The 2008 crash has left all the established economic doctrines - equilibrium models, real business cycles, disequilibria models - in disarray. Part of the problem is due to Smith’s "veil of ignorance": individuals unknowingly pursue society’s interest and, as a result, have no clue as to the macroeconomic effects of their actions: witness the Keynes and Leontief multipliers, the concept of value added, fiat money, Engel’s law and technical progress, to name but a few of the macrofoundations of microeconomics. A good viewpoint to take bearings anew lies in comparing the post-Great Depression institutions with those emerging from Thatcher and Reagan’s economic policies: deregulation, exogenous vs. endoge- nous money, shadow banking vs. Volcker’s Rule. Very simply, the banks, whose lending determined deposits after Roosevelt, and were a public service became private enterprises whose deposits determine lending. These underlay the great moderation preceding 2006, and the subsequent crash.

The Economic Institutions of Capitalism

El artículo tiene como objetivo evaluar el nivel de desarrollo de la capacidad de absorción realizada (RACAP) en las Pyme colombianas. Se parte de una muestra de 363 Pyme colombianas (Dane,2012), se usa una revisión de literatura con apoyo del análisis de contenido y un modelo de regresión lineal, que permiten mostrar la existencia de una correlación lineal positiva entre la adquisición y asimilación del conocimiento externo en las organizaciones objeto de estudio,. Palabras clave: Capacidades de absorción, capacidades de absorción potencial, medición de las capacidades de absorción ABSTRACT:

Measurement of potential absorption capacity in Colombia's innovative companies [Medición de la capacidad de absorción potencial en las empresas innovadoras de Colombia]

The purpose of this paper is to explore the impact of stakeholder pressures on firm’s circular economy (CE) initiatives. The organizational responses are quite heterogeneous even when the firms face similar pressure. The authors have tried to explain this heterogeneity by using innovative capability as mediating variables.,Empirical survey data from Indian manufacturing firms are obtained to test the proposed hypotheses. The hypotheses are grounded in resource-based view of the firm. The authors used structural equation modeling approach with maximum likelihood methods of approximation.,The results indicate that exploratory innovation positively influences the firms to adopt CE practices. Whereas, exploitative innovation capability inhibits the adoption of CE practices.,This study guides business managers to focus on develop exploratory innovative capabilities before the adoption of CE practices. This study also provides guidance to policy maker about the role of regulatory mechanism plays to encourage/inhibits firms for adoption of CE practices.,This is first study to analyze the idiosyncratic behavior of the firms when subjected to stakeholder pressure for CE practices adoption. Innovative capabilities (exploratory/exploitative) are able to explain the reason for diverse response to stakeholder response.

/pdf/when-stakeholder-pressure-drives-the-circular-economy-4rpvhqp6mq.pdf

When stakeholder pressure drives the circular economy: Measuring the mediating role of innovation capabilities

Varieties of Capitalism: The Institutional Foundations of Comparative Advantage . Edited by Peter Hall and David Soskice. New York: Oxford University Press, 2001. xvi + 540 pp. Index, notes, bibliography, figures, tables. Cloth, $74.00; paper, $32.50. ISBN: cloth 0-199-24774-9; paper 0-199-24775-7.

This study maps and analyzes the scientific research networks of family business succession. We examine coauthors’ activities in terms of not only productivity but also their importance to the coauthorship network. The most influential contributors and universities, as well as their research networks and theoretical underpinnings, are discussed. The review examines 661 articles published by 1105 authors in 224 academic journals indexed in the Social Science Citation Index and Scopus between 1939 and 2017. We used a bibliometric approach based on coauthorship analysis to measure cooperation. The results show that family business succession research is characterized by high fragmentation in the authors’ collaboration in general, but the leading scholars are strongly interconnected. We map and analyze the most influential networks by identifying the most important topics studied, the theoretical and methodological approaches employed, the scope of the research conducted, and where it has been published. Most of the identified networks are in North America and Europe, and most are not theoretically or methodologically specialized.

Bibliometric study of family business succession between 1939 and 2017: mapping and analyzing authors’ networks

Purpose




Most literature on ambidexterity has focused on large firms and on the influence of internal issues in this strategy, that is, organizational structures, top management integration, or internal knowledge management processes (Lutbatkin et al., 2006; Chang et al., 2011; Lee and Huang, 2012). The purpose of this paper is to assess small- to medium-sized enterprises (SMEs)’ ambidexterity strategies during economic recession periods in comparison with those of large firms and identify the managerial external capabilities which are associated with the development of SMEs’ ambidexterity.




Design/methodology/approach




A multinomial logit model and a probit model are proposed and tested using data collected from 2,150 Spanish firms during the period of 2009-2013.




Findings




The data analysis reveals that SMEs develop more ambidextrous innovation strategies in recession periods than larger firms do. Moreover, two managerial external capabilities have been identified as drivers of SMEs’ ambidextrous behavior in crisis periods: first, the capability of top management to anticipate scenarios; and second, the capacity to acquire adequate external resources through co-operation.




