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Marketing in a competitive economy plays a key role in the development of organizations (enterprises) that want to achieve and maintain a competitive advantage on the market. One of the problems developed in marketing is consumer behavior, thanks to which companies sell their products/services. As part of the behavior, we can distinguish marketing behaviors of consumers, which are the company’s reaction to the customer and the customer to the company. The aim of the study is to present the problem of consumer marketing behavior in shaping the competitive advantage of enterprises. The study was based on the study of the subject literature contributing to the discipline of Management and Quality Sciences. [ABSTRACT FROM AUTHOR]

The question of how firms differ is paramount to strategy scholars. This question has motivated empirical research on the factors influencing performance differences among close competitors. It also has motivated work on factors that increase or decrease the mean performance of firms in an industry. Theories about resources and capabilities tend to dominate discussions of heterogeneity in performance and superior performance. Yet, the strategy field lacks a cumulative body of empirical work showing how firms differ. This article derives conclusions and questions from empirical work on capabilities. We then discuss work that complements but lies beyond the boundaries of traditional capabilities research. We conclude by suggesting approaches to and areas of future work. [ABSTRACT FROM AUTHOR]

The resource-based view (RBV) is one of the most widely accepted theories of strategic management. However, to date no systematic assessment of the RBV's level of empirical support has been conducted. In response, a sample of RBV-grounded empirical articles was analyzed from which it was found that the RBV has received only modest support overall and that this support varies considerably with the independent variable and theoretical approach employed. It is therefore suggested that scholars avoid the tendency to test models reflecting early incarnations of the RBV and instead test those that incorporate its more contemporary theoretical extensions. Copyright © 2007 John Wiley & Sons, Ltd. [ABSTRACT FROM AUTHOR]

This research proposes an on-line diagnosis system based on denoising and clustering techniques to identify spatial defect patterns for semiconductor manufacturing. Today, even with highly automated and precisely monitored facilities used in a near dust-free clean room and operated with well-trained process engineers, the occurrence of spatial signatures on the wafer still cannot be avoided. Typical defect patterns shown on the wafer, including edge ring, linear scratch, zone type and mixed type, usually contain important information for quality engineers to remove their root causes of failures. In this paper, a spatial filter is simultaneously used to judge whether the input data contains any systematic cluster and to extract it from the noisy input. Then, an integrated clustering scheme combining fuzzy C means (FCM) with hierarchical linkage is adopted to separate various types of defect patterns. Furthermore, a decision tree based on two cluster features (convexity and eigenvalue ratio) is applied to a separated pattern to provide decision support for quality engineers. Experimental results show that both real dataset and synthetic dataset have been successfully extracted and classified. More importantly, the proposed method has potential to be further applied to other industries, such as liquid crystal display (LCD) and plasma display panel (PDP). [ABSTRACT FROM AUTHOR]

Although genetic algorithm and multi-objective optimization techniques are widely used to solve problems in the design and manufacturing area, further improvements are required to develop more efficient techniques regarding multi-objective optimization problems. The main goal of the present research is to further develop and strengthen the genetic algorithm based multi-objective optimization approach to generate real-world design solutions in the automotive industry. In this research, a new hybrid approach based on Taguchi's method and a genetic algorithm is presented to achieve better Pareto-optimal set solutions for multi-objective design optimization problems. In addition, fatigue damage and life are also considered to evaluate the results of the design optimization process. The validity and efficiency of the proposed approach are evaluated and illustrated with test problems taken from the literature. It is then applied to a vehicle component taken from the automotive industry. [ABSTRACT FROM AUTHOR]

We argue that combining the insights from both the industrial organization and organizational ecology perspectives is likely to produce value added. We develop are source-based theory of market structure, where resources pertain to the environmental assets (together forming the resource space) without which a firm cannot operate viably. We propose that the distributive shape of the resource space, together with the presence or absence of exploitation economies, molds market structures in terms of density and concentration. Our theory unifies many unconnected strands of theory in the organization sciences domain. [ABSTRACT FROM AUTHOR]

