bluuebunny/crossref_metadata_2025_split huggingface dataset:
The role of new firms: Births, deaths and job generation
Authors: Birley Sue 
Published: May 2007

AbstractThe contribution of both new and small firms towards economic recovery is now universally accepted as significant. What is still unclear, however, is the extent of that contribution, particularly with regard to the new firm. Despite this, governments at all levels, federal, state and county, have designed strategies for fostering entrepreneurial activity. With little specific knowledge of the target population, these strategies have been either general in nature or based on economic theory, and, as a consequence, little is known about whether they have been effective in affecting the natural process, and in what geographic locations.This research studied the whole population of new firms started in St. Joseph County, Indiana, between 1977 and 1982. It was concerned with both birth and death patterns, and the net jobs generated. The results confirmed the general findings of others that new firms play a significant role in job generation. Over the period, the number of jobs created by a new firm was a consistent 2.9 per cent of the total number of jobs in the industrial sectors studied. Moreover, this exceeded the 1.75 per cent of jobs lost through firms withdrawing from the labour market. Within this, activity in both firms and jobs was found to be centred in only a few SIC categories, and the results of this research suggest that simple tests of volatility and gain will help to focus strategic plans for aid on those sectors where the natural process is already generating the most new jobs.
The market share‐profitability relationship: An empirical assessment of major assertions and contradictions
Authors: Prescott John E. , Kohli Ajay K. , Venkatraman N. 
Published: May 2007

AbstractWhile previous research on the relationship between market share (MS) and business profitability (BP) has found a positive relationship, its nature (i.e. direct versus spurious), its context‐specificity, and the validity of MS as a predictor of BP have not been adequately addressed. Employing path analysis, this study examined the nature of this relationship across a taxonomy of homogeneous environments. The major findings were that (1) the association between MS and BP is context‐specific; (2) both direct and spurious relationships exist, and their relative strengths vary across environments; and (3) the validity of MS as a predictor of BP is context‐specific. Further, key firm conduct variables accounting for the spuriousness have been identified. Finally, implications of these findings for managers pursuing market share as a goal are discussed.
Financial strategy: Planning and managing the corporate leverage position
Authors: Sandberg Carl M. , Lewellen Wilbur G. , Stanley Kenneth L. 
Published: May 2007

AbstractAmong the important elements of a company's strategic plan is its decision about the degree of financial leverage it elects to imbed in its capital structure. A simple operational framework that can assist in framing that decision, which concentrates on the likelihood of being unable to meet fixed financial charges, is presented. The model is tested empirically, and support for its potential usefulness in the financial planning process is found.
Rigor and practical usefulness of research in strategic management
Authors: Shrivastava Paul 
Published: May 2007

AbstractThis paper examines the rigor and usefulness of research programs in strategic management. Using a facet analysis technique, 23 research programs are examined on eight criteria reflecting their relative rigor and usefulness. Results show that this field has emphasized the practical usefulness of research results. Some research that is rigorous and has practical usefulness also exists in the field. Suggestions for generating more such research are discussed.
Organizing for innovation over an industry cycle
Authors: Strebel Paul 
Published: May 2007

AbstractThe basic hypothesis in this paper is that a gap tends to develop over an industry's evolution between potential innovators in a company and the organizational mainstream. The innovative gap is a function of the type of innovation needed for longer‐run survival and the disposition of the mainstream organization towards innovation. This hypothesis is used to predict which of four popular organizations for innovation is most suited to each stage of an idealized industry's evolution. The predicted organization set is discussed in terms of well‐known cases, and tested in an exploratory manner using executive survey data.
Toward a contingency theory of compensation strategy
Authors: Balkin David B. , Gomez‐Mejia Luis R. 
Published: May 2007

AbstractThis paper develops several propositions that link compensation strategy and the effectiveness of the compensation system. The underlying argument is that effectiveness at realizing intended pay strategies depends significantly on the existence of a match between compensation strategies, organization and environment. These propositions are tested in a sample of 33 high tech and 72 non‐high tech firms or business units in the Boston Route 128 area. Respondents are managers responsible for compensation policies in these firms or business units. The relationships among compensation strategies, organization characteristics and environment are explored. The findings may help researchers conceptualize, and practitioners manage, the relationship between reward processes and strategy in organizations.
Competitive strategy under uncertainty
Authors: Wernerfelt Birger , Karnani Aneel 
Published: May 2007

