found itself struggling to survive, deprived of its core asset, namely, peer (human) relationships. The purpose of this paper is to reveal the coping strategies that have been implemented by sharing economy platforms to navigate the pandemic.Design/methodology/approachAn explorative empirical investigation of 20 sharing economy platforms was carried out during the first lockdown phase (March–June 2020). To drive the analysis, a theoretical framework was developed by merging the literature on the business model and crisis management strategies.FindingsThe answers provided by sharing economy platforms to the health crisis caused by the COVID-19 pandemic have been classified into nine typologies of intervention according to the developed framework, with illustrative examples.Originality/valueThis paper provides an empirical investigation into the impact of the COVID-19 pandemic on the sharing economy field and it offers evidence about the immediate reactions of sharing platforms to the health crisis effects. The paper also introduces a framework about business model and crisis management strategies as a conceptual tool that could be adopted by firms from other industries.

Das, Sidhartha; Canel, Cem

2023 Journal of Strategy and Management

doi: 10.1108/jsma-02-2022-0043

The purpose of this study is to propose a framework depicting the dynamic links between a firm’s external environment, competitive strategy, manufacturing strategy, competitive advantage and firm performance. This is followed by articulating expected differences among the the content and process dimensions dimensions of a manufacturing strategy for different competitive strategies.Design/methodology/approachToday, manufacturing is widely recognized as one of the most important means of creating and sustaining a competitive advantage. This paper studies the emerging broader view of the strategic role of manufacturing by offering a manufacturing strategy model, showing its impact on competitive advantage and, ultimately, firm performance. This is accomplished by identifying and defining major content and process dimensions of manufacturing strategy and relating them to a firm’s strategic type. The paper uses an integrative competitive strategy typology (Segev, 1989) to clarify differences in manufacturing strategy dimensions and different competitive strategies. The concept of “fit as gestalt” among the dimensions of manufacturing strategy is also introduced. This study presents the implications of fit between manufacturing and competitive strategy and the contribution of content and process dimensions of manufacturing strategy to firm performance and concludes by providing implications for executives and future research issues.FindingsDifferences in content and process dimensions of manufacturing strategy for different competitive strategies are clarified.Research limitations/implicationsOther researchers may propose different frameworks for linking manufacturing and competitive strategies.Originality/valueThis paper presents an integrative view of competitive and manufacturing strategies. It highlights the numerous choices companies must make to ensure fit among the competitive strategic types and their corresponding manufacturing strategies. This integration adds coherence and parsimony to the literature. It provides a basis for conceptualizing manufacturing strategy, thus reconciling different strategic perspectives and reducing a potential source of conflicting research results.

Jirásek, Michal

2023 Journal of Strategy and Management

doi: 10.1108/jsma-06-2021-0132

A firm will respond to performance feedback, i.e. a comparison of its current performance with the goals to which it aspires, by means of changes in its search activity. There is an emerging body of literature that studies how such behavioral responses are shaped by important decision-makers inside firms. The study focuses on the corporate board – one of the most influential decision-making groups in terms of strategy. More specifically, the study aims to study the moderation effect of the size, turnover and age diversity of the board.Design/methodology/approachThe sample is based on the largest listed German automobile and manufacturing firms followed between the years 2001 and 2015. The sample is analyzed using fixed-effects panel data models.FindingsThe findings indicate that the age diversity of the corporate board and, partially, also the turnover of its members moderate firms' responsiveness to performance feedback. On the other hand, the size of the board does not seem to play a role. The study, therefore, supports the notion of taking into account the characteristics of the corporate board when analyzing strategic decision-making and points to areas for further research.Originality/valueThe study contributes to the literature by empirically testing the moderating effect of three characteristics of corporate boards that have not been largely tested in the literature to date.