Small companies face an increasingly turbulent business environment. They are traditionally ‘power’ cultures, with informal, chaotic, communication flows. This has enabled them to maintain flexibility. However, informal information is no longer enough in the face of complexity. These companies need to concentrate onformal information for traceability. Effective management of both formal and informal information enables these small companies to adapt to change. This paper explores information in a small company, using an in-depth case study. (...) The work is of particular interest and value to the knowledge-intensive small company, one of the emerging types of company in Europe. (shrink)

Both Jago, in his 2020 article ‘A short argument for truthmaker maximalism’ and his 2021 article ‘Which Fitch?’, and Loss in his 2021 article ‘There are no fundamental facts’, employ arguments similar to that familiar from the Church–Fitch Paradox to infer some substantial metaphysical claims from their mere logical possibility. Trueman in his 2022 article ‘Truthmaking, grounding and Fitch’s paradox’ and Nyseth in his 2022 article ‘Fitch’s paradox and truthmaking’ respond by using exactly the same kind of argument to prove (...) contrary theses. Intended as bad company objections, these counterarguments cast doubt on the original arguments, but do not actually identify their flaw. This paper aims to fill this gap. (shrink)

What is the relationship between biotechnology employees’ beliefs about the moral outcomes of a controversial transgenic research project and their attitudes of acceptance towards the project? To answer this question, employees (n=466) of a New Zealand company, AgResearch Ltd., were surveyed regarding a project to create transgenic cattle containing a synthetic copy of the human myelin basic protein gene (hMBP). Although diversity existed amongst employees’ attitudes of acceptance, they were generally: in favor of the project, believed that it should be (...) allowed to proceed to completion, and that it is acceptable to use transgenic cattle to produce medicines for humans. These three items were aggregated to form a project acceptance score. Scales were developed to measure respondents’ beliefs about the moral outcomes of the project for identified stakeholders in terms of the four principles of common morality (benefit, non-harm, justice, and autonomy). These data were statistically aggregated into an Ethical Valence Matrix for the project. The respondents’ project Ethical Valence Scores correlated significantly with their project acceptance scores (r=0.64, p<0.001), accounting for 41% of the variance in respondents’ acceptance attitudes. Of the four principles, non-harm had the strongest correlation with attitude to the project (r=0.59), followed by benefit and justice (both r=0.54), then autonomy (r=0.44). These results indicate that beliefs about the moral outcomes of a research project, in terms of the four principles approach, are strongly related to, and may be significant determinants of, attitudes to the research project. This suggests that, for employees of a biotechnology organization, ethical reasoning could be a central mechanism for the evaluation of the acceptability of a project. We propose that the Ethical Valence Matrix may be used as a tool to measure ethical attitudes towards controversial issues, providing a metric for comparison of perceived ethical consequences for multiple stakeholder groups and for the evaluation and comparison of the ethical consequences of competing alternative issues or projects. The tool could be used to measure both public and special interest groups’ ethical attitudes and results used for the development of socially responsible policy or by science organizations as a democratizing decision aid to selection amongst projects competing for scarce research funds. (shrink)

Employee buy-in is a key factor in ensuring small- and medium-size enterprise (SME) engagement with corporate social responsibility (CSR). In this exploratory study, we use participant observation and semi-structured interviews to investigate the way in which three fair trade SMEs utilise human resource management (and selection and socialisation in particular) to create employee engagement in a strong triple bottomline philosophy, while simultaneously coping with resource and size constraints. The conclusions suggest that there is a strong desire for, but tradeoff (...) within these companies between selection of individuals who already identify with the triple bottomline philosophy and individuals with experience and capability to deal with mainstream brand management – two critical employee attributes that appear to be rarely found together. The more important the business experience to the organisation, the more effort the organisation must expend in formalising their socialisation programmes to ensure employee engagement. A key method in doing this is increasing employee knowledge of, and affection for, the target beneficiaries of the CSR programme (increased moral intensity). (shrink)

Three partners founded the Grenada Chocolate Company in 1999: Mott Green, Doug Browne and Edmond Brown. Several years ago Doug passed away of cancer and in June 2013 Mott suffered a fatal electrocution while repairing a piece of equipment. Edmond was now thrust into the leadership position and left to decide what direction GCC should take. The GCC product line was becoming increasingly popular both on the island and internationally and demand was high,but the original vision for the company was (...) to produce bean-to-bar chocolates while providing a fair wage to the local employees and farmers. Expansion could be an option for Edmond and GCC, but was it possible to expand and stay true to the ideas on which GCC was founded? (shrink)

The purpose of this paper is to examine the effect of corporate governance practices of small cap companies have had on their financial performances. Previous studies have mainly examined governance practices of larger corporations. This analysis focuses on the governance variables that have been highlighted by the New Zealand Securities Commission governance principles and guidelines and also on the governance variables that are supported in the literature as providing an appropriate structure for the firm in the environment in (...) which it operates. The data for 71 small cap companies listed in New Zealand over a five-year period from 2001 to 2005 was analysed. Pooled data, OLS and 2SLS regression techniques were used and Tobin's Q, ROA and OPINC were used as the dependent variables. The evidence does support the hypothesis that the existence of board independence and audit committee has enhanced firm financial performance, as measured by Tobin's Q. (shrink)