Technologies of model-based rationality are the core technologies of strategic management, having largely replaced earlier technologies that placed greater reliance on traditional practice or on communication either with the stars or with the gods. The technologies used by organizations in their pursuit of intelligence can be imagined to change over time as a result of responding to the successes and failures associated with the technologies. Although technologies of rationality seem clearly to be effective instruments of exploitation in relatively simple situations and to derive their adaptive advantage from those capabilities, their ventures in more complex explorations seem often to lead to huge mistakes and thus unlikely to be sustained by adaptive processes. Whether their survival as instruments of exploratory novelty in complex situations is desirable is a difficult question to answer, but it seems likely that any such survival may require hitchhiking on their successes in simpler worlds. Survival may also be served by the heroism of fools and the blindness of true believers. Their imperviousness to feedback is both the despair of adaptive intelligence and, conceivably, its salvation. [ABSTRACT FROM AUTHOR]

We integrate and extend research on causal ambiguity, indicating the principal causal paths from ambiguity to performance and discussing the connections between empirical findings and resource-based expectations. We then develop the linkage between causal ambiguity and management perception. Drawing on experimental and field research, we give testable propositions linking ambiguity, perception, and firm performance; integrate this research with studies of causal ambiguity; and suggest directions for future causal ambiguity research. [ABSTRACT FROM AUTHOR]

By working with and through the paradoxes present in the resource-based view (RBV) of strategic management, scholars can advance understanding concerning the contradictions and tensions inherent in creating and sustaining superior firm performance. We identify and discuss various RBV paradoxes, illustrating how paradoxical thinking can enhance theorizing and open up new vistas for knowing and understanding. Finally, we discuss the utility of the paradoxical perspective in furthering RBV scholarship. [ABSTRACT FROM AUTHOR]

This article examines knowledge sharing in business environments and cultures that are hostile to knowledge sharing, focusing on knowledge sharing as it relates to individual behavior. Knowledge hoarding, apprehension about failures, and the Not-Invented-Here syndrome are examined, drawing on the examples of six Russian companies, including three with Western ownership. In knowledge-sharing hostile environments it is inadequate to apply traditional means for managing knowledge-sharing processes. Instead of encouraging, stimulating, and aligning incentives, managers need to initially force knowledge sharing in order to transform their organizations into knowledge-embracing cultures. Concrete guidelines for overcoming the barriers to knowledge sharing are outlined. [ABSTRACT FROM AUTHOR]

The author reports on the impact which corporate scandals in the United States have had on organizational and management research. Also discussed is the way in which the roles of professors at business schools have been altered. The challenges which business school professors face in the wake of corporate scandals are discussed. Changes which have occurred to the way in which business schools teach ethics and the ways in which organizational research is handled are discussed. Questions which have been raised regarding the impact of professors sitting on corporate boards are mentioned.

This paper addresses two key questions: (1) what factors influence firms' ability to build alliance capability and enjoy greater alliance success, where firm-level alliance success is measured in two ways: (a) abnormal stock market gains following alliance announcements and (b) managerial assessments of long term alliance performance; and (2) are the two alternate ways of assessing alliance success correlated? We find that firms with greater alliance experience and, more importantly, those that create a dedicated alliance function (with the intent of strategically coordinating alliance activity and capturing/disseminating alliance-related knowledge) realize greater success with alliances. More specifically, firms with a dedicated alliance function achieve greater abnormal stock market gains (average of 1.35%) and report that 63 percent of alliances are successful whereas firms without an alliance function achieve much lower stock market gains (average of 0.18%) and only a 50 percent long-term success rate. We also find a positive correlation between stock market-based measures of alliance success and alliance success measured through managerial assessments. In addition to providing insights into the development of alliance capability among firms, this paper is one of the first to provide empirical support for the efficient markets argument by demonstrating that the initial stock market response to a key event positively correlates to the long-term performance and value of the event. [ABSTRACT FROM AUTHOR]

