Sustainable Competitive Advantage Research Articles

Examining the role of intellectual capital in maturing sustainable competitive advantage through enkindling innovations in SMEs: the moderating role of entrepreneurship-orientation

PurposeBased on the intellectual capital (IC) theory and the resource-based view (RBV), the paper seeks to elucidate the direct and indirect relationships between IC and competitive advantage in small and medium enterprises (SMEs). Therewithal, besides examining the mediating role of innovation capabilities in the IC-competitiveness link, it scrutinizes the moderating effect of entrepreneurial orientation in causing IC to boost competitiveness in SMEs through flourishing innovation capabilities.Design/methodology/approachData were collected from 206 participants working in SMEs operating in the Kingdom of Saudi Arabia with the help of a structured questionnaire distributed through LinkedIn. Partial least square (PLS)-based structural equation modeling (SEM) using SmartPLS 4.0 has been performed to calibrate the auxiliary and structural models.FindingsBased on the empirical analysis, IC significantly and directly enhances the competitive advantages of SMEs. Additionally, innovative capability has been found to be a complementary partial mediating condition in enabling IC to foster competitiveness in SMEs. Furthermore, the moderated mediation analysis reveals that innovation capabilities strongly mediate the association between IC and competitiveness in SMEs, characterizing higher entrepreneurial orientation.Research limitations/implicationsThe study provides significant insights to academicians and practitioners seeking to comprehend or configure interactions among IC, innovation capabilities, and entrepreneurial orientation in maturing competitiveness among SMEs, especially in emerging economies. Furthermore, the study provides a valuable integrative perspective on SMEs’ competitiveness by involving three voguish constituents of contemporary scholarly discourse grounded into the leading underpinning theoretical perspectives, such as IC theory, RBV, and entrepreneurship theory.Originality/valueThe uniqueness of this model lies in its rich theory-laden conceptualization and explanation that could extend theoretical debate and managerial action to the next levels.

SUFFICIENCY OF HUMAN CAPITAL IN SME: EVOLUTION OF SUSTAINABLE COMPETITIVE ADVANTAGE

Objective: This research aimed to explore the concept of sustainable competitive advantage concept in small medium-sized enterprise (SME) with collaborative capability and entrepreneur resilience as a mediating variable. It examined the relationship between human capital owned by entrepreneurs and sustainable competitive advantage with a focus on the woven sector, one of the largest tourism-supporting sectors in Bali. Method: entrprenereurs of SMEs in Bali, Indonesia completed 333 surveys, with each construct measured using an adopted and modified scale from existing studies. Additional analyses were performed on the collected data using partial least square structural equation modelling (PLS_SEM) software. These analyses included regression, factor analysis, structural equation modelling with the boostrapping technique, reliability, validity, mediation and model fit indicates. Result: The results showed that the human capital of the entrepreneurs, which consisted of education and experience, cannot be a source of sustainable competitive advantage in SME due to low education levels and minimal experience in managing businesses. On the other hand, collaborative capability is one of capabilities needed to achieve sustainable competitive advantage because it helps overcome resource limitations and internal capability by collaborating with external parties. Furthermore, another dynamic capability needed is entrepreneur resilience which can help in dealing with environmental turbulence. This research further supports this assertion by showing a full mediation relationship, implying that the human capital of entrepreneurs is insufficient for SME to attain sustainable competitive advantage, necessitating collaborative capability and entrepreneur resilience as a mediating factor to achieve this objective.

Relation between innovative work behavior and ethical climate perceptions among nursing personnel

BackgroundGlobalization and innovative technologies forced organizations to adopt innovative approaches and innovations for gaining a sustainable competitive advantage. Innovative Work Behavior (IWB) is related to the employees, ability, and enthusiasm to create innovative ideas. It exhibits a dynamic framework that is easier to be impacted by the ethical climate.MethodsDescriptive correlational design was applied and the study was performed at different inpatient units in Kafrelsheikh Governorate General Hospital. Two hundred twenty-two staff nurses and 45 head nurses from the aforementioned setting were chosen as a purposive sample. Two instruments were utilized to obtain the data; Innovative Work Behavior questionnaire and Ethical Climate Questionnaire. The significance of the acquired data was evaluated at the 5% level. Number and percentage were used to describe qualitative data and Range frequency, mean, standard deviation, and Pearson coefficient were used to characterize quantitative data.ResultsMore than half of staff nurses had a positive perception of innovative work behavior and more than three quarters of them had a negative Ethical climate perception.ConclusionThe study proved a significant relation between Efficiency dimension and the overall innovative work behavior perception p = 0.044, and the economic affairs and innovation dimension and the overall ethical climate perception p = 0.033.