This paper analyses empirical evidence of efforts to enable Spanish micro and small manufacturing companies to boost their labour productivity rates through the development of the main pillars of their corporate social responsibility policies. This study aims to develop new approaches and sensibilities towards work from an ethical, values and CSR perspective, showing how internal dimensions of CSR, such those related to relationships with employees and responsibility in processes and product quality, can improve labour performance and labour efficiency, (...) thereby contributing to a better society. The results of a sample of 929 small businesses indicate that the social responsibility policies that most contributed to a short-term increase in labour productivity are those related to internal aspects of the company, in particular its involvement in the quality of processes and products, promotion of innovation and employee care. However, the impact on labour productivity of CSR policies related to external factors, such as relationship with stakeholders and environmental concern, could not be empirically proven in this paper. (shrink)

. Recent years have witnessed the proliferation of “Christian” companies in the U.S. These firms declare their belief in, and active pursuit of, the successful merging of biblical principles with business activities. Economic success, hard work, and biblical values are seen as capable of existing together in harmony. While the number of such businesses appears to be growing, there has been a dearth of any scientific study of these companies. No empirical research has been conducted to determine whether (...) these religious values and behaviors have any significant impact on a company’s performance. The present study is designed to partially fill this gap. Specifically, it seeks to determine whether there are differences in long-term performance between self-proclaimed “Christian-based” businesses and their secular counterparts. Data were collected from 312 companies. A multivariate analysis of variance (MANOVA), followed by univariate ANOVAs, found significant differences between these two groups of firms on three of the four performance variables that were analyzed. Some explanations as well as limited generalizations and implications are developed. (shrink)

Questions such as ‘What if such small companies as Hewletts and the Varians had not been established in Santa Clara County in California?’ or ‘What if Q-type keyboards had not been invented?’ are well known among economists. The questions point at a phenomenon called path dependence: ‘small events’, the argument goes, may cause the evolution of institutions to lock in to specific paths that may produce undesirable consequences. How about applying such skeptical views in economics to human (...) ideas and thought in general? That is to say, what if we ask such questions as: what if Greek philosophy had not been interested in ‘essences’ and ‘foundations’? What if Kant had not invented the ‘thing-in-itself?’ Nature and society, according to such Platonic philosophers, can be known only if it can be shown that events are governed, regulated and characterised by ‘forms’, which are immutable, complete, and perfect in their nature. But is there an ‘essence’ that makes a man 100 per cent male? Was there really a ‘foundation’ in history that caused a proletarian revolution in Russia? What if we had pushed aside the rhetoric of utopian ideality? What if we had a worldview different than the one depicted by Thomas More in his Utopia? The essay points at the possibility of such skepticism in human ideas and thought. (shrink)

This paper selected Vanke as the case to study the governance problems of Vanke and the protection of the interests of small and medium shareholders under the situation of equity disputes. At the same time, the study further explored the advantages and disadvantages of the dispersed ownership structure, the long-term impact on the company’s development and the choice of the involved corporate governance methods under the current Chinese capital market conditions. This paper adopted the event research method and selected (...) the period from June 2015 to June 2017 as the observation period to analyze the market performance impact of Vanke in the equity disputes. At the same time, this paper also measured Vanke’s individual stock rate of return and market rate of return, and calculated Vanke’s normal rate of return [E], abnormal rate of return, and cumulative abnormal rate of return during different event windows. Vanke’s shareholding was too dispersed and the stock price had been sluggish for a long time, which had greatly reduced the acquisition difficulty and cost of Baoneng, thus triggering the “barbarian invasion” of Baoneng. In the struggle for control, whether it was Vanke’s anti-takeover measures or China Resources, Baoneng, and Evergrande’s competition for equity, their actions had harmed the interests of small and medium shareholders. The market supervision department was too lenient to supervise and punish the interests of small and medium shareholders, and opportunism made behaviors that infringe on the interests of others more reckless. However, small and medium shareholders cannot actively participate in the company’s management decision-making to safeguard their legitimate rights and interests, which intensifies the violations of all parties in the equity disputes, thus forming a vicious circle. Therefore, the protection of the interests of small and medium shareholders required the joint efforts and consciousness of regulators, small and medium shareholders, and acquirers. (shrink)

Despite increasing attention to the sensors, drones, robots, and apps permeating agri-food systems, little attention has been paid to social media, perhaps the most ubiquitous digital technology in rural areas globally. This article draws on analysis of farming groups on Myanmar Facebook to posit social media as appropriated agritech: a generic technology incorporated into existing circuits of economic and social exchange that becomes a site of agrarian innovation. Through analysis of an original archive of popular posts collected from Myanmar-language Facebook (...) pages and groups related to agriculture, I explore the ways that farmers, traders, agronomists and agricultural companies use social media to further agrarian commerce and knowledge. These activities evidence that farmers use Facebook not only to exchange market or planting information, but also to interact in ways structured by existing social, political and economic relations. More broadly, my analysis builds on insights from STS and postcolonial computing to disrupt assumptions about the totalizing power of digital technologies and affirm the relevance of social media to agriculture, while inviting new research into the surprising, ambiguous relationships between small farmers and big tech. (shrink)

