Purpose– This paper aims at investigating the multifaceted nature of innovation networks by focusing on two research questions: Do cluster actors exchange only one type of innovation-related knowledge? Do cluster actors play different roles in innovation-related knowledge exchange?Design/methodology/approach– This paper builds on data collected at the firm level in an Italian aerospace cluster, that is a technology-intensive industry where innovation is at the base of local competitiveness. A questionnaire was used to collect both attribute data and relational data concerning collaboration and the flows of knowledge in innovation networks. The authors distinguished among three types of knowledge (technological, managerial and market knowledge) and five types of brokerage roles (coordinator, gatekeeper, liaison, representative and consultant). Data analysis relied on social network analysis techniques and software.Findings– Concerning the first research question, the findings show that different types of knowledge flow in different ways in innovation networks. The different types of knowledge are unevenly exchanged. The exchange of technological knowledge is open to everyone in the cluster. The exchange of market and managerial knowledge is selective. Concerning the second research question, the authors suggest that different types of cluster actors (large firms, small- and medium-sized enterprises, research centers and universities and institutions for collaboration) do play different roles in innovation networks, especially with reference to the three types of knowledge considered in this study.Research limitations/implications– The present paper has some limitations. First of all, the analysis focuses on just one cluster (one industry in one specific location), cross- and comparative analyses with other clusters may illuminate the findings better, eliminating industry and geographical biases. Second, the paper focuses only on innovation-related knowledge exchanges within the cluster and not across it.Practical implications– The results have practical implications both for policy makers and for managers. First, this research stresses how innovation often originates from a combination of different knowledge types acquired through the collaboration with heterogeneous cluster actors. Further, the analysis of brokerage roles in innovation-driven collaborations may help policy makers in designing programs for knowledge-transfer partnerships among the various actors of a cluster.Social implications– The paper suggests a clear need of developing professional figures capable of operating at the interface of different knowledge domains.Originality/value– The data illuminate several aspects of how innovation takes place in a cluster opening up intriguing aspects that have been overlooked by extant literature. The authors believe that this may trigger several lines of further research on the topic.

Purpose– This paper aims to focus on the role of clusters as home and host country-specific advantages for multinational enterprises (“MNEs”) in the organization of their internal and external networks to optimize the diffusion and generation of new knowledge. Strategic asset-seeking investment has been a major driver of the internalization of innovation activities performed by MNEs abroad. This paper demonstrates the attractiveness of foreign clusters in the global innovation process of MNEs. The main assumption is that location within innovative clusters may foster the ability of firms to generate new innovations.Design/methodology/approach– This paper illustrates the theoretical developments through the example of firms located in the Basel pharmaceutical clusters which have invested in other clusters abroad.Findings– The results are based on an in-depth patent data analysis and confirm the importance of clusters in an innovation-driven industry.Originality/value– This paper focuses on the role of clusters as home and host country-specific advantages for “MNEs” in the organization of their internal and external networks to optimize the diffusion and generation of new knowledge. Strategic asset-seeking investment has been a major driver of the internalization of innovation activities performed by MNEs abroad. This paper demonstrates the attractiveness of foreign clusters in the global innovation process of MNEs. The main assumption is that location within innovative clusters may foster the ability of firms to generate new innovations. This paper illustrates the theoretical developments through the example of firms located in the Basel pharmaceutical clusters which have invested in other clusters abroad. The results are based on an in-depth patent data analysis and confirm the importance of clusters in an innovation-driven industry.

Purpose– This study aims to examine the effect of the various dimensions of economic freedom and political freedom in host countries on the foreign direct investment (FDI) inflows over a six-year period from 1995 to 2000 in 95 countries.Design/methodology/approach– The sample consists of 95 countries and relates to the time period from 1995 to 2000. The sample is of a longitudinal or panel nature.Findings– Results indicate that better economic management (monetary policy, fiscal burden and banking and finance), less government participation in the economy, less state intervention (strong property rights, less regulation, low prevalence of informal markets and less corruption), absence of wage and price controls and higher levels of political freedom lead to higher FDI inflows after controlling for FDI stock.Research limitations/implications– Most empirical studies using indices such as the Index of Economic freedom are subject to certain methodological limitations such as model selection, parameter heterogeneity and outliers and moral hazard.Practical implications– Empirical findings suggest that the role played by governments in national economies have significant influence over FDI decisions.Social implications– From a policy perspective, our results imply that to attract FDI, governments will need to improve the institutional environments of their countries. More specifically, improving the levels of economic and political freedoms can greatly facilitate the inflow of FDI.Originality/value– One of the main contributions of the present study to the international business literature is that it is one of the first that explicitly relates the ten components that constitute “economic freedom” to FDI.

Purpose – The purpose of this paper is to study the strategy development by small and medium enterprises (SMEs) for improving coordination in supply chain in Indian perspective. Globalization and liberalization of the world economy has leveled the field for all competitors around the globe. To face global competition successfully, SMEs have to break isolation of their suppliers and other entities in the supply chain. Design/methodology/approach – For collecting data, a question-based survey was conducted. In total, 251 valid responses were received. Statistical analysis of data acquired from survey is done by one sample t-test, correlation and regression analysis. Findings – Uncertainty of customer order/demand, insufficient knowledge of supply chain management (SCM) and involvement of middlemen in supply chain are the main problems faced by Indian SMEs during implementation of SCM. Quality improvements, delivery on time and cost reduction are the major priorities while forming supply chain strategies. Coordination strategies are positively correlated with business performances. Research limitations/implications – Major implication is that SMEs should develop their strategies effectively after analyzing business environment and future plans. While developing strategies for improving coordination in supply chain of SMEs, they should give due importance to problems and risks they face. However, it is felt that this study can be further explored by considering other aspects of strategy development such as human resource, organization culture, etc. Originality/value – Finding and issues of the paper will be highly useful for SMEs in framing their strategies for improving coordination in supply chain, and academia for further research in the context of changing market scenario.

