Development Of Sustainable Competitive Advantage Research Articles

Local wisdom and Government's role in strengthening the sustainable competitive advantage of creative industries

The competitive advantage of the Creative Industry is an important strategy to succeed in a highly competitive global business market. The Indonesian creative industry is a strategic industry characterised by Small and Medium Enterprises (SMEs). However, these enterprises face challenges, such as low entrepreneurial orientation, low digital literation to access the global market, limited capital, lack of digital payment methods, and a focus on conventional marketing activities rather than implementing Entrepreneurial Marketing (EM). The previous research proposed that Entrepreneurial Orientation (EO) and Entrepreneurial Marketing (EM) could increase competitive advantage due to the moderating role of local wisdom culture and the government's role. Therefore, this research aims to analyse the moderating role of local wisdom culture and the government's role in the effect of EO and EM on sustainable competitive advantage development. The quantitative research design employed a self-administered survey distributed to 400 top and middle managers within the superior and priority subsectors of the creative industry. The survey targeted four provinces in Indonesia known for their high contributions to the Gross Domestic Product (GDP >9 %), based on the ‘Purposive Sampling’ method. The results of the SEM analysis, based on 330 useable data points, show that Local Wisdom and Government's Role significantly mediate the relationship between Sustainable Competitive Advantage and Sustainable Business Performance. The research results imply that it is necessary to empower the government's role in providing information technology infrastructure to facilitate the creative industry's access to the global marketplace and encourage the use of digital payment methods for the rapid development of sustainable competitive advantage. Theoretical contributions extend to Dynamic Capability Theory by integrating Resources Advantage Theory and Resources Base View Theory, including the moderating role of Local Wisdom and Government's Role, and examining the relationship of EO and EM with sustainable competitive advantage.

MANAGEMENT TECHNOLOGIES AS THE BASIS OF ENSURING SUSTAINABLE COMPETITIVE ADVANTAGES OF THE BANK

The article examines the importance of management technology in ensuring sustainable competitive advantages of the bank. The evaluation of the competitiveness of competitor banks was carried out using a method that, unlike the existing ones, allows taking into account the evaluation of technological parameters, which in modern conditions has a significant impact on the competitiveness of banks.
 According to the results of the competitiveness assessment, it was established that modern clients of banking institutions expect convenience and speed in interaction with banks, in view of this, the parameter "technological provision of services" has a significant impact on the level of the bank's competitiveness, and should be taken into account in the formation of the bank's competitive strategy. the work is devoted to the justification of the feasibility of using management technologies aimed at ensuring the automation of the bank's business processes, the advantages of their introduction and the impact on the bank's competitiveness are highlighted. Based on the application of the method of functional modeling and the construction of a cross functional flow chart, a study of the bank's business processes was carried out, a graphic model of the "lending" business process was built, the operations of the business process, their executors, and the connections between them were detailed. On the basis of the research, "bottlenecks" and reasons for the inefficiency of the "crediting" business process were identified. On the basis of the functional-cost analysis, the economic efficiency of the application of management technologies aimed at ensuring sustainable competitive advantages of the bank by calculating the time spent on the execution of the business process has been proven, and the recommended number of employees necessary for the execution of the business process has been established. It is substantiated that the application of management technologies aimed at ensuring the automation of the bank's business processes will contribute to the development of sustainable competitive advantages by simplifying and accelerating the processing of applications, increasing the number of loans issued, which will lead, accordingly, to an increase in bank profits.
 The purpose of the article is to develop theoretical foundations and develop practical recommendations for the development of bank management technology in order to strengthen its competitive advantages.
 In order to achieve the goal, the following research methods are used in the article: functional modeling in the notation "Cross Functional Flow Chart" (diagram of tracks) - for modeling the business process of granting a loan; the method of functional and cost analysis - for the purpose of researching the effectiveness of the implementation of the proposed measures.

The Role of Green Marketing in Creating a Sustainable Competitive Advantage

Due to growing environmental concerns, green marketing has become increasingly important in meeting consumer demand and improving a brand’s image and reputation. Green marketing follows the same principles as traditional marketing, but focuses on using eco-friendly materials, production methods, packaging, pricing, distribution channels, and promotion. By incorporating green marketing into a branding strategy, companies can benefit by creating a solid brand image and strengthening their position in a highly competitive market. This paper is based on a review of literature, and aims to summarise and classify extant research on green marketing. The paper reviews green marketing as a new way of creating a sustainable competitive advantage. The literature review establishes the difference between traditional competitive advantage and sustainable competitive advantage. Finally, it introduces a conceptual framework for the development of sustainable competitive advantage, including relationship marketing, green marketing, and the components of traditional competitive advantage.

