• Title/Summary/Keyword: Resource theory

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Increasing Furniture Manufacturing SMEs' Business Performance Through Absorptive Capacity and Product Quality

  • ONGKOWIJOYO, Gracia;KOESMONO, Teman;WULANI, Fenika
    • Journal of Distribution Science
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    • v.20 no.12
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    • pp.43-57
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    • 2022
  • Purpose: This study discusses the phenomenon of the uncertain sustainability of SMEs in developing countries. SMEs face various challenges in the dynamics of a competitive environment, which threaten their growth and sustainability. This study aims to address a research gap between company's internal resources, in the form of absorptive capacity, and its business performance. By using product quality as a mediator, which has never been studied before, this research presents a novelty to answer the existing research gap using the Resource Based Theory (RBT) perspective. Research design, data and methodology: Using quantitative method, data are collected from 164 respondents, who are owners or managers of furniture manufacturing SMEs in Gerbangkertosusila Area, East Java, Indonesia. The data are analyzed using Partial Least Square (PLS) - Structural Equation Modeling (SEM). Results: The findings show that absorptive capacity has a direct and significant effect on business performance and indirectly through product quality. Conclusion: Furniture manufacturing SMEs are advised to focus on developing absorptive capacity reflected in good product quality, in order to improve their business performance. This is especially important to survive the crisis caused by the Covid-19 pandemic. Thus, the results of this study contribute to the development of RBT, and there are several suggestions for further research.

A Study on the Revitalization Pattern of Industry in Decline: Focusing on Korean Shoe Industry

  • LEE, Kang-Sun;CHOI, Kyu-Jin;KANG, Sung-Wook;CHO, Dae-Myeong
    • East Asian Journal of Business Economics (EAJBE)
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    • v.10 no.4
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    • pp.75-90
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    • 2022
  • Purpose - This study aims to study the activation pattern of declining industries by applying the Gompertz growth model using available resources based on the theory of industrial life cycle, classifying declining industries among Korean manufacturing industries, and identifying resource input characteristics. Research design and methodology - This study was conducted by combining the Gompertz growth model that predicts the limit of output based on available resources under the industrial life cycle theory. Using Gompertz model, this study analyzed the life cycle of 39 Korean manufacturing industries from the perspective of domestic production, number of employees, and fixed assets Results - According to a life cycle analysis of 39 manufacturing industries in Korea, the computer, textile, and shoe industries were classified as declining industries. Among them, research on resource input characteristics on the shoe industry showed that domestic production and the number of employees decreased, while the proportion of domestic R&D personnel and the number of research departments gradually increased. Conclusion - Among the declining industries in Korea, the shoe industry is considered to revitalize the industry, that is, to extend the life of the declining industry by offshoring its production site and improving constitution with a "R&D center for global" support.

Supported and Unleashed - The Impact of Work Environment on the Creative Performance of Knowledge Workers: An Empirical Study in Saudi Arabia

  • FALLATAH, Mahmoud;SINDI, Hadeel
    • The Journal of Asian Finance, Economics and Business
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    • v.9 no.10
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    • pp.61-71
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    • 2022
  • Organizations pursue innovation to improve performance and gain competitive advantage, and knowledge workers represent an integral part of creating knowledge and helping organizations in their innovation efforts. The current paper seeks to examine the impact of the work environment on knowledge workers' creativity. Building on The Investment Theory of Creativity, The Componential Theory of Creativity, the Job Demand-Resource model, and the Resource Based View, we develop and test a model suggesting a relationship between work environment-social support, sufficient resources, organizational freedom, and organizational regulations-and the quantity and quality of the creative performance of knowledge workers. Using a sample of 167 engineers in Saudi Arabia, an emerging but wealthy country with huge innovation inspirations, the results of our Ordinary Least Squares (OLS) regression analysis indicate that all four elements of the work environment included in our study positively impact the quantity and quality of knowledge workers' creative performance. Our paper provides important contributions to the literature on the work environment, creativity, and knowledge management, with an emphasis on creativity in developing countries. Our study highlights the importance of creating a supportive and encouraging work environment for knowledge workers to foster their creativity. The study offers several theoretical and managerial implications, along with suggestions for future research.

