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We study whether the early adoption of information technologies provides competitive advantages and examine the source of such advantages. Existing research in this area has failed to differentiate between the advantages arising from the timing of adoption (e.g., asset preemption) and those that are related to higher levels of adoption (e.g., organizational learning). In this paper, we break down these advantages into two components: order of adoption (early vs. late adopters) and level of adoption (high vs. low internal diffusion levels). The empirical analysis examines the adoption and subsequent intrafirm diffusion of the automated teller machine in a sample of Spanish savings banks using a long data panel extending from 1988 to 2004. The results show that the advantages associated with the order of adoption outweigh those associated with the level of adoption and have the potential to be long lasting. Our findings are consistent across various estimation methods, and we assess different performance dimensions (ROA, income, and efficiency). Our modeling and findings have implications for managers and can be applied to the study of the early adoption of modern technologies. [ABSTRACT FROM AUTHOR]

The Internet of Things has received enormous attention. Despite the lucrative potential, this study tries to look beyond the hype to understand how IoT impacts firm performance. Based on the information processing theory, we intend to explore how IoT influences the financial performance of firms. Firms, which realise the urgent need to adopt IoT might encounter a diverse set of challenges, like whether adoption will be profitable, the level of commitment they should devote, and whether to adopt as a first or second-mover. We want to comprehend such adoption challenges on the Indian manufacturing firm's financial performance. This study uses panel data from BSE 500 listed manufacturing firms and conducts multivariate analysis to understand the relationship between the IoT implementation proxies: IoT adoption, first-mover advantage, and firm performance in the light of IoT commitment and experts. The result indicates that IoT implementation has an insignificant effect on manufacturing firm performance. Meanwhile, the consideration of IoT commitment and experts jointly can enable a manufacturing firm to reap significantly positive financial outcomes. In other words, the IoT commitment and expertise positively moderate the relationship. The finding is useful to the decision-makers to address the firm-level adjustment before the mere introduction of IoT. [ABSTRACT FROM AUTHOR]

In the present article, we propose the concept of the HR function's relational activities and examine its influence on the firm's human capital resources (HCRs) and performance. Integrating insights from various streams of research in strategic human resource management (HRM) and strategic human capital, we develop a relational perspective of the HR function and propose the relational activities as the HR function's advisory and informative activities toward its internal stakeholders (i.e., line managers, employees, and senior managers) to help the stakeholders meet their goals and needs. In our framework, we theorize how the HR function's relational activities lead to superior firm performance by enhancing the firm's HCRs and identify the firm's strategic HR systems and human capital losses as factors that complement and necessitate the HR function's relational activities, respectively. Using a five‐wave, nationally representative panel dataset covering 1415 firm observations, we find robust support for our hypotheses: the HR function's relational activities were positively related to HCRs, which was more pronounced when coupled with high levels of strategic HR systems and human capital losses. The HCRs, in turn, transmitted the effects of the relational activities on the firm's subsequent operational and financial performance. Overall, these findings develop strategic HRM theory by contributing a more comprehensive conceptualization of the HR function's role in the strategic HRM process and by revealing its effects on firm performance along with key moderators. [ABSTRACT FROM AUTHOR]

PurposeMethodology/approachFindingsResearch implicationsOriginality/value/contributionPractical implicationsLive streaming e-commerce is an emerging e-commerce model within the realm of the mobile Internet, based on video-centric social media interaction. However, there is currently a lack of in-depth research on live streaming from a business perspective and the impact of product selection in live streaming on firm performance. To fill these gaps, the current study investigated how brand – consumer congruence moderates the influence of product selection in live streaming on firm performance and how this effect varies across retailers.The model and hypotheses were tested by applying partial least squares regression to data collected from 302 online retailers in the Chinese live streaming market.Product selection in live streaming had a significant positive impact on firm performance. Brand – consumer congruence in live rooms partially mediated the relationship between product selection and firm performance. Live room scenario matching and live room interaction had significant positive moderating effects on the main effect of product selection in live streaming on firm performance.The literature has focused on the impact of live streaming on customer purchase behavior. Few studies have explored the value of live streaming from a business-to-business marketing perspective. Our findings offer theoretical insights into the relationship between product selection and firm performance.This is the first study to examine the value of product selection in live streaming. In addition, it reveals how product selection affects firm performance through brand – consumer congruence.This study has implications for online retail managers based on the effect of product selection in live streaming on firm performance and the roles of brand – consumer congruence, interaction, and scenario in live streaming of business-to-business marketing. [ABSTRACT FROM AUTHOR]