A practical guide for practitioners seeking to create value with big data

PurposePractitioners, despite competing in a difficult environment, struggle to understand or implement researchers’ findings that may support the development of sustainable competitive advantage. Following design science research using a gamification framework, the purpose of this study is to develop Game of Streams, a boundary object fostering practitioners’ capabilities to generate IT-dependent strategic initiatives. The Game of Streams method is available following a creative commons license and has two benefits for practitioners. First, it allows practitioners to ideate IT-dependent strategic initiatives with big data fitting their context. Second, it supports the understanding of a taxonomy originating in academic research about big data, precisely Digital Data Streams.Design/methodology/approachThrough design science research methodology, the author investigates the research/practice gap. This study created with and for firms Game of Streams, a boundary object using gamification. The author tested this boundary object with different organizations from small- and medium-sized enterprises to multinationals and proved its effectiveness in generating IT-dependent strategic initiatives.FindingsGame of Streams is enhancing practitioners’ use of research conclusions from academic literature. This study demonstrates that academic literature can impact practice better than before using boundary objects and gamification.Originality/valueThe gamification of research to bridge the research/practice gap is an emerging subject in the literature. This study offers an approach that allows practitioners to actively participate while manipulating research concepts in their context to generate IT-dependent strategic initiatives.

The Moderating Effect of Store Format on the Relationships Between ICT, Innovation and Sustainability in Retailing.

Innovation and sustainability are postulated as key variables for the future of large commercial distribution. In addition, the development of Information and Communication Technologies (ICT) solutions, and especially those related to Artificial Intelligence (i.e., Just Walk Out, Intelligent Retail Lab) and digitization, are particularly relevant factors in the current pandemic scenario in which retail companies operate. These tools are essential to face the derived changes in commercial relations, especially between companies and consumers. For all these reasons, this work aims to examine the effect of ICT, as a driving factor for innovation and its direct and indirect impact on sustainability in retailing. Furthermore, this study takes into account the eventual differences in these relationships according to the types of store formats. To achieve the aforementioned objective, a theoretical model is proposed that is tested through an empirical study carried out on a sample of 510 consumers of three store formats of grocery retail formats (i.e., hypermarkets, supermarkets and discount stores) in Spain. For the analysis of the data obtained, the partial least squares (PLS) regression technique and the Multigroup Analysis were used. The results obtained confirm the direct and indirect effect of ICT on innovation and sustainability in grocery retailing. In addition, the results indicate that consumers unequally perceive the technological progress of companies. These differences are greater between discount stores versus hypermarkets and supermarkets. The larger the size of the store format, the higher the incidence of ICT in relation to innovation. Therefore, it is vital to take ICT into consideration, where Artificial Intelligence is imperative for the growth and development of sustainable competitive advantages in retail companies.

Modifying Tradition: Understanding Organizational Change in Chinese Elite Sport Training at the Grassroots Level

This research examines the organizational change in Chinese elite sport training at the grassroots level, which is perceived as foundational to and crucial for the development of sustainable competitive advantage at the Olympics. Predicted on an in-depth single case study design linked to qualitative research, this study pursued a “thick description” of the process of change in Shanghai elite sport training by identifying the impetus for change and factors moderating the change process. All qualitative data were sourced from semi-structured interviews and official and semi-official documents. Participants included current sport leaders; officials/administrators; senior, including head and non-head, coaches; and renowned Chinese social science scholars who either specialize in or are familiar with the elite sport training scene in general and the landscape at the grassroots level. The key findings, on the basis of organizational change theory, were that the internal and external political pressures are strongly linked to the growing concern about athlete performance management, the alignment of elite sport training with the sport service industry, and limited financial resources; the functional pressures emerge from the broadening of the talent pool of money-consuming sports and newly added Olympic sports; and other fields’ successful practices, the unlimited registration rule, and a virtuous cycle of training contribute to organizational change.

Analysis of mediation effect of country-of-origin image on brand equity

Marketers are required to study consumer psyche for the development of sustainable competitive advantage over other brands. One of the most significant challenges for marketing professionals is the ability to create, maintain and enhance brand equity, as it is the most critical indicator of the product performance. The purpose of this research is to investigate a theoretical framework in which brand's country-of-origin image is suggested to influence the level of brand equity of hair care products. It also studies the mediation effects of various dimensions of brand equity, which are brand loyalty, brand awareness, brand association and perceived quality. The study shows that in the absence of mediators the country-of-origin image has a positive and significant effect on brand equity. However, in the presence of mediators the relationship becomes insignificant, which confirms the mediation effect. The present study will be useful to create the right message for the target customers.