While Corporate Social Responsibility (CSR) has traditionally been the domain of the corporate sector, recognition of the growing significance of the Small and Medium Sized Enterprise (SME) sector has led to an emphasis on their social and environmental impact, illustrated by an increasing number of initiatives aimed at engaging SMEs in the CSR agenda. CSR has been well researched in large companies, but SMEs have received less attention in this area. This paper presents the findings from a U.K. (...) wide study of socially responsible SMEs. The 24 companies studied were chosen as “exemplars” of␣CSR in SMEs. The aim of this study therefore is to progress understanding of both the limitations on and opportunities for CSR in SMEs through the exploration of exemplary characteristics in the study companies. Key areas of investigation were CSR terminology, the influence of managerial values, the nature of SME CSR activities, motivation for and benefits from engaging in CSR, and the challenges faced. The results of this study demonstrate some of the exemplary goals and principles needed to achieve social responsibility in SMEs, and begin to provide knowledge that could be used to engender learning in other SMEs. In particular, there is evidence that stakeholder theory may provide a framework in which SMEs and CSR can be understood. SMEs prefer to learn through networking and from their peers, so this is a possible avenue for greater SME engagement in CSR. This would require strong leadership or “championing” from individuals such as highly motivated owner–managers and from exemplary companies as a whole. (shrink)

The purpose of this article is to analyse the main provisions of the European private company not limited by the provisions as presented by the European Commission in its Proposal for a Council Regulation on the statute for European private company, but also including amendments introduced by the European Parliament and taking into account the negotiations in the Council of the European Union. This article analyses the development of the European private company and explains why such legal form of a (...) company is needed. It provides the analysis of the main provisions of the proposal for the Regulation, the assessment of advantages and drawbacks of the alternatives introduced by the European Parliament and considered in the Council of the European Union, evaluation of the response of these provisions to the specific needs of small and medium-sized enterprises. The article also presents conclusions and suggestions for the improvement of the legal provisions. (shrink)

Start-up organisations are small companies that experience a high level of growth and considerable risk to their very survival until they evolve into stable, established companies. This situation presents a particular set of challenges in terms of corporate governance, yet research on the governance of start-ups is limited. This research paper examines and comments on the governance of start-up organisations in New Zealand. The study replicates and extends previous New Zealand-based research of boards of established companies. (...) From the data gathered from the two surveys, conclusions can be drawn as to the role and focus of boards in start-ups versus established companies. The results are consistent with a model of active ownership which identifies key differences from established companies that could improve the governance of start-ups. The results also highlight the dependence of what might constitute effective corporate governance for a start-up on the strategic context of the company and its life cycle stage. (shrink)

Grenada Chocolate Company (GCC) is the world’s smallest chocolate factory. After being hit with several hurricanes, the founders of GCC must decide the best way to continue their business. This case addresses the possibilities GCC has while exploring the benefits and pitfalls of a small business.

The development of product innovations in small and medium enterprises is determined mainly by their financial capabilities. These enterprises usually encounter financial problems when it comes to the introduction of product innovations. Therefore, managers should manage the company’s finances in the way that will enable them using all available means to solve these problems. This means that they ought to use external financial resources to a greater extent (not only in the form of loans). The article focuses on the (...) financial conditions for the development of product innovations in small and medium enterprises, while other forms of innovation are omitted. Product innovations are given the highest priority by mentioned companies. The analysis covered the years 2010-2017. The case study allowed to present changes in this most important form of activity for enterprises in the SME sector during the analyzed periodFor the purpose of this paper, large companies have also been included in the study in order to extend the comparative base.. In the article there were used data published by GUS, NBP, PARP, Eurostat. The article presents the following thesis: The innovative activity of Polish enterprises takes mainly the character of product innovations, which often require large financial outlays. Two hypotheses were used to verify the thesis: HPT1: The increase in the outlays of enterprises on technical progress and on research and development works (R&D) leads to companies' own the development of product innovations. HPT2: The resources are the main source of financing for product investments. Due to the greater capacity of large companies to spend on R&D, they are more active in product innovation than small companies, whose financial resources are significantly limited. Broader implementation of product innovations in SMEs requires wider access to finance and greater involvement of many participants. In order to be able to take advantage of all possible opportunities to renew the production programme, the company should ensure appropriate internal and external integration in the management of the process. (shrink)

Much attention has been focused in recent years on the ethical acceptability of physicians receiving gifts from drug companies. Professional guidelines recognize industry gifts as a conflict of interest and establish thresholds prohibiting the exchange of large gifts while expressly allowing for the exchange of small gifts such as pens, note pads, and coffee. Considerable evidence from the social sciences suggests that gifts of negligible value can influence the behavior of the recipient in ways the recipient does not (...) always realize. Policies and guidelines that rely on arbitrary value limits for gift-giving or receipt should be reevaluated. (shrink)

While the existing literature focuses on the disclosure of social information mainly by large companies, this paper concentrates on the disclosure of social information by small- and medium-sized companies (SME) listed on the Alternative Investment Market (AIM) in the U.K. The paper investigates the prevalent view that SMEs are unlikely to report social information due to their financial constraints and the perception that they have very little social conduct on which to report. Our overall evidence illustrates that, (...) contrary to this view, SMEs report social information regardless of their financial constraints, most likely in the same manner as large companies do, because they realise the significance of social reporting in establishing and retaining their corporate reputation. (shrink)

A significant part of responsible innovation is engagement with diverse groups of stakeholders; this remains true for projects investigating responsible innovation practices. This chapter discusses strategies for engaging small and medium-sized enterprises in co-creating visions of and plans for implementing responsible innovation, drawing on the example of engagement with United Kingdom cyber security companies. The key aspect of the engagement was building trust between the responsible innovation researchers and the companies. Trust was built by a movement away (...) from traditional recruitment procedures for research projects, towards proactive engagement with the culture and traditions of the sector – participating in company sponsored talks and conferences, finding ways to communicate effectively, and ensuring a tailored message that fit the expectations and requirements of the sector. This chapter reviews the context in which the recruitment took place, the assumptions made prior to recruitment, the approaches taken, the revisions made to these approaches, and ultimately offers some general recommendations for industry engagement in responsible innovation activities. (shrink)

