Abstract:Research summary: Executives in declining firms may engage in ship-jumping behavior (i.e., voluntarily move to new employers before the failure occurs) to avoid the stigma of failure. However, it is unclear how executives decide whether or not to jump ship. Building on a network embeddedness perspective, we highlight how three network-based indicators (i.e., executive social capital, the social capital of other peers in the declining firm, and the declining firm's alliance network) influence the executive-leve… Show more
“…This proactive behavior is known as reputation management, which occurs when individuals sense an external threat to their reputation and leads them to be extrinsically motivated to behave in ways that mitigate any loss of reputation and intrinsically motivated to protect their identity and sense of competence (Dutton, Dukerich, & Harquail, ; Zavyalova, Pfarrer, Reger, & Hubbard, ). Evidence suggests that organizational leaders exit firms precisely to avoid reputational damage and devaluation on the executive labor market as a result of these types of events (Boivie, Graffin, & Pollock, ; Harrison, Boivie, Sharp, & Gentry, ; Jiang, Cannella, Xia, & Semadeni, ).…”
executive compensation, executive exit, executive labor market, micro foundations, top management teams Replacing an executive entails a time-intensive, costly search process that can range from 90 to 200%
“…This proactive behavior is known as reputation management, which occurs when individuals sense an external threat to their reputation and leads them to be extrinsically motivated to behave in ways that mitigate any loss of reputation and intrinsically motivated to protect their identity and sense of competence (Dutton, Dukerich, & Harquail, ; Zavyalova, Pfarrer, Reger, & Hubbard, ). Evidence suggests that organizational leaders exit firms precisely to avoid reputational damage and devaluation on the executive labor market as a result of these types of events (Boivie, Graffin, & Pollock, ; Harrison, Boivie, Sharp, & Gentry, ; Jiang, Cannella, Xia, & Semadeni, ).…”
executive compensation, executive exit, executive labor market, micro foundations, top management teams Replacing an executive entails a time-intensive, costly search process that can range from 90 to 200%
“…In the shipping industry, operational efficiencies can help those firms which carry the right core competencies and assets in their infrastructure and networks. In the business world, “ choose to fight or choose to flee " (Jiang, Cannella, Xia, & Semadeni, , p. 2061) are two strategic options companies face when dealing with corporate problems and operational difficulties. In the case of Maersk, we witness a firm that continues to be in the shipping industry because of its financial prowess, brand identity, and large‐scale global operations.…”
A.P. Moller-Maersk Group (A.P. Moller-Maersk AS in Danish), commonly known as Maersk, is the world's largest global shipping conglomerate from Denmark and carries a rich history and corporate heritage in the industry. The company operates large container ships which are mostly known as "big box boats" in the industry. By using interdisciplinary literature and the shipping industry's operational routes and corporate developments, this case-based research analyzes and discusses Maersk's internationalization and its global strategies. Although Maersk aggressively sought internationalization and company-specific expansion, its global strategy and international expansion areas have encountered problems because of the slowdown of the global economy, de-globalization, and the U.S.-China trade tussle. The case-based research analyzes and discusses these issues within the areas of international business and the company's global strategies and industry-specific competition. Analystsand industry observers believe that Maersk will continue to be a major shipping and logistics firm and will thrive in global markets. At the same time, the company will be impacted by the changing competition, regulatory forces, and new technologies in logistics and global shipping. This case study also provides future developments and growth prospects of Maersk and the shipping industry.
K E Y W O R D Scontainerization, containers, global strategy, Maersk, shipping industry
“…With more than a decade into the 21st century, one area of research that has attracted increased scholarly attention is business failure and learning from failure (Baumard & Starbuck, 2005;Byrne & Shepherd, 2015). Arguably, this period represents the "Golden Age" of business failure research with novel streams of works flourishing on issues such as stigmatisation of business failure (Wiesenfeld, Wurthmann & Hambrick, 2008), successive entrepreneurial engagement after failure (Hessels, Grilo, Thurik & van der Zwan, 2011) and human capital depletion from failing firms (Amankwah-Amoah, 2018;Jiang, Cannella, Xia & Semadeni, 2017). Although companies are increasingly subjected to what Schumpeter (1942) referred to as forces of "creative destruction" which accelerated the failure rate for firms, relatively few studies have delved into the intricate processes, decision points and stages that precipitate business failures.…”
In view of the burgeoning scholarly works on big data and big data analytical capabilities, there remains limited research on how different access to big data and different big data analytic capabilities possessed by firms can generate diverse conditions leading to business failure. To fill this gap in the existing literature, an integrated framework was developed that entailed two approaches to big data as an asset (i.e. threshold resource and distinctive resource) and two types of competences in big data analytics (i.e. threshold competence and distinctive/core competence). The analysis provides insights into how ordinary big data analytic capability and mere possession of big data are more likely to create conditions for business failure. The study extends the existing streams of research by shedding light on decisions and processes in facilitating or hampering firms' ability to harness big data to mitigate the cause of business failures. The analysis led to the categorisation of a number of fruitful avenues for research on data-driven approaches to business failure.
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