Assessing Partnership Alternatives in an IT Network Employing Analytical Methods

One of the main critical success factors for the companies is their ability to build and maintain an effective collaborative network. This is more critical in the IT industry where the development of sustainable competitive advantage requires an integration of various resources, platforms, and capabilities provided by various actors. Employing such a collaborative network will dramatically change the operations management and promote flexibility and agility. Despite its importance, there is a lack of an analytical tool on collaborative network building process. In this paper, we propose an optimization model employing AHP and multiobjective programming for collaborative network building process based on two interorganizational relationships’ theories, namely, (i) transaction cost theory and (ii) resource-based view, which are representative of short-term and long-term considerations. The five different methods were employed to solve the formulation and their performances were compared. The model is implemented in an IT company who was in process of developing a large-scale enterprise resource planning (ERP) system. The results show that the collaborative network formed through this selection process was more efficient in terms of cost, time, and development speed. The framework offers novel theoretical underpinning and analytical solutions and can be used as an effective tool in selecting network alternatives.

Influence of Relational Psychological Contract and Affective Commitment in the Intentions of Employee to Share Tacit Knowledge

Organizational knowledge represents an organized group of data and information created and maintained by individuals and business through regulations and procedures [1]. It is essentially related to human action and it is part of the company’s intangible assets [2]. This continuous and complex interaction works as a reciprocal process based on a psychological contract full of reciprocal expectations which stipulate the terms of trade and engagement between people and organizations. On one hand, organizations offer rewards, while on the other hand, employee provides his contribution, conceptualized as partners willing to invest their resources as they reach their objectives and obtain mutual benefits. When tacit knowledge is shared, it allows the creation ideas that contribute to innovation, the increases of firm value and the development of sustainable competitive advantages among others advantages. This paper is based on a comprehensive literature review, by analyzing scientific papers, whose purpose is to examine the influence of relational psychological contract and affective commitment in the intentions of employee to share tacit knowledge, as factors for the transfer to be successful.

Examining the adoption of KMS in organizations from an integrated perspective of technology, individual, and organization

Knowledge management systems (KMS) have been implemented by many organizations to aid in the management of the intellectual property and the development of sustainable competitive advantages. However, despite the efforts of academics and practitioners with regard to promoting the use of KMS, the rate of adoption remains relatively low. Based on the DeLone and McLean’s information system success model, self-efficacy theory, and institutional theory, this study develops a multi-dimensional model to better understand KMS adoption among employees from an integrated perspective of technology, individual, and organization. Survey data collected from 295 employees of a petroleum corporation and its business partners were examined using structural equation modeling to verify the proposed research model. The results indicate that system quality factors, top management support, and organizational rewards are the key determinants of employee adoption of KMS, while KMS self-efficacy is far less important. The theoretical and practical implications are discussed.

The role of government, universities, and businesses in advancing technology for SMEs’ innovativeness

Knowledge and technologies play an essential part in this rapid-response capability, by maintaining opportunities for continuous improvement and innovation needed in the development of sustainable competitive advantage. However, the low capability of SMEs to provide the required resources is a barrier to the in-house technology development. Consequently, external resources such as government, businesses, and universities, to support their performance in developing technological capabilities utilize so-called ‘knowledge and technology transfer’ programs, which are needed as a shortcut to improve technological process innovation. This study provides theoretical and empirical support for the role of government, businesses, and universities in transferring knowledge and technology for SMEs’ innovativeness in emerging economies and the impact of process innovation on SMEs’ competitiveness. The results suggest policy directions for governments to support SMEs in emerging economies.

Training policy and organisational performance in the Spanish hotel industry

There is currently a general agreement about the importance of training as a tool to help companies in the development of sustainable competitive advantages based on their human resources. Staff qualification is not an option in the tourism industry; human capital training actually becomes a determining factor to be able to achieve a differential positioning within the sector. In Spain, where the tourism sector is a strategic element, it becomes essential to analyse the training policy applied by tourism enterprises with the aim of assessing its quality and effectiveness. The objective sought in this study is to identify the main factors related to training policy that have an impact on performance. The study carries out an empirical research into the effects that training practices cause on performance levels in the Spanish hotel industry using a sample of 110 hotels.

