Organizational capabilities and business performance: When and how does the dark side of managerial ties matter?

Chung, Henry F.L.; Wang, Cheng Lu; Huang, Pei‐how; Yang, Zhilin

doi:10.1016/j.indmarman.2016.02.014

Cited by 93 publications

(87 citation statements)

References 69 publications

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“…structural holes and network density), and networking ability ( Afuah, 2013;Demirkan & Demirkan, 2012;Goerzen, 2007;La Rocca et al, 2016;Naudé et al, 2014;Phelps, 2010). According to the network view, these factors drive firms' innovative capability mainly through enhancing their access to novel knowledge/ideas, minimizing knowledge redundancy, enhancing joint problem solving, and alleviating uncertainties (Ahuja, 2000;Chung et al, 2016).…”

Section: Collaborative Innovation Network Innovation Capability Andmentioning

confidence: 99%

How collaborative innovation networks affect new product performance: Product innovation capability, process innovation capability, and absorptive capacity

Najafi-Tavani

Naudé

et al. 2018

Industrial Marketing Management

402

275

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The current literature has investigated the direct relationship between collaborative innovation networks and new product performance, but the results are inconsistent. This research aims to explore the role of product and process innovation capabilities as two distinct mechanisms through which collaborative innovation networks improve new product performance. The study also examines the contingent effects of absorptive capacity on the relationship between collaborative innovation networks and the two innovation capability dimensions (i.e. product and process innovation). Survey data from 258 respondents from the Iranian high and medium technology manufacturing industries indicates the need for caution when developing collaborative innovation networks. We found that the effects of collaborative innovation networks on either product or process innovation capability are significant only in the presence of absorptive capacity. This finding suggests that the level of collaboration with different partners can enhance firms' innovation capabilities only if the focal firm's managers have developed the capacity to scan and acquire external knowledge. Our analyses further indicate that in the presence of absorptive capacity, only collaboration with research organizations and competitors have a positive effect on product innovation capability. In the case of process 2 | P a g e innovation capability, collaboration with research organizations and suppliers are the most important factors.

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Section: Collaborative Innovation Network Innovation Capability Andmentioning

confidence: 99%

How collaborative innovation networks affect new product performance: Product innovation capability, process innovation capability, and absorptive capacity

Najafi-Tavani

Naudé

et al. 2018

Industrial Marketing Management

402

275

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“…China) (Ho and Wang, 2015). Collectively, our study contributes to the extant organizational learning and competitive literature by specifying the dark side moderation role of organizational learning in the competitive strategy-performance dyad (Chung et al , 2016; Chung et al , 2015; İpek, 2019). Together with what has been revealed in the literature, research should now decide whether it should explore both the direct and contingent effect (dark side) of organizational learning in the export competitive advantages and performance framework (Li and Cavusgil, 2000; Kaleka and Berthon, 2006; İpek, 2019).…”

Section: Introductionmentioning

confidence: 93%

International competitive strategies, organizational learning and export performance: a match and mis-match conceptualization

