Dynamic capabilities, value creation and value capture: Evidence from SMEs under Covid-19 lockdown in Poland

How dynamic capabilities enable Chinese SMEs to survive and thrive during COVID-19: Exploring the mediating role of business model innovation

As a response to the damage caused by the spread of COVID-19, the Chinese government has implemented severe quarantine measures that have greatly affected the operational patterns of small and medium-sized enterprises (SMEs). This paper explores the critical role of dynamic capabilities (DCs) in helping Chinese SMEs manage crises, adjust their business strategies, and mitigate the uncertainty caused by the epidemic. Although the importance of DCs in promoting organizational resilience is well recognized, academic research on their specific contributions to business model innovation (BMI) and SME performance improvement during crises remains scarce. Our study fills this gap by pioneering the development and empirical testing of a microintegrated mediation model linking DCs, BMI and organizational performance. By surveying 257 Chinese SMEs severely affected by a pandemic, we verify our hypotheses using partial least squares structural equation modeling (PLS-SEM). Our results strongly show a positive relationship between DCs and BMI and SME performance. In addition, we found that BMI plays a partial mediating role in the interrelationship between DCs and SME performance. Our findings clarify the critical role of BMI as a channel through which SMEs' DCs can be transformed into higher performance in the face of sudden crises. Thus, our results not only contribute to the broader discussion of strategic management and organizational theory but also provide theoretical and practical insights into the mechanisms by which SMEs can increase their flexibility and resilience in a crisis. Thus, our results not only contribute to the broader discussion of strategic management and organizational theory but also provide theoretical and practical insights into the mechanisms by which SMEs can increase their flexibility and resilience in a crisis. Importantly, this study suggests policy and market strategies that can support SMEs in leveraging DCs and BMI for sustained performance, thereby contributing valuable insights for policymakers and business leaders aiming to fortify economic stability and growth in the face of global health emergencies.

Innovation in the realm of the unforeseen: a review of competence needed

Introduction

Our main research question in this article was: What are the competence structures for innovative processes? Both the nature of the unforeseen and innovation are related to something unknown, i.e., that competence needs to be developed to be able to handle situations and solutions that are not yet completely known. In our article, we address the question of how studies of innovation describe and use concepts of competence in various forms.

Method

We performed a systematic review of the relation between the unforeseen and innovation. In this systematic review we followed the Non-Interventional, Reproducible, and Open (NIRO) Systematic Reviews protocol. The identification of studies via databases and registers was conducted in accordance with the Preferred Reporting Items for Systematic reviews and Meta-Analyzes (PRISMA) statement. The various types of competence found in the literature review were grouped in such a way that we could develop a structure to use as the basis for a new concept of competence needed in order to initiate and implement innovative processes. We refer to this overview of different competence types as designated competence structures for innovative processes. The searches resulted in the following number of abstracts, respectively Web of Science (2997), ERIC (454), and PsycInfo (550), meaning that a total of 3,768 abstracts were found to be relevant. The 3,768 abstracts were imported into the program Covidence for screening in the first search.

Results

After completing the evaluation process in accordance with the PRISMA checklist and flow diagram, 32 abstracts were found to be relevant for our research question as they were related to competence for the unforeseen and innovation.

Conclusion

Few of the studies we investigated specifically mention competence. Another finding is that the innovation literature describes the activities that should take place linked to what it refers to as competence. Thus, the innovation research field does not define what the competence is or what it consists of, at either individual or group level, but rather describes the activities that contribute to successful innovation in an organization with little emphasis on how this competence should be developed. Training perspectives are lacking when it comes to innovation literature perspectives on competence.

