Purpose – The paper's aim is to develop a diagnosis of the environment of the agrifood supply chain based on members' perceptions of environmental uncertainty. Design/methodology/approach – Environmental uncertainty is defined as the lack of information about the external environment and is obtained by integrating the perceived dynamism and complexity of the environmental variables. The measurements that are used are the result of applying the Rasch methodology to the information obtained by means of a questionnaire completed by the deciders of firms in the Canary Islands (Spain). Those measures permit the complexity and dynamism perceived by the groups of firms in the supply chain together with the levels of perceived dynamism and complexity of the environmental variables to be jointly positioned on a map. Findings – According to the perceptions of the members of the agrifood supply chain (agriculture, agrifood industry and distribution), the main sources of environmental uncertainty are demand and competitors. The agricultural sector perceives somewhat more uncertainty than agrifood industry sector, while the distribution sector perceives a stable environment. Research limitations/implications – The paper presents a useful tool for the business population and public institutions to identify which variables are perceived as the most dynamic and complex and how those variables are perceived by each member of the agrifood supply chain. Originality/value – The paper operationalises the proposal of Duncan by means of a new application of the Rasch methodology. The results reflect the thinking of the members of all sectors of a supply chain. It is one of the first to study the environmental uncertainty perceived in the agrifood supply chain from a strategic perspective as a fundamental antecedent of the promotion of vertical collaboration in the agrifood supply chain.
This paper analyses the strategic behaviour of small and medium-sized enterprises (SMEs) and identifies the entrepreneurial, technological, and administrative problems of the Miles and Snow typology (1978). This typology is applied to a sample of SMEs in the Canary Islands (Spain) by using a multi-item questionnaire. Then, the Rasch Measurement Theory is applied to obtain the results, with the linear continuum as a key tool. By applying the Rasch Measurement, there is a coherency between the data treatment and the new interpretation of the Miles and Snow typology (1978), which lists 4 types that are close to trends than to pure types (for example, Sollosy 2013). There are differences between the administrative and the technological problems, with their technological approach being more prospector and their administrative one, which is more defender. This shows an almost absence of enterprises with purely defender or prospector behaviours. These results show that SMEs do not follow any comprehensive framework in order to develop their strategies. Managers should analyse their strategic situation and consider the alignment of the three problems.
2 October 2013 in Journal of Business Economics and Management
This article presents a realistic view of the strategic process in small and medium-sized enterprises (SMEs). The study integrates prospect theory and strategic reference point theory: strategic choices depend on how the decision maker perceives the situation in relation to the reference and the risk being taken. Applying Rasch models to a sample of firms in the Canary Islands (Spain), the results show that SMEs that are more influenced by external references take higher risks. These enterprises differ in their strategic choices from those that do not focus on external references in the greater importance they attach to market diversification. This study is pioneer in considering the internal and external dimension of references that SME managers have in mind and linking them, via prospect theory (Kahneman, Tversky 1979), to the risk they take in their strategic choices. It also has the added value of applying Rasch Measurement Theory.For managers, the study of the SRPs shows a large number of ent...
Purpose – This paper aims to propose a method for the longitudinal analysis of the environment considering both firms' and environmental variables. Design/methodology/approach – The study is based on a sample of firms in Canary Islands (Spain) for 2000 and 2003. Managerial perceptions are considered, based on the cognitive perspective. The measurements used are the result of applying the Rasch model and the rack and stack analyses. This approach provides information about how dynamic the firms perceive the environment and also about how the items are perceived. Findings – The results show that most firms perceive that dynamism increased between 2000 and 2003. From the perspective of the environmental variables, the most dynamic are perceived to be competition, demand, consumer motivation and technological resources. Originality/value – This paper proposes a longitudinal method for environmental scanning that include both firms' and environmental variables. It considers managerial perceptions, that is the information entering the decision making process. It is one of the first papers to study environmental scanning with Rasch model and one of the few about longitudinal environmental analyses. It opens a field of research and applications of the Rasch model in the management literature.