The Impact of Ambidextrous Innovation on the Performance and Competitiveness of Start-up Companies: An Empirical Study from Indonesia

  • SIJABAT, Eduard Alfian Syamsya;NIMRAN, Umar;UTAMI, Hamidah Nayati;PRASETYA, Arik
    • The Journal of Asian Finance, Economics and Business
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    • v.9 no.1
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    • pp.25-34
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    • 2022
  • Established and new companies face similar business challenges in achieving performance and competitiveness. Furthermore, several empirical studies using competitive advantage resource-based view theory show that established companies achieve performance and competitiveness with breakthrough innovations. Similarly, new business ventures with limited resources must incorporate breakthrough innovations to achieve performance and competitiveness. Therefore, this study aimed to examine the impact of ambidextrous innovation on new venture performance and competitiveness. It used an online survey to collect data from 178 newly established shipping agency companies in 22 provinces in Indonesia. Data was analyzed using multivariate analysis with WarpPLS 7.0, where the analysis unit was an organization represented by a director. The results showed that ambidextrous innovation positively and significantly affects firm performance and new venture competitiveness. This means that ambidextrous innovation that emphasizes adaptation and development improves the firm's internal business processes, even with limited resources. Moreover, it increases new ventures' competitiveness in responding to threats and taking advantage of market opportunities. These results contribute to the competitive advantage resource-based view theory, specifically for new venture empirical examination. Also, they contribute to practical implications in the transportation business, demonstrating that exploitative breakthrough innovation can improve new venture competitiveness and performance.

An Empirical Study on the Relationships among Safeguarding Mechanism, Relationship Learning, and Relationship Performance in Technology Cooperation Network by Applying Resource Based Theory (자원기반이론을 적용한 기술협력 네트워크에서 보호 메커니즘, 관계학습, 관계성과의 관계에 대한 실증연구)

  • Kang, Seok-Min
    • Management & Information Systems Review
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    • v.35 no.2
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    • pp.45-66
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    • 2016
  • Firms can make scale of economy and scope of economy by internalizing and using new advanced technology and knowledge from technology cooperation network, decrease risk and cost with partner firm of technology cooperation network, and increase market advantage of product & strengthen firms' position in the market. Due to the advantages of technology cooperation network, the related studies have focused on the positive effect of technology cooperation network. However, the related studies investigating the relationship between technology cooperation network and firm performance have only examined the role of technology cooperation network. Safeguarding mechanism, relationship learning, and relationship performance are categorized into the process of technology cooperation network, and this categorization is applied as resources, capability, and performance by resource based view. The empirical results are reported as belows. First, relationship specific investment and relationship capital positively affect on relationship learning as capability. Second, information sharing, common information understanding, and relationship specific memory development positively affect on long-term orientation, but information sharing has no impact on efficiency and effectiveness. Third, relationship specific investment positively affects on relationship capital and efficiency and effectiveness have positive effects on long-term orientation. Applying technology cooperation network in asymmetric technology dependency with resource based theory, this study suggested the importance of both safeguarding and relationship learning by investigating the relationship among safeguarding, relationship learning, and relationship performance. And it is worthy that this study investigated how firms' behavior change affects relationship performance in the relationship of technology cooperation partner.

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Relationship between Ambidexterity Learning and Innovation Performance: The Moderating Effect of Redundant Resources

  • Wang, Dongling;Lam, Kelvin C.K.
    • The Journal of Asian Finance, Economics and Business
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    • v.6 no.1
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    • pp.205-215
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    • 2019
  • Researchers have confirmed the relationship between ambidexterity learning and innovation performance, but according to the resource-based theory, the relationship between ambidexterity learning and innovation performance is also affected by the internal resources of the organization. Internal resources are an important factor affecting the transformation of learning outcomes into performance. In addition, few scholars have pointed out whether different types of learning have different effects on different types of innovation performance. This study collects data from 170 High-tech enterprises in Shandong, china, and discusses the effects of exploitative learning and explorative learning on management innovation performance and technological innovation performance. This study further examines the moderating role of slack resource on the relationship between ambidexterity learning and innovation performance. Results show that ambidexterity learning has positive effect on innovation performance. Compared with exploitative learning, explorative learning has a greater impact on management innovation performance; compared with explorative learning, exploitative learning has a greater impact on technological innovation performances. Slack resource has positive moderating role between the relationship of exploitative learning, explorative learning and technology innovation performance. But Slack resource has no moderating role between the relationship of exploitative learning, explorative learning and management innovation performance.