Digitisation is among the macro-trends that significantly influence the business world in the twenty-first century. Firms striving to succeed in this environment must develop new strategic approaches. The accelerating development of information technology (IT) drives digitisation. Therefore, IT and business strategies must be integrated. In this context, the information systems literature promotes the concept of digital business strategies (DBSs), reflecting a fusion between IT and business strategies. However, knowledge of the types and characteristics of such DBSs is currently scarce. Therefore, we developed a conceptually and empirically grounded typology of DBS based on the well-known business strategy classification by Miles and Snow (1978). Using a dataset comprising 192 firms worldwide, we conducted a cluster analysis, identified basic types of DBS, and evaluated their effects on firm performance. Moreover, we identified four types of DBS: non-digital reactor, analyser, digital opportunist, and digital producer. The study contributes to a better understanding of new business strategy concepts in the digitisation context. [ABSTRACT FROM AUTHOR]

Grounded in both agency and upper echelons perspectives, this paper examines the effects of chief executive officer (CEO) narcissism and power on corporate reporting on the Sustainable Development Goals (SDGs). We theorise that CEOs' narcissistic tendencies and power will influence their firms' SDGs engagement and reporting practices. We also examine whether SDGs reporting affects firm performance. Based on a sample of FTSE 100 companies for the period 2018–2022, we test our ideas using generalised estimating equations. The results show that CEO narcissism is positively related to SDGs reporting; however, this effect is weaker in firms led by older narcissistic CEOs. Further, CEO power is negatively associated with SDGs reporting, suggesting that firms led by powerful CEOs are reluctant to integrate the SDGs. Finally, corporate SDGs reporting lacks any value‐enhancing effect on firm performance, supporting the symbolic perspective of sustainability management. Our results contribute to the literature on SDGs accounting and enrich our understanding of the underlying dynamics shaping corporate disclosure practices. [ABSTRACT FROM AUTHOR]

This study examines the relationship between partial privatisation (i.e., state ownership reduction) and green innovation in China. Employing a large dataset of 36,072 firm‐year observations between 2005 and 2022, we document a positively significant association between partial privatisation and green innovation, suggesting that privatisation promotes green innovation in Chinese firms. Further analyses shows that the relationship is stronger for firms in environmentally sensitive industries and those located in more developed regions. Our main finding is robust to the alternative measurement of variables and endogeneity concerns using the propensity score matching (PSM), firm‐fixed effects and the system generalised method of moments (GMM) approach. Finally, we document that green innovation in privatised firms yields superior performance. Our findings highlight the significant contribution of privatisation in the quest for low‐carbon emissions in China by promoting green innovation. [ABSTRACT FROM AUTHOR]

This study examines how characteristics of top executives moderate the effect of internationalization on hospitality firms' performance. Using US publicly-traded hospitality firms, this study conducts hierarchical linear modeling to investigate how executives' functional background and operating ability influence the relationship between internationalization and financial outcomes. Findings of this study indicate that the functional background and operating ability of top executives significantly affect internationalization's impact on firm performance. This study also reveals different measurements of internationalization and a firm's financial performance matter for the relationship of interest. Considering the lack of research on the moderating effects of hospitality executives' characteristics and how they connect to internationalization and firm performance, this study bridges this gap in the literature. [ABSTRACT FROM AUTHOR]

