Strategic Management Policy Commons^™

Managing Risk And Resilience: From The Editors, Gerben Van Der Vegt, Peter Essens, Margareta Wahlstrom, Gerard George

Research Collection Lee Kong Chian School Of Business

Ten years of Global Risks reports by the World Economic Forum show a daunting list of risks that challenge humankind, including water and food crises, terrorist attacks, cybercrime, financial crises, and extreme weather events, among others (World Economic Forum, 2015). The annual number of these high-risk events worldwide has steadily increased from around 350 in 1980 to almost 1,000 in 2014 (UN, 2015). Managing the devastation of these disaster events extends beyond concerns about mortality; economic losses are rising from around U.S.$50 billion in the 1980s to around U.S.$250 billion in the last decade (UN, 2015). Similarly, cataclysmic effects caused …

Do Family Firms Learn More From Other Family Firms Than From Non-Family Firms? Adoption Of The Board Reform, Toru Yoshikawa, Jung Wook Shim

Research Collection Lee Kong Chian School Of Business

Family firms differ from non-family firms because their owners are often motivated not only by economic incentives but also by non-economic considerations. This study investigates the effects of such non-economic motivation, especially the extent of family involvement and family legacy, on the adoption of a new practice, i.e., board reform that was newly introduced in the Japanese context in the late 1990s. Our empirical results show that while family firms are less likely to implement the board reform than non-family firms, board interlocks with other family firms facilitate the adoption. We also found that such factors as large family ownership …

Strategic Similarity And Acquisition Outcomes At The Target: Evidence From China’S Beer Industry, Yuping Zeng, Timothy Schoenecker

SIUE Faculty Research, Scholarship, and Creative Activity

This study investigates the effect of horizontal acquisitions on target firms in China’s context. We examine how competitive and organizational similarity jointly affect cost savings, revenue growth and profitability improvement at the target in horizontal acquisitions. Using a dataset containing information on acquired firms in China’s beer industry, we find that the way in which competitive similarity impacts on cost savings at the target depends on organizational similarity and the type of cost that is examined. Additionally, competitive dissimilarity is found to result in higher revenue growth and profitability improvement at the target.

Strategic Dimensions Of Organizational Productivity (A Case Study On The Proposed Hrd Directions For Modern Companies), Nadir Ali

Business Review

achievement of the promises mentioned in mission & vision of modern companies. Most strategic minds come from the practices and experiences of corporate dimensions. Dimensions can be learned but cannot result unless experienced in the corporate world. Understanding strategic dimensions of modern age can lead modern companies. This case study will cover all important parameters of organizational productivity with special reference to the proposed strategic HRD directions that are considered as the gist of this case study. The first dimension is HRD Tier that is connecting with leadership in the organization, second is HRD transformation that is the manual workflow …

The New Panama Canal In A Global Context, Herman L. Boschken

Faculty Publications, School of Management

Without the "container revolution" (1970-present) and its redesign of seaport and maritime-trade infrastructures, globalization as we know it would not exist. With the recent enlargements of the Panama and Suez Canals, many new implications for U.S. economic trade are unfolding. This presentation at the Commonwealth Club of California, outlines recent changes in world trade and infrastructure development, and poses five factors that will likely determine winners and losers in the unfolding developments of this highly competitive world trade-route system.

Does Brand Licensing Increase A Licensor's Shareholder Value?, Adina B. Robinson, Kapil R. Tuli, Ajay K. Kohli

Research Collection Lee Kong Chian School Of Business

This study examines 171 brand licensing announcements and subsequent changes in the licensor firms' shareholder values using the event study method. We find that although brand licensing announcements lead to positive abnormal returns on average, nearly 44% of the announcements in our sample are followed by negative abnormal returns. We argue that investors react more favorably to a brand licensing announcement when they believe (i) the brand has greater ability to stimulate licensee product sales (and thus generate higher royalties for the licensor) and (ii) the licensor firm has greater ability to limit licensee opportunism (and thus limit brand dilution …