Crisis and environmental governance decisions amidst the COVID-19 pandemic: Lessons from European countries

This study investigates the influence of the COVID-19 pandemic crisis on environmental governance decisions within publicly listed European companies. It utilizes a comprehensive analysis of publicly available data regarding these firms and check the environmental governance practices during the pandemic, informed by risk society theory which describes modern societies marked by ongoing risks and uncertainties primarily stemming from technological and scientific advancements. The regression and robustness analysis has been performed on how companies have responded to the crisis, specifically in terms of their approaches to environmental sustainability and governance. Covid-19 has a significantly positive impact on environmental governance (EG), with a coefficient of 18.73 and a p-value of .000. Other variables like human development (HD), size, and free cash flow (FCF) positively affect EG, while corruption (Corrupt) and leverage (Lev) have a negative influence. Robust analysis confirms the negative impact of Covid-19 on EG, with a coefficient of 18.46 and a p-value below .01, consistent across different subsamples. However, it also underscores the challenges companies have encountered in upholding their sustainability efforts amid the crisis. In sum, this research offers valuable insights into how the COVID-19 pandemic has affected environmental governance decisions, with potential implications for policymakers, regulators, and business leaders striving to advance sustainability in the post-pandemic landscape.

Small and medium enterprises (SMEs) in a pandemic: A systematic review of pandemic risk impacts, coping strategies and resilience

Small and Medium Enterprises (SMEs) are particularly vulnerable to pandemics. Therefore, resilience and adaptation to shocks from pandemics such as COVID-19 are urgently needed. However, despite some coping strategies already in place among SMEs, research on their nature and effectiveness is limited. Thus, it remains unclear how effectively and sustainably documented coping strategies reduce SMEs' vulnerability and increase their resilience to pandemic risk. This article reviews academic literature for evidence of pandemic risk impacts on SMEs, coping strategies in response to these impacts, and the degree to which these strategies reduce SMEs' vulnerability and increase their resilience. According to the literature review, seven essential pandemic risk impacts were identified for SMEs - human movement restrictions, financial constraints, operational challenges, logistics difficulties, delayed business reopening, short-term policy focus and tacit knowledge workers. The study also outlined eleven critical coping strategies, notably structural or physical and behavioural changes. Study analysis reveals that resilience research among SMEs is predominantly conceptual with limited empirical evidence. To conclude, this study urges more adaptation research focused on developing new forms of pandemic risk education for SMEs addressing their complexities.

Strategic and entrepreneurial abilities: Surviving the crisis across countries during the Covid-19 pandemic

This paper seeks to identify organisational abilities that influence the company's survival during crises. To address this issue, first-through literature review-we identified five groups of crucial organisational abilities that companies pursue during the crisis, i.e., strategic, technological, collaboration, entrepreneurial and relational. We have also identified four objectives that relate to surviving the crisis. Next, we have scrutinised 226 companies from two sides of the world, Poland (Europe) and Morocco (Africa), during the Covid-19 crisis. Quantitative analysis using Structural Equations Modelling demonstrated that surviving during a crisis depends mostly on strategic and entrepreneurial abilities such as the ability to shift resources quickly, organise the work in the firm effectively and plan strategically, as well as diversify its products and services perceived as critical.

Strategic Approach to Configurational Analysis of Entrepreneurial Orientation, Strategic Networking, and SME Performance within Emerging Markets of Selected Southeast European Countries

The beneficial relationship of entrepreneurial orientation with performance has been extensively acknowledged in the literature. However, empirical evidence is not straightforward and requires consideration of the interplay of different variables, context, and rationales through which this causal complexity of the performance-enhancing mechanism of entrepreneurial orientation influences firm performance. In this paper we examine the way the entrepreneurial behavior of the organization unfolds and affects performance through specific configurations resulting from the simultaneous interaction of strategic networking and dynamic environment in the setting of Southeast European SMEs. We apply hierarchical regression to a sample of 963 small and medium-sized enterprises. Empirical findings provide support for applying the configurational approach and show that companies of high entrepreneurial orientation and high strategic networking operating in a dynamic environment achieve the highest effect on a business performance. Research results further indicate that strategic networking is a mechanism that achieves the greatest efficiency in a dynamic environment and with the presence of a firm’s entrepreneurial orientation. According to the research results, implications for research and practice are suggested.