AbstractCompetitive strategy under uncertainty involves a trade‐off between acting early and acting later after the uncertainty is resolved, and another trade‐off between focusing resources on one scenario and spreading resources on several scenarios, thus maintaining flexibility. This paper analyzes both these trade‐offs taking into consideration the nature of uncertainty, industry economics, intensity of competition, and the position of a firm relative to its competitors.
Strategic planning and individual temporal orientation
Authors: Das T. K. 
Published: May 2007

AbstractThis paper examines the role of future orientation of organizational members in the strategic planning enterprise. It explores, conceptually and empirically, the relationship between the future time perspectives of individuals and their preferences for short and long planning horizons. Research with 207 corporate executives confirms the relevance of this individual future orientation. Implications of the temporal perspective for research and managerial practice are discussed.
Financial and stock market variables as predictors of management buyouts
Authors: Maupin Rebekah J. 
Published: May 2007

AbstractThis paper investigates whether publicly held firms which change to private ownership through management buyouts (ex‐public firms) possess characteristics prior to the change which differentiate them from firms which remain publicly owned. The financial characteristics of ex‐public firms for the year immediately prior to going private were analyzed. A multivariate framework was developed to determine which attributes best distinguished firms going private via management buyouts from similar firms not going private. A discriminant function was developed using seven ratios: (1) concentration of ownership, (2) cash flow to net worth, (3) cash flow to total assets, (4) price/earnings ratio, (5) price/book value ratio, (6) book value of depreciable assets in relation to original costs, and (7) dividend yield. The model demonstrated a classification accuracy of 77.8 percent for the original sample and 81.4 percent in a hold‐out sample validation. These findings imply that financial characteristics alone provide a means by which firms going private via management buyouts can be separated from others. Therefore one can argue that, regardless of the stated motive for going private, financial characteristics either are explicit decision variables or directly reflect non‐financial reasons for management buyouts.
The industry context of strategy, structure and performance: The U.K. brewing industry
Authors: Johnson Gerry , Thomas Howard 
Published: May 2007

AbstractThis paper is concerned with identifying influences on the competitive performance of companies involved in the U.K. brewing industry. It seeks to identify key strategic characteristics, relate these to company performance and move towards an explanation of the influences that emerge as influencing competitive standing. It argues that diversification strategies must be studied as an aspect of industry structure, and shows that more focused, limited diversification and regional brewing strategies may be preferable in the context of the U.K. brewing industry. The research findings conflict with those of many previous studies which research the diversification strategies of primarily large firms (both in the U.S. and the U.K.) drawn from across‐industry samples (e.g. the Fortune 500 firms) and which identify superior performance for related diversification strategies. The study therefore provides support for the hypothesis that there is an optimum level of diversification within an industry which balances economies of scope and diseconomies of organizational scale. In the context of the U.K. brewing industry the traditional single or dominant business brewers seem to have found the strategy which matches firms effectively with the important characteristics of industry structure.
Strategic orientation and characteristics of upper management
Authors: Chaganti Rajeswararao , Sambharya Rakesh 
Published: May 2007

AbstractEvery organization reflects the background of its most powerful top managers; what the organization does and the way it carries out its functions could be explained, in part at least, by the profile of its upper echelon. The relationship between the strategic orientation of three tobacco companies, the proportion of executives recruited from outside the company and the proportion of executives from different functional backgrounds in the upper echelon of the companies is the focus of this paper.
Environment, planning processes, and organizational performance of churches
Authors: Odom Randall Y. , Boxx W. Randy 
Published: May 2007

AbstractChurches have rarely been the focus of research dealing with strategic management issues, although their impact on individuals, as well as on society as a whole, is equal to or greater than the impact of many business organizations. The study reported herein was designed to fill some of the information void. Data were obtained from a sample of 175 churches, and the relationships of church size and growth to perceptions of the environment and to planning processes were examined. The results indicated that perceptions of the environment, or more specifically the importance of certain environmental factors used in decision‐making, were related to the level of planning sophistication. In addition, planning sophistication was found to be related to the size and growth of churches.
Market, organizational and managerial correlates of economic performance in the U.K. Electrical Engineering Industry
Authors: Grinyer Peter H. , McKiernan Peter , Yasai‐Ardekani Masoud 
Published: May 2007

AbstractHypotheses relating to market, organizational and managerial determinants of profitability and growth are developed and tested using data collected by structured interviews in 45 randomly selected companies in the electrical engineering industry. Multiple regression analysis suggests that market share and barriers to entry are the principal determinants of profit margins, but that tightness of control of working capital and aggressive management style also have an important influence. Centralization of decision‐taking among smaller companies, too, was associated with greater profitability, whilst more extensive budgetary control and planning of acquisitions or diversification were both negatively correlated with the latter. Profitability was the single most important predictor of the rate of company growth of sales but constraints from organized labor, from sources of finance, and conservative management styles, the rate of product change, R&D intensity, and decentralization all entered significantly.
Performance differences between the wrigley/rumelt strategic categories
Authors: Grant Robert M. , Jammine Azar P. 
Published: May 2007