Dynamic capabilities and digitalization as antecedents of innovation and sustainable performance: empirical evidence from Vietnamese SMEs

PurposeThis study aims to investigate the relationship between dynamic capabilities and sustainable business performance in Vietnamese small- and medium-sized enterprises (SMEs), focusing on the mediating role of digitalization strategies. Specifically, the authors seek to explore whether and how the three critical characteristics of dynamic capabilities (DCs) – sensing, seizing and transforming capabilities – are linked to business model innovation (BMI) or sustained performance and what dimensions contribute to their development and adoption in digitalization strategies.Design/methodology/approachThe authors analyse a sample of 596 Vietnamese SMEs using a validated measurement framework to explore the three clusters of DCs activities and their contributions to digitalization strategies, BMI and sustainable business performance across economic, social and environmental dimensions.FindingsThe study highlights the pivotal role of sensing, seizing and transforming capabilities in the adoption of digitalization strategies, BMI, as well as in promoting sustainable business performance. Firstly, sensing capability profoundly influences product digitalization strategy, whereas seizing capability has the greatest impact on process digitalization strategy. Secondly, sensing and transforming capabilities significantly contribute to BMI. Thirdly, both process and product digitalization strategies exert a significant positive influence on sustainable business performance, especially the environmental dimension. Finally, the study exhibits the indirect impacts of seizing and sensing capabilities on sustainable business performance through product and process digitization strategies.Originality/valueThis study extends recent research by investigating the DCs underlying a firm’s digitalization strategies and contribute to ongoing calls for further investigation in the DCs literature. This research design, which draws from a validated measurement framework, responds to recent calls to broaden the toolkit used in DCs research. The practical implications of this study can benefit SMEs in Vietnam and beyond as they seek to enhance their digitalization strategies and achieve sustainable competitive advantage.

Knowledge Management Practice and Organizational Performance in the Context of International Schools

This exploratory study delves into three private international schools' knowledge management (KM) practices amidst the Covid-19 pandemic. Utilizing Gold et al.'s KM framework, the research examines the applicability of this model in the unique industrial context of international schools and explores the potential influence of KM on organizational performance within this context. The findings highlight that teachers proficient in articulating KM processes and infrastructure perceive their schools as more successful in the international education landscape. As schools transition back to in-person learning, leaders and stakeholders are urged to evaluate their KM practices and consider targeted initiatives to cultivate specific competencies, fostering a sustainable competitive advantage and enhancing both financial and non-financial firm performance. This study's originality lies in examining KM practices in international schools during the pandemic, stimulating conversations among school leaders and stakeholders to optimize knowledge management in the post-pandemic era.

Does board structure influence employee retention?: A systematic literature review

<p>Employee Engagement (EE) has become a crucial element for the success of any organization. While psychology has conducted extensive research on EE, accounting has yet to give it the attention it deserves. This systematic literature review (SLR) was conducted to explore the linkage between corporate governance (CG) practices and factors that drive employee engagement (EED) in greater detail. The review identified several key factors influencing EED: board composition, audit committees, top leadership expertise, network power, other stakeholders’ supervision, and above-board application. In particular, the study revealed that effective CG practices have positive EE consequences, such as increased staff morale, job satisfaction, and productivity, and decreased employee turnover rates. The study underlined the importance of an employee-centric culture that encourages empowerment and fosters a sense of belonging in achieving maximum business success. It suggests that companies must create a work environment that promotes EE, provides opportunities for growth and development, recognizes employee contributions, and fosters open communication and collaboration. By leveraging these insights, companies can enhance their business operations and achieve maximum success by fostering a culture of EE and empowerment. The study concludes that businesses prioritizing EE as a core value can create a sustainable competitive advantage, increase their reputation, and attract and retain top talent.<strong></strong></p>