DESIGNING MARKETING STRATEGY USING THE FIVE COMPETITIVE FORCES MODEL BY MICHAEL E. PORTER - CASE OF SMALL BAKERY IN CROATIA

Development of marketing strategy of the company has to be based primarily on the results of the analysis of industrial structure. The best known framework for analysis and the analysis of structural features of industries – Five competitive forces model by Michael E. Porter, was used in this paper aiming at designing marketing strategies and the development of sustainable competitive advantage for one Croatian small bakery concerning the influence of five forces on the whole industry. The interpretation of the findings enabled owner of analyzed subject: to determine the attraction of bakery industry, to measure perceptions of the strength of competitive forces, to identify the existing competitive advantages and key success factors in the further development, to formulate appropriate marketing strategies and to predict future movements in the bakery industry. Although Porter’s model is a simplified picture of the forces that affect the profitability of certain industries, results of this paper have undoubtedly shown that Porter’s model is valuable even in the small business sector. Taking into account the contemporary dynamics and unpredictability of the turbulent market conditions, the model will surely continue to be one of the main tools in strategic analysis of different industries, but also the specific business entities, regardless of their size.

Human resource management and competitive advantage: An application of resource-based view in the shipping industry

The resource-based view (RBV) of the firm has been established as one of the main approaches to strategy formulation for the development of sustainable competitive advantage. Moreover, human resource management can be conceptualised as a source of competitiveness. This paper proposes that RBV could contribute to the confrontation of the hindrances that shipping companies face in the management of their human resources, and to the formation of sustainable competitive advantage. The paper analyses the findings of a field study, regarding the different human resource and crew management practices that are applied by Greek-owned shipping companies. Finally, based on the RBV of the firm, it proposes an integrated framework for managing human resources in the shipping industry in a way that could lead to the formation of sustainable competitive advantage.

O MARKETING ORIENTADO PELO MERCADO

The global economy determined deep changes in the companies’ strategic process, providing opportunities and threats in all segments and demanding competitive products and services. Therefore, the marketing function in the organizations takes greater importance in the development of sustainable competitive advantages. Many authors consider the market orientation as the essence of the business philosophy that leads to the success in the fight for markets because it investigates the consumer’s desires and necessities. This article analyzes the main works that contribute for construction of marketing concept and market orientation.

The role of market orientation on company performance through the development of sustainable competitive advantage: the Inditex‐Zara case

This paper has been developed as a part of research seeking to verify the effects of organisational culture in general, and market orientation in particular, on the behaviour and results of managerial organisations. The difference with other existing work on the same subject is that this work uses the case method to bring managerial reality into closer contact with the university environment. This report contains the first of the case studies carried out in the context of this research, and examines Zara, a strategic unit in the Inditex group, which is shown to be a paradigmatic example of the development of market orientation in a company, as a basis for the company’s performance and competitive advantages.

Knowledge creation and its place in the development of sustainable competitive advantage

Organizations operate in all areas through people and it is their contribution which determines success and it is their skills and knowledge which need to be cultivated and then leveraged to create competitive advantage. Sustainability of this competitive advantage comes from the development of tightly coordinated and complementary activities and directed towards producing a strategy of differentiation and making a unique offering to customers. A consistency in strategic direction is essential and this will necessitate the exercise of choice to develop a unique strategy. The development of sustainable competitive advantage is a vital management function and an important requirement is the nurturing of a knowledge creating environment to enable the organization to exploit and develop resources better than rivals and create sufficient knowledge to address the industry’s future success factors.

Tacit Knowledge: Some Suggestions for Operationalization

With the emergence of the resource‐based view of the firm and of the concept of core competencies, intangible resources, and tacit knowledge in particular have been argued to occupy a central place in the development of sustainable competitive advantage. This is because tacit knowledge is argued to be difficult to imitate, to substitute, to transfer and it is rare. However, there is little empirical research to support this theoretical proposition. Tacit knowledge has so far resisted operationalization. This paper sets out to define the term tacit knowledge and proposes to redefine it, within the context of the resource‐based view of the firm, as tacit skills. A methodology (based on causal mapping, self‐Q and storytelling) for empirically researching the subject is outlined.

Outsourcing competitive advantage: the use of supplier associations

The development of sustainable competitive advantage has long been the “holy grail” of western management. Evidence presented in this paper shows that at least one of the world’s leading companies has sought to achieve advantage by leverage of knowledge and skill within its complete supply chain. The company is Toyota of Japan. A description of the benefits involved and the story of how effective “outsourcing” of competitive advantage occurred is told in full. In addition the lessons from the supplier integration process and the use of kyoryoku kai are crystallised into a working model of how this approach may be emulated in the west. What is affectively a four stage supplier association model is discussed in detail together with an illustration of each approach within a UK context. The paper seeks to provide the reader with a complete picture of how supplier associations developed and how they might be used to create and “outsource” significant competitive advantage for complete supplier networks elsewhere.