Changing Business Environment Research Articles

Strategic internationalization decisions and dynamic capability deployment for the internationally growing firm (IGF)

Purpose This paper aims to explore the relationship between strategic internationalization decisions and dynamic capabilities deployment for the internationally growing firm (IGF). Dynamic capabilities refer to a firm’s ability to adapt proactively to a changing business environment, emphasizing the importance of “doing the right things” rather than just “doing things right. Design/methodology/approach Literature-based, this paper proposes a model that links internationalization decisions and dynamic capabilities deployment, offering valuable insights for both research and practical application. Findings The study highlights that the IGF – focused on expansion and growth abroad – faces unique complexities that demand “doing the right things” in terms of strategic internationalization decisions. Three critical organizational capabilities – knowledge transfer, knowledge recombination and learning capabilities – are mechanisms linking strategic internationalization decisions to dynamic capability deployment in the IGF. These organizational capabilities enable the IGF to act entrepreneurially and deploy dynamic capabilities across borders. Research limitations/implications The model provides a practical framework illustrating the interconnectedness of strategic internationalization decisions and their combined effects on the ability of IGF to deploy dynamic capabilities to adapt to a changing global environment. Originality/value This research addresses a gap in the literature, challenging the conventional assumption that dynamic capabilities precede firms’ decisions to internationalize and that these dynamic capabilities can only be enhanced abroad.

Shaping Tomorrow: Anticipating Skills Requirements Based on the Integration of Artificial Intelligence in Business Organizations—A Foresight Analysis Using the Scenario Method

This study examines the impact of artificial intelligence (AI) on workforce skill requirements as AI becomes increasingly integrated into business operations. Using foresight analysis and scenario-based methods, we anticipate the necessary skills for future AI-integrated workplaces. A SWOT analysis evaluates three potential paths for AI adoption—gradual, aggressive, and selective—to project the evolving skills needed for employee success in changing business environments. The findings emphasize the critical need for both enhanced technical proficiency and soft skills, such as creative problem-solving and interpersonal abilities, across all AI adoption scenarios. The study highlights the importance of strategic reskilling and continuous learning to align employee skills with the new business paradigms shaped by AI. It provides a roadmap for businesses, educators, and policymakers to collaboratively develop a resilient and adaptable workforce for an AI-enhanced future.

Evaluating strategies to persist for digital platform firms in a post-digitalization era: an empirical evidence from Indian platform firms

PurposeThe dynamic and evolving nature of the market calls for attention to digital platform firms' survival strategies, building agility for persistence in a continuously changing business environment. In India, the government’s adoption of the Digital Policy is one such change in the business environment for the firms that impact almost all sectors. Such policies cause a disruption wherein digital platform firms must be agile and create a strategic response that will endure any changes. The present study attempts to gain insight into the competitive strategies adopted by the digital platform firms of the consumer durables industry in India, which are implemented to facilitate their growth.Design/methodology/approachThe entire study is conducted in two phases. Phase one includes identifying strategies sampled digital platform firms adopted in response to the digitalization policy, and the second phase evaluates the significance of the adopted plans to persist.FindingsWhile clubbing the 42 strategic responses to a few aggregate dimensions, the study found four types of responses adopted by the digital platform firms in the consumer durable industry to persist in the market. Using a two-step system, the Generalized Method of Moments (GMM) approach, the study found that all four dimensions are statistically significant, positively impacting these firms' profitability.Practical implicationsThe study contributes to the knowledge base of strategic responses to persist for the incumbent platform firms in a dynamic business environment.Originality/valueThe study answers the pertinent research question of how such strategic decisions may be informed in favor of profitability.

Contemporary Human Resource Management Practices and Diversity in Changing Business Environments

Human resource management (HRM) serves as the cornerstone for organizations to achieve strategic objectives, address staff welfare, and enhance customer satisfaction. This study delves into the pivotal role of HRM in shaping organizational activities, particularly in the transition from personnel management to strategic HRM. It underscores the importance of aligning HRM strategies with overall organizational goals and examines various HRM practices and techniques. This study adopts a qualitative research design aimed at exploring the pivotal role of human resource management (HRM). The findings revealed that by exploring contemporary challenges and employing these techniques, coupled with the expertise of HR practitioners, organizations can effectively mitigate challenges and leverage opportunities. Moreover, a well-coordinated HRM approach, involving all levels of the organization and stakeholders, facilitates market expansion, strengthens brand reputation, and enhances talent retention and attraction. This study adopts a qualitative research design aimed at exploring the pivotal role of human resource management (HRM).