This paper focuses on social responsibilities of small- and medium-sized enterprises (SMEs). The objective of the paper is to define propositions in order totest if and how the behavior of small companies depends on managerial tasks, and general environmental threats and opportunities. Broadly speaking, we try toanswer to the following questions. Is there a way to connect small companies’ attitudes towards social responsibility to the models of the businesses they run?Does socially responsible behavior depend on (...) the specific industry or the local economic environment, more than on firm size? (shrink)

Much attention has been focused in recent years on the ethical acceptability of physicians receiving gifts from drug companies. Professional guidelines recognize industry gifts as a conflict of interest and establish thresholds prohibiting the exchange of large gifts while expressly allowing for the exchange of small gifts such as pens, note pads, and coffee. Considerable evidence from the social sciences suggests that gifts of negligible value can influence the behavior of the recipient in ways the recipient does not (...) always realize. Policies and guidelines that rely on arbitrary value limits for gift-giving or receipt should be reevaluated. (shrink)

Sir Andrew Witty’s pivotal 2013 report (Witty, Encouraging a British invention revolution: Sir Andrew Witty’s review of universities and growth. Final Report and Recommendations, 2013) identified that universities have an extraordinary potential to enhance economic growth, and that much of this growth will come from small-to-medium enterprises (SMEs). The report noted that whilst they offer SMEs substantial benefits, many universities lack resources for external engagement. I argue that larger universities do contribute to this narrative but are driven by strong (...) research agendas and typically work with larger companies nationally and internationally. They are not particularly accessible to SMEs.This chapter discusses the impact that a small university can have on the regional economy in which it operates, and argues that smaller universities can be more focused on local need, especially in relation to supporting small businesses. It is presented within the context of the development of the University of Chichester Business School over the last 20 years; the successes and the challenges that had to be overcome. The University and the Business School is an example of an anchor institution, like many other small universities, embedded in their local economies, acting as facilitators at the heart of a network of open innovation, connecting supply chains, education establishments, local government and businesses.The importance of building long-term relationships is explored and illustrated with feedback from interviews with key stakeholders in the regional economy. (shrink)

While a substantial amount of the literature describes corporate benefits of corporate social responsibility (CSR) initiatives, the literature is silent concerning why some companies announce CSR initiatives, yet fail to implement them. The article examines company delistings from the UN Global Compact. Delistings are surprising because the CSR agenda is seen as having won the battle of ideas. The analysis proceeds in two parts. I first analyze firm-level characteristics focusing on geography while controlling for sector and size; I find (...) that geography is a significant factor while small firms are more likely to be delisted than large firms and some sector characteristics determine delistings. Next, I proceed to uncover country-level characteristics including the degree of international economic interdependence as well as the quality of governance institutions. Multivariate regression analysis shows that companies are less likely to be delisted from countries where domestic governance institutions are well-functioning. To a lesser extent, I find that firms from countries with international economies are more willing to comply with the UN Global Compact requirements. Countries with a high share of outward FDI/capita have a lower share of delisted firms as do countries that are internationally competitive. (shrink)

Making use of facilitating payments is a very widespread form of corruption. These consist of small payments or gifts made to a person – generally a public official or an employee of a private company – to obtain a favour, such as expediting an administrative process; obtaining a permit, licence or service; or avoiding an abuse of power. Unlike the worst forms of corruption, facilitating payments do not usually involve an outright injustice on the part of the payer as (...) they are entitled to what they request. This may be why public opinion tends to condone such payments; often they are assumed to be unavoidable and are excused on the grounds of low wages and lack of professionalism among public officials and disorganisation in government offices. Many companies that take the fight against “grand” corruption very seriously are inclined to overlook these “petty” transgressions, which are seen as the grease that makes the wheels of the bureaucratic machine turn more smoothly. Despite this, facilitating payments have a pernicious effect on the working of public and private administrations: all too often they are the slippery slope to more serious forms of corruption; they impose additional costs on companies and citizens; and in the long run they sap the ethical foundations of organisations. Although many articles on corruption mention facilitating payments, there have been no systematic studies from a company’s point of view. This article thus focuses on facilitating payments from the point of view of the company that makes the payment, either as the active partner (when it is the company that takes the initiative) or as the passive partner (when the official or employee is the instigator). (shrink)

This article recalls the fact that until the mid-19th century neither company legislation, nor jurists, nor economists, envisioned companies to be private or small. Nevertheless, once freedom of incorporation and general limited liability were enacted, a new practice was set in motion in Britain. Smaller companies were formed in growing numbers, replacing partnerships, family firms and even sole proprietorships. They operated in sectors in which corporations had not been found before. These companies did not seek access (...) to the stock markets. The article tracks the take-up pattern and changing characteristics of the corporate form in Britain between the enactment of free incorporation and general limited liability (1844–62) and the formal legal recognition of the private company (1907). It shows the dramatic increase in annual incorporation and the parallel decrease in the average capital and average number of shareholders in newly formed companies. The article then analyses the reasons for the decision of businesspersons to incorporate their small firms. The main motivations were the possibility to create asset partitioning between personal and business assets and the ability to use the floating charge. Finally, the article examines the legal reaction to the bottom up emergence of the private company. It examines the reactions of the courts (in the famous Salomon v Salomon case) and of the legislature to this unpredicted practice. It argues that incorporators and their lawyers used the available contractual flexibility to privately design Articles of Association and to adjust them to the specific needs of private and small companies, often by introducing partnership internal governance rules into company Articles. The present study relies on newly gathered data on the take-up of the company form and a newly produced sample of company files collected at Companies House and the National Archives. (shrink)