Information, Attention, And Decision Making: From The Editors, Daan Van Knippenberg, Linus Dahlander, Martine R. Haas, Gerard George

Research Collection Lee Kong Chian School Of Business

More than five decades after the seminal works on how individuals process information and make decisions within organizations were published (Cyert & March, 1963; Simon, 1957), the thesis that individuals, groups, and organizations are bounded in their rationality and ability to attend to information continues to remain salient. Individuals and organizations display cognitive and motivational biases, both in their attention to information and in their decisions based on that information (De Dreu, Nijstad, & van Knippenberg, 2008; Ocasio, 2011; Tversky & Kahneman, 1974). The nature and volume of information, and managers’ behaviors in seeking and using information, have undergone massive …

Which Problems To Solve? Online Knowledge Sharing And Attention Allocation In Organizations, Martine R. Haas, Paola Crisculo, Gerard George

Research Collection Lee Kong Chian School Of Business

Why do individuals allocate attention to specific problems in organizations? Viewing online knowledge sharing as a matching process between knowledge providers and problems, we examine attention allocation in the context of an online community within which knowledge providers respond to problems posted by other organization members. We argue that knowledge providers are more likely to allocate attention to solving problems that more closely match their expertise, but that decisions to allocate attention are also influenced by problem characteristics such as length, breadth, and novelty, as well as by problem crowding. Analyzing 1,251 realized matches and 12,510 nonrealized matches among knowledge …

7 Tips To Grow Your Rural Business With Purpose And Meaning, Connie I. Reimers-Hild, Alyssa Dye

Community Vitality Initiative

No one can predict the future; however, rural entrepreneurs and business owners can use a future-focused leadership approach, which includes examining megatrends, to shape the future of their businesses. Megatrends are global shifts that influence society, the economy and the environment. The purpose of this article is to help rural entrepreneurs discover ways to grow their businesses with Living with Purpose and Meaning Megatrend.

Muddling Through Or Knee Deep In The Big Muddy?, Howard Thomas

Asian Management Insights

A widening gulf between thepractice of managementand academic organisationscharacterises the stateof affairs in business schools today.

Incubator-Induced Business Clusters: A Case Study, Bailey Tarpley

Honors College Theses

Incubator-induced business clusters are a new tool for governments wishing to economically revitalize geographic areas. However, this case study argues that the successful formation of a cluster through the use of a business incubator requires the presence of three important “cluster factors”: 1) resource dependence and integration of the four key players of a cluster 2) human capital aspects and 3) external intervention mechanisms aimed toward the creation of a cluster. The historical founding of Hollywood will be examined for these factors as well as the DUMBO incubator located in NYC. This case study will examine whether the situation in …

Developing A Global Mindset For Leadership Success In Asia, Richard Raymond Smith

Research Collection Lee Kong Chian School Of Business

No abstract provided.

Rinse, But No Need To Repeat, Srinivas K. Reddy

Research Collection Lee Kong Chian School Of Business

Unilever promotes water sustainability through product innovation. By October 2007, it had become apparent that competition in the laundry products segment in Vietnam was heating up rapidly. Huyen Bui, the senior brand manager for Comfort at Unilever Vietnam, was contemplating how to stay ahead of long-time rival, Procter & Gamble (P&G), in terms of market share. In April 2007, Unilever launched Comfort One Rinse, a fabric conditioner designed to reduce water use in hand-washed laundry by 66 percent. Six months later, P&G responded by launching Downy One Rinse, a nearly identical product.