Economic impacts of digital home-sharing platform: Creative destruction in the hospitality industry

This paper describes an empirical study that was conducted by applying creative destruction theory to examine structural changes in the hospitality industry due to the growth of digital home-sharing platforms. To achieve these research aims, the current study considered the hospitality industry, which encompasses the accommodation and restaurant sectors, as well as Airbnb, representing the digital home-sharing platform. The findings revealed that there is a significant relationship between the exit of the accommodation industry and the supply of the digital home-sharing platform, while both entry and exit in the restaurant industry are significantly associated with the supply or performance of the digital home-sharing platform. Over time, this leads to industry transformations as certain segments of the lodging industry are replaced by digital home-sharing platforms, and as the restaurant industry undergoes a process of creative destruction, with establishments unable to adapt to changing business environments and the emergence of new facilities tailored to new technologies or accommodation models.

Assessing the impact of innovative strategies on entrepreneurial growth and business development

Changes in the global business environment prompt the significance of innovative approaches in encouraging entrepreneurship and fresh ventures. Innovation is emerging as a critical success factor due to its ability to contribute to the growth, efficiency of production, and competitiveness of enterprises. This study aims to analyse the impact of innovative approaches on entrepreneurship and new ventures. The methodology used in this study is comprehensive and mainly employs systemic and structural-functional methods, as well as analysis and synthesis. This approach helps to illustrate the intricate network of connections between various factors that impact the effectiveness of innovative approaches for entrepreneurship development. The study proves that innovative approaches have a significant impact on productivity and entrepreneurship development, particularly for new enterprises, which benefit from the ability to quickly enter the market. These approaches facilitate the introduction of the latest technologies, process optimization, and digital solutions. The findings indicate that innovation enhances the competitiveness of new businesses and attracts investment. Risk management and adaptability are crucial for new businesses in a dynamic business environment. The ability to respond quickly to changes in technology, market conditions, and consumer preferences is vital for the development of entrepreneurship and new businesses. New businesses that effectively mitigate risks and respond dynamically to change have a better chance of maintaining their competitive advantage and sustainability. This task necessitates adaptable planning, vigilant monitoring of the external environment, and the capacity to modify strategies in response to changes.

The Impact of an Organization's Digital Transformation on the Long-Term M&A Performance

Based on the data of China's A-share listed companies from 2012 to 2022, this paper uses a benchmark regression model to explore the impact and mechanism of corporate digitization on long-term M&A performance. It is found that the higher the degree of corporate digitization, the worse the long-term M&A performance. This finding reverses the traditional view that digitization can effectively improve the operational efficiency of enterprises and the quality of M&A decisions. This finding still holds after changing the enterprise digital transformation measure, replacing control variables, and lagging long-term M&A performance by one period. This paper provides new perspectives on the risk points that companies may overlook in pursuing digital transformation, aiming to help companies use information to make rational decisions and use digitalization to predict future developments accurately. This study emphasizes the need for managers to balance long-term and short-term interests and identify and prevent short-sightedness issues, providing insights for managers to balance immediate benefits and sustainable development in a complex and changing business environment, which is essential for enterprises to deploy strategic plans in the current fast-changing economic environment.

Adaptive strategic analysis models in a volatile market: case studies of today’s organizations

Adaptive models of strategic analysis are crucial in unstable market conditions for modern organizations. These models assist organizations in identifying and responding to the changing business environment, ensuring their sustainable development and competitive market position. The use of adaptive management allows companies to make flexible and informed decisions considering the impact of digitalization on business relationships. Factors such as leadership, culture, structure, and business strategy play an essential role in supporting organizational changes and adaptation. This paper discusses the fundamentals of adaptive management, including models of strategic analysis and strategic management. It covers the theoretical foundations of adaptive management, organizational structures with an adaptive management type, adaptive analysis models, and provides examples of companies that employ various tools. Additionally, a model of adaptive organizational management is developed, enabling companies to evolve in uncertain conditions. This model includes three subsystems: diagnostic of premises, selection of the optimal option, and implementation of the strategic scenario. The article concludes that adaptive strategic management is quite relevant in the context of variability and high environmental uncertainty; however, the strategy should not remain static.