Market entry decisions are some of a firm's most important strategic choices. Although some recent studies have begun to consider the impact of learning and experience on foreign market entry, no study has examined the impact of a firm's own operations in similar markets on subsequent entry decisions. In this study, the authors introduce the concept of near-market knowledge to reflect the knowledge firms generate by operating in markets that are culturally and economically similar. The authors compile extensive data on the complete foreign market entries of 19 multinational firms. They use a hazard model on 722 entry observations to evaluate the impact of the dynamic near-market knowledge measures and other economic and cultural variables on foreign market entry timing. In contrast with much previous research, the authors find that cultural distance from the domestic market is not a significant factor. However, the authors find significant effects for the new measures of near market cultural and economic knowledge and for several other economic variables as well. The authors discuss the implications of these findings for further research and management practice. [ABSTRACT FROM AUTHOR]

Many potential benefits of foreign expansion have been identified in the literature, yet empirical support that multinational firms perform better than domestic firms is mixed. This paper takes a longitudinal perspective and argues that how much a firm benefits from having foreign subsidiaries depends on its process of internationalization. We argue that a firm's capacity to absorb expansion is subject to constraints: some expansion patterns increase profitability less than others, owing to diseconomies of time compression. We hypothesize that the speed of internationalization, the spread of the geographical and product markets entered, and the irregularity of the expansion pattern negatively moderate a firm's increase in profitability resulting from international expansion. Model estimations based on panel data raised strong support for these predictions. [ABSTRACT FROM AUTHOR]

The relationship between ownership and diversification has been the focus of renewed debate between financial economists and strategic management scholars. While financial economists hold that manager-controlled firms tend to reflect higher levels of diversification, strategy researchers argue that ownership and diversification are not systematically related. In throwing light on this debate, this study uses a fine-grained definition of ownership groups to explore how the different objectives and monitoring predispositions of distinct ownership groups might influence diversification strategy. The empirical examination is set in India to offer a striking contrast from the predominantly U.S.-based studies that have shaped the ongoing debate. Findings show that diverse ownership groups adopt different postures in monitoring and/or influencing organizational diversification. While some ownership groups are closely associated with focused strategies, and some encourage diversification, others are quite indifferent. These results suggest that the context-specific variation among ownership groups is germane to our understanding of diversification strategy. [ABSTRACT FROM AUTHOR]

We compare the survival of new domestic and foreign-owned firms. We analyze the determinants of the survival of new firms and investigate whether foreignness accounts for significant differences in the survival of new foreign and new domestic firms. We find survival to be determined by ownership advantages, size and growth strategies, the internal organization of firms, and by industry characteristics such as economies of scale, and industry entry and growth. After controlling for these characteristics, we find that domestic and foreign firms do not exhibit different chances for survival, that they respond in similar fashions to the determinants of survival and display identical time patterns of exit. [ABSTRACT FROM AUTHOR]

The paper presents a theoretical model of the relationships between market-focused resources, competitive positioning and firm performance. Building on prior work in strategic management, theory form the 'resource based view' (RBV) of the firm is integrated with marketing theory to propose a holistic model and suggest a future research agenda. [ABSTRACT FROM AUTHOR]

To develop and sustain competitive advantage, companies must begin thinking about strategy in a more integrated way. First, strategies must be comprehensive: they need to have clear direction and a coherent product-market focus, and they must be supported by incisive operating capabilities and resources and robust organization cultures. Second, strategies must align these dimensions and their subcomponents and ensure that each is well adapted to the competitive environment. Third, all of the elements of strategy need to be orchestrated around a powerful core theme. This article shows how managers can develop each of these aspects of strategic integration. [ABSTRACT FROM AUTHOR]

Private venture capital casts a long shadow over corporate ventures, in part because they compete for the same entrepreneurial talent. Corporate venturing may improve its performance by emulating certain practices of private venture capital but will never achieve the structures that private venture capital can create. Instead, the design principles for corporate ventures should embrace potential structural advantages of corporate venturing and leverage those advantages. These potential advantages include: an indefinite time horizon, the ability to commit very large sums of capital, the ability to coordinate complementarities with non-tradable corporate assets, and the ability to retain greater group and organizational learning from failed venture experiences. Lucent's New Ventures Group adopts many useful practices of private venture capital, but retains some of the potential structural advantages of venturing within an established firm. [ABSTRACT FROM AUTHOR]