Chung

2021

EJM

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Purpose This study aims to examine the effects of international competitive strategies, i.e. cost leadership and differentiation, on export (market share and strategic) performance. This study further explores the roles of exploitative and exploratory organizational learning in the relationships between international competitive strategies and export performances. To fill research gaps, this study intends to provide guidance on how varied exploitative/exploratory organizational learning and cost leadership/differentiation strategy combinations would affect export performance. The outcomes of this study provide a new match and mis-match conceptualization to extant international competitive strategy and organizational learning literature. Design/methodology/approach This study selected New Zealand (NZ) exporting as the research setting because exporting plays such a vital role in NZ’s economy and NZ exporting firms have long been highly competitive in international markets (e.g. meat and dairy exporters), with the primary data collected through surveys conducted in 2010 and 2013. This study adopted a three-year lagged performance approach. Findings Cost leadership strategy has a positive effect on market share performance. This effect is enhanced by exploitative learning but dampened by exploratory learning. Cost leadership also has a positive effect on strategic performance, which is not affected by exploitative and exploratory learning. Differentiation strategy bears no relation to market share and strategic performance, even allowing for exploitative and exploratory learning. Collectively, the contingent role of organizational learning in the international competitive strategies and export performance framework is far more comprehensive than was expected. Research limitations/implications This study reveals that a match between cost leadership strategy and exploitative learning may result in a superior market share. The configuration of differentiation strategy and exploitative learning and the integration of cost leadership strategy and exploratory learning are suggested as mis-matches, as these combinations would not lead to any significant and positive market share and strategic performance. Unexpectedly, the co-alliance of differentiation strategy and explorative learning is not suggested as a match, as it does not result in a superior market share and strategic performance. This latter outcome suggests that the differentiation strategy-export performance link may be stimulated by other moderating factors (e.g. business managerial ties). Practical implications While choosing an appropriate international competitive strategy, managers may use cost leadership over differentiation strategy to achieve successful export performance in both the market share and strategic perspectives. Export managers focusing on cost leadership strategy may further implement exploitative learning instead of explorative learning, when market share is vital. Meanwhile, they may note that explorative learning may not have a moderating effect on enhancing strategic performance through cost leadership. These points signify that exploitation of existing knowledge may be more effective than exploration of new knowledge for market share expansion when cost leadership strategy is devoted to exporting activities. Differentiation strategy, however, does not influence market share and strategic performance in exporting, even with an alignment of exploitative/exploratory learning. Managers are urged to pay attention to the mis-match of differentiation strategy and organizational learning when market share and strategic performance are the priorities in export performance evaluation. Originality/value This study contributes to the organizational learning literature by providing a new match and mis-match conceptualization relating to international competitive strategy and export performance. The new framework provides directions on when firms should use organizational learning to enhance their competitive strategies (a match scenario) and when they should not use it (a mis-match scenario). This study broadens the existing research that has mainly focused on alignment combinations such as organizational learning-internationalization strategy and organizational learning-social network.

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“…For example, Glazer and Weiss (1993)suggested that political connections only provide industry‐level information rather than in‐depth product or segment‐based strategic information. A firm‐level study by Chung, Wang, Huang, and Yang (2016), concluded that politically connected unprofessional and unqualified personnel hiring negatively affect firm's strategic decision‐making. New ventures having strong political connections can be perceived as problematic, and therefore, turn away possible buyers (Luo, Yang, & He, 2019).…”

Section: Literature Review and Hypotheses Developmentmentioning

confidence: 99%

“…New ventures having strong political connections can be perceived as problematic, and therefore, turn away possible buyers (Luo, Yang, & He, 2019). Chung et al (2016) argued that political contacts may increase organizational inertia, that is, interdepartmental coordination and communication systems would become more rigid. Such working environments will reduce firm's ability to adopt change.…”

Section: Literature Review and Hypotheses Developmentmentioning

confidence: 99%

Managerial ties as determinant of social entrepreneurial intentions: Does gender make a difference?

Latif

Ali

2020

Journal of Public Affairs

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The notions of social entrepreneurship and social enterprise have been the emerging trends in the world today, specifically in developing countries. We draw on social network theory to explore causes and situations that encourage individuals to engage in social activities in an entrepreneurial manner. This article investigates the impact of business ties and political ties on SEIs and how gender influences the casual relationships. Linear regression is used to analyze the responses obtained from 300 general populations across three developing countries including Bangladesh, India, and Pakistan. The findings show that business ties positively affect SEIs, but political ties are negatively related to SEIs. Furthermore, our results indicate that the gender influences both the positive impact of business ties on SEIs, which is greater for males, and the negative impact of political ties, which is stronger for females.

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Organizational capabilities and business performance: When and how does the dark side of managerial ties matter?

Cited by 93 publications

References 69 publications

How collaborative innovation networks affect new product performance: Product innovation capability, process innovation capability, and absorptive capacity

How collaborative innovation networks affect new product performance: Product innovation capability, process innovation capability, and absorptive capacity

International competitive strategies, organizational learning and export performance: a match and mis-match conceptualization

Managerial ties as determinant of social entrepreneurial intentions: Does gender make a difference?

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