Efficiency and Mergers and Acquisitions of Electric Utility Companies

Since the 1990s, market liberalization of the electricity industry has advanced all around the world. To survive in the drastically changing business environment, incumbent electric utility companies have conducted operational reforms, including Mergers and Acquisitions (M&As), to enhance and/or complement existing business capabilities. The purpose of this study was to measure the operational efficiencies of 31 of the world’s largest electric utility companies using data from 2010 to 2020 and examine regional differences in and the impacts of M&As on the efficiencies. For this purpose, we applied a new type of Data Envelopment Analysis (DEA) and Tobit model regression. We provide findings from the empirical analyses and discuss the business implications of M&As for electric utility companies. The operational efficiency measures were different among regions, but did not show statistically significant changes over the study period from 2010 to 2020. Furthermore, the results of regression analyses indicate that the increasing number of M&A buying transactions and M&A total transactions has a negative marginal impact on the operational efficiency or leads to a lower operational efficiency for utility companies. Since electricity utility companies have not received gains in operational efficiency from increasing the number of M&A transactions, they need to be more cautious about whether M&A transactions can provide value to the operation and technology management.

Membangun Fondasi Complementary Agenda Untuk Transformasi Digital Bisnis

Digital innovation is fundamentally changing the business landscape, driving advances in products, processes and business models. It involves complex interactions between technological and social aspects, creating ambiguity between process and product. It is important to understand how digital innovation impacts business process management. This study uses a literature approach to explore the concepts of digital innovation and business process management. The research was conducted by analyzing related literature from various academic and professional sources, including scientific journals, books and industry publications. Digital innovation not only creates technological progress, but also changes social processes and organizational structures. This phenomenon can be seen in platforms such as Uber or DevOps, which show a close connection between product and process. Digital innovation also enables continuous evolution and improvement of products and processes over time. Business process management is becoming increasingly important in facing the challenges and opportunities brought by digital innovation. Agile and adaptive process management strategies are needed to cope with rapid changes in the digital business environment. From the literature analysis, it appears that integration between digital innovation and business process management is very important. To optimize the benefits of digital innovation, organizations need to adopt an agile and adaptive approach in their process management. This involves continuous adaptation to technological and social changes as well as increased collaboration between various functions within the organization. Suggestions for future research are to conduct more in-depth empirical studies to understand the concrete impact of digital innovation on business process management, as well as to develop a practical framework for applying process management principles in the context of digital innovation.

Мотивация сотрудников к профессиональному обучению

The article discusses the main ways to motivate employees for professional training and their comparison. motivating staff to learn remains relevant in light of the rapidly changing business environment and the need of companies to maintain the qualifications of their employees at an up-to-date level. Organizations that pay attention to this topic and develop effective training incentive programs can gain a competitive advantage and long-term success.

Exploring the Association Between Corporate Financial Credit Risk Management and Corporate Value

In the rapidly changing business environment, corporate financial credit risk management has become a key factor in the stable operation and continuous value enhancement of enterprises. Corporate value is reflected not only in its tangible assets but also in its intangible assets and management capabilities. Among them, financial credit risk management, as an important part of corporate management, is increasingly being paid attention to for its association with corporate value. Financial credit risk management involves the identification, assessment, monitoring, and control of risks related to financial activities, which may stem from market changes, credit defaults, operational errors, and more. Effective financial credit risk management not only helps enterprises reduce potential losses and protect asset safety but also enhances the market reputation and competitiveness of enterprises, thereby increasing their overall value. With the continuous development of financial markets and the strengthening of globalization trends, the financial credit risks faced by enterprises are becoming increasingly complex and varied. Therefore, building a comprehensive financial credit risk management system and enhancing the risk management capabilities of enterprises have become key to achieving sustainable development and creating long-term value.

Transformation Of Economic System In Poland. The SMEs And EU Integration.

Brand-new economic system has been introduced in Poland two decades ago. The economic transformation from central planning to market system had no precedent and the theory of economics had not offered any complex model of such a makeover. So, we have been all learning by doing. And now, as we want to understand the process we aim at identifying both major agents and processes that were responsible for the results achieved. Without any doubt there has been at least one important agent of the transformation that could be easily recognized, namely: individual entrepreneurship. After 1989 we have been observing numerous small enterprises being established in Poland. The SMEs sector (small and medium enterprises) after half a century of centrally planned economy has been catching up with its developments. Nowadays - as in any other market economy - SMEs are important element of economic system in Poland, too. They account for 99.8 per cent of total number of enterprises, approx. half of both capital investment and value added and roughly 1/3 of exports. The following paper aims at identify the role of the SME sector in the process of reconstruction of market system in Poland after 1989. It concentrates on one special aspect of economic transformation, namely the integration with European Union on SME development potential. To set our reasoning in order we pose the subsequent questions: What is the role of SMEs sector in Polish economy? What changes of business environment has EU integration brought? What were the costs and benefits of the integration for Polish SME sector?