The Effects of Congruence Between Work-to-Family Conflict on Organizational Citizenship Behavior: An Empirical Study in China

  • JIANG, Daokui;CHEN, Qian;LIU, Teng
    • The Journal of Asian Finance, Economics and Business
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    • v.9 no.4
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    • pp.345-355
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    • 2022
  • Excellent employees are those who take on extra responsibilities and commitments at work. Hence, employees must pay attention to out-of-role activities that can help the company perform better. When a person takes on more responsibilities than he can handle, they will have to deal with the issue of work-family balance. This paper examines how the consistency of WFC affects employees' organizational citizenship behavior (OCB) using the Resource Conservation Theory. This study uses empirical research methodologies to assess 417 employees as a sample. (1) When the matches of work-to-family conflict (WFC) and family-to-work conflict (FWC) are consistent, the employee self-control resource depletion level is lower, and OCB is higher in the "high-high" consistency matching state. (2) The "low-high" match had a higher OCB than the "high-low" match when the WFC and FWC matches were inconsistent. (3) In the process of WFC affecting OCB, the depletion of self-control resources acts as a mediating factor. (4) Emotional intelligence plays a moderating role in the whole model. The lower the emotional intelligence was, the stronger the positive relationship between the consistency of WFC, FWC, and self-control resource depletion was.

Research on Decision Making and Marital power Structure (의사결정과 권력구조에 관한 이론적 고찰)

  • 이정우;장병옥
    • Journal of Families and Better Life
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    • v.5 no.2
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    • pp.177-189
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    • 1987
  • The Purpose of this study is to present basic data for the more reasonable and successful home management through understanding decision-making pattern that is the degree of their participation in the decision-making and their joint decision-making. Also, this study is the preliminary research for more scientific and wider studies on the Decision-Making and Marital Power Structure in Korea. This study make investigation into decision-making and marital power which is published on the Journal of Korean home Economics Association and the Journal of Korean Home Management Association and thesis for a degree form 1960's to 1987. As a result, the higher wife's age, education level are the more their participation, The increase of the wife's participation in the decision-Making can be regarded as the affirmative phenomenon in the decision-making can be regarded as the affirmative phenomenon that their status are raised in home management and joint decision are carried out. In 1970's, not only the generalization of the empirical studies have been increased but also the general theories(resource theory, exchange theory, system theory ) have been developed.

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Assessing the Effects of Knowledge Resource Complementarity on Organizational Performance in Merge and Acquisition (M&A): Focused on Electronic Commerce Industries (인수합병에 있어 지식자원 간 상호보완성이 인수합병성과에 미치는 영향 분석: 전자상거래 산업을 중심으로)

  • Choi, Byounggu
    • Knowledge Management Research
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    • v.14 no.1
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    • pp.95-119
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    • 2013
  • Although merger and acquisition (M&A) has been considered as an important means to improve firm performance, most prior empirical research have failed to prove the relationship between M&A and firm performance. In order to fill this gap, this study attempts to identify the effect of M&A on firm performance based on knowledge resources relatedness and complementarity theory. For this purpose, this study examines complementarity patterns of knowledge resources and their impacts on acquirer's performance using M&A announcements of electronic commerce industry from 2001 to 2007. The results of this study indicate complementarity among knowledge resources are positively related with acquirer's market value. This study contributes to expand knowledge management research by identifying the relationship among knowledge resources and their impacts on firm performance.

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An Application of Game theory to Power Transactions under Incomplete Information (불완전정보 전력거래 해석을 위한 게임이론의 적용)

  • Kang, Dong-Joo;Park, Man-Guen;Kim, Bal-Ho;Park, Jong-Bae
    • Proceedings of the KIEE Conference
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    • 2000.07a
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    • pp.19-21
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    • 2000
  • This paper presents a game theory application for analyzing power transactions and market design in a deregulated energy marketplace such as PoolCo. The conventional least-cost approaches for the generation resource schedule can not exactly handle recent real-world situations. A systematic tool using game theory for the market participants is presented such that it determines the net profits through the optimal bidding strategies including the strategies for the bidding prices and bidding generations. We treat this power transaction game as incomplete information one, which means each market participants does not know other's cost function. And the demand elasticity of the energy price is considered for the realistic modeling of the deregulated marketplace.

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