Session Details: Session 1065

Managing Stakeholder Networks and External Communication

Track E

Date: Wednesday, October 15, 2008


Time: 10:00 – 11:15

Common Ground

Room: Salon 25

Pierre Dussauge, HEC-Paris

Title: Environmental Strategy and Economic Performance: The Mediating Role of Competitive Advantage and Firm Resources


  • María Dolores López-Gamero, University of Alicante
  • José F. Molina-Azorin, University of Alicante

Abstract: The aim of this paper is to clarify the relationship between environmental management and firm performance through the incorporation of the main limitations and the most relevant contributions made from various fields of study. The research is carried out using a mixed method research design in two phases: qualitative and quantitative. The first phase includes comparative case studies. The findings lead to establish propositions which are integrated in a model that depicts all the variables related to the link between environmental strategy and performance. In a second phase, we conduct a survey among firms affected by the IPPC law in Spain to test the proposed model using a structural equation analysis. Findings show that a direct link exists between the proactive environmental strategy, environmental performance, competitive advantage and economic performance.

Title: Locus of Competitive Advantage: Structural Holes and Mobility Barriers


  • Ulas Burkay, BI Norwegian School of Management

Abstract: Ability to identify sources of superior performance on which firms could capitalize has been one of the main aims of strategy field. Through this paper, I contrast the theories of strategic groups (Caves & Porter 1977) and structural holes (Burt, 1992), both of which explain the determinants of rate of return in competitive arenas. I map the ambiguities especially evident within strategic group research program. I provide four novel propositions to fill these gaps using the structural holes theory. I propose a network based explanation to formation of the strategic groups and firm mobility among the groups. Further, I raise a fine-tuned explanation to the problem of performance differences among members of the same strategic group based on individual firms’ structural network position differences.

Title: Measure Twice, Cut Once: Another Look at Environmental Performance and Strategies


  • Ken Chung, California State University-East Bay
  • Petra Christmann, Rutgers University

Abstract: Studies of corporate environmental strategy that link environmental to financial performance of the firm are inconclusive. We argue this lack of consensus is traced to content and construct validity in measures of environmental performance, and ambiguous causal mechanisms. Based on a comprehensive review of studies in top management journals, we conclude that environmental performance measures may be grouped by causal mechanisms and simplified into two basic dimensions: external communications performance and internal operational performance. We propose a 2x2 typology of idealized environmental strategies along these dimensions that are richer, better operationalized and more clearly linked to causal mechanisms in order to advance the measurement and content of strategic management.

Title: Network Orientation: Building Networks That Generate Relational Rents


  • Gerrit Willem Ziggers, Radboud University Nijmegen
  • Joerg Henseler, Radboud University Nijmegen

Abstract: In this article we offer a view that a firm’s critical resources and capabilities may span firm boundaries and may be embedded in inter-firm resources and routines. Building on this relational view we argue that firms can engender sustainable competitive advantage by enabling firms to (a) foster close working relationships with a limited number of suppliers; (b) build effective network structures, and (c) develop a long term orientation to achieve mutual gains. Using PLS structural equation modelling, we empirically test a number of hypothesized relationships based on a sample of 176 Dutch firms. Our results demonstrate that inter-firm network orientation significantly and substantially affects supplier performance as well as buyer performance, thereby providing evidence of the predictive validity of the inter-firm network orientation construct.

Title: Tie versus Tie: When do Corporate Development Activities Strengthen or Disrupt Buyer-Supplier Ties?


  • Youtha Cuypers, Nova School of Business and Economics
  • Xavier Martin, Tilburg University

Abstract: In this paper, we explore the effect of a firm’s corporate development activity (CDA) history on its propensity to maintain long-term buyer-supplier relations. More precisely, we examine various forms of corporate development, i.e. alliance, equity joint ventures and acquisitions, and explore how experience with these activities differentially affects the likelihood of tie dissolution. We argue that corporate development activities will provide opportunities for learning resulting from experience spillovers, but also bring about considerable disruptions. We find support for our proposed curvilinear (U-shaped) relationship between CDA experience and likelihood of tie dissolution in a sample of 273 advertising agency-client ties. We also hypothesize and find empirically that the effects of different types of experience are not uniform.

Title: Virtual Value Chain Orchestration and Innovation: A Model and Case Studies


  • Andreas Hinterhuber, Hinterhuber & Partners

Abstract: This paper examines the concept of virtual value chain orchestration, an emergent phenomenon of strategizing and organizing. Virtual value chain orchestratation is intended as way to create and capture value by structuring, coordinating, and integrating activities of previously unrelated markets and by effectively relating these activities to in-house operations with the aim of developing a network of activities that link previously unrelated industries and that create fundamentally new markets. The research is based on an in-depth analysis of the agrochemical and biotech industry and is illustrated by two case studies. Based on the preliminary results of these case studies, the paper concludes that the orchestration of external value chains belonging to an extended network of diverse partner companies leads to superior financial results.

All Sessions in Track E...

Sun: 10:00 – 11:30
Session 1501: Exploration Strategies: Current Research and Future Content and Methodological Challenges
Sun: 13:00 – 14:30
Session 1601: Organizational Capabilities and Competitive Advantage: Where Do We Go From Here?
Sun: 15:00 – 16:30
Session 1701: Using Research Centers to Foster ABC Collaboration
Mon: 11:15 – 12:30
Session 1067: The Upside of Financial Investments
Session 1072: Lessons from Industry Cases
Mon: 15:30 – 16:45
Session 1073: Learning and Competitive Dynamics
Session 1074: Configurations and Performance
Session 1076: The Knowledge-Based View in New Arenas
Mon: 17:00 – 18:15
Session 1060: Value Creation and Appropriation: Perspectives From the Resource-Based View, Property Rights and Incomplete Contracting
Session 1062: Mastering Alliance Capability
Session 1069: Leveraging and Repositioning Resources
Tue: 11:15 – 12:30
Session 1059: Networks and Social Capital
Session 1070: Performance and the Competitive Arena
Tue: 14:30 – 15:45
Session 1063: Topics on Competitive Dynamics
Session 1066: Managing and Environmental Stewardship
Session 1075: Strategic Decision Making
Wed: 10:00 – 11:15
Session 1065: Managing Stakeholder Networks and External Communication
Session 1071: Technology, Innovation and Competitive Advantage
Wed: 11:30 – 12:45
Session 1064: Exploring Dynamic Capabilities
Session 1068: Signals and Firm Reputation

Strategic Management Society

Cologne Conference