Modelling employee retention in small and medium-sized enterprises and large enterprises in a dynamically changing business environment

Purpose This study aims to explore the holistic context of organisational staff retention in small, medium and large organisations. It also aims to identify the factors affecting the retention of organisations of different sizes. Design/methodology/approach The study implements an empirical test of a model created during previous research with the participation of 511 employees. The responses to the online questionnaire and the modelling were analysed using the partial least squares structural equation modelling method. The models were tested for internal consistency reliability, convergent and discriminant validity, multicollinearity and model fit. Findings Two models were tested by organisation size, which revealed a total of 62 significant correlations between the latent variables tested. Identical correlations were present in both models in 22 cases. After testing the hypotheses, critical variables (nature of work, normative commitment, benefits, co-workers and organisational commitment) were identified that determine employees’ organisational commitment and intention to leave, regardless of the size of the organisation. Research limitations/implications As a result of this research, the models developed are suitable for identifying differences in organisational staffing levels, but there is as yet no empirical evidence on the use of the scales for homogeneous groups of employees. Practical implications The results show that employees’ normative commitment and organisational commitment are critical factors for retention. Of the satisfaction factors examined, the nature of work, benefits and co-workers have a significant impact on retention in organisations, so organisational retention measures should focus on improving satisfaction regarding these factors. Social implications The readers of the journal would appreciate the work, which highlights the significance of employee psychology and retention for organisational success. Originality/value The study is based on primary data and, to the best of the authors’ knowledge, is one of the few studies that take a holistic approach to organisational staff retention in the context of the moderating effect of organisational size. This study contributes to a comprehensive understanding of the phenomenon of employee retention and in contrast to previous research, examines the combined effect of several factors.

Tax Evasion in Chachapoyas: A Problem That the Ia Can Solve

In a changing business environment, tax evasion poses a crucial challenge that impacts public finances and competitive equity. This study focuses on applying artificial intelligence in the tax management of micro and small enterprises (MSEs) in Chachapoyas, Peru, between 2018 and 2022. The objective of this study is to investigate how the application of artificial intelligence in the tax management of micro and small enterprises (MSEs) in Chachapoyas, Peru, can contribute to greater tax equity and strengthen corporate social responsibility, thus fostering a fairer and more supportive tax environment in the community. The proposed methodology involves collecting and analyzing the financial statements of micro and small enterprises (MSEs), as well as conducting interviews and questionnaires with their owners. It will focus on five specific objectives ranging from the identification of the causes of tax evasion to the evaluation of MSEs' willingness to adopt technologies in their tax management. In conclusion, promoting the adoption of artificial intelligence could strengthen trust in the tax system, increase tax collection for the common benefit and support the sustainable development of local businesses, generating a positive impact on the community and society as a whole.

MULTI-VARIANT DIGITAL BUSINESS SYSTEM: INFLUENCE ON CORPORATE CULTURE AND EMPLOYEES’ BEHAVIOR

This article examines the impact of a multivariate digital business system on corporate culture and employee behavior. Advances in technology have led to the emergence of a variety of digital tools and platforms that allow businesses to adapt to a changing business environment. However, the implementation of such systems can have a significant impact on the corporate culture and internal dynamics of the organization. This article examines various aspects of the impact of a multivariate digital business system on corporate culture, including changes in communication methods, risk perception, the structure of internal processes and communication between employees. The study also analyzes how these changes affect employee behavior and their adaptation to the new digital environment. The findings of the article may be useful for organizations considering the implementation of multivariate digital business systems and wish to understand the potential impacts on corporate culture and personnel.