This article explores the role of consistency in human resource practices. It explores and explains different forms of consistency and why they are valuable in managing human resources: consistency among different aspens of human resource policy, such as integrating compensation, recruitment, and promotion policies; consistency in how human resource policies aifcci different classes of employees (should scientists and engineers be treated similarly, for instance, and what about clericals?); and consistency of human resource policies over time. In the context of the second soil of consistency, the article explores both the span of consistency and "manufactured distinctions* that facilitate distinctive treatment to different employees. The article discusses the problem of measuring consistency and provides examples illustrating consistent and inconsistent human resource practices. [ABSTRACT FROM AUTHOR]

This article analyzes how Knowledge Management (KM) is likely to affect competition in the management consulting industry. KM represents a fundamental and qualitative change in this industry's basic production technology. Because management consultants acquire information directly from their customers, for these firms, KM technology exhibits increasing returns to scale. As such, although KM clearly represents an opportunity for some consultants to build a sustainable competitive advantage, it is likely to lead to a shake-out. Based on the industry's early experience with KM systems, this article describes a number of possible future outcomes as well as strategies that consultants can follow. [ABSTRACT FROM AUTHOR]

This study examines the influence of the social network of board interlocks on strategic alliance formation. The authors' theoretical framework suggests how board interlock ties to other firms can increase or decrease the likelihood of alliance formation, depending on the content of relationships between CEOs (chief executive officers) and outside directors. Results suggest that CEO-board relationships characterized by independent board control reduce the likelihood of alliance formation by prompting distrust between corporate leaders, while CEO-board cooperation in strategic decision making appears to promote alliance formation by enhancing trust. The findings also show how the effects of direct interlock ties are amplified further by third-party network ties. [ABSTRACT FROM AUTHOR]

This article introduces a new approach to corporate identity scholarship and practice called 'The ACID Test of Corporate Identity Management.'™ The researchers undertook empirical research within a major corporate identity consultancy with the objective of evaluating and contrasting the techniques used by the consultancy with the latest developments in corporate identity scholarship. An analysis of the documentary material produced by the UK's top 20 corporate identity consultancies and of the conceptual models of corporate image/corporate identity produced by academics was undertaken. A qualitative research design was adopted, based on in-depth interviews, desk research and content analysis. The research revealed thet most corporate identity projects adopted a 'vision driven approach.' In other words corporate identity strategies were being built around the corporate vision as articulated by an organisation's chief executive and/or board of management. Furthermore, visual identification was used as the primary vehicle to effect a change in the organisation's identity. The analysis of the documentary material of twenty corporate identity consultancies revealed that this vision driven approach was common across the industry. This finding is at variance with the latest developments in corporate identity research and scholarship which acknowledges that a variety of identity strategies are required in order to meet the various identity problems faced by organisations. It became clear that there was scope for a method which could help to (a) identify weaknesses with an organisation's identity strategy and management and (b) prioritise the type of identity change required in light of the current identity. The researchers found that the corporate identity interface concept introduced by Abratt (1989) and, which has been further develped by Stuart (1994) and Balmer (1998) could be used as the basis for a new approach to corporate idenity consultancy, ... [ABSTRACT FROM AUTHOR]

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In the paper, an attempt was made to answer the following question: what is the maturity level of the Polish companies operating in the agricultural machinery sector within the area of the implementation of quality management principles, methods and tools? In reference to such an outlined purpose, as necessary activities, it was recommended: at the theoretical level – using the reconstruction and interpretation method of the subject literature – to nominate the questions giving opinions on the maturity level in the sphere of the effective implementation of quality management principles, methods and tools; at the design level – to compile a research tool in the form of an assessment sheet that constitutes a result of the literature exploration and discussion among deliberately chosen experts; and at the empirical level – questioning among manufacturers of parts, components and finished agricultural machinery. [ABSTRACT FROM AUTHOR]