This paper presents the results of a national study of the beliefs and perceptions of small business professionals concerning ethics within their company and business in general. The study examined their views on the relationship between success and ethical conduct as well as the extent and nature of ethical conflicts experienced by the respondents. Some comparisons are made with similar studies that have been conducted in the past. Respondents have the most ethical conflicts with customers and employees, and with (...) regard to honesty in contracts/agreements. Most also believe that ethical standards are lower than they were 10 and 20 years ago, primarily because society's moral standards are lower. Additionally, they believe that the behavior of top management has the most influence on decisions in ethical situations. Finally, consistent with prior studies, they believe that they have the most responsibility to customers, ahead of employees and stockholders. (shrink)

A training physician has his first interaction with a pharmaceutical representative during medical school. Medical students are often provided with small gifts such as pens, calendars and books, as well as free lunches as part of drug promotion offers. Ethical impact of these transactions as perceived by young medical students has not been investigated in Pakistan before. This study aimed to assess the association of socio-demographic variables with the attitudes of medical students towards pharmaceutical companies and their incentives.

Small and medium-sized enterprises (SMEs) play a crucial role in national economic growth and contribute significantly to GDP, acting as the backbone of economies in competitive markets. However, ethical issues in SMEs are often overlooked compared to those in large organisations due to limited public financial exposure and minimal media coverage. Research on ethical culture is still limited, particularly in SMEs, as past studies have predominantly focused on large organisations. To gain deeper insights into the ethical culture of SMEs, (...) more qualitative research is needed to uncover the complexities of ethical conduct and organisational dynamics in SMEs. Therefore, this study employs a qualitative approach to explore the elements of ethical culture implemented in Malaysian SMEs. The data, gathered through in-depth interviews with eleven SME managers in Malaysia, revealed that ethical culture is reflected through formal systems, informal systems, leadership, and the newly highlighted element of religiosity. These four elements were explained with three goals for each element: communication, training, and management. The ethical issues faced by SMEs (favouritisms, selling company inventories, and disrespect towards female-led managers) were also highlighted. Accelerators (family influence, customer retention) and barriers (financial constraints) in implementing ethical culture were identified. Interestingly, this study highlights the significant role of religiosity in the ethical culture of SMEs, contributing to the literature and serving as a framework for future research. It aims to provide valuable insights for policymakers, business leaders, and stakeholders seeking to promote a robust ethical culture within the context of Malaysian SMEs. (shrink)

Socially responsible business and ethical behaviour of companies have been of interest to academia and practice for decades. But the focus has almost exclusively been on large corporations while small- and medium-sized enterprises (SME) have not received as much attention. Thus, this paper focuses on socially responsible business practices of SME entrepreneurs or owner–managers in Germany. Based on the assumption that decision-makers in SMEs are the central point where all business activities start, members of a German entrepreneurs association (...) were approached in the course of a qualitative and quantitative survey. They were asked to assess in what way their social responsibility is expressed in specific management practices towards selected stakeholder groups. These practices in turn were assumed to result in perceived positive reactions of the respective stakeholders and subsequently to positively influence the firm's financial performance, i.e. cost reductions and increase in profits. In the paper, a research model is presented that elaborates the relationship between an SME executive's social responsibility and the value creation of a firm, i.e. whether (personal) values create (economic) value. It was found that socially responsible management practices towards employees, customers and to a lesser extent society have a positive impact on the firm and its performance. As such, values can create additional value. (shrink)

In their book ‘Corporate Social Opportunity’, Grayson and Hodges maintain that ‘the driver for business success is entrepreneurialism, a competitive instinct and a willingness to look for innovation from non‐traditional areas such as those increasingly found within the corporate social responsibility (CSR) agenda’. Such opportunities are described as ‘commercially viable activities which also advance environmental and social sustainability’. There are three dimensions to corporate social opportunity (CSO) – innovation in products and services, serving unserved markets and building new business models. (...) While small‐ and medium‐sized enterprises (SMEs) have traditionally been presented as non‐entrepreneurial in this area, this paper demonstrates how SMEs can take advantage of the opportunities presented by CSR. Using data from 24 detailed case studies of UK SMEs from a range of sectors, the paper explores the numerous CSR opportunities that present themselves to SMEs, such as developing innovative products and services and exploiting niche markets. There are inevitable challenges for SMEs undertaking CSR, but by their very nature they have many characteristics that can aid the adoption of CSR; the paper explores these characteristics and how the utilisation of positive qualities will help SMEs make the most of CSOs. Integrating CSR into the core of a company is crucial to its success. Using the case studies to illustrate key points, the paper suggests how CSR can be built into a company's systems and become ‘just the way we do things’. There are a number of factors that characterise the CSO ‘mentality’ in an organisation, and Grayson and Hodges's book describes seven steps that will move a company in the direction of a ‘want to do’ CSO mentality. This paper adapts these steps for SMEs, and by transferring and building on knowledge from the 24 detailed case studies, it develops a ‘business opportunity’ model of CSR for SMEs. (shrink)

The management literature is replete with studies on business ethics. Unfortunately, most of these studies have dealt exclusively with ethics in large businesses. Although a handful of studies can be found on small business ethics, none has paid attention to the issue of ethics in small minority businesses. Similarly, several studies on ethics have utilized the Wood et al. (1988) 16-vignette ethics scale, although reliability and validity issues associated with the scale have never been fully addressed. In this (...) study, a purification (via content analysis) of the above mentioned scale was performed. Three reliable factors were extracted from the purified scale. They were used to investigate the ethics in small minority businesses. The study found an association between business ethics and demographic and company-related variables. In the case of age of respondents, findings ran counter the usual relationship of age being positively related to ethical attitudes. The implications of these findings are also discussed. (shrink)