We examine impact of corporate governance on firm performance following the implementation of the changes to the Code of Corporate Governance of Pakistan in 2012. Our sample period from 2008 to 2022 include periods of political instability and shifts in Pakistan's political landscape, providing an opportunity to examine the effectiveness of corporate governance mechanisms in enhancing accounting‐ and market‐based firm performance measures. We find significant improvements attributed to reforms in the regulatory framework surrounding corporate governance practices particularly from expanded scope and composition of boards and audit committees. This led to broader capabilities and effective controls, thus improving firm performance and investor confidence more so during periods of political instability and changes in political ideology. [ABSTRACT FROM AUTHOR]

This study examines the relative efficacy of entrepreneurial orientation (EO), market orientation (MO), and entrepreneurial marketing (EM) as moderated by various environmental and organizational factors including firm size. Using structural equation modeling and representative cross-sectional data of small, mid-sized, and large firms from the United States, the research finds that EO outperforms EM and MO in conditions of low competitive intensity, low market growth, and high supplier power. EO is also most viable for small firms, and those with smaller and less diverse networks. In contrast, MO performs best for large firms, and firms with diverse and strong networks, operating in high growth, low turbulence markets, and when supplier power is low. Finally, EM excels under conditions of high market turbulence, competitive intensity, and supplier power, for mid-sized firms, and firms with low network strength. [ABSTRACT FROM AUTHOR]

Purpose: The literature has dealt with the relationship between board characteristics (BC) and firm performance (FP) on a large scale. However, it yielded inconsistent results. Thus, this paper aims to examine the indirect relationship between BC and FP through the mediating role of the capital structure (CS). Design/methodology/approach: This study used a sample of 528 non-financial companies listed on Bursa Malaysia from 2015 to 2019. Also, a two-step system generalised method of moments estimation technique was applied. Findings: The results show that board diversity and the frequency of board meetings positively affect financial performance, and it is negatively influenced by board turnover, size and independence. Also, the results indicate a positive relationship between the independence of the board and all CS variables. Importantly, the findings support the policy-setting role of the board of directors where CS (measured by total debt and short-term debt) suppresses some governance mechanisms' detrimental effect on FP. Hence, the board of directors, apart from the monitoring function, introduce various policies (financial and non-financial) that enhance the overall performance of companies. Originality/value: These results are consistent with the agency's perspective that management practices in selecting the optimal capital reduce agency costs and improve performance. The findings contribute to developing a broader theoretical framework that accounts for the policy-setting role of the board of directors. The current study model of corporate governance offers insight for policymakers into the role of corporate governance other than monitoring functions in organisations and how CS should be taken into consideration with corporate governance and FP association. [ABSTRACT FROM AUTHOR]

We are examining the impact of benefit corporation certification on the profitability of UK companies, taking into account their capital structure. We contribute to the literature that scrutinizes the financial ramifications of Benefit Corporation Certification. Analyzing UK Certified Benefit Corporations (CBCs) and their noncertified counterparts using a difference‐in‐differences analysis, we find that the performance of CBCs with a capital structure heavily weighted towards debt declines in comparison to non‐CBCs, using Return on Assets as a measure of financial performance. Conversely, the performance of CBCs with a capital structure primarily composed of equity is comparable to that of non‐CBCs. [ABSTRACT FROM AUTHOR]

The new challenge confronting leaders is investing in improving customer satisfaction or perceived innovativeness. The challenge also reflects the focus of leadership: to make operations more efficient and effective or invest in tomorrow's solutions? Intuitively, both are linked to the financial impact of the firm. In this article, the author explores the mechanisms "behind the scenes" driving perceived quality, and customer satisfaction on one side, and perceived innovativeness and relative attractiveness on the other side. Both routes are linked to customer loyalty, customer lifetime value, customer equity, and firm value. The findings underscore the importance of customer-centric innovation for market performance, suggesting that innovations must resonate with customer needs and expectations to foster market adoption and growth. The article advocates for the extension of this research into global contexts and digital transformation, highlighting the potential for these insights to inform strategi decision-making in an increasingly digitalized business environment. Bridging academic theory with practical application, the article offers a nuanced understanding of how innovation perceptions influence market outcomes. It suggests future research directions, including exploring strategies to enhance customer perception of innovation and leveraging these perceptions for competitive advantage. [ABSTRACT FROM AUTHOR]