Practical implications




The results show that SME managers wanting to develop ambidextrous strategies in recession periods have to forecast scenarios in terms of innovation difficulties and strengthen their resources through co-operation. Implementation of public policy is encouraged to support these capabilities, thus enhancing SME sustainability in uncertain contexts.




Originality/value




Prior studies have paid little attention to the role of external capabilities. Although their role was revealed as a relevant dimension in the study of SME ambidexterity in adverse contexts by Cao et al. (2010), it remained underexplored. This paper aims to fill this gap.

SME ambidexterity during economic recessions: the role of managerial external capabilities

Responsible family ownership (RFO) is a combination of the family’s commitment to the family-firm’s (FF’s) stakeholders in the long term and the explicit behaviour of the family members associated with the firm. However, families are not individuals but rather a system of relationships among family members. In such a context, misunderstandings in communication, anachronistic mentalities and different value systems can block the intergenerational transmission of RFO. Consequently, the responsibility of the family towards the FF’s stakeholders may be damaged and the firm’s socially responsible behaviour hindered. This paper aims to identify how RFO is transferred across generations and to ascertain the role that family social capital (FSC) plays in preserving the transmission of RFO from generation to generation. Our research is based on three in-depth case studies of Mexican family-owned small- and medium-sized enterprises. First, the paper identifies and contrasts a set of FSC-specific factors and problems which play a relevant role in the transmission of RFO while recognizing the influence of the mutually reinforcing dynamics of FSC dimensions. Secondly, the family’s honourableness (Aβlander in J Bus Ethics 116(4):751–767, 2013) is identified as a key driver for sustaining the transmission of RFO. Finally, the paper identifies RFO institutionalization required to face the intrinsic problems of transmitting RFO in growing families.

/pdf/how-can-responsible-family-ownership-be-sustained-across-2szhnd8gd1.pdf

How Can Responsible Family Ownership be Sustained Across Generations? A Family Social Capital Approach

In the recent financial crisis period, when traditional economic organizations were not able to meet stakeholders’ expectations, not-for profit organizations such as cooperatives became an optimal solution as they are expected to serve social and economic performance simultaneously. This theoretical assumption is questioned based on the downturn pressures that may weaken cooperatives’ social performance in favor of economic performance. This degeneration process (Cornforth, et al., 1998) is countered by some traditional cooperatives that have developed regeneration dynamics. The aim of our study is to explore how small and medium cooperatives face degeneration and develop regeneration dynamics in periods of crisis. To fulfil the objective of the paper four small and medium Basque and Breton cooperatives are studied in depth.

/pdf/cooperative-dynamics-during-the-financial-crisis-evidence-1b7i8q12az.pdf

Cooperative Dynamics During the Financial Crisis: Evidence From Basque and Breton Case Studies:

How the Pygmalion Effect operates in intra-family succession: Shared expectations in family SMEs

\nPurpose\nThis paper aims to explore how territory impacts on entrepreneurial families’ (EFs) embeddedness to unveil the role that territories play on the continuity and development of EFs.\n\n\nDesign/methodology/approach\nTo study complex contexts where subjective realities are analyzed, a constructivist qualitative approach is recommended. Given that, this paper develops a qualitative methodology in which 25 semi-structured interviews were carried out and analyzed based upon the use of ATLAS.ti, following an open-coding approach.\n\n\nFindings\nThis paper found out that the territory can condition EFs’ embeddedness in different ways. First, through the cultural embeddedness, the shared territorial understanding of values and norms inherited by the history of the territory. Second, by the political embeddedness, i.e. the power exercised by territorial economic actors and non-market institutions. Third, through the structural embeddedness generated by the territorial social networks and the generation of close relationships and finally, through the so-called cognitive embeddedness, the territorial actors’ representations, interpretations and meanings. These four modes of territorial embeddedness are unfolded in a set of 16 territorial factors that impact on EFs’ embeddedness. Most of the identified factors, 14 out of the 16, are acting mainly over one of the embeddedness modes studied (cultural, political, structural and cognitive), while two of them, because they are operating simultaneously on various modes of embeddedness, have been considered transversal factors.\n\n\nOriginality/value\nEFs have, to a great extent, been recognized as major generators of positive externalities in the territories in which they are located, and to date, the literature has focused on the impact that firms and family firms have on regional development. However, how the territory conditions the embeddedness of these families, especially how it impacts on the EFs’ territorial embeddedness, remains unexplored. This paper proposes a framework of 16 factors that help to understand the embeddedness dynamics between EFs and territories, serving as a starting point for future research avenues. Additionally, regional policy makers may use it as a guidance to build policy mix that considers these territorial factors to boost EFs’ embeddedness.\n

Cristina Iturrioz-Landart

Papers

SME ambidexterity during economic recessions: the role of managerial external capabilities

How Can Responsible Family Ownership be Sustained Across Generations? A Family Social Capital Approach

Cooperative Dynamics During the Financial Crisis: Evidence From Basque and Breton Case Studies:

How the Pygmalion Effect operates in intra-family succession: Shared expectations in family SMEs

How does the territory impact on entrepreneurial family embeddedness