Research on the heterogeneity of executives’ nonsalary incentives on corporate green technology innovation

Purpose Green technology innovation is the organic combination of green development and innovation driven. It is also a powerful guarantee for shaping sustainable competitive advantages of manufacturing enterprises. To explore what kind of executive incentive contracts can truly stimulate green technology innovation, this study aims to distinguish the equity incentive and reputation incentive, upon their contractual elements characteristics and green governance effects, and then put forward suggestions for green technology innovation accordingly. Design/methodology/approach This study establishes an evaluation model and uses empirical methods to test. Concretely, using data from A-share listed manufacturing companies for the period from 2007 to 2020, this study compares and analyzes the impact of equity and reputation incentive on green technology innovation and explores the relationship between internal green business behavior and external green in depth. Findings This study finds that reputation incentives focus on long-term and non-utilitarian orientation, which can promote green technology innovation in enterprises. While equity incentives, linked to performance indicators, have a inhibitory effect on green technology innovation. Internal and external institutional factors such as energy conservation measures, the “three wastes” management system, and environmental recognition play the regulatory role in the relationship between incentive contracts and green technology innovation. Originality/value Those findings validate and expand the efficient contracting hypothesis and the rent extraction hypothesis from the perspective of green technology innovation and provide useful implications for the design of green governance systems in manufacturing enterprises.

Evaluation and Prediction of Sustained Competitive Advantage of Baijiu Enterprises Based on Entropy Weight-TOPSIS and INGO-BP Neural Network

In-depth scrutiny of the sustained competitive advantage within the liquor industry is paramount for facilitating a comprehensive understanding of market positions, benefiting both enterprises and investors. This study addresses the limitations of the current model, characterized by fewer evaluation indices and incomplete data, leading to lower assessment efficiency. To enhance the objective and effective evaluation of sustained competitive advantage, financial indicators (development ability, profitability, solvency, operating ability, and cash flow) are integrated, alongside non-financial indicators (brand value, environment, and social responsibility), forming a systematic approach for assessing listed liquor companies. Authentic data is sourced from official information disclosure websites. Utilizing the sliding average of each index enhances the reflection of the sustained development advantage of enterprises. The study employs the entropy value method to calculate weighted indicators, followed by the TOPSIS method for a comprehensive evaluation of sustained competitive advantage. The obtained evaluation values are used as a priori samples for the prediction model. An INGO-BP neural network prediction model is proposed in this study. This model, optimized with a sinusoidal algorithm for the exploratory phase of the Northern Goshawk Algorithm (NGO), incorporates a nonlinear reduction strategy to expedite the convergence of the Northern Goshawk. A spiral perturbation stage is added to prevent the NGO algorithm from entering local minima. The improved NGO algorithm (INGO) is employed for BP neural network parameter optimization. Simulation experiments reveal a significant enhancement in the performance of the INGO algorithm. In empirical analysis, a comparative assessment with other models demonstrates that the evaluation and prediction model in this study more accurately reflects the sustained competitive advantage of liquor enterprises, yielding predictions of higher accuracy and enhanced stability in performance.

A Study on Brand Management in Retail: Building and Sustaining Competitive Advantage

In the retail industry, brand management is an extremely important factor in building and preserving a competitive edge within the industry. Due to the fact that the retail industry is characterized by fierce rivalry and frequently changing consumer tastes, it is necessary to have good brand management in order to construct and maintain a competitive advantage. It is possible that traditional methods of brand positioning, differentiation, and communication will not be sufficient to adequately grab and maintain market share in the retail landscape of today, which is marked by intense competition. Within the context of a market landscape that is always shifting, this study investigates the tactics that retail brands take in order to construct and maintain their competitive edge. This research focuses on the numerous aspects of brand management, such as brand positioning, brand differentiation, brand communication, and brand loyalty. It does so by drawing on previous research that has been conducted on the subject. The purpose of this study is to give a beneficial addition to scholars alike by evaluating successful retail brands and their approaches to brand management. Also, the study intends to contribute to a deeper knowledge of the dynamics of brand management in the retail sector.