Information governance is crucial for firm performance. Marketing managers have been actively engaged in data analytics and information management for decision-making. Because of the role both marketing and information technology units play in information and data management, information governance needs to be well-defined in a firm. Using structure-strategy-process theory as the foundation, the authors define information governance as consisting of three dimensions: strategy, structure, and process. Based on a survey of 147 marketing managers, we demonstrate that strategy and process result in improved information quality, which enhances firm performance. IT/marketing collaboration further enhances the relationship between information strategy and information quality. The detailed analyses, results, and implications are discussed. [ABSTRACT FROM AUTHOR]

This research presents novel insights into the relationship between environmental performance and firm performance, focusing on the moderating role of board governance. Unlike the single‐dimensional examination in previous studies, we examine five board variables collectively in our moderator analysis. Employing ordinary least squares regression and a series of robustness tests, we investigate 582 European listed firms across various industries from 2016 to 2021. Our findings reveal a positive influence of environmental performance on firm performance, measured by Tobin's Q and ROA. Furthermore, we find that board independence, gender diversity and audit committee independence moderate this relationship. To address potential endogeneity issues, we employ GMM modelling. This study significantly contributes to the environmental performance and firm performance literature by offering evidence on the moderating role of board mechanisms. Moreover, it offers valuable insights for policymakers and practitioners, highlighting the need to monitor corporate boards for improved environmental and financial outcomes. [ABSTRACT FROM AUTHOR]

Despite several studies on corporate social responsibility (CSR) and innovation on firm performance, the extent to which different CSR practices interacts with distinct innovation types in enhancing firm performance remains underexplored. We draw on contingency theory to examine how internal and external CSR interacts with exploitative and explorative innovation to improve firm performance. We discuss the interaction effects using a panel dataset of 1156 publicly listed Chinese firms that disclosed CSR and innovation information from 2008 to 2019. The results indicate that firms with high‐internal CSR benefit to a greater extent from explorative innovation than from exploitative innovation as a means of enhancing performance. In contrast, firms with high‐external CSR benefit to a greater extent from exploitative innovation than from explorative innovation to improve performance. We contribute to strategy and CSR literature by revealing how firms match specific CSR practices with distinct innovation types to enhance firm performance. [ABSTRACT FROM AUTHOR]

The importance of international environmental strategies in the business sphere has gained recognition in recent times. These strategies not only have the potential to generate competitive advantages but also to maintain them over time. However, despite their increasing relevance, differences in outcomes and implementation implications exist, suggesting the need for a more detailed analysis of the determinants and consequences of these practices. Based on original data from 251 Spanish wineries and using structural equation modeling, this study explores how internationalization can drive the implementation of environmental practices and financial performance by investigating the role of proactive environmental strategy and the mediating effect of eco‐innovation. Our findings demonstrate that a proactive environmental strategy has a positive impact on both internationalization and eco‐innovation. Furthermore, it was found that the internationalization strategy has a significant positive effect on eco‐innovation. The more internationalized companies are, the more likely they are to engage in eco‐innovation. Eco‐innovation is crucial for increasing profits in international markets. While internationalization alone does not guarantee higher profitability, combining it with eco‐innovations significantly improves the financial performance of companies, highlighting the importance of sustainability and environmental innovation in global business strategy. [ABSTRACT FROM AUTHOR]

