Firm’s core competence and output characteristics: An empirical framework for operation management of innovation .

Seddighi, Hamid and Mathew, Sony (2018) Firm’s core competence and output characteristics: An empirical framework for operation management of innovation . Journal of Operation Management. ISSN 0272-6963 (Submitted)

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Abstract

This paper examines the nature of linkages between a firm’s core competence and a firm’s output /product characteristics. Within the framework of a positivist philosophy, deductive approach, and a quantitative methodology, an academic questionnaire was employed to collect primary data from 330 firms located in North East England, a peripheral region of the UK. Collected data was subjected to a detailed logit regression analysis in order to estimate the conditional probability that a firm has a core competence, given the presence of one or more of its key output characteristics. . We have found that those firms whose outputs/ products are (1) difficult to imitate, (2) exported to a wide variety of markets and (3) generating a perceived value to customers are highly likely to have a distinct core competence(over 0.99%). Furthermore, amongst these output characteristics, the ability to access to a wide variety of markets is found to be the best indicator of existence of a firm’s core competence in our sample. Within this framework, a classification system of firms is developed which makes use of logit regression results to classify firms into a number of categories to facilitate management of innovation activities . This framework and its associated classification system might be employed (1) by regional policy makers in peripheral regions to target and to assist firms to help regional growth via firms’ innovation and exporting activities, and (2) by a firm as an internal operation management tool to help in allocation of scare resources for innovation.

Item Type: Article
Subjects: Business and Management > Business and Management
Divisions: Faculty of Business, Law and Tourism
Depositing User: Hamid Seddighi
Date Deposited: 20 Dec 2018 15:35
Last Modified: 20 Dec 2018 15:35
URI: http://sure.sunderland.ac.uk/id/eprint/10156

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