Managers often ask why their firm should have an ethics program, especially if no one has complained about unethical behavior. The pursuit of business ethics can cost money, they say. It can lose sales to less scrupulous competitors and can drain management time and energy. But as Harvard business professor Francis Aguilar points out, ethics scandals (such as over Beech-Nut's erzatz "apple juice" or Sears's padded car repair bills) can severely damage a firm, with punishing legal penalties, bad publicity, and (...) irreparably injured customer relations. Equally important if less obvious, unethical behavior can undermine a firm's organizational spirit. On the other hand, Aguilar argues, in a well run firm, ethical programs can actually enhance corporate performance, strengthening the company at every level and supercharging employee risk taking and innovation. In Managing Corporate Ethics, Aguilar shows managers how to create ethical programs within their organizations that not only discourage large-scale wrongdoing, but can contribute substantially to the achievement of corporate excellence. Aguilar's program is down-to-earth and comprehensive, and based on his extensive research on highly successful, ethical companies, both large and small. He recommends action on three fronts: first, get senior management to provide effective ethical leadership; second, set up an ethics program that promotes concern for the interests of people affected by the firm's operations and that provides safeguards against corrupting business pressures; and third, staff the company with ethical people and surround the organization with ethical advisors (including legal, financial, accounting, tax, and marketing consultants). To illuminate this three-step program, Aguilar incorporates the lessons learned in his in-depth study of ten prominent firms with proven successful ethics programs--among them Hewlett-Packard, Johnson & Johnson, Nucor Steel, Cray Research, ServiceMaster, and Texas Instruments. He examines Lincoln Electric's attention to compensation and job security to ensure quality products and to reduce the pressure or temptation to act unethically. He shows how General Mills, while pushing product line managers to compete aggressively, uses corporate staff units to guard against illegal or unacceptable claims (testing cake recipes, for example, to see if a product's quality fails under the less-than-perfect conditions of a normal kitchen). And he details how Armstrong World Industries uses pep talks, inspirational stories, role models, and ready access to management to promote ethical standards among employees. Throughout, Aguilar demonstrates convincingly that an ethical program pays dividends: that employees, suppliers, customers, and the community at large know when they are being treated in a positive and constructive manner, and are likely to respond in kind. Packed with real life examples of successful (and failed) ethical programs, Managing Corporate Ethics is a valuable roadmap to an often overlooked source of business success. (shrink)

Growing detrimental effects on the bio-physical environment have been responsible for a large number of small firms to adopt a more strategic stance toward exploiting green-related opportunities. This article aims to shed light on how internal company factors help to formulate a green business strategy among small manufacturing firms, and how this, in turn, influences their competitive advantage and performance. Based on data received from 153 small Cypriot manufacturers, we propose and test a conceptual model anchored on (...) the Resource-based View of the firm. The findings underscore the critical role of both organizational resources and capabilities in pursuing a green business strategy. The adoption of this strategy was more evident in the case of firms operating in more harmful, as opposed to less harmful, industries. The implementation of a green business strategy was found to generate a positional competitive advantage, with this association becoming stronger under conditions of high regulatory intensity, high market dynamism, high public concern, and high competitive intensity. It was also revealed that this competitive advantage is conducive to gaining heightened market and financial performance. Our study makes a fivefold contribution: it injects a theoretical perspective into a relatively atheoretic field, underlines the role of organizational resources/capabilities as drivers of eco-friendly initiatives, highlights the often neglected strategic aspects of small firms’ ecological business activities, stresses the contingent role of external forces in moderating the positive impact of small firm green business strategy on competitive advantage, and focuses on the performance implications of the small firm’s engagement in environmental operations. (shrink)

Entrepreneurs as individuals are the main drivers of entrepreneurship and possess distinct personality characteristics. The study focused on entrepreneurial openness and creativity on the entrepreneurial level relative to business growth. Hypotheses were developed and empirically tested in structural equation models using survey data obtained from SMEs’ entrepreneurs in three countries. This study adds to what is known about entrepreneurship and small business management in terms of normative research on firm growth by empirically examining the relationships between the entrepreneurial openness, (...) creative personality, and creativity of the entrepreneur and growth of the company. Moreover, the study develops refined internationally comparable measures of entrepreneurial openness, entrepreneur creativity, and a creative personality. An entrepreneur’s openness and creative personality may be essential for their creativity. The entrepreneur’s creativity may be a vital element of company growth in some countries. (shrink)

The paper responds to the recent calls for further evidence on corporate social responsibility (CSR) in small and medium‐sized enterprises (SMEs). Drawing on the extant literature, the authors identify four characteristics contended by academicians as peculiarities of SMEs’ approach to CSR: the intrinsic relationship between CSR and corporate strategy motivated by the need to continuously dialogue with stakeholders; the centrality of the entrepreneur's ethos in CSR decisions; the coexistence and the cross‐effect of economically instrumental and ethically motivated CSR policies; (...) and the finalization of CSR initiatives to specific firm growth objectives. These four peculiarities are explored in the case of an Italian medium‐sized company operating in the furniture industry. The outcomes show how the four peculiarities are salient in analyzing the CSR approach by the company and suggest areas for further research aimed at developing a thorough theory of CSR in SMEs. In particular, we deepen the analysis of the nature of the uniqueness of medium‐sized companies’ approach to CSR, providing possible interpretations of the reasons making medium‐sized companies’ approach to CSR different from both small and large companies. (shrink)