Purpose– The purpose of this study is to examine the changes in global worker preferences for job attributes and incentives at the national cultural level, knowledge that is key to the architecture of effective human resource systems.Design/methodology/approach– A Bayesian latent growth curve (LGC) model was used to test data from the World and European Values Surveys from the time periods 1981 to 2005.Findings– Results (based on Bayesian LGC analysis) indicate that employee-related beliefs about what is attractive in a job do change considerably over time, with pay, then employment security having the highest priorities. Equally important, demand for good pay and a job that matches one’s abilities are the fastest growing global worker desires.Originality/value– These findings of national culture’s active evolution in the workplace indicate a need for scholars, leaders in practice – especially human resource managers – to rethink our cultural conceptualizations for model building and global job design and reward systems.

Purpose – The purpose of this study was to approach issues such as what type of value chain activities are carried on by the subsidiaries of multinationals located in Spain, where and how their resources and capabilities are generated and how these are transferred within the multinational. Creating resources and capabilities within a subsidiary of a multinational company enables it to gain competitiveness and therefore greater power of decision within the corporation. Design/methodology/approach – This research conducts a descriptive analysis of the value chain in Spanish subsidiaries. A population of 1,072 firms has been identified. To gather primary data, a questionnaire was designed based on international value chain and resources and capabilities literature. Findings – Analysis of the data gathered from 125 subsidiaries has enabled researchers to map out the profile of the value chain in these companies. The results indicate that the principal source of resources and capabilities is the subsidiary itself. Moreover, the experience built up over time is basic to the creation of skills in all the activities in the value chain. Practical implications – This is a matter of the subsidiaries identifying new opportunities to attain a new position or broaden their existing one. Social implications – Subsidiaries should benefit from favourable local policies to help them develop and strengthen their capabilities to obtain major international competitiveness. Originality/value – Although numerous studies assess the country's foreign direct investment flows, works concentrating on the presence of foreign capital in Spain are scarce. The growing interest in the international literature on the subsidiary as a unit of analysis makes this study interesting.

Purpose – There is a global convergence on issues pertaining to sustainability, such as water sharing, energy security and waste management. Symbiosis focus the need to secure an enduring relationship satisfying the quality of life need for novelty aspirations of the customers and stakeholders. This is addressed as sustainable differentiation. This study aims: to understand the need to develop the symbiosis of sustainable development and sustainable differentiation, to analyze the research framework of sustainability symbiosis though the underlying attributes of: need to develop, need to innovate and need to differentiate. Design/methodology/approach – The research design conceptualizes sustainable development as a process or evolution where firms may be symbiotically configured on the attributes of sustainability, development and differentiation. The logit analysis methodology addresses competitiveness coupled with environmentally benign technology to sustain the customers' preference for products and services that satisfy their quality of life needs. The approach is to estimate the symbiotic index of a local, regional or globally scalable habitat. The competitiveness coupled with environmentally benign technology can be sustained when the customers' preference for products and services satisfies their quality of life needs. Findings – The output indicates the significance (0.037 at 95 percent confidence level) of the constant term representing “quality of life need for novelty” justifying symbiotic linkage of sustainability, development and differentiation. There is goodness of fit (α 0.5617, Wald statistic 0.093) to establish the significance of the three variables of GDP (representing intensity of eco-efficient technology), population (standing for intensity of competitiveness) and sustaining empathy (in response to climate change). Their statistical significance indicates the propensity to differentiation given sustainable development would substantively improve the overall construct. Research limitations/implications – There is need for further research with primary data. The assumption that sustainable differentiation may become an indicator variable that may assume binary form needs thorough justification. The key implication is that differentiation creates grassroots distinctiveness to development that transforms sustainability into opportunity. This cost to benefit gap is bridged through the symbiotic chain of sustainability, development and differentiation. Originality/value – This sustainable differentiation metric harnesses a dormant, yet fundamental key to the success of sustainable development, the emotive linkage. This explanatory variable adds robustness to sustainable development models by way of etching a long-term memory trace for the sustainability practices of the organization as well as innovation efforts to differentiate long term providing an essence of competitiveness.

Purpose – The purpose of this paper is to develop material for classroom teaching in the subject area of general management with retail industry focus.Design/methodology/approach – The approach is a case study approach with an emphasis on building relevant issues for class discussions and providing opportunities for students to analyse using additional resources from the library, company web site and news paper articles.Findings – The case research enabled us to understand the challenges faced by organised retail companies in Indian subcontinent with reference to logistics and sourcing. Organised retail is an emerging industry in India and it provides an interesting analysis for growth and entrepreneurial ventures. The case research also provided important insights into growth of retail industry, extent of consolidation happening within the industry due to the unorganised retail industry players aligning themselves as out sourcing partners for major retailers, etc. To this extent, there is scope for furth...