Vasudevan Ramanujam and N. Venkatraman
For some time now, the business press has been sounding the death knell of strategic planning. Introduced in the mid‐Fifties, formal and comprehensive approaches to strategic…
Abstract
For some time now, the business press has been sounding the death knell of strategic planning. Introduced in the mid‐Fifties, formal and comprehensive approaches to strategic planning have gone through a number of evolutionary changes. Beginning with simple, internally oriented annual budgets, they quickly developed into long‐term, externally focused strategic planning systems. Today's sophisticated strategic management systems now combine internal and external analysis into a holistic system. However, these transitions have never been adequately supported by a strong theoretical base distilled from practice.
Bernard C. Reimann and Vasudevan Ramanujam
Increasingly, managers are harried by rapidly accelerating technological changes, globalization, and new competitors. How can they cope with the mercurial environments their firms…
Abstract
Increasingly, managers are harried by rapidly accelerating technological changes, globalization, and new competitors. How can they cope with the mercurial environments their firms are facing today? Should they stop wasting precious time thinking strategically and instead concentrate on action? Should they forget about careful pre‐planning and use their energy to try enough different approaches so some will surely succeed? Has strategizing as we know it become obsolete in today's chaotic environment?
Balaji S. Chakravarthy and Edward J. Zajac
The choice of proper incentives is a critical step in designing strategic planning systems. Incentives should integrate the behavior and action of managers with the objectives and…
Abstract
The choice of proper incentives is a critical step in designing strategic planning systems. Incentives should integrate the behavior and action of managers with the objectives and strategies of their firms. The problem of inappropriate incentives in various types of organizations has been described by Kerr. While the literature on incentives is voluminous, the linkage between incentives and strategic planning has not been carefully explored. We propose a model that connects a firm's incentive systems with its strategic context, using incentives theory in the economics literature as basic building blocks.
Jon‐Arild Johannessen, Johan Olaisen and Bjørn Olsen
Although we observe a general optimism concerning IT’s potential for creating suitable competitive advantages, there exists a lack of empirical support for the positive economic…
Abstract
Although we observe a general optimism concerning IT’s potential for creating suitable competitive advantages, there exists a lack of empirical support for the positive economic impact of IT on businesses. This is denoted as the productivity paradox of IT. We argue that in situations of hypercompetition, using conventional productivity measures as the only performance indicator would be inadequate when studying the impact IT has. Furthermore, investing in IT does not ensure its proper implementation. Consequently there is a need to consider what companies are using IT for and its consequences for innovation and a variety of performance measures. In a study of 200 firms within the Norwegian IT sector, we found that focusing on the use of IT might be a promising route for studying the relationship between IT and successful innovations, and between IT and performance. We also found a number of trade‐offs between the various performance measures and between successful innovations and performance. Although we were able to find positive effects of IT we argue in favour of developing an information and a knowledge strategy prior to developing an IT strategy
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Shampy Kamboj and Zillur Rahman
This study aims to observe the association between market orientation (MO), marketing capabilities and sustainable innovation and to determine the contributions of marketing…
Abstract
Purpose
This study aims to observe the association between market orientation (MO), marketing capabilities and sustainable innovation and to determine the contributions of marketing capabilities, sustainable consumption and competitive advantage as mediators.
Design/methodology/approach
The data for this study were collected by administering a survey, and well-defined scales were used for quantifying the data. Theories propounded by various authors were used to form the theoretical framework of the study while keeping those theories relevant to the Indian context. The study uses structural equation modelling to empirically test proposed hypothesis and research model of the relationships.
Findings
The results indicated that MO has a positive influence on marketing capabilities, including product development, communication, channel linking and pricing. The study also found, albeit with exceptions, a positive association between marketing capabilities and sustainable innovation. These exceptions were communication capability on technical innovations and channel linking capability on non-technical innovations. In addition, findings reveal that marketing capabilities fully mediate MO to performance link while sustainable consumption partially mediates the relation between sustainable innovation and competitive advantage. Competitive advantage also partially mediates marketing capabilities to performance relationship.
Research limitations/implications
This study deals with four marketing capabilities only and uses cross-sectional data, instead of longitudinal data, that comprises data of 192 service firms in India.
Originality/value
The study sets forth empirical evidence for the argument that specific marketing capabilities lead to sustainable innovation. The study further clarifies contributions of marketing capabilities, sustainable consumption and competitive advantage as mediators in the proposed research model.
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The purpose of the paper is to advance knowledge of small firm performance by explicating how networking helps small firms carry out marketing and perform better.
Abstract
Purpose
The purpose of the paper is to advance knowledge of small firm performance by explicating how networking helps small firms carry out marketing and perform better.
Design/methodology/approach
An online survey of small firm owner-managers in a regional economy of the UK was executed. Hypotheses were tested including the proposition that networking proactiveness moderates the relationship between market orientation (MO) and performance.
Findings
It was found that networking is undertaken by all small firms across a spectrum of business types. Networking is seen as applicable, it results in valuable outcomes and these outcomes contribute to marketing. The contribution increases with firm size and is valued more in small firms with a dedicated marketing function. Proactive networking creates greater value than reactive networking, but proactive networking in and of itself does not lead to greater performance. Rather, networking proactiveness moderates the relationship between MO and performance.
Practical implications
It is argued that networking should not be dismissed as “not quite proper” marketing and should be harnessed as a way of compensating for marketing activities that are outside the reach of the small firm. Small firms are advised to adopt a proactive approach to their networking activities, as without a reasonable level of proactiveness, there is likely to be no benefit in being market oriented.
Originality/value
There has been little research that has examined the specific ways in which networking contributes to marketing and none that probes if and to what extent this contribution makes a difference to overall firm performance. This paper addresses this gap.