Measures of strategy made at the product and business level were compared using data from a large multiproduct U.S. firm. The business-level results were not found to be good indicators of product-level strategies. Also, contrary to previous research, no evidence of the use of combined cost-leadership and differentiation strategies was found at the product level. [ABSTRACT FROM AUTHOR]

Adopting an information-processing perspective and drawing on work in social psychology, this study examined the effects of top management team size and chief executive officer (CEO) dominance on firm performance in different environments. Data from 47 organizations revealed that firms with large teams performed better and firms with dominant CEOs performed worse in a turbulent environment than in a stable one. In addition, the association between team size and CEO dominance, and firm performance, is significant in an environment that allows top managers high discretion in making strategic choices but is not significant in a low-discretion environment. [ABSTRACT FROM AUTHOR]

A survey of 120 U.S. firms indicated substantial East-West trade activity. However, almost no joint ventures between U.S. firms and Eastern European enterprises were found. There seemed to be a strong negative attitude among U.S. executives with regard to joint ventures with Eastern Europe. This negative attitude was partitioned into two parts, that dealing with the executives' perception of political risk and that associated with the belief that more managerial time is required to supervise ventures in Eastern Europe. Executives knowledgeable about Eastern Europe show more concern for the latter aspect, while those less familiar with Eastern Europe are more likely to worry about the political risks. [ABSTRACT FROM AUTHOR]

The authors review the application of longitudinal analysis in strategic management research and show that how such analysis is conducted has implications for empirical results and theory development. A content analysis of 203 longitudinal strategic management studies reveals that most researchers have not (1) tested and controlled for violations in the data assumptions underlying longitudinal analysis or (2) tested the stability and form of the empirical relationships over time. Implications of these findings are demonstrated with analyses of the diversification and divestiture relationships of 180 Fortune 500 companies over the period 1985-88. The results show that empirical results, theoretical development, and practical applications can vary on the basis of how longitudinal analysis is performed. Suggestions for the use of longitudinal analysis in strategic management research are offered. [ABSTRACT FROM AUTHOR]

Similarity judgments are an important and distinct aspect of strategy formulation. They are manifest in strategic decisions and errors, and in the construction of analytic concepts such as strategic groups and relatedness in diversification. However, existing models of strategy formulation either assume away the process of making similarity judgments or regard it as unproblematic. This paper highlights the role of similarity judgments in strategy formulation, and discusses cognitive findings showing that decision makers' assessment of similarity is not free from bias. The cognitive findings help construct a new process explanation for a wide range of apparently isolated strategic errors. The process explanation is contrasted and integrated with traditional explanations based on imperfections in decision inputs. Finally, in light of the cognitive findings, the methods and assumptions of existing approaches in strategy formulation research to the construction of analytic concepts are reexamined. [ABSTRACT FROM AUTHOR]

An analysis of 399 banks self typed as prospectors, analyzers or defenders indicated that the self typing paragraph approach was a useful measurement instrument which has reasonable convergent validity, supporting Shortell and Zajac (1990), and providing further evidence of the value of the self typing paragraph approach in strategy research. [ABSTRACT FROM AUTHOR]

The article reflects on the diffusion of the 'resource-based view of the firm' into academic and practitioner thought. The contributions of many people are noted. In closing, I offer some speculations about the future use of these ideas. [ABSTRACT FROM AUTHOR]

The strategic planning process is inextricably linked with the issue of corporate goal formulation. It is argued that greater progress will be made in understanding marketing's participation in strategic planning if marketing's role in the goal formulation process can be explicated. Unfortunately, the extant theories of the firm are inadequate in varying degrees for this purpose. A new theory of the firm is proposed that attempts to specify the role of marketing and the other functional areas in the goal setting and strategic planning process. [ABSTRACT FROM AUTHOR]