The impact of COVID-19 on small- and medium-sized enterprises (SMEs): empirical evidence for green economic implications

Small- and medium-sized enterprises (SMEs) in China have been hit hard by the coronavirus (COVID-19) outbreak, which has jeopardized their going out of business altogether. As a result, this research will shed light on the long-term impacts of COVID-19 lockdown on small businesses worldwide. The information was gathered through a survey questionnaire that 313 people completed. Analyzing the model was accomplished through the use of SEM in this investigation. Management and staff at SMEs worldwide provided the study's data sources. Research shows that COVID-19 has a significantly bad influence on profitability, operational, economic, and access to finance. In the study's findings, outside funding aids have played an important role in SMEs' skill to persist and succeed through technological novelty than in their real output. SME businesses, administrations, and policymakers need to understand the implications of this study's results.

SMEs navigating COVID-19: The influence of social capital and dynamic capabilities on organizational resilience

Building the resilience capacity of businesses is important for economic, social and community recovery during the COVID-19 pandemic, yet organizational resilience is under-examined in the marketing literature. Crises and disasters can significantly impact small and medium enterprises (SMEs), affecting their ability to mitigate, respond and recover. Social capital (SC) is a key resource that can be mobilized by SMEs to tap the resources embedded in internal and external relationships to respond to disruptions, yet the mechanism through which SC facilitates organizational resilience is not clear. Using middle-range theorizing, we propose dynamic capabilities (DC) as the key sensing, seizing and reconfiguration resources that transform SC into organizational resilience. The results from a sample of SMEs (n = 419) in Australia and New Zealand demonstrate that internal SC has a positive effect on external SC (customer-focused). Only internal SC has a direct effect on organizational resilience. DC partially and fully mediates the relationship between internal and external SC and organizational resilience respectively. Implications for theory and practice are offered.

Various Facets of Sustainable Smart City Management: Selected Examples from Polish Metropolitan Areas

Sustainable City solutions can become an essential element of the development of contemporary urban communities. This development path can also provide opportunities for organisations operating in cities and metropolises. An inherent feature of the organisation which a city constitutes is that it enables the people who make it up to cooperate. Climate packages, including the Green Deal and Fit for 55, are implemented in Europe, while in Poland decarbonisation processes are underway. The main challenges in this area include, on the one hand, a search for savings of energy consumed, and, on the other hand, a reduction in pollution resulting from the use of transport or heat or energy sources. Cities and metropolises will become green only when they manage to cope with these problems. The article aims at showing various facets of sustainable smart city management. With relations, information and knowledge gaining importance as the key organisational resource, cities have become, as organisations, an essential element of contemporary societies and organisations. In recent times, the harmful emissions from heating installations have drawn the attention of the public opinion in Poland. Polish municipalities distribute heat which mostly comes from local, most often district heating systems where energy is generated on a wide scale from coal combustion. This study compares the results of an air quality survey and those of a case study to assess the potential for the implementation of an automated heat control system in cities. On the basis of solutions implemented in the Warsaw Metropolis, the possibility of their implementation in the Upper Silesian (GZM) and Poznań Metropolises, too, was also assessed. Throughout Poland, there is a large potential for the application of innovative smart technologies in district heating systems to reduce the levels of harmful emissions. These reductions, which are still possible, could translate into a significant improvement in the attractiveness and competitiveness of municipalities. Finally, practical recommendations are being provided.

Tools for Network Smart City Management—The Case Study of Potential Possibility of Managing Energy and Associated Emissions in Metropolitan Areas

The article uses the case study of a polycentric metropolitan area as a starting point for a debate about the available tools for managing the network aspects of intelligent cities. We show that the construction of talents, the development of knowledge among officials and inhabitants, and technological tools such as Hubgrade (which allows for heat delivery process control, supervision, inspection, and results in emission reduction) are prerequisites for the sustainable development of cities. It is critical to understand that technological solutions are insufficient to accomplish such a task. Relevant stakeholders need to consciously take advantage of technological tools and build and utilise 4T potential and the self-learning capabilities of the organisations. An inherent feature of an organisation, such as a city, is cooperation between the people who build it. The main challenges of cities includes the reduction of pollutants resulting from the use of transport, heat sources, or energy production. In many cities, an efficient manner of reducing carbon dioxide emissions is to limit the consumption of thermal energy. In order to simultaneously maintain thermal comfort, in this situation, it is necessary to use intelligent technologies. The paper includes research related to the knowledge and development of 4T potentials (technology, trust, talent, tolerance) and to networking expansion by introducing the automated Hubgrade system, used in Warsaw district heating, into a similar metropolitan area. Along with an increase in the significance of relations, information, and knowledge as a key organisational resource, cities, as organisations, have become an important element of contemporary communities and organisations. They have the possibility of a positive climate change. The possibility of cooperation and networking between people forming an organisation is its inherent feature, such as in the Hubgrade project. Conclusions and recommendations are drawn for the analysed case—linking 4T potentials and the Hubgrade system—with the potential for future generalisations and extrapolations. The authors performed a simulation of possible energy savings and the reduction of harmful emissions in Metropolis GZM.