Entrepreneurial bricolage and entrepreneurial performance: The role of business model innovation and market orientation

Newly established enterprises in China face significant challenges and opportunities, with persistently high mortality rates. Navigating market challenges and establishing sustainable competitive advantages are pressing issues for contemporary businesses. This study delves into the bridging role of business model innovation between entrepreneurial bricolage and entrepreneurial performance, with market orientation influencing the relationship boundaries. We examined 288 Chinese small and medium-sized enterprises, investigating the relationships among entrepreneurial bricolage, business model innovation, market orientation, and entrepreneurial performance. Empirical results indicate: (1) Entrepreneurial bricolage positively influences business model innovation, and business model innovation positively impacts entrepreneurial performance. (2) Business model innovation plays a fully mediating positive role between entrepreneurial bricolage and entrepreneurial performance. (3) Market orientation positively moderates the impact of entrepreneurial bricolage on business model innovation and entrepreneurial performance, and it also positively moderates the impact of business model innovation on entrepreneurial performance. (4) Market orientation positively moderates the impact of entrepreneurial bricolage, mediated by business model innovation, on entrepreneurial performance. The study results contribute to a more effective understanding of the mechanisms through which entrepreneurial bricolage and business model innovation influence entrepreneurial performance, as well as how market orientation moderates their relationships and how enterprises sustain competitive advantages.

Strategic analysis of mining and metallurgical companies: consideration of socio-environmental factors

The strategic development of mining and metallurgical companies is currently largely related to the development of social policy and maintaining high responsibility of the business towards its employees and ecosystems. The strategic goals of companies should be aimed at the environmental modernization of production, ensuring, among other things, the reduction of emissions of harmful substances and greenhouse gases. The development of low-carbon technologies, compliance with modern environmental requirements, and the achievement of a high level of social responsibility are both areas of strategic development and opportunities for the formation of new competitive advantages. The purpose of the work is to adapt the methods of strategic analysis to modern environmental and social trends to set the current strategic goals of mining and metallurgical companies in terms of increasing attention to the social responsibility of business and the implementation of green production and low-carbon development. The study substantiates the increasing role of environmental and social factors of sustainable development in the activities of mining and metallurgical companies. Using MMC Norilsk Nickel as an example, the main environmental-oriented areas of the company’s development are identified, and the issues of social policy are also reflected. An algorithm of strategic analysis for the specifics of mining and metallurgical companies is proposed, suggesting the use of classical methods of strategic analysis and goal setting with the use of VRIO-analysis methodology, which in turn will allow to identify sustainable competitive advantages associated with the achievement of environmental and climatic objectives and increased social responsibility.

The Influence of Strategic Entrepreneurship on Competitive Advantage in CV Mutiara

Technological change, dynamic global markets, and intense competition characterize the current business era. The development of Strategic Entrepreneurship highlights the evolution of business and entrepreneurship theories, shifting the paradigm from focusing only on the creation of new businesses towards the integration of entrepreneurship into existing business strategies. This study aims to analyze the impact and contribution of Strategic Entrepreneurship to the sustainability of competitive advantage in modern businesses faced with dynamic market challenges. The method used in this research is descriptive qualitative. This research uses CV Mutiara as a concrete case study. The results show that the implementation of Strategic Entrepreneurship has a significant positive impact on organizational adaptation and sustainability in a constantly changing business environment. By focusing not only on new venture creation but also on long-term strategic planning, organizations can achieve sustainable competitive advantage. CV Mutiara applies the principles of Strategic Entrepreneurship, including innovative strategy development, external collaboration, and enhancing internal innovation capabilities.