조직 구성원의 셀프리더십이 혁신행동에 미치는 영향 분석

In a rapidly changing business environment, innovative behavior within an organization is emphasized for a company to continuously develop and succeed. This study specifically identified various factors (self-leadership, entrepreneurship, and innovative behavior) that support such innovative behavior. Self-leadership refers to the ability of members to voluntarily and actively perform leadership roles within an organization. In relation to this, innovation behavior includes the act of introducing new ideas and leading change within the organization. This study examined the interaction between self-leadership and innovation behavior, focusing on empirical research on how entrepreneurship mediates the relationship between the two factors. For this purpose, a survey was conducted targeting 335 office workers over the age of 20, and among the collected questionnaires, 326 questionnaires, excluding 9 that were judged to have response bias, were used for analysis. For data analysis, SPSS Statistics ver 26.0 and Amos ver 23.0 programs, which are widely used in the social science field, were used, and the research results are as follows. First, self-leadership was found to have a positive influence on entrepreneurship and innovative behavior, and entrepreneurship was found to have a positive influence on innovative behavior. In other words, it was confirmed that the higher the self-leadership, the higher the entrepreneurship spirit, and the higher the entrepreneurship spirit, the higher the innovative behavior. Second, the indirect path from self-leadership to innovation behavior through entrepreneurship was found to be significant. Past studies have often emphasized the importance of innovative behavior, but have not sufficiently identified how individual factors can lead to and promote such behavior. This study further expanded the understanding of innovation by specifically examining how leadership style (self-leadership), an individual-level resource, functions in the relationship with innovative behavior. We hope that this study will serve as basic data to improve the organization's capabilities to respond to future challenges and opportunities and strengthen the organization's agility to change.

Adapting to Digital Transformation: Challenges and Strategies for Traditional Businesses

In the era of digital transformation, traditional businesses face numerous challenges in adapting to the evolving landscape of technology and market dynamics. This article explores the challenges and strategies encountered by traditional businesses as they navigate the process of digital transformation. Utilizing qualitative methods such as literature review and library research, this study investigates the key factors influencing the success or failure of digital transformation initiatives in traditional business settings.
 The literature review reveals several challenges that traditional businesses encounter during the digital transformation process, including organizational resistance to change, lack of digital skills and expertise, legacy systems, and cultural barriers. Moreover, navigating the complexities of data management, cybersecurity threats, and regulatory compliance adds further complexity to the digital transformation journey.
 In response to these challenges, traditional businesses adopt various strategies to facilitate their digital transformation efforts. These strategies include investing in digital infrastructure and technology, upskilling and reskilling employees, fostering a culture of innovation and agility, forging strategic partnerships with technology firms, and embracing customer-centric approaches.
 Furthermore, successful digital transformation requires effective leadership, clear communication, and a willingness to experiment and learn from failures. By embracing a growth mindset and leveraging the power of digital technologies, traditional businesses can unlock new opportunities for growth, innovation, and competitive advantage in the digital age.
 In conclusion, this study highlights the importance of proactive adaptation to digital transformation for traditional businesses to remain relevant and competitive in today's rapidly changing business environment. By understanding the challenges and implementing appropriate strategies, traditional businesses can successfully navigate the digital landscape and thrive in the digital economy.

The Impact of Employee Job Satisfaction on Dynamic Capability: The Mediating Role of Turnover Intention

This study aims to analyze three concepts, employee job satisfaction, dynamic capability, and turnover intention, without separating these three concepts by analyzing the effect of employee job satisfaction on dynamic capability and turnover intention as mediation. This research is correlative quantitative research with a cross-sectional approach for employees in Indonesia and uses SEM-PLS to analyze the data. The study results show that employee satisfaction has a negative and significant effect on turnover intention, and turnover intention has a negative and significant effect on dynamic capability; including the mediation variable in this study shows that turnover intention could mediate between employee satisfaction and dynamic capabilities. From the result, this research could be a starting point for developing flexible work program strategies and measures, as well as the implications in the changing business environment, especially in the digital era or situations that cause rapid changes quickly, like urgent situations or even uncertainty and contribute to further research discussing these three concepts.

From Theory to Practice: HRM Practices and Intellectual Capital in Fostering Innovation

In a rapidly changing business environment, organizational innovation and employee innovative work behavior are the basis for high organizational performance and long-term success. Against this background, the purpose of this study is to propose a conceptual model that links knowledge-based human resource management and intellectual capital and collaborative human resource management practices to innovative behavior at the level of the employee in the organizational context. Drawing on the existing literature and conceptual argument, the present study will argue for this strategic importance of workers’ innovative performance in promoting organizational success. Specifically, the study argues that adopting KHRM and CHRM practices are effective strategies that foster innovation within the organization. Furthermore, the research also reports the critical importance of intellectual capital in driving innovative work behavior. Intellectual capital acts as a mediator between HRM practices and innovative work behavior. The study's theoretical framework and conceptual propositions provide valuable insights into understanding and promoting innovation inside organizations. Additional investigation into these connections would provide pragmatic advice for HRM experts and organizational leaders who want to cultivate creativity and drive achievement within their organizations.