This research investigates how value chains mediate the relationship between innovation strategies and GCG to company performance. The research method used in this study uses an explanatory ...quantitative approach. The sample used in this study was 60 manufacturing companies in Indonesia. Each questionnaire represents a manufacturing company as a respondent in the survey. Primary data from survey distribution results that passed a validity and reliability test were used in this study. The data obtained were tested using Partial Least Square (PLS). The results show that the value chain acts as a mediator for the influence of innovation strategies and GCG on company performance.
This study investigated the relationships among company average age, company work ability, and company performance by examining (a) the effects of employee average use of selection, optimization, and ...compensation (SOC) personal strategies and high-involvement work practices (HIWPs) on employee work ability; (b) the buffering effects of both employee average use of SOC and HIWPs on the negative relationship between company-level average age of employees and employee work ability; and (c) the link between company average age and company performance as mediated by company work ability. Analysis was conducted on data from 70 Finnish companies in the retail and metal industries and their 889 employees. Results showed that company average age was negatively related to company work ability, which in turn was positively related to company performance assessed by company managers. HIWPs were positively related to company work ability. Employee average use of SOC strategies buffered the negative effect of company average age on company work ability. Theoretical and practical implications of these findings are discussed.
This study aims to find empirical evidence of the impact of propping- related party transactions on company performance. The research sample was manufacturing companies listed on the IDX during ...2017-2019 which were determined by purposive sampling and using the Generalized Least Square panel data regression analysis technique (cross-section weights). The results showed that propping (related party transactions related to account payables) had a positive effect on financial performance and had a negative effect on the company's market performance. Propping (related party transactions related to other payables) had a positive effect on the company's financial performance but doesn’t an affect on the company's market performance. Meanwhile, propping (related party transactions related to liabilities other than account payables) had a negative effect on financial performance but had a positive effect on the company's market performance.
This research aims to know and analyze the contribution of enterprise risk management and business strategy to the competitive advantage and company performance of shipping companies listed on the ...Indonesia Stock Exchange. The company performance and competitive advantage of shipping companies listed on the Indonesia Stock Exchange fluctuate and are decreasing. The enterprise risk which is not well-managed can result in a decrease in competitive advantage and company performance. The shipping companies having no competitive advantage will have poor performance and lose in the competition with similar companies. This research uses Path Analysis with the analysis tool of Partial Least Square SmartPLS3 and its path coefficient significance test using a t-test. The total number of samples is 65 consisting of 13 companies with five years of observation taken using the purposive sampling technique. The result of this research states that shipping companies in Indonesia can increase their company performance through enterprise risk management. So, the companies must practice enterprise risk management properly where the aspect of risk management is integrated into the company strategy. Shipping companies in Indonesia can also increase their company performance through competitive advantage so that they can increase their revenue. Shipping companies can increase their company performance through business strategy, so they must implement a business strategy.
Purpose
Coopetition is the interplay between cooperation and competition, involving organisations sharing resources and capabilities with rival entities. Earlier work has suggested that coopetition ...has a linear (positive) relationship with company performance, with scarce considerations towards whether this link could have a diminishing-returns effect. Thus, this paper aims to examine the non-linear (quadratic) relationships between coopetition and three performance outcomes. Using resource-based theory and the relational view, this study is designed to evaluate the dark side of coopetition, in terms of identifying situations when such activities can be harmful for company performance.
Design/methodology/approach
Survey data were collected from a sample of 101 vineyards and wineries in New Zealand. After purifying the measures through a series of multivariate statistical techniques, the research hypotheses and control paths were tested through hierarchical regression. Furthermore, the statistical data passed all major assessments of reliability and validity (including common method variance).
Findings
Coopetition was found to have non-linear (quadratic) relationships with customer satisfaction performance, market performance, and financial performance. These results indicate that while coopetition provides organisations with new resources, capabilities and opportunities, there are some dark sides of coopetition activities. With “too little” coopetition, firms might struggle to survive within their markets, with an insufficient volume of resources and capabilities. With “too much” coopetition, companies could experience increased tensions, potentially lose intellectual property and dilute their competitive advantages. Such negative outcomes could harm their performance in several capacities.
Practical implications
Firms should appreciate that coopetition is a competitive strategy. In other words, regardless of how much collaboration occurs, coopetition partners are still competing entities. It is recommended that organisations should strive to engage in an “optimal-level” of coopetition, as “too little” or “too much” of such strategies can be harmful for various types of company performance. To mitigate some of the dark sides of coopetition, businesses should attempt to use all the benefits of collaborating with competitors (i.e. accessing new resources, capabilities and opportunities), but at the same time, not become dependent on rivals’ assets.
Originality/value
This paper develops and tests a framework examining the non-linear (quadratic) linkages between coopetition and multiple assessments of company performance. It highlights the benefits and drawbacks of businesses sharing resources and capabilities with their competitors. Contrary to prior studies in the business-to-business marketing literature, the results signify that firms need to engage in an “optimal-level” of coopetition to minimise certain dark sides, such as reduced company performance. After providing some practitioner implications, this paper ends with a series of limitations and avenues for future research.