AbstractThis study examines differences in profit and sales performance between the different Wrigley/Rumelt categories of diversification strategy. Our sample comprised 305 large U. K. manufacturing companies over the period 1972–84. Although diversification strategy explained only a small proportion of inter‐firm performance differences, once the influence of other firm and industry variables were taken into account, significant differences did emerge. Our findings conflict with those of earlier U.S. studies. In particular, we find that diversified firms outperformed specialized firms and there was no evidence that related diversification was more successful than unrelated.
The persistence of abnormal returns
Authors: Jacobsen Robert 
Published: May 2007

AbstractThe time‐series behavior of ROI is examined to assess a central element of competitive markets, the lack of persistence of abnormal profits. The analysis first determines the aggregate dynamic process of ROI and then examines how strategic and market factors influence this process. Consistent with abnormal returns resulting from a disequilibrium phenomenon, a mean reverting time‐series process approximates the behavior of ROI. While a variety of factors influence the persistence of return, the conditions under which market forces do not drive return back to its competitive rate seem remote, if present at all. Nonetheless, these factors can insulate a firm from competitive forces and so result in longer‐term abnormal profits.
Triggers, templates and twitches in the tracking of emerging strategic issues
Authors: El Sawy Omar A. , Pauchant Thierry C. 
Published: May 2007

AbstractA longitudinal investigation of group tracking of potential new applications and markets created by an emerging technology (cellular telephones) is used to gain more understanding of the shifts of cognitive frames of reference in the environmental tracking of emerging strategic issues. The dynamics of frame of reference shifts is examined through the derivation and operationalization of the concepts of templates, triggers and twitches. The results posit that examining the frame of reference shifts can be more informative than examining the frames themselves. Implications for strategic management practice and research are addressed.
Internal corporate joint ventures: Development processes and performance outcomes
Authors: Shortell Stephen M. , Zajac Edward J. 
Published: May 2007

AbstractJoint venture activity and internal corporate venturing represent two administrative innovations receiving increased attention in strategic management research. This study investigates a new hybrid form of administrative innovation: internal corporate joint ventures, which combine the equity involvement typically found in joint ventures with the internal staffing of a semiautonomous unit typical of internal corporate ventures. Drawing on both a process model and a variance model, the structuring, development and performance of 53 such ventures in an industry‐specific setting is examined.
A meta‐analysis on the comparative effectiveness of devil's advocacy and dialectical inquiry
Authors: Schwenk Charles 
Published: May 2007

AbstractThe use of meta‐analysis allows us to draw stronger inferences from past research than are possible from traditional literature. In this paper the general purpose of meta‐analysis is discussed, and it is used to resolve a dispute regarding a collection of studies in strategic management dealing with devil's advocacy and dialectical inquiry. The use of meta‐analysis leads to different conclusions from those drawn in an earlier review of these studies. At the end of the paper the limitations and potential uses of meta‐analysis in strategic management are discussed.
Environment‐strategy coalignment: An empirical test of its performance implications
Authors: Venkatraman N. , Prescott John E. 
Published: May 2007

AbstractThe positive performance impact of a coalignment between the environment and strategy of a business is an important theoretical proposition in strategic management. In spite of its importance and intuitive appeal, the extent of empirical support is equivocal and riddled with problems of conceptualizing and testing for coalignment. This paper evaluates alternate approaches to testing such a proposition and argues in favor of specifying coalignment as ‘profile deviation’, which states that coalignment is the degree to which strategic resource deployments adhere to an ‘ideal profile’ for a given environment. Subsequently, this proposition is tested across two time periods, and eight distinct environments in two different samples drawn from the PIMS data base. Results, which were generally robust across the two periods, strongly support the proposition of a positive performance impact of environment‐strategy coalignment. Implications and research directions are developed.
The paradox of strategic controls
Authors: Goold Michael , Quinn John J. 
Published: May 2007

AbstractThis paper reviews the literature on strategic controls. It summarizes the main theoretical arguments that have been put forward for establishing strategic control systems, and contrasts these arguments with evidence that suggests that few companies in fact have a strategic control system in place. The paper then identifies some of the difficulties that may be associated with establishing a strategic control system, points up issues that require further empirical research, and suggests a framework for exploring a contingency theory concerning the sorts of businesses in which strategic control systems would be most and least valuable.
An empirical analysis of organizational strategies by entrepreneurial high‐technology firms
Authors: Shan Weijian 
Published: May 2007