This paper considers the factors affecting the design of material-requirements-planning (MRP) systems for make-to-order companies. It shows how key elements of MRP, such as bills of material, design change control, master production scheduling (MPS) and order entry. can be made to function effectively within this type of business environment. The work is based on a major research programme between Simon Container Machinery Ltd and the UMIST, Total Technology Scheme. [ABSTRACT FROM AUTHOR]

During 1978 a pilot study was carried out among a number of companies and institutes in North-Western Europe. The purpose was to determine by what ways and means management know-how is being transferred from Western Europe to i the Third World. The concept of management know-how was restricted to those aspects which are required to manage (a part of) an industrial enterprise or another organization in order to achieve (economic) result. Five areas of management know-how were distinguished: management methods and techniques; internal and external social relationship; phases of management process; levels of management; functional management. In general, know-how consists of a combination of knowledge and skill. Know-how will only lead to useful resets if it is applied with the right attitude and has been adapted properly to the specific culture and infra-structure. 'Transfer and adaptation' of management know-how should be regarded as a learning process in which two-way communication takes place. It is better therefore to speak of 'exchange' of management know-how. Management consultants and educators can play an important role. For proper management of change, a change of attitude and know-how of management is often required. [ABSTRACT FROM AUTHOR]

If the knowledge field is to move forward, there are--from a business perspective--three priority areas for further research and experimentation. They are: research on how tacit knowledge can continue to be "tapped into and utilized" despite increasing economic and business forces that are disrupting the social nature of the workplace community where tacit knowledge lives and thrives; research on how to optimally structure knowledge flow between knowledge seekers and knowledge providers to maximize the impact of knowledge; and research on how to make knowledge, which by its nature is fuzzy and intangible, visible and concrete. Progress in each of these three areas would significantly contribute to making the relationship between knowledge and the firm a significant business reality. [ABSTRACT FROM AUTHOR]

The emerging interest in knowledge management requires, and will probably receive, considerable scholarly inquiry. As research advances, it ought to be especially sensitive to preserving, and building upon, the already significant literatures on the management of technology, entrepreneurship, innovation, and business strategy. There are several research issues that are particularly salient and warrant special attention. Researchers need to: assemble evidence to test the proposition that firm-level competitive advantage in open economies flows fundamentally from difficult to replicate knowledge assets; make greater effort to quantify the value of intangible assets; understand generic inputs, idiosyncratic inputs, and profitability; and explore the importance of entrepreneurial versus administrative capabilities. [ABSTRACT FROM AUTHOR]

Whether in high-tech, service, or traditional industries, the role of knowledge as a primary driver of development is being increasingly recognized. It is not clear, however, whether managerial approaches based on mindsets rooted in past practice are appropriate for, or capable of, fully realizing the potential value of knowledge within the firm and/or industry. At least three related Issues stand in the way of full knowledge utilization: conceptualization and measurement of knowledge capital as a primary organizational asset, the integration of knowledge capital into the strategic management process, and the development of organizational forms and processes that facilitate the use and development of knowledge. While leading-edge firms are already wrestling with these issues, advances in theory and research are needed to help develop appropriate responses and provide frameworks that will help spread these new approaches. In doing so, advances may also be made that allow for the recognition of the central role of collaboration in the knowledge process. [ABSTRACT FROM AUTHOR]

One of the most effective avenues toward improvement is the process of internal benchmarking -- identifying, sharing, and using the knowledge and "best practices" inside one's organization. But the process can be tricky and time consuming because of obstacles such as ignorance about resources or others' needs, a culture that values personal expertise more than knowledge sharing, and a lack of resources for implementation of best practices. This article explores how organizations conduct successful internal benchmarking, relating details ranging from requirements for successful transfer to lessons learned. [ABSTRACT FROM AUTHOR]

Countering claims that cyberspace will bring the end of organizations in general and of the firm in particular, this article points to the role organizations play in fostering the production and synergistic development of knowledge. Formal organizations help turn the partial, situated insights of individuals and communities into robust, organizational knowledge. To organize knowledge in this way requires acknowledging the boundaries inevitably erected within organizations through the division of labor and the division of knowledge. Infrastructure for organizing knowledge must overcome these boundaries. Assuming that knowledge is a frictionless commodity possessed by individuals makes communications technologies and social organization curious antagonists. This article argues instead for compatible organizational and technological architectures that respond to and enhance the social production of knowledge. [ABSTRACT FROM AUTHOR]