Family Ownership And R&D Investment: The Role Of Growth Opportunities And Business Group Membership, Young Rok Choi, Shaker A. Zahra, Toru Yoshikawa, Bong H. Han

Research Collection Lee Kong Chian School Of Business

This study examines whether the influence of family ownership on R&D investment varies depending on growth opportunities and business group membership. Using data on Korean firms over ten years (1998-2007), the study shows that family ownership is negatively related to R&D investment, but the relationship becomes positive when growth opportunities are present. The moderating effect, however, differs between independent family firms and family business groups. The positive influence that growth opportunities have on promoting R&D investment is diminished for affiliates of family business groups. These findings imply that family owners invest more in R&D when their family control goals are …

The Effects Of Linguistic Distance And Lingua Franca Proficiency On The Stake Taken By Acquirers In Cross-Border Acquisitions, Ilya Cuypers, Gokhan Ertug, Jean-Francois Hennart

Research Collection Lee Kong Chian School Of Business

We study the effects of linguistic distance and lingua franca proficiency on the equity stake taken by acquirers from 67 countries in 59,092 acquisition targets in 69 host countries. We theorize and find that acquirers take lower equity stakes in foreign targets when linguistic distance and differences in lingua franca proficiency between them are high, and take higher stakes when the combined lingua franca proficiency of the parties is high. We also find that linguistic and cultural distance reduce the impact of the combined lingua franca proficiency of the parties on the level of equity taken, which shows that the …

Investment, Duration, And Exit Strategies For Corporate And Independent Venture Capital-Backed Start-Ups, Bing Guo, Yun Lou, David Perez-Castrillo

Research Collection School Of Accountancy

We propose a model of investment, duration, and exit strategies for start-ups backed by venture capital (VC) funds that accounts for the high level of uncertainty, the asymmetry of information between insiders and outsiders, and the discount rate. Our analysis predicts that start-ups backed by corporate VC funds remain for a longer period of time before exiting and receive larger investment amounts than those financed by independent VC funds. Although a longer duration leads to a higher likelihood of an exit through an acquisition, a larger investment increases the probability of an IPO exit. These predictions find strong empirical support.

Become A Future-Focused Leader: Use Three Megatrends To Grow Your Rural Business, Connie Reimers-Hild, Alyssa Dye

Community Vitality Initiative

No one can predict the future; however, rural entrepreneurs and business owners can use a future-focused leadership approach, which includes examining megatrends, to shape the future of their businesses. Megatrends are global shifts that influence society, the economy and the environment. This article discusses three megatrends shaping the future of rural businesses:

1) The Rise of the #GigEconomy

2) Living with Purpose and Meaning

3) The Decentralized Marketplace

The article also provides coaching tips for rural entrepreneurs on how to use megatrends to grow their businesses.

While many companies are struggling to keep up with the rapid rate of change, …

The Balanced Scorecard: The Key To Effective Strategic Management, Josiah D. Grimm

Senior Honors Theses

The intent of this paper is to define the importance of the balanced scorecard in the strategic management process. The need for the balanced scorecard will be established by explaining the roles of demand shifters, traditional management accounting, Senge’s concept of a learning organization, and the strategic management process. This will involve detailing the stages of the strategic management process and connecting them to the various aspects of creating a balanced scorecard. Ultimately, the goal of the balanced scorecard is to translate the overarching strategy into specific actions that can be implemented throughout the organization. Lastly, other strategic applications of …

A Practitioner Critique Of A Conceptual Paper On Measuring Value And Performance, Andrew C. Wicks, Jeffrey S. Harrison

Management Faculty Publications

Much of the business literature suggests that firm performance should be measured in financial terms, based on the notion that the primary obligation of a corporation is to provide high shareholder returns. An alternative literature is emerging in which scholars identify the many weaknesses associated with shareholder primacy, and offer alternative performance measures that are focused on a broader set of stakeholders. One such publication was provided to high-­‐level executives in large companies. The executives were then given the opportunity to critique the paper and to discuss the extent to which their firms are engaging in the types of performance …

A Verification And Extension Of Students' Motivations, Financial Orientation, And Identity Salience As Predictors Of Likelihood To Withdraw From A University, Matthew I. Quinn

Undergraduate Distinction Papers

Broadly, this research examines a student’s likelihood to withdraw from a university based on the relationship between motivations, financial orientation, and identity salience. Specifically, this study empirically examines the relationship between extrinsic motivation, intrinsic motivation, and apathetic motivation, perceived opportunity loss and lifestyle activities related to financial orientation, and satisfaction and reciprocity related to identity salience, as predictors of a student’s likelihood of withdrawing from a university.

