nep-cse New Economics Papers
on Economics of Strategic Management
Issue of 2020‒09‒07
ten papers chosen by
João José de Matos Ferreira
Universidade da Beira Interior

  1. Assessing Meso and Micro-Competitiveness Boosting Policies, in Stra.Tech.Man Terms By Vlados, Charis; Katimertzopoulos, Fotios
  2. A New Concept of Circular Model of Management for Achieving Sustainable Success and Growth By Raj, Keerthan; Aithal, Sreeramana
  3. Portugal in the Global Innovation Index: A panel data analysis By Marcelo P. Duarte; Fernando M. P. O. Carvalho
  4. Skills Training and Business Outcomes: Experimental Evidence from Liberia By Ana Dammert; Aisha Nansamba
  5. Financial Support to Innovation: the Role of European Development Financial Institutions By Stefano CLÃ’; Marco FRIGERIO; Daniela VANDONE
  6. Innovation in Stra.Tech.Man (Strategy-Technology-Management) Terms By Vlados, Charis; Katimertzopoulos, Fotios; Blatsos, Ioannis
  7. The diffusion of corporate social responsibility within an organizational field: An analysis through the complementary lenses of neo-institutional theory and actor-network theory By Arnaud Gautier; Elise Bonneveux
  8. The ‘Mystery’ of Innovation: Bridging the Economic and Business Thinking and the Stra.Tech.Man Approach By Vlados, Charis; Katimertzopoulos, Fotios
  9. Intangible investments and productivity performance By Michele Cincera; Julie Delanote; Pierre Mohnen; Anabela Santos; Christoph Weiss
  10. Does Economic Policy Uncertainty Affect the Export Technological Sophistication of Manufacturing Industries? By Yuanhong, Hu

  1. By: Vlados, Charis (Democritus University of Thrace, Department of Economics); Katimertzopoulos, Fotios (Democritus University of Thrace, Department of Economics)
    Abstract: This article examines the basic conditions for the necessary redeployment of the concept of competitiveness under the current conditions of the restructuring of globalization dynamics, where national, regional and local socio-economic systems are inevitably part of an increasingly profound process of organic global reshaping. In this direction, there is a growing demand for a new logic of developmental economic policy, where the stimulation of the competitiveness of locally operating business entities, the strengthening of local productive socio-economic schemes and the increase of attractiveness for new investments, acquire progressively increasing importance in terms of planning and articulating economic policy. The composite concept of competitiveness at its three levels of analysis (macro, meso and micro-level) is being examined, and a new approach is proposed, based on the evolutionary combination of specific entrepreneurial skills, their specific socio-economic framework and the specific global industrial dynamics they embody and aim for. Finally, the Stra.Tech.Man approach and the Local Development & Innovation Institutes (LDI) are presented, as useful dimensions in the effort of strengthening the local business systems, in terms of meso and micro Competitiveness.
    Keywords: Competitiveness; Developmental Economic Policy; Globalization Dynamics; Local Development & Innovation Institutes (LDI); Macro - Meso - Micro Analysis; Stra.Tech.Man Approach
    JEL: O11 O12 R11 R58
    Date: 2018–09–20
  2. By: Raj, Keerthan; Aithal, Sreeramana
    Abstract: According to the International Institute for Sustainable Development (IISD), sustainable development has been defined in many ways, and it states that: “Sustainable development is a development that meets the needs of the present without compromising the ability of future generations to meet their own needs.” We have seen a lot of focus on sustainable development starting from the initiative of the United Nations which has made all nations focus on Sustainable Goals to be achieved by 2030, to large conglomerates and small business enterprises likewise focussing on sustainable business practices, which if well planned would yield success and growth. In light of the global challenges faced in relation to environmental, economic and social resources sustainable development leading to sustainable success and growth calls for a significant rethinking in the management of resources within the, and external to the organization. In this paper, we propound the furthering of a circular economy concept to management as ‘circular model of management’. Borrowed from the concept of circular economy, a circular economy (as against a linear economy) is an economic system aimed at minimizing waste and making the most of resources. Moving towards a circular economy delivers benefits such as reducing pressure on resources, increases competitiveness, stimulates innovation and boosts growth. This study is developed through extensive work in subsistence communities (base of the pyramid customers) in emerging markets. A circular economy promotes social, environmental, economic and overall restorative and regenerative capabilities, similarly, a circular model of management will as envisaged promote regenerative and restorative capability in the organization which will ensure sustainable growth and success by means of ensuring the reduction of leakage of resources to the minimum and applicability to the maximum.