Bankruptcy of listed companies or shareholders delisting usually causes the crisis spreading in stock markets. Based on the systematic analysis of the epidemic diseases and rumors spreading on the complex networks, the SIR model is introduced to research the crisis spreading in shareholding networks of listed companies and their main holders on the basis of the data about ownership structure in Chinese Stock Markets. The characteristics of shareholding networks are studied, and the parameters for the SIR model are (...) obtained by empirical approach. Then, the numerical computation method is successfully used to analyze the crisis spreading in the networks when the networks meet random failures or intentional attacks. We find the networks have good robustness against the random failures. However, the crisis will spread at a high speed and cause catastrophic damage if there are some failures or attacks on hub vertices in the networks. Under this condition, the networks show obvious vulnerability. Last but not least, the controllability of the networks under the condition of intentional attacks and random failures is studied. The results show that if the network is controlled globally, it is more reliable to allow a politically good new or an appropriate exciting economical policy to play the role in orienting markets under the control of public opinions as the crisis occurs. However, under normal circumstances, controlling a small part of driver vertices representing listed companies, applying appropriate control strategies, and using its characteristics of high efficiency of sending information can effectively control the stock market. Our research provides a new reference to further exploration about the transmission mechanism of the crisis based SIR model and further research on the controllability of crisis spreading in financial markets. (shrink)

Purpose In considering the ubiquity of information systems and the increasingly important role served in modern business and service delivery, social media if properly leveraged gives potential competitive advantage to a company in its respective industry. With Paramount Web Nigeria Ltd. as a case study, this paper aims to focus on the important aspects of adopting social media as an IS such as data privacy principles and the role of social media in the context of a small internet service (...) company. Design/methodology/approach Relevant research information was relied upon to highlight the various factors involved with adopting social media as an IS. Findings Data handling and privacy policies must also be considered and properly devised if the concerned company is to effectively adopt social media as an IS. Decision-making tools such as SWOT analysis and the quality triangle are vital during the planning stages of deploying an IS. Research limitations/implications Research papers on aspects of social media as an IS especially in West African academia has been lacking. The challenge is in contextual information related to similar topics. Practical implications Findings detailed in this paper will serve to provide a better understanding of the important factors to be considered when adapting a new IS to an existing business. Originality/value This paper serves to highlight the potential factors to be considered when dealing with business ISs with a strong focus on social media and internet related services. (shrink)

Based on the daily data from January 2, 2019, to September 30, 2020, this paper uses the extended CoVaR model to measure the spillover effect of systemic risk among top 10 securities companies by market value in China, All Share Brokerage Index, All Share Financials Index, All Share Insurance Index, and CSI Banks Index. The conclusions are as follows: there are risk spillover effects among 10 securities companies, which are asymmetric and bidirectional and highly volatile in a short (...) period of time; the spillover effect of systematic risk of securities companies is not necessarily related to the market value of securities companies but has a strong relationship with the stock market; there are risk spillover effects between the sample securities companies and the four major indexes, but there are significant differences in the size of the spillover effects; the securities industry has a great risk spillover effect on the financial industry, but the risk spillover effect of other financial sectors on the securities industry is very small. Finally, we put forward countermeasures and suggestions. (shrink)

To date, the study of business ethics has been largely the study of the ethics of large companies. This paper is concerned with owner/managers of small firms and the link between the personal ethics of the owner/manager and his or her attitude to ethical problems in business. By using active membership of an organisation with an overt ethical dimension as a surrogate for personal ethics the research provides some, though not unequivocal, support for the models of Trevino and (...) others that suggest a link between personal ethics and business ethics. (shrink)

This article tells the story of an Israeli regulatory program aimed at luring back home Israeli companies listed only on U.S. stock markets, to facilitate dual listing of their stocks on the Tel Aviv Stock Exchange. Beyond documenting a piece of Israeli political economy, this article provides several lessons of general relevance to small or emerging markets as well as to large ones. In this story, the regulator of the small market finds itself a regulatory price-taker. In (...) a mirror image, the U.S. market emerges as a global regulatory price-setter. This regulatory externality, or regulatory arbitrage, is disturbing because the standard with which Israeli regulation had to align is the watered-down version for non-U.S. issuers. Indeed, any effort to require an iota of additional disclosure beyond the American foreign issuer regime has failed due to vehement objections from the Tel Aviv Stock Exchange and business interest groups. The role of the stock exchange as regulator and the interplay between corporate law and securities regulation are also discussed in this context. This article thus casts some doubt on the desirability of piggybacking on foreign markets. Sometimes, it turns out, piggybacking can be a ride to the bottom. (shrink)

In recent years, a growing number of small-to-medium-enterprises are embracing wind turbine projects not only as part of their cost reduction strategy but also to actively play their part in the global fight against climate change. However, it would appear there are currently limited empirical studies carried out in this emerging industry. This case study analyses the cost effectiveness of one such wind turbine initiative by a company in the Republic of Ireland, who invested in a 300 kW embedded (...) wind turbine project at the end of 2013. The research methodology which is primarily a case study analysis included comparing historical electricity utility bills which allowed the 2013 quantity of electrical energy units imported, i.e. the year before the turbine was installed to be compared with the 2014 value, i.e. the year after the turbine was installed. Numerous site visits were undertaken over a four-year period, during which electric meter readings were recorded and stored. The findings of this piece of research indicate that the installation of the embedded wind turbine had minimal positive effect on the annual electricity costs for the company. Indeed the turbine appears to have significant negative effects such as a need for an increased maximum import capacity and also it appeared to contribute to a deteriorating utility power factor. While the aesthetic nature of the on-site turbine seemed to create a positive image of the company, it would appear that caution should be exercised when business owners select alternative energy providers who claim to be experts in the energy field but may have limited knowledge in this area of wind energy, which as of yet has minimal robust research into all aspects of its benefits/attributes. (shrink)

