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Little research has been done to try and connect type of compensation with the use of a specific competitive strategy. We propose that compensation (percentage of base, bonus, options-granted, and stock for the top management team) will moderate the innovation strategy to performance relationship based on risk and time horizon. Analyses of panel data from 1994 to 1998 for 380 firms show that the innovation strategy to performance relationship is moderated by bonus and options-granted compensation. These findings suggest that implementing an innovation strategy and using a high percentage of bonus compensation will lead to greater performance. Alternately, implementing an innovation strategy and using a low percentage of options granted will create the best outcome. Our findings help she...
This paper explores coopetition, a strategy that combines cooperation and competition in addressing relationships between firms. We examine the underlying nature of coopetition, and evaluate the extent to which it represents a relevant strategy for small firms. Inherent problems are identified when attempting to collaborate with competitors. We propose an approach to measuring the coopetitive tendencies of small firms. The measurement approach centers on three underlying dimensions: mutual benefit, trust, and commitment. Applying this approach, we assess the relationship between coopetition and firm performance. Based on a survey of 647 small firms in Turkey, a strong, positive relationship is identified. Theoretical and managerial implications are drawn from the findings.
The objective of financial reporting is to provide information that is useful to a wide range of users. Investors, for instance, gauge company's performance by evaluating its profitability. The analysis of the financial performance becomes more meaningful when profit is scaled against acceptable measures of firm size such as total assets and sales. Ratios such as return on assets (ROA) andreturn on sales (ROS) are commonly used. Another popular ratio of income performance is earnings per share (EPS). In this tool, the number of ordinary shares is proposed as a measure of firm size. Based on the observations of 233 companies in the Philippines, statistical tools were employed to assess if outstanding ordinary shares can be used a legitimate measure of firm size and to determine the stren...
In this paper we explore how the complexity theory concepts may be applied to social entrepreneurship to generate new insights for theory and practice, along with some of the challenges that social entrepreneurship presents for complexity theorists. The first part of the paper deals with issues in the development of theories of social entrepreneurship and the case of 'Front Line' as an example of the phenomenon. The second part of the paper analyzes the case of Front Line as an 'agent' within the complex system of Human Rights NGOs using a performance landscape framework (Siggelkow & Levinthal, 2003) to draw out the implications for organizational complexity theory, while also identifying insights into the nature and dynamics of social entrepreneurship. We conclude that the performa...
STONINGTON, Maine -- Burnt Cove Church Community Center will officially be opened as a community performance venue at 7 p.m. Saturday, June 2, with a solo performance by soprano and Maine Public Broadcasting Network radio personality Suzanne Nance. Nance will be accompanied by New York City-based pianist Maureen Zoltek. The program, "Suzanne Sings! Songs of Life, Love, and Other 'Good Stuff,'" will include opera selections from Mozart and Bizet as well as classical compositions by Satie, Faure, Poulenc, and a Spanish song-cycle by Manuel de Falla, as well as popular selections from Gerschwin, Bock, Previn, and Sondheim.
We investigate the short-term market response associated with the announcement of large domestic mergers and acquisitions (M&As) involving public U.S. firms with public targets from 1989 to 2003. We partition the results by industry type, identify the underlying motives for acquiring firms engaging in M&As, and examine potential determinants of abnormal performance. Overall, abnormal returns are significantly negative for acquirers but significantly positive for targets. The wealth effects to acquirers range from significantly positive to significantly negative depending on the industry. Targets earn positive short-run abnormal returns across industries. We find that synergy is the main motive for M&As, but some support exists for hubris. Determinants of acquirers' returns i...
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