The keiretsu in Asia: Implications for multilevel theories of competitive advantage

Much of our understanding of competitive advantage draws upon the experience of Western firms. Massive Japanese investment in an effort to replicate keiretsu (interfirm) networks in Asia since the 1980s presents fertile grounds to shed new light on the sources of competitive advantage. Building on such an experience, this article develops a multilevel perspective focusing on how competitive advantage is preserved and strengthened for firms, networks, and nations involved. Its hallmark is careful attention to levels of analysis by (a) spelling out the attendant assumption of homogeneity among keiretsu member firms, (b) explaining the basis of such an assumption, (c) exploring alternative assumptions, and (d) drawing upon diverse subtopics within the strategy literature.     

The propagation of lean thinking in SMEs

Abstract

Small and Medium-sized Enterprises (SMEs) play a pivotal role in economic growth, industrial output, and employment creation. However, SMEs are often ignored by researchers as far as the adoption of lean is concerned in comparison to Large Enterprises (LEs). Therefore, the literature regarding lean implementation in SMEs is not conspicuous, and many SMEs have only a limited understanding and awareness of lean. This paper offers a comprehensive literature review with a focus on the implementation of lean in SMEs and explores the applicability of lean thinking in such environments. An attempt is made to provide an analysis of lean practices that have been applied in SMEs and critical success factors for lean transformation in SMEs. It also contributes to the field of lean implementation research by proposing a framework for lean in SMEs and identifies the scope of future research.     

Penta-Extensions of Hereditary Classes of Graphs

Penta is the configuration shown in figure 1(a), where continuous lines represent edges and dotted lines represent non-edges. The vertex u in figure 1(a) is called the center of Penta. A graph G is called a pentagraph if every induced subgraph H of G has a vertex v which is not a center of induced Penta in H. The class of pentagraphs is a common generalization of chordal [triangulated] graphs and Mahadev graphs. We construct a polynomial-time algorithm that either find a maximum stable set of G or concludes that G is not a pentagraph. We propose a method for extending α-polynomial hereditary classes based on induced Pentas.     

When are two multivariate random processes indistinguishable

Prediction error identification methods have been recently the objects of much study, and have wide applicability. The maximum likelihood (ML) identification methods for Gaussian models and the least squares prediction error method (LSPE) are special cases of the general approach. In this paper, we investigate conditions for distinguishability or identifiability of multivariate random processes, for both continuous and discrete observation time T. We consider stationary stochastic processes, for the ML and LSPE methods, and for large observation interval T, we resolve the identifiability question. Our analysis begins by considering stationary autoregressive moving average models, but the conclusions apply for general stationary, stable vector models. The limiting value for T → ∞ of the criterion function is evaluated, and it is viewed as a distance measure in the parameter space of the model. The main new result of this paper is to specify the equivalence classes of stationary models that achieve the global minimization of the above distance measure, and hence to determine precisely the classes of models that are not identifiable from each other. The new conclusions are useful for parameterizing multivariate stationary models in system identification problems. Relationships to previously discovered identifiability conditions are discussed.     

L(j,k)- and circular L(j,k)-labellings for the products of complete graphs

Let j and k be two positive integers with j≥k. An L(j,k)-labelling of a graph G is an assignment of nonnegative integers to the vertices of G such that the difference between labels of any two adjacent vertices is at least j, and the difference between labels of any two vertices that are at distance two apart is at least k. The minimum range of labels over all L(j,k)-labellings of a graph G is called the λ _j,k -number of G, denoted by λ _j,k (G). A σ(j,k)-circular labelling with span m of a graph G is a function f:V(G)→{0,1,…,m−1} such that |f(u)−f(v)| _m ≥j if u and v are adjacent; and |f(u)−f(v)| _m ≥k if u and v are at distance two apart, where |x| _m =min {|x|,m−|x|}. The minimum m such that there exists a σ(j,k)-circular labelling with span m for G is called the σ _j,k -number of G and denoted by σ _j,k (G). The λ _j,k -numbers of Cartesian products of two complete graphs were determined by Georges, Mauro and Stein ((2000) SIAM J Discret Math 14:28–35). This paper determines the λ _j,k -numbers of direct products of two complete graphs and the σ _j,k -numbers of direct products and Cartesian products of two complete graphs. Dedicated to Professor Frank K. Hwang on the occasion of his 65th birthday. This work is partially supported by FRG, Hong Kong Baptist University, Hong Kong; NSFC, China, grant 10171013; and Southeast University Science Foundation grant XJ0607230.     