This study attempted to inspect the influence of green transformational leadership (GTL) on the development of business performance (FP) and environmental performance (EP) in SMEs of Vietnam with a mediating of green innovation (GI). Besides, the current study evaluated the positive impact of GTL on green human resource management (GHRM) and green thinking (GT), and ultimately on GI. The study investigated the hypotheses supplied by 416 survey samples from managers and directors at SMEs using structural equation modeling. Our findings reveal that GTL significantly influences the three green criterias, GHRM, GT, and GI. It investigates the impact of green factors in the context of Vietnamese SMEs. Specifically, the uniqueness of this study lies in examining the mediating role of GI with respect to the link between GTL and EP, FP, to compare how the indirect effects of GTL on EP and FP differ under the same conditions. Besides, the finding highlights that businesses will benefit from continual GI regarding the environment, earnings, and corporate image. Thus, the implications arising from this study and related documents contribute to helping managers understand the needs and benefits of green factors, thereby prioritizing the transmission of green goals to employees via vision and mission, thereby creating a new cultural dimension that contributes to the natural environment's sustainability. Furthermore, managers are urged to recruit, inspire, and provide opportunities for green human resources to use their potential for enhancing green products and processes to build the business and contribute to the environment. [ABSTRACT FROM AUTHOR]

This study addresses the dearth of research on what enables firms' performance in the context of Industry 4.0 (I4.0). We investigate how I4.0 shapes the effects of firm investments over time and whether the effects of people and equipment depend on innovative management approaches. A longitudinal multi-sector study is conducted of 157 export-oriented, manufacturing firms in a European Union member state (Slovenia) over a 14-year period (in total, consisting of 1791 total observations). The findings suggest that firms which invest more in technology complement these costs by making investments in people, which over time leads to a higher firm performance. The I4.0 phase moderates this mediated relationship in that firms more advanced with respect to engaging in I4.0 tend to lower their human resources costs despite investing in technology while still showing a superior firm performance. This indicates the substitution effect of technology vis-à-vis human resources. The moderation of management innovation proved to be weaker, calling for a detailed look at its nuances across the studied levels. Taken together, our paper contributes in advancing the stream of research focused on internal factors and processes specifically related to firm investments and management processes, thereby leading to the outcomes of new technology use and capitalization. The findings highlight the link between I4.0 and technology management, and innovation, and complements the existing research on the link between management innovation and performance by contextualizing it within I4.0's new technology and socio-economic changes. [ABSTRACT FROM AUTHOR]

Drawing on human capital theory, we explore the impact of global mobility on individuals and their employing firms. We also investigate the role of cultural distance between workers who move across country borders and the local culture, and the role that HRM may play to improve capitalizing on global talent mobility. We use a big data set comprising the entire population in one country, including about 30,000 expatriates from 143 countries employed by 15,000 firms, over 11 years of data covering about 100,000 observations on expatriates and 80,000 on their firms. Our findings support the existence of positive impact of global firms on performance (6.7% higher revenues after labor costs) and individuals' wages (10%–20% higher salaries). Both relationships are statistically and economically significantly influenced by cultural distance for the performance of global firms, leading to HRM implications. [ABSTRACT FROM AUTHOR]

The servitization literature has explored the role that product modularity plays in supporting service design and delivery. Importantly, product modularity has the potential to aid manufacturers in providing customised solutions on a larger scale, thereby strengthening firm performance. However, despite the prospective benefits of product modularity, manufacturers also need considerable servitization depth, which comprises service orientation, resources, and delivery systems, to provide services in a cost-effective manner. Taking this into account, the study both theoretically articulates and empirically tests relationships among product modularity, servitization depth, service types, and firm performance, employing a moderated mediation model. Using survey data collected from 204 manufacturers in the UK and German, the findings indicate that product modularity exerts a positive influence on firm performance, with servitization depth acting as a mediating factor. The mediation effect of servitization depth on the correlation between product modularity and firm performance was found to fluctuate based on the service types offered by the manufacturer. This study adds to the existing literature on servitization and the role of product modularity and servitization depth in achieving superior firm performance. [ABSTRACT FROM AUTHOR]