    Keywords: Base of the pyramid, Circular economy, Circular model of management, Model, Sustainability
    JEL: M1 M10
    Date: 2020–01–11
  3. By: Marcelo P. Duarte; Fernando M. P. O. Carvalho
    Abstract: The growing awareness of the importance of national systems of innovation on countries’ development led to an increased availability of instruments designed to measure and compare the innovative capacity of countries. Such instruments provide policymakers with a panoply of relevant information, with which they can stimulate innovation within their territory, thereby increasing national competitiveness. Among the most used innovation indices, the Global Innovation Index stands out by explicitly distinguishing innovation inputs and outputs. Drawing from the Global Innovation Index input-output framework and extant literature on innovation, we intend to answer the question: Which innovation inputs are more strongly related to innovative outputs? Thus, deriving policy implications aimed at improving Portugal’s innovative readiness. Based on a conceptual model, we developed a panel dataset, grounded on the Global Innovation Index framework, composed by 92 countries during the period 2013-2018, and analysed it through a series of multiple regression techniques. Results suggest a strong, positive influence of Business Sophistication on innovation outputs in countries of the Eurozone, derived mainly from the capacity of domestic firms to absorb knowledge. Possible policy implications could be derived from this fact, such as, for instance, an encouragement to inward foreign direct investment. However, further research is needed to analyse the differentiated effects of such encouragement, as well as for other surprising results of our study.
    Keywords: Innovation; Global Innovation Index; innovation inputs, innovation outputs; panel data; Portugal.
    JEL: C33 C43 O30 O38
    Date: 2020–03
  4. By: Ana Dammert; Aisha Nansamba
    Abstract: This paper explores whether skills training in business performance and customer practices was a promising way to increase business outcomes among self-employed workers who operate small businesses in developing countries. We randomized training in business-management skills and business and inter-personal skills among BRAC’s Small Enterprise Programme firm owners in Liberia. We found that firm owners who received either training experienced an increase in attention to customers, which consequently enhanced the performance of the businesses, including higher average monthly revenue, less loss of customers, and a smaller likelihood of encountering business losses. Customers, however, reported no effect on their customer experiences.
    Keywords: RCT, SME, Liberia
    JEL: C93
    Date: 2019
  5. By: Stefano CLÃ’; Marco FRIGERIO; Daniela VANDONE
    Abstract: This paper explores the role of Development Financial Institutions (DFIs) in supporting innovation by facilitating the access to finance for start-ups and high-growth small and medium enterprises. After having mapped the population of DFIs in Europe, we benchmark their portfolio of equity deals to those of other European financial institutions (venture capital and private equity). We build a unique sample of European 12,437 Mergers and Aquisitions within the 2008–2017 period and for each target company we match the related patenting and economic data. We obtain a dataset of 80,713 yearly observations which allows us to empirically analyse the pre and post-deal patenting activity of companies targeted by both DFIs and other financial institutions. Our findings show that the target company patenting performance improves after receiving the support of financial institutions, and this effect is on average higher when DFIs participate to the equity deal. We also find that partnerships among DFIs and other financial institutions are associated with the best patenting performance of the target companies. These results are confirmed when a propensity score matching technique is adopted to address biases associated to the potential endogenous selection of the target company.
    Keywords: Development banking;Development Financial Institutions;public-private partnership; equitydeals; patenting activity; financial support to innovation
    Date: 2020
  6. By: Vlados, Charis (Democritus University of Thrace, Department of Economics); Katimertzopoulos, Fotios (Democritus University of Thrace, Department of Economics); Blatsos, Ioannis (Athens University of Economics and Business)
    Abstract: The conventional neoclassic approach of the entrepreneurial economic development perceives innovation to a large extent restrictively and unproductively. In a parallel motion, the conventional Keynesian perspective proves to be as well insufficient to study the innovation dynamics evolutionary and dialectically. On the contrary, toward a theoretical repositioning of the innovation studies, there are appearing new approaches that continue the evolutionary study of the capitalistic Firm’s physiology that began in the mid-20th century. This paper focuses especially on this theoretical redefinition to innovation dynamics. It tries to unfold a view of the Firm of physiological and evolutionary type, by highlighting a new synthesis of Strategy, Technology and Management (the ‘Stra.Tech.Man’ triangle) that represents the organic center of the produced innovation, inside all socioeconomic organisms.
    Keywords: Innovation; firm theory; evolutionary economics; Stra.Tech.Man analysis
    JEL: B52 O39
    Date: 2018–12–28
  7. By: Arnaud Gautier (Université Côte d'Azur, CNRS, GREDEG (France) - Université Côte d'Azur, CNRS, GREDEG (France)); Elise Bonneveux (VALLOREM - Val de Loire Recherche en Management - UO - Université d'Orléans - Université de Tours, Labex Entreprendre - UM - Université de Montpellier)
    Abstract: How does the implication of actors act as a condition of success in the diffusion of corporate social responsibility (CSR) within an organizational field? To answer this question, this research looks at the microfoundations of the diffusion of a socially responsible practice. This approach enables us to adopt a perspective that is focused on individuals and to explain the integration of CSR practices at the organizational level. We mobilize neo-institutional theory (NIT) and actor-network theory (ANT) in our approach to the diffusion process of this innovative practice. Firstly, we identify three distinct stages in institutional practice: the pre-institutionalization stage, the theorization stage and the re-institutionalization stage. Secondly, we reveal the four stages of the diffusion of a CSR practice as identified by ANT: the designation of an actor initiating the change, the identification of allies for the deployment of innovation, the analysis of the diffusion process within the network and the conditions of diffusion. Finally, we produce six research propositions based on the results of our study, which advocates for multi-leveled analysis to understand how CSR practices are developed within organizations.