FEATURES OF DEVELOPING A DIGITAL MARKETING STRATEGY IN AN ELECTRONIC BUSINESS ORGANIZATION

This article analyzes the fundamental aspects of constructing a digital marketing strategy in organizations focused on electronic business. The impact of contemporary trends and challenges in electronic business on the strategic thinking of enterprises is described, particularly in the context of rapid technological changes and increased competition. The author explores key aspects of digital marketing strategy, defining their role in achieving success in electronic business. Specifically, the transition from traditional marketing methods to the use of online tools and internet platforms is examined. Special attention is given to creating an effective company image in the online environment and developing strategies aimed at building consumer trust. Proposed practical recommendations focus on improving segmentation, integrating electronic marketing, and creating personalized marketing messages for effective interaction with digital consumers. Proper construction of a digital marketing strategy enables the efficient utilization of digital marketing tools and internet platforms to enhance interaction, attract new customers, and retain existing ones. The overall goal is to improve the efficiency of marketing strategies, ensure high customer satisfaction, and increase the profitability of electronic business. This information can be utilized by top management, marketing departments, and electronic business specialists for the development and enhancement of marketing strategies. The emphasis is placed on the fact that an effective digital marketing strategy is a key success factor for organizations operating in the electronic business sector, highlighting the importance of continual adaptation to changes in the online environment to secure a sustainable competitive advantage through the use of personalized approaches and innovations.

Formulation of Telkomproperty's Strategy in Realizing an Outstanding Property Company

In facing competition and environmental changes, TelkomProperty needs to formulate a strategy by identifying internal resources and external conditions in an effort to achieve a competitive advantage. These factors can facilitate the formulation of strategies that can develop TelkomProperty's business. The formulated strategies should also be aligned with the components of Corporate Real Estate Management (CREM). To achieve these goals, the methods used include observation, literature study of relevant theories, and interviews with related informants. The data obtained are analyzed and strategies are formulated with external analysis using PEST analysis (Political, Economic, Social, and Technological). Then, internal analysis is conducted using the Resource-Based View approach and VRIO analysis. The results of the research indicate that TelkomProperty has 3 opportunities and 5 threats with an EFE matrix score of 2.54. TelkomProperty has 13 strengths and 9 weaknesses with an IFE matrix score of 2.84. From the VRIO analysis, TelkomProperty's internal strengths include 4 strengths that fall into the category of sustained competitive advantage. Based on the IE matrix and SWOT analysis, 6 alternative strategies were identified. The best alternative strategy was then determined using QSPM. The chosen strategy is to integrate the Internet of Things into the MyBirawa and MyDEFA applications to enhance the modern experience for customers, making it a distinctive feature of TelkomProperty with the highest STAS value of 3.32.

FEATURES OF DEVELOPING A DIGITAL MARKETING STRATEGY IN AN ELECTRONIC BUSINESS ORGANIZATION

This article analyzes the fundamental aspects of constructing a digital marketing strategy in organizations focused on electronic business. The impact of contemporary trends and challenges in electronic business on the strategic thinking of enterprises is described, particularly in the context of rapid technological changes and increased competition. The author explores key aspects of digital marketing strategy, defining their role in achieving success in electronic business. Specifically, the transition from traditional marketing methods to the use of online tools and internet platforms is examined. Special attention is given to creating an effective company image in the online environment and developing strategies aimed at building consumer trust. Proposed practical recommendations focus on improving segmentation, integrating electronic marketing, and creating personalized marketing messages for effective interaction with digital consumers. Proper construction of a digital marketing strategy enables the efficient utilization of digital marketing tools and internet platforms to enhance interaction, attract new customers, and retain existing ones. The overall goal is to improve the efficiency of marketing strategies, ensure high customer satisfaction, and increase the profitability of electronic business. This information can be utilized by top management, marketing departments, and electronic business specialists for the development and enhancement of marketing strategies. The emphasis is placed on the fact that an effective digital marketing strategy is a key success factor for organizations operating in the electronic business sector, highlighting the importance of continual adaptation to changes in the online environment to secure a sustainable competitive advantage through the use of personalized approaches and innovations.