A questionnaire was designed by extending scale items related to the constructs of interest. First-year students at a private university located in the upper Midwest were sampled. A hypothesized model was tested using …

The Relationship Between Firm Resources And Joint Ventures: Revisited, Vivien E. Jancenelle

Business Student Publications

Purpose

– This study is a replication of Wolff and Reed’s (2000) work. The purpose of this paper is to examine how the combination of resources brought to joint ventures influence parent-firm performance. This study is also interested in whether or not the exposure of immobile resources through the semi-transparent membrane of the joint venture can have negative effects on parent-firm performance.

Design/methodology/approach

– The sample consists of two-parent joint ventures formed by publicly traded US firms between 1997 and 2013. The event-study methodology is used to calculate each parent-firm’s abnormal returns. This work also uses content analysis to analyze …

The Easy Expensive Way Doesn't Work. Why Not Try The Difficult Cheap Way?, Karl A. Koehler

Purdue Policy Research Institute (PPRI) Policy Briefs

Smokestack chasing and related ad hoc efforts to create techno/commercial clusters are examples of failed economic development activities, because they are generally poorly integrated into the networks of interactions that support a local, state, or national economy. This is a general problem because it is difficult to characterize and understand such complex webs of interactions. Thus, it is the dynamic complexity of combined state innovation systems, related policy systems, and the broader economy that stands between state governors and legislators, their piecemeal enactment of ‘economic development initiatives’, and the economic growth they desire. This brief describes the social, governmental, and …

Documento Conceptual Sobre Redes De Excelencia Para La Investigación Y La Educación, Suresh V. Garimella, David B. Janes, Anne Slaughter Andrew

PPRI Digital Library

“Redes de Excelencia” focalizadas permitirán que las instituciones en América Latina desarrollen ecosistemas de investigación y educación de un modo mucho más rápido que si siguieran procesos "orgánicos" o locales. Una vez implementados, estos ecosistemas no solo permitirán profundas transformaciones que lleven a economías basadas en el conocimiento, sino que también desempeñarán roles claves en las redes necesarias para los sistemas de innovación regionales.

Para acelerar el desarrollo de ecosistemas de investigación y educación en toda América, los autores proponen establecer “Redes de Excelencia” en las áreas claves. Cada Red de Excelencia será multiinstitucional, multisectorial (universidad, empresa, gobierno, ONG) y …

University Of The Future Colombia-Purdue Workshop Report, Suresh V. Garimella, David B. Janes, Liliana Gómez Díaz

PPRI Digital Library

The University of the Future Workshop, a joint Colombia-Purdue event, was held at Purdue University in West Lafayette, Indiana, October 28-29, 2014. Participants included rectors and board members from six top universities in Colombia, along with executive directors of NGOs, government representatives from the U.S. and Colombia, and Purdue faculty and administrators. The workshop was focused on a dialog among participants on key programs and focuses that will allow universities to be responsive to the 21st century needs of the Americas.

This report is a summary of the workshop and is based on the contributions of all the participants. Key …

A Concept Paper On Networks Of Excellence For Research And Education, Suresh V. Garimella, David B. Janes, Anne Slaughter Andrew

PPRI Digital Library

Research and education ecosystems, foundational components of knowledge-based economies, are relatively underdeveloped in Latin America. The entire ecosystem of a research university — including resources, corporate partnerships, and research — must capitalize on a symbiosis between the research, education and commercialization missions. A university cannot transform unilaterally nor can universities sustain the required transformation without government and industry participation. Initiatives to accelerate the development of research university ecosystems are critical for the realization of knowledge-based economies and resilient civil societies.