AbstractMany start‐up, high‐technology firms commercialize an emerging technology through cooperative arrangements. This paper empirically investigates the determinants of entrepreneurial high‐technology firms to form cooperative relationships. The statistical results on data drawn from the commercialization of the new biotechnology show that the propensity to cooperate is positively correlated with the distance of firms' competitive position in relation to their rivals. The follower is more likely to seek cooperative relationships than the leader in commercializing new products. However, the competitive pressure impacts firms in different ways, depending on their internal capabilities to commercialize a new product. We found that firm size is negatively correlated with the use of cooperative arrangements. The study also found that the organizational mode of cooperative arrangements is predominantly selected by the high‐tech. start‐up firm in commercializing their new products in foreign markets.
Management of the political imperative in international business
Authors: Ring Peter Smith , Lenway Stefanie Ann , Govekar Michele 
Published: May 2007

AbstractIn this paper we develop a framework for analyzing the political imperative. We argue that the effects of the political imperative on the firm will be a function of industry structure. Strategies that management employs in coping with the political imperative are a function of its impact on the firm and the firm's strategic predisposition. We also speculate on why strategic predisposition may lead firms to employ strategies that are not responsive to the demands of the political imperative.
Strategic orientation and top management attention to control systems
Authors: Simons Robert 
Published: May 2007

AbstractManagement control systems are viewed typically as management‐by‐exception tools for implementing intended strategies. This study provides a different perspective by focusing on the way that top managers use specific control systems to focus organizational attention on strategic uncertainties and thereby guide the development of new strategic initiatives. Analysis of field‐based data from 30 businesses in the U.S. health care products industry is used to develop a model and propositions that distinguish between interactive and diagnostic control systems, and illustrate the selective use of these systems in different strategic contexts.
Risk‐return associations: Paradox or artifact? An empirically tested explanation
Authors: Wiseman Robert M. , Bromiley Philip 
Published: May 2007

AbstractThis study tests Fiegenbaum and Thomas's suggestion that Bowman's risk‐return paradox may be due to measuring risk by variance in data that have trends. Results indicate that trends in ROA and ROE cannot explain the pattern of risk‐return associations found in previous research.
The effect of compensation program and structure on sbu competitive strategy: A study of technology‐intensive firms
Authors: Galbraith Craig S. , Merrill Gregory B. 
Published: May 2007

AbstractIn this paper we examine the impact various compensation programs have upon business‐level strategy for technology‐intensive firms. Similarly, we examine the effect of centralization of R&D and non‐R&D decision‐making, formality of procedures, and SBU size on competitive strategy. Analysis of data from 79 SBUs suggest that there is a resource trade‐off between marketing‐oriented strategies and R&D‐oriented strategies, and that managers who operate under certain types of compensation programs will tend to favor R&D/innovation strategies and capital investment over other alternatives. Structure and competitive position also appear to play a significant role in determining technology and investment strategy.
How sensitive is executive compensation to organizational size?
Authors: Lambert Richard A. , Larcker David F. , Weigelt Keith 
Published: May 2007

AbstractPrior empirical research has documented a large cross‐sectional correlation between the level of executive pay and firm size. In contrast, this paper examines the association between percentage changes in executive compensation and percentage changes in organizational size. We analyze compensation and size data for executives at several levels of the corporate hierarchy for a sample of 303 firms. Our results indicate that the correlation between compensation and size is much smaller, although still statistically significant, in changes than in levels. This suggests that changes in an executive's compensation are not primarily driven by changes in organizational size.
U.S. national security export controls: Implications for global competitiveness of U.S. high‐tech firms
Authors: Parkhe Arvind 
Published: May 2007

AbstractU.S. exporters of high‐technology, ‘dual‐use’ products are competitively disadvantaged in global markets by the complexity, range, and stringency of U.S. national security export controls. This paper demonstrates that fungibility of high technology and lax interpretation of multilateral export control agreements by other advanced countries have made the existing control regime ineffective. It further shows that persistent U.S. restrictiveness of exports in non‐critical, widely available goods and technologies may needlessly and permanently erode U.S. firms' competitive position in existing as well as rapidly‐opening markets worldwide. The need to revise the notion of national security to include not only military security, but also its complement, economic security, is discussed. The pivotal issue of enforceability of multilateral controls is explored, and corporate strategies for U.S. high‐tech firms to achieve export control policy change are suggested.