Precision parameter in the variable precision rough sets model: an application

Despite their diverse applications in many domains, the variable precision rough sets (VPRS) model lacks a feasible method to determine a precision parameter (β)$(\beta )$ value to control the choice of β$\beta$-reducts. In this study we propose an effective method to find the β$\beta$-reducts. First, we calculate a precision parameter value to find the subsets of information system that are based on the least upper bound of the data misclassification error. Next, we measure the quality of classification and remove redundant attributes from each subset. We use a simple example to explain this method and even a real-world example is analyzed. Comparing the implementation results from the proposed method with the neural network approach, our proposed method demonstrates a better performance.     

Error-correcting pooling designs associated with the dual space of unitary space and ratio efficiency comparison

In this paper, we construct a d ^z -disjunct matrix with subspaces in a dual space of Unitary space , then give its several properties. As the smaller the ratio efficiency is, the better the pooling design is. We compare the ratio efficiency of this construction with others, such as the ratio efficiency of the construction of set, the general space and the dual space of symplectic space. In addition, we find it smaller under some conditions. Supported by NSF of the Education Department of Hebei Province (2007127) and NSF of Hebei Normal University (L2004B04).     

Cluster life cycle and diaspora effects: Evidence from the Indian IT cluster in Bangalore

The role of local clusters has been of interest to scholars and policymakers in international business alike. Research found that clusters enable a region to develop faster compared to dispersed economic activity, based mainly on a local concentration of competing and cooperating firms and sophisticated domestic demand. Locating in a cluster has certain benefits for firms stemming from pooling of human capital and supporting institutions varying by industry and international specialization.In this paper, we extend the local view of clusters and emphasize the complementary role of non-local linkages, in particular diasporas, illustrating our model employing the case of the evolution of the Bangalore IT cluster. The novelty of our paper lies in its longitudinal character. We are thereby able to identify how the roles of local and non-local networks differ across life-cycle phases; moreover, we find that diasporas can trigger or accelerate local development. We discuss implications for managers and policy makers.     

Diesseits von Coaching und Mentoring: Kollegiale Praxisberatung

Zusammenfassung  Die Methode der kollegialen Beratung eignet sich gut für Menschen in Organisationen, die vor der Herausforderung stehen, ihr Prozesswissen in neuen, unbekannten Kontexten anzuwenden. Schnelligkeit und konkreter Praxisbezug sind dabei wesentliche Faktoren für eine akzeptierte Lernform. In diesem Artikel wird eine Anpassung der Grundmethode der kollegialen Beratung, die kollegiale Praxisberatung, vorgestellt, die diese Anforderung der Praktiker erfüllt. Die dabei auftretenden Prozesswirkungen und Lernerfahrungen werden anhand zweier Praxisbeispiele aus der Industrie illustriert und Chancen sowie Grenzen der Methode diskutiert.

Leadership, levels of analysis, and déjà vu: Modest proposals for taxonomy and cladistics coupled with replication and visualization

In the inaugural issue of LQ's Yearly Review of Leadership, Hunt and Dodge (2000, p. 442) note that, “Within the last two decades, one of the crucial developments in organizational research in general, and in leadership research specifically, is the articulation of specific levels of analysis and their implications for theory building, measurement, and observation.” Their original observations are updated by extending the inferential logic of Yammarino, Dionne, Chun and Dansereau (2005) to determine if any increase in the utilization of a level of analysis perspective has occurred in the last five years. The possible evolution of leadership theory and analysis is discussed, especially with reference to Relational Leadership Theory, Leader–Member Exchange, and Individualized Dyadic Theory. Proposals incorporating taxonomic and visualization tools as a means to help bridge the stakeholder gap are also offered.     

Two new error-correcting pooling designs from d-bounded distance-regular graphs

Let Γ be a d-bounded distance-regular graph with diameter d≥2. In this paper, we construct two new classes of error-correcting pooling designs from the posets consisting of the subspaces of Γ.     