To accelerate the development of research and education ecosystems across the Americas, the authors propose to establish “Networks of Excellence” …

Informe Sobre El Taller Universidad Del Futuro Colombia-Purdue, Suresh V. Garimella, David B. Janes, Liliana Gómez Díaz

PPRI Digital Library

El Taller Universidad del Futuro, un evento conjunto de Colombia y Purdue, se llevó a cabo en la Universidad de Purdue en West Lafayette, Indiana, el 28 y 29 de octubre de 2014. Entre sus participantes hubo rectores y consejeros de seis importantes universidades de Colombia, junto con directores ejecutivos de ONG, funcionarios públicos de Estados Unidos y Colombia, y profesores y administradores de Purdue. El taller se centró en el diálogo entre los participantes sobre los programas y áreas de investigación clave que permitirán que las universidades den respuesta a las necesidades del siglo XXI en toda América.

Este …

Institutional Change Versus Resilience: A Study Of An Incorporation Of Independent Directors In Singapore Banks, Lai Si Tsui-Auch, Toru Yoshikawa

Research Collection Lee Kong Chian School Of Business

We examine how Anglo-American capital market logic penetrated into Singapore where relational logic tends to guide business activities and illustrate how domestic banks reacted to this imported logic in the corporate governance field. We argue that the banks’ ability to accommodate competing logics was enhanced by state agencies’ willingness to modify Anglo-American standards to fit the local context. Given the resulting institutional ambiguities in rules, local banks, while incorporating higher outside representation on their boards, reinterpreted the meaning of independence and emphasized the resource provision role rather than the monitoring function of outside directors. The resultant institutional change has been …

Innovation And Leadership: When Does Cmo Leadership Improve Performance From Innovation?, Adam J. Bock, Andreas B. Eisengenrich, Dmitry Sharapov, Gerard George

Research Collection Lee Kong Chian School Of Business

Ensuring that organizational innovation generates value increasingly requires effective marketing management. Prior studies, however, report conflicting effects of chief marketing officer (CMO) leadership on how well the firm exploits innovation. These inconsistencies may be associated with firm-level innovation effort, customer focus, and industry type. We analyze archival data from 587 interviews with global CEOs to explain the effect of CMO leadership on outcomes of organizational innovation. CMO leadership of the firm's primary innovation mode is positively associated with product-market innovation effort but not marginal revenue from innovation. CMO leadership also moderates the relationship between customer focus and innovation revenue. Predictive …

West Meets East: New Concepts And Theories, Harry G. Barkema, Xiao-Ping Chen, Gerard George, Yadong Luo, Anne S. Tsui

Research Collection Lee Kong Chian School Of Business

Management scholarship has grown tremendously over the past 60 years. Most of our paradigms originated from North America in the 1950s to the 1980s, inspired by the empirical phenomena and cultural, philosophical, and research traditions of the time. Here following, we highlight the contextual differences between the East and the West in terms of institutions, philosophies, and cultural values and how they are manifest in contemporary management practices. Inspired by theory development in management studies over time, we offer insights into the conditions facilitating new theories, and how these might apply to emergent theories from the East. We discuss the …

What's In Your Leadership Toolbox?, Barbara M. Tarasovich, Bridget M. Lyons

WCBT Faculty Publications

Senior finance executives play a pivotal role in achieving corporate strategic vision, fostering growth, and enhancing return on invested capital. But their role is becoming more and more complex. In addition to traditional functions, they and their finance teams must now do financial modeling, integrate data analytics, handle strategies for cyber security and complicated risk management, and more. To find out what capabilities must today's financial leaders have to be successful, the authors interviewed CFOs and human resources (HR) executives and identified the key required competencies. They identified six competencies frequently named by finance and HR executives that they believe …