Knowledge creation is the key source of innovation in any company. However, it is a fragile process fraught with uncertainty and conflict of interest. The effective creation of new knowledge (especially tacit social knowledge) hinges on strong caring among organization members. Managers have several means to facilitate caring relations, including new incentive systems, mentoring programs, care as an articulated value, project debriefings, and training programs in care-based behavior. [ABSTRACT FROM AUTHOR]

The increasing liberalization of markets coupled with the creation of new markets for intermediate products is stripping firm-level competitive advantage back to its fundamental core: difficult to create and difficult to imitate intangible assets. This article explores these developments and elucidates implications for the management of intellectual capital inside firms. [ABSTRACT FROM AUTHOR]

Executives think a lot about the future; it drives much of what modern management is all about. The techniques of forecasting and modeling, by their very nature, are designed to reduce the inherent uncertainty of predicting the future. Unfortunately, motives other than "predicting" often politicize the forecasting and modeling process to the detriment of managerial decision quality and investor confidence. Many firms routinely manipulate elements of the forecasting process. Requests by senior management to purposely alter forecasts, backcast from previously established cost and revenue positions, or mis-specify models occur all too frequently. Better training, formalized forecasting procedures, codes of conduct, clearly defined consultants' roles, and punitive actions can improve the quality of forecasting. [ABSTRACT FROM AUTHOR]

A business strategy must be congruent with the capabilities of a firm as well as both its market and nonmarket environments. The market environment includes those interactions between the firm and other parties that are intermediated by markets or private agreements. The nonmarket environment includes those interactions that are intermediated by public institutions. A business strategy must integrate both market and nonmarket components. [ABSTRACT FROM AUTHOR]

Based on discussions with managers from fifteen different reengineering projects, and supplemented by published evidence from eight other projects, the article discusses what distinguishes reengineering from other performance improvement alternatives, what conditions induce organizations to attempt it, and what factors managers have identified that either interfere with or enable the design and implementation of reengineering projects. Reengineering is difficult and risky, but it is the best option to pursue when organizations discover they must improve along a new strategic trajectory that they have not customarily considered critical. [ABSTRACT FROM AUTHOR]

The article presents information on the myths associated with the size of business enterprises. Although the popular belief that large, multidivisional (and often multinational) corporations are dying out is false, the difficulties facing traditional big business are still sizeable. The author considers how newly emergent large firms make it in an economy geared towards smaller organizations. Concentrated economic power is changing its shape, as big firms are creating networks and making financial and technology deals with one another. Governments at all levels are typically involved in the process, while smaller firms act as their suppliers and subcontractors. As production becomes increasingly decentralized, managers try to enhance their flexibility in the face of obstacles to market entry and of chronic uncertainty about political conditions and customer demands in distinct places.

The article presents information on achieving dynamic stability through information technology. While most firms and their managers have learned how to deal with periodic changes in market demand and production technologies, many are not equipped to deal with simultaneous rapid changes in areas such as customer demands, products, and competitive boundaries. Designing and managing the dynamically stable firm presents a difficult challenge. The author compares systems of scope to vertical and horizontal systems, noting the advantages and disadvantages of each. Asea Brown Boveri is given as an example of a central decision making unit which contains loosely linked organizational units together to for a single global entity.

The article presents a human resource management perspective on employee voice. The author feels that the managements of nonunion businesses need to recognize the necessity of employee voice. Two elements of employee voice are discussed: The expression by employees to management of their complaints in a work-related context (particularly for complaints that are serious enough to warrant the filing of formal grievances), and the participation of employees in the decision-making processes of business organizations (often referred to as "participative management"). Participative management works on the underlying concept that employees possess sufficient ability, skill, knowledge and interest to participate in business decisions.