Environmental scanning literature - past, present and future research propositions

The purpose of this paper is to establish research propositions that can potentially fill research gaps in the literature of environmental scanning. Major databases such as ABI/INFORM, and Emerald have been searched to gather literature. The literature on environmental scanning is reviewed with an aim to identify patterns in scanning practices as well as research gaps in the extant literature. Three major phases of the development and three main characteristics of the literature have been identified. Four propositions are suggested to fill the research gaps in the literature of the environmental scanning practices; namely, firm characteristics, market orientation, and top management cognition perspective. Further empirical research is needed to test the four propositions in order to provide a full picture for the environmental scanning literature. The contributions of this paper are: 1) the revelation of the evolution of the environmental scanning literature; 2) the identification of research gaps in the environmental scanning literature; 3) the establishment of propositions through which future research can further the knowledge of environmental scanning.

Firm heterogeneity and calendar anomalies

While the calendar anomalies and financial market relationship is one of the oldest relationships in financial economics, we treat this relationship differently by addressing two unknown issues: (a) Do calendar anomalies have a heterogeneous effect on firm returns and firm volatility depending on the sectoral location of firms? and (b) Do calendar anomalies affect firm returns and firm volatility differently depending on firm size? Unlike the assumption in this literature that firms are homogeneous, we show that they are in fact heterogeneous. Using 560 firms listed on the New York Stock Exchange (NYSE) over the period 5 January 2000 to 31 December 2008, we find fresh results, previously undocumented in this literature. We find evidence of calendar anomalies affecting returns and return volatility of firms differently depending on their sectoral locations and size.

The role of organisational climate factors in facilitating workplace innovation

A firm’s ability to be adaptable, entrepreneurial and innovative may assist them to maintain, or achieve competitive advantage. We investigated the relationship between organisational climate and innovation in a consulting firm. Analyses of the 98 returned surveys showed significant relationships between organisational climate subscales of autonomy, worker cohesion and innovation with workplace innovation. Co-worker cohesion and pressure (negatively) predicted organisational innovation. Autonomy, innovation, cohesion and recognition predicted innovation climate. Autonomy and innovation predicted individual innovation while cohesion predicted team innovation. The results of the linear regressions revealed that organisational innovation, was the most significant model emerging, accounting for 40% of the variance. The study concluded that organisational strategies encouraging autonomy and co-worker cohesion were conducive to workplace innovation.

Sustaining the international competitive advantage of Asian firms : a conceptual framework and research propositions

The sudden loss of export markets by many Asian firms during the Asian financial crisis (AFC) has raised important questions on how firms in the region can regain and sustain their competitive advantage in international markets. This paper develops a conceptual model which focuses on certain key elements of a firm's internal resources as critical sources of competitive advantage and offers research propositions. It is argued that Asian firms can enhance their international competitive advantage by leveraging their internal resources within an external environment generally conducive to growth.

Enterprise social networking in knowledge-intensive work practices : a case study in a professional service firm

Social media technologies are making fast inroads into organisations. In the context of knowledge-intensive work the propositions of improved communication, information sharing and user involvement seem particularly promising. We study the phenomenon of Enterprise Social Networking (ESN) in the context of Professional Service Firms (PSF). Our case study investigates emerging knowledge work practices on the ESN platform Yammer within Deloitte Australia. We perform a genre analysis of communication data and uncover a set of emerging practices. We reflect on our results in the context of the knowledge-intensive nature of professional service work. We find that Yammer in the case company has become 1) an information-sharing channel, 2) a space for crowdsourcing ideas, 3) a place for finding expertise and solving problems and 4) a conversation medium for context and relationship building. We conclude by positioning ESN in the well-known 3-C model for classifying collaborative ICT.

Inter-firm knowledge diffusion, market power, and welfare

We propose an infinite-horizon quantity-setting differential game with learning spillovers and organizational forgetting to analyze the optimal management decisions affecting the evolution of the stock of know-how, and, in turn, the dynamics of productive efficiency. Specifically, we study the long run impact of inter-firm knowledge diffusion on market power, i.e. the ability of a firm to raise the price above the marginal cost, and welfare. We consider two types of processes through which knowledge is acquired: (i) passive learning, or learning-by-doing, where managers do not actively invest in information and (ii) active learning, or learning-by-investing, where managers acquire new and additional information through specific investments in human capital. We show that: under (i), knowledge diffusion reduces market power; under (ii), knowledge diffusion reduces market power as long as learning spillovers are sufficiently important. From a welfare viewpoint, we also show that: under (i), knowledge diffusion is always welfare-enhancing; under (ii), weak spillovers are required in order for knowledge diffusion to be welfare-enhancing.

Firm characteristics and information risk

Following the work of Easley et al. (2002) in documenting the effect of private information on cross-sectional stock returns, we examine the relationship between a firm’s fundamental characteristics and its probability of information-based trading (PIN). We find that asset turnover and dividend yields are important firm characteristics that influence a firm’s PIN. The findings also offer an alternative explanation as to why firm characteristics are informative about asset prices.

Institutional environment, innovation capacity and firm performance in Russia

Purpose – Following the demise of the Soviet Union in 1992, Russia undertook major institutional and market-oriented reforms to enhance the competitive advantage of domestic enterprises. Although Russia has experienced rapid growth over the last two decades, the extent to which institutions in Russia impact on firm innovation and performance remains poorly understood due to a lack of research on the subject. This paper seeks to contribute to the literature on the competitiveness of Russian firms by focussing specifically on the extent to which the state of the regulatory quality, rule of law, and corruption affect the innovation capacity and performance of firms in Russia.

Design/methodology/approach – The study uses structural equation modelling and data from a large-scale firm level survey (n=787) of firms in Russia undertaken by the World Bank in 2009. It investigates the direct and indirect perceptions of respondents of the effects the current institutional environment has on the innovation capacity and performance of their respective organisations.

Findings – The results show that regulatory quality, rule of law and corruption have strong direct and negative impacts on both the innovation capacity and performance of firms, and that innovation capacity strongly mediates the effects of institutions on firm performance. The results suggest that the current state of the regulatory quality, rule of law and corruption in Russia inhibit firm innovation and their resulting performance.

Research limitations/implications – The findings should be interpreted with caution to the extent that the study is limited to only three elements of the formal institutional environment and does not take into consideration the role of informal institutions. These two limitations present avenues for future research.

Originality/value – The study is one of the first to provide empirical evidence based on a large-scale survey of the extent to which formal institutions inhibit innovation and firm performance in Russia, and provides valuable guidance to business policy-makers in Russia on possible avenues for enhancing the overall competitiveness of Russian firms.

Rural and regional Australian public accounting firm services : service provision, concerns and tensions

Public accounting firms provide a necessary and important service for rural and regional areas. However, the provision of high-quality services is hindered by a number of factors. This paper reports the findings from a large-scale survey of professional accounting firm practitioners located in rural and regional Australia, identifying factors causing concerns and tensions and quantifying their scope and importance. Prominent concerns and tensions identified include adverse effects arising from the employment market, communications technology developments and legislation such as the Corporate Law Economic Reform Program (Audit Reform and Corporate Disclosure) Act 2004 and the Financial Services Reform Act 2001.