    Abstract: En quoi l'implication des acteurs est-elle un gage de succès de la diffusion de la RSE au sein d'un champ organisationnel ? Pour répondre à cette question, cette recherche s'intéresse aux microfondations de la diffusion d'une pratique innovante de RSE. Cette approche permet d'adopter une perspective centrée sur les individus, tout en mobilisant des approches théoriques qui expliquent l'intégration des démarches RSE au niveau organisationnel. Les auteurs mobilisent la théorie néo-institutionnelle (TNI) et la théorie de l'acteur-réseau (actor-network theory ou ANT) pour appréhender la complexité du processus de diffusion de cette pratique innovante. Les résultats conduisent à distinguer tout d'abord trois phases du travail institutionnel : la phase de pré-institutionnalisation, la phase de théorisation et la phase de ré-institutionnalisation, puis quatre étapes de diffusion d'une pratique RSE identifiés par l'ANT : la désignation de l'acteur initiateur du changement, l'identification des alliés au déploiement de l'innovation, l'analyse du processus de diffusion au sein du réseau et l'analyse des conditions de diffusion. Enfin, l'étude réalisée fait l'objet de six propositions de recherche qui sont discutées au regard de la littérature mobilisée. Cette étude préconise de mener une analyse multiniveaux pour comprendre comment les pratiques institutionnelles de RSE se développent au sein des organisations.
    Keywords: corporate social responsibility,neo-institutional theory,actor-network theory,microfoundations
    Date: 2020
  8. By: Vlados, Charis (Democritus University of Thrace, Department of Economics); Katimertzopoulos, Fotios (Democritus University of Thrace, Department of Economics)
    Abstract: This study examines the concept of Innovation from two different conceptual and theoretical prisms: the science of economics and the theoretical tradition of entrepreneurship and organizational theory which both offer a remarkable distance in the way in which innovation is perceived. This study supports the notion that, by pointing a theoretical focus based on a co-evolutionary approach, centered on the "evolutionary heart" of the capitalist business, modern economic science and business thinking will gain from bridging the study of the innovative phenomenon with analytical fertility. To achieve this, the physiological structure and organic evolution of Strategy-Technology-Management (Stra.Tech.Man) synthesis of business becomes the center of attention, perceiving ultimately the firm as an active actor and even as a major structural co-creator of the sectors of industries and the socioeconomic systems which is hosted in.
    Keywords: Stra.Tech.Man innovation; Innovation economics; Organizational innovation; Strategy innovation; Economic development; Business development
    JEL: B00 O39
    Date: 2019–03–04
  9. By: Michele Cincera; Julie Delanote; Pierre Mohnen; Anabela Santos; Christoph Weiss
    Abstract: Companies in advanced economies are facing new challenges. Investment in intangible assets – such as R&D expenditures, ICT activities, the cost of training employees and spending on improving the organizational process – has gained relevance to overcome market pressure. In the last decade, many studies discussed the impact of intangible investment on firms’ performance. However, comparison of the effect of different types of intangible investments is less well explored. The paper aims to fill this gap by assessing the impact of several intangible investments on productivity using for the first-time data from the EIB Survey on Investment (EIBIS) covering all 28 EU members, in the period 2015-2017. We allow intangible investments to affect productivity through innovation, using an augmented version of the Crépon-Duguet-Mairesse (1998) model. Our results show that all types of intangible investments positively impact labour productivity. However, ICT and acquisition of new skills are more important for explaining productivity gains than R&D investment and organizational improvements. Furthermore, R&D and ICT investments also affect productivity indirectly through their effects on innovation, which itself increases productivity.
    Keywords: R&D; ICT; Intangible investments; Innovation; Productivity
    JEL: O30 O44 O52
    Date: 2020–03
  10. By: Yuanhong, Hu
    Abstract: Based on data from 19 major countries from 2000-2017, this paper examines the impact of economic policy uncertainty on the export technological sophistication of manufacturing industries. The research shows that in the sample period, the export technological sophistication of manufacturing industries varies among countries, with China and India slowly increasing, Germany and Japan still at a high level, and Canada and Greece in a downward trend. From the empirical results, the expected mechanism of economic policy uncertainty forces the domestic manufacturing industries industry to accelerate R&D innovation by restraining the "technological spillover" effect of imported intermediate goods and the "financing dependence" effect of domestic credit investment, thus promoting the increase of the export technological sophistication in various countries. For countries with high economic growth rate, high degree of development and high degree of economic freedom, the positive impact of economic policy uncertainty on the export technological sophistication of manufacturing industries is more significant. From the perspective of economic policy uncertainty, the paper examines its impact on the export technological sophistication of manufacturing industries with important policy implications. Strengthening bilateral and multilateral consultations among governments and accelerating R&D innovation of domestic enterprises are effective measures to enhance export competitiveness at present.
    Keywords: Economic Policy Uncertainty,Export Technological Sophistication,R&D Innovation,Manufacturing Industry,Reflection Method
    JEL: F14 F41 F43
    Date: 2020

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