In recent years, after various scandals, the role of auditors has been called into question, even casting doubt on whether their reports reliably reflect the true financial situation of the auditee, especially when this situation is not good. Normative changes in the way auditors have to rate certain questions provide a good opportunity to study this problem. These changes have acquired great relevance among the factors involved in studying audit quality. Thus, the present study analyzed the effect of the normative (...) change that took place in Spain in December 2010, related to opinions modified for going-concern uncertainties. Until that date, the auditor’s uncertainty about the company’s going-concern status led to a qualified opinion. However, under the new regulation, it became an opinion that included an explanatory paragraph stating the reasons for concern, which was considered less serious. In all, 152 small- and medium-sized enterprises that had begun bankruptcy proceedings were studied. Expert systems were used for their analysis, based on classification trees assembled through boosting and bagging. In addition, the logistic regression was used as baseline to compare previous methods. The main result obtained was that a change in the norm that catalogs the going-concern issue as less serious made auditors more likely to report this situation, thus questioning the audit quality. (shrink)

This paper presents research conducted during two coffee farming seasons in Costa Rica. The study examined coffee farmers’ weed management practices and is presented in the form of a case study of small-scale farmers’ use of labor and herbicides in weed management practices. Over 200 structured interviews were conducted with coffee farmers concerning their use of hired labor and family labor, weed management activities, support services, and expectations about the future of their coffee production. ANOVA and regression analyses describe (...) the relationships between farm size, labor, and herbicide use, and three farm types (i.e., conventional, semi-conventional, and organic). Based on findings regarding the amount of labor used to manually control weeds on different types of farms (large farms, small conventional, semi-conventional, and organic farms) I am able to challenge small conventional farmers’ perceived need for herbicide use. Semi-structured interviews of coffee farmers and extension workers further revealed a dominant role played by agro-chemical companies in assisting farmers with production problems, and documented a high transaction cost for information provided from elsewhere. Chemical companies hire extension workers to visit farmers at their farms, free of charge, to offer recommendations on how to treat different pest problems, while government and cooperative extension agents charge for the service. There is a need to increase the amount of resources available to the National Coffee Institute to fund one-on-one farmer support services in order to balance the influence of agro-chemical company representatives and allow farmers to make better decisions regarding weed management. (shrink)

This article presents the analysis of the characteristics of labor well-being in Colombian micro and small enterprises, this was developed through a documentary review from the model of Hoyos (2010), it is a qualitative research, where 42 investigations were collected, which were consulted in databases such as: Science Direct, Refseek, Redalyc, Scielo, Google Scholar and Dialnet, in addition to exploring the repositories of Colombian universities such as: UNAD, Uniminuto, ECCI, Usanbuenaventura, EAFIT, Unipiloto, UGranada, UTecnológica, UJavieriana, UAndes, UCatólica, UNIR, among (...) others, of which, 13 were adjusted with the categories: Practices of Labor Well-being, Theories of Labor Well-being, Needs in Collaborators and Sociodemographic Data, then descriptive synoptic sheets were constructed and then an analysis by category matrix was made, finally, a data analysis was carried out with the ATLAS.ti tool, which allows discerning the object of study through semantic networks. In this order, it is found that activities related to communication, incentives and motivation are part of the activities used as work welfare practices; as for the theoretical positions of well-being at work, the most supported is the one given by the WHO (2010), which is also defined from satisfaction and quality of life; Among the most outstanding needs to develop welfare programs is dissatisfaction in communication with colleagues and managers, ignorance of the responsibilities in their position, among others, on the other hand, there is evidence of a disregard to establish sociodemographic profiles, that is, companies do not consider it when planning or implementing workplace welfare actions. It concludes the need to build labor welfare policies and practices sensitive to the cultural and economic context for Colombian companies, this means recognizing the importance of adaptive and pragmatic approaches in microenterprises and the integration of more structured and theoretical approaches in small enterprises. (shrink)

This article explores how the institutional context, including central and local governments, has co-evolved with business in relation to small cars and sustainability. This issue is very relevant for business and society in view of the environmental implications of the rapidly growing vehicle fleet in China, the economic importance attached to this pillar industry by the government, and citizen interest in owning and driving increasingly larger cars. The interactions between different levels of government, and with business in countries with (...) a large role for the state is a novel area of study in the business-society area and a complex one given the multitude of objectives and interests involved in industry competitiveness, economic development, energy security, and sustainability. The article shows that the central government has adopted policies to further the production and use of small cars, which it perceives as serving environmental, economic, and social goals. Concurrently, however, many local governments imposed restrictions on small cars and have, implicitly or explicitly, favored larger cars. There seems to be a clear linkage to municipal ownership of those domestic automobile companies which, via joint ventures with foreign firms, focused more on larger cars. By adopting a co-evolutionary approach focused on macro-level interactions, the case helps to shed some more light on concrete sustainability challenges, and broader government–business interactions in a highly institutionalized setting, contributing insights on issues that have remained underexposed in business and society research. (shrink)