Knowledge-enhancing HR practices and sustainable competitive advantage: the mediating role of intellectual capital in knowledge-based firms

PurposeThe purpose of this paper is to examine the relationship between knowledge-enhancing HR practices, intellectual capital and sustainable competitive advantage in knowledge-based firms.Design/methodology/approachA quantitative approach was used to conduct the present study. The respondents were sampled from knowledge-based firms in Iran. Overall, 320 managers in 157 firms were selected using convenience sampling. A structural equation model was employed for testing the hypotheses.FindingsThe study confirmed that knowledge-enhancing human resource (HR) practices established a very strong connection with intellectual capital. The results further disclosed a positive relationship between intellectual capital and firms' competitive advantage. A mediated relationship between knowledge-enhancing HR practices and firms' competitive advantage through intellectual capital was also affirmed.Research limitations/implicationsThe study was conducted in knowledge-based firms in Iran, which limits the generalizability of the research findings. Therefore, future studies should be carried out with samples from other contexts. Moreover, as the study was cross-sectional, the causal relationships could not be inferred directly.Practical implicationsThe paper underscored the importance of intellectual capital in improving knowledge-enhancing HR practices and firms' competitive advantage. It suggests to human resource managers to make the organizational arrangements to design knowledge-enhancing HR practices, thereby developing the intellectual capital that brings competitive advantage to knowledge-based firms.Originality/valueThe results of this study contribute to advance research on the intellectual capital literature by trying to explain how intellectual capital as a mediator variable can influence the relationship between knowledge-enhancing HR practices and sustainable competitive advantage.

Enterprise strategy and competitive advantage

This paper delves into the intricate relationship between corporate strategy and competitive advantage. It elucidates the foundational theories of both concepts, explores the various influences shaping corporate strategies, and investigates the sources and drivers of sustained competitive advantage. Additionally, the study examines the issues prevalent in strategic management and underscores the importance of aligning corporate culture with strategy to foster a competitive edge. Through an analytical approach, the paper categorizes corporate strategy schools of thought by their perspective on competitive advantage and asserts that the core subject of corporate strategy theory is the attainment and maintenance of competitive advantage. The findings reveal that challenges in strategy formulation and execution, along with a disregard for the dynamic business context, often result in strategic shortcomings. The construction of a corporate culture that is deeply integrated with strategy is proposed as a key driver for continuous competitive advantage.

Revealing the power play: Unraveling the dynamic environment's influence on intangible resources and sustainable competitive advantage

Purpose – The objective of this study is to examine the impact of the dynamic environment on the relationship between intangible resources and sustainable competitive advantage in large and medium-sized manufacturing firms operating across various sectors.Design/methodology/approach – The research sample was selected using cluster random sampling, which is based on company size, namely large and medium-sized companies only, totalling 257 companies as the unit of analysis. A questionnaire was utilized to collect data. While the study employed residual technique and the Hayes (2012) method for variable assessment, the primary method used was a causal analysis.Findings – The findings indicate that the dynamic environment does not act as a moderating variable, implying that the sustainability of the organization is unaffected by the firm’s dynamic environment.Research limitations/implications – Research findings can play a pivotal role in corporate strategy, enabling companies to reach a sustainable competitive advantage by closely monitoring environmental changes. Practical implications – This research can assist companies in developing business strategies that are more adaptive to environmental changes, enabling them to actively monitor and identify emerging opportunities and threats. By doing so, companies can take appropriate steps to maintain their competitive advantage.Originality/value – Previous researchers have rarely conducted this research, primarily due to a lack of understanding on how to effectively connect dynamic environments with intangible resources in order to achieve sustainable competitive advantage.

Retracted: The Influence of Core Technology Capability of High-Tech Industry on Sustainable Competitive Advantage

Retracted: The Influence of Core Technology Capability of High-Tech Industry on Sustainable Competitive Advantage

The Level of Sustainability to Operate a Franchised Food Outlet in South Africa: A Fast Food Industry Case

This study aimed to determine the sustainability of operate a franchise in the fast-food industry and operating an outlet of a particular brand. It will also close the literature gap by empirically investigating the influence of various factors on the growth of franchised fast-food outlets and the sustainability of the business operating model. The study used a sequential explan-atory mixed method design. The main finding of the study was that level of success of SMEs in operating a franchised food outlet in South Africa is generally low and operating a franchised food outlet in South Africa is not a guarantee that the business will have a sustainable competitive advantage.