In Indonesia, Customer Relationship Management (CRM) has been widely adopted in many companies, including oil and gas companies (OGC). The CRM implementation was done to improve the company's ...performance. However, research studying the relationship between CRM and OGC's performance remains limited. Therefore, an in-depth analysis examining the conceptual model of CRM factors is needed so that OGC can understand how to improve its performance through the implementation of CRM. This research describes in detail the conceptual model that shows the relations of CRM factors with OGC performance to obtain the relationship between variables. Partial Least Square Structural Equation Modeling (PLS-SEM) method was used to analyze the model. There are six variables, five hypotheses, and 26 indicators. Results showed that only 4 of the hypotheses are supported. One factor, information technology, results in positive yet insignificant influence, thereby failing to support the hypothesis at hand. With this research, the model is provided for OGC as a reference to improve its performance through CRM implementation.
Purpose
This study presents a model for assessing the effects of employee ICT training on organizations’ results. It also introduces digital transformation as a mediator between the two concepts and ...studies the role of organizational commitment and human capital in terms of digital transformation.
Design/methodology/approach
Surveys were completed by the CEOs of 184 Spanish companies, and their responses were analyzed with Partial Least Squares.
Findings
The results empirically analyze the proposed theoretical model and highlight the fact that human capital and organizational commitment partially mediate the link between ICT training and digital transformation. Furthermore, there is a direct relationship between ICT training and company performance.
Practical implications
Directors and managers should invest more resources in the human capital of their company through ICT training. In fact, it can improve organizational commitment, encouraging employees to adopt innovative behaviors, thus allowing for the necessary digital transformation.
Originality/value
Despite heavy theoretical emphasis on the study of the conditions necessary for the digital transformation of companies, few studies have empirically analyzed the effects of adopting certain practices for its implementation. This paper focuses on analyzing the effect of ICT training, which is configured as a tool capable of improving staff knowledge and increasing employee commitment. This is essential for adopting organizational change such as digital transformation.
Analysing the financial performance of companies involves examining various aspects of a company’s financial activity, including profitability, liquidity, solvency, rate of return, cash flow and debt ...ratio. Beside the detailed information on the financial situation of a company, the financial performance analysis can help assess a company’s potential, including its ability to meet its financial goals. The present paper performs examining of annual financial reports of three companies from pharmaceutical sector from Romania and analysing key financial indicators during three years: ante-pandemic, pandemic, post-pandemic. The crisis generated by the COVID-19 pandemic has directly influenced all economic sectors worldwide, in most cases in a negative sense. At the opposite pole, the pharmaceutical industry had the opportunity to expand and improve its performance, as a result of the constant market need for medicines and medical devices. The financial performance analysis of the three most important pharmaceutical companies from Romania provides detailed information on financial situation of these companies. The paper underlines the importance of the analysis for making investment, management and strategic decisions, but also to identify trends and risks and assess the companies’ ability to meet their goals, presiding at the same time measures for long-term business expansion in a post-pandemic environment.
Purpose: This article examines the theoretical aspects of businesses entering foreign markets within the context of globalisation. It highlights the challenges and opportunities presented by ...globalisation, focusing on the arrangement of companies and the strategic approaches adopted when entering global markets. The purpose of this study is to explore the impact of globalisation on businesses and identify strategies for successfully entering foreign markets.
Theoretical framework: The investigation is conducted within the framework of existing theories and research on globalisation, market entry strategies, and cultural and behavioural aspects influencing businesses' global expansion.
Design/methodology/approach: A qualitative approach is used, examining prior studies and research in the field, to analyse the factors influencing businesses' global expansion and the methods for entering foreign markets.
Findings: The results suggest that globalisation positively affects companies by expanding market opportunities. By examining the diversification of goods, works, and services offered by companies, the study identifies the prerequisites for successful foreign economic activity and the motives driving businesses' choice of market development strategies.
Research, Practical & Social implications: The findings contribute to a better understanding of the practical steps businesses can take to enhance their competitiveness in world markets. They highlight the importance of adapting to cultural and behavioural differences and selecting optimal strategies for market entry.
Originality/value: This study adds value to the existing literature on globalisation and market entry strategies by providing an updated perspective on the challenges and opportunities businesses face when entering foreign markets in the modern economy.
Based on a novel sample of Spanish listed companies from nonfinancial sectors, we explore the effect of product and geographic diversification on company performance during an economic downturn. The ...study develops comprehensive models to understand the interaction effect of both strategies on company performance. We find a U-shaped geographic diversification–performance relationship and no evidence of a positive effect from product diversification, unless combined with high levels of geographic diversification. The results show that companies improved their performance by combining these strategies. The results are robust after controlling for the endogeneity of both types of diversification. Our findings highlight that geographic diversification is an effective and valuable strategy in economic downturns. Furthermore, this study confirms the importance of the interaction between product and geographic diversification to determine the total effect of product or geographic diversification on company performance.
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