Verstehen in Supervision und Coaching: Sprache als Chance und Hindernis zugleich

Understanding in supervision and coaching: Language as chance and obstacleThe word or the language in general are the vehicle through which the human beings interact with each other, differentiate themselves and regulate their relations. But at the same time anybody’s word is becoming in the postmodern societies more and more individual, self-referential and self-differentiating which means both a chance and an obstacle. The relation between supervisor/coach and client shapes a system of communication that produces stability and at the same time it creates a threat which brings about the possibility of changing the patterns of meaning introducing differentiated models of language.     

Potenzialanalyse im Transformationsprozess: strategisch ausgerichtet und dialogisch angelegt

Potential analysis in a transformation – a strategic and dialogic approach in leadership development. The author describes the integration of ?potential analysis“ in a transformation process. It shows how corporate change and management development strategies can be related, and how the process of “potential analysis“ was conducted in such a way as to contribute to corporate change. The article presents the different instruments which were used and emphasizes the importance of an open dialogue between managers and board members.     

The effect of alliance experience and intellectual capital on the value creation of international strategic alliances

This paper investigates the effects of intellectual capital (IC), alliance experience and their interaction on the value creation of international strategic alliances (ISAs). Based on a sample of ISAs formed by US firms, we find that firms with a higher level of IC receive greater announcement-period wealth gains. In addition, the empirical results suggest experience positively enhances the wealth effect of ISAs. Finally, we find a significant positive interaction effect between experience and IC on the wealth creation of ISAs. The results demonstrate the importance of considering the joint effects of IC and experience in assessing the value creation of ISAs.     

Market Microstructure Invariance: Empirical Hypotheses

Using the intuition that financial markets transfer risks in business time, “market microstructure invariance” is defined as the hypotheses that the distributions of risk transfers (“bets”) and transaction costs are constant across assets when measured per unit of business time. The invariance hypotheses imply that bet size and transaction costs have specific, empirically testable relationships to observable dollar volume and volatility. Portfolio transitions can be viewed as natural experiments for measuring transaction costs, and individual orders can be treated as proxies for bets. Empirical tests based on a data set of 400,000+ portfolio transition orders support the invariance hypotheses. The constants calibrated from structural estimation imply specific predictions for the arrival rate of bets (“market velocity”), the distribution of bet sizes, and transaction costs.     

Assessment of Uncertainty in High Frequency Data: The Observed Asymptotic Variance

The availability of high frequency financial data has generated a series of estimators based on intra‐day data, improving the quality of large areas of financial econometrics. However, estimating the standard error of these estimators is often challenging. The root of the problem is that traditionally, standard errors rely on estimating a theoretically derived asymptotic variance, and often this asymptotic variance involves substantially more complex quantities than the original parameter to be estimated. Standard errors are important: they are used to assess the precision of estimators in the form of confidence intervals, to create “feasible statistics” for testing, to build forecasting models based on, say, daily estimates, and also to optimize the tuning parameters. The contribution of this paper is to provide an alternative and general solution to this problem, which we call Observed Asymptotic Variance. It is a general nonparametric method for assessing asymptotic variance (AVAR). It provides consistent estimators of AVAR for a broad class of integrated parameters Θ = ∫ θ_t dt, where the spot parameter process θ can be a general semimartingale, with continuous and jump components. The observed AVAR is implemented with the help of a two‐scales method. Its construction works well in the presence of microstructure noise, and when the observation times are irregular or asynchronous in the multivariate case. The methodology is valid for a wide variety of estimators, including the standard ones for variance and covariance, and also for more complex estimators, such as, of leverage effects, high frequency betas, and semivariance.     

Leverage and Default in Binomial Economies: A Complete Characterization

Our paper provides a complete characterization of leverage and default in binomial economies with financial assets serving as collateral. Our Binomial No‐Default Theorem states that any equilibrium is equivalent (in real allocations and prices) to another equilibrium in which there is no default. Thus actual default is irrelevant, though the potential for default drives the equilibrium and limits borrowing. This result is valid with arbitrary preferences and endowments, contingent or noncontingent promises, many assets and consumption goods, production, and multiple periods. We also show that only no‐default equilibria would be selected if there were the slightest cost of using collateral or handling default. Our Binomial Leverage Theorem shows that equilibrium Loan to Value (LTV) for noncontingent debt contracts is the ratio of the worst‐case return of the asset to the riskless gross rate of interest. In binomial economies, leverage is determined by down risk and not by volatility.