Smart City 4.0: Sustainable Urban Development in the Metropolis GZM

This article presents the development of the Metropolis GZM cities within the scope of the concept of a Smart City and 4T capitals. The subject matter discussed herein is also related to the search for municipal authorities’ new models and tools to shape sustainable development in order to improve citizens’ access to municipal services and facilities, as well as to increase citizens’ impact on the future of their cities. The main objective of the research was to identify the way in which authorities of the selected cities consider the subject matter related to the Smart City and 4T capitals when formulating local policies. The aim of this article is to analyse the innovative potential in selected cities of the Metropolis GZM, in the light of academic entrepreneurship, the innovativeness of citizens, entities supporting innovativeness, and soliciting talent. The research was based on a systematic literature review and the analysis of local documents, supplemented by direct interviews with local managers and participant observation.

Organizational crisis preparedness during the COVID-19 pandemic: an investigation of dynamic capabilities and organizational agility roles

Purpose

While there is a consensus that dynamic capabilities (DC) and organizational agility are two key mechanisms that help firms to survive and cope with the environment’s dynamic change and uncertainties, little is known about their roles in leveraging firms’ preparedness to overcome organizational crises during turbulent contexts such as the COVID-19. The purpose of this study is twofold. This paper first analyzes the direct relationship between DC and organizational agility dimensions (i.e. customer, operational and partnering agilities). Second, this paper investigates the direct link between organizational agility dimensions and a firm’s organizational crisis preparedness.

Design/methodology/approach

Based on a survey of Moroccan firms administrated during the early stage of the COVID-19 pandemic, a theoretically derived model was tested using partial least squares structural equation modeling.

Findings

The results show that DC are significantly related to the three types of agility and that only customer and operational agility affect organizational crisis preparedness.

Originality/value

This research provides new insights into crisis management literature by introducing and empirically examining the impact of DC and organizational agility in addressing global crises such as the COVID-19 pandemic.

How do digital technologies influence the dynamic capabilities of micro and small businesses in a pandemic and low‐income country context?

It is not clear how extreme disruptions like COVID‐19 pandemic affects the dynamic capabilities (DCs) of micro and small businesses (MSBs) in the context of low‐income countries. Therefore, this study makes sense of how MSBs leverage DCs through digital technologies (DTs). Using mixed‐method and interpretive research approaches, the first phase of the study applied a deductive coding technique to analyze interviews from 30 MSB managers in Ghana. Coding activities revealed 21 DC constructs of MSBs in Ghana. Next, we contextualized and simplified the DC framework by proposing an interpretive blueprint of DC framework applicable to Ghana and other low‐income countries. The second phase, through a questionnaire, progressed the research by assessing how DTs influence the 21 DC constructs. Findings suggest that collective DCs of MSBs as a business sector did not change in a pandemic situation; nonetheless, the extent to which MSBs demonstrate DCs increased by up to 82%; and the use of DTs such as mobile payment and social media tools increased significantly. Interpretive reflections on the research outcomes argued that whilst the collective DCs of MSBs remain the same, each MSB uniquely explored opportunities by manifesting different combinations of DC constructs and DTs, at varying extents, and the knowledge of how MSB combines DCs could promote MSB management and digital innovation as low‐income countries seek to recover from the COVID‐19 economic downturn. Consequently, this research extends literature and progresses the UN sustainable development goals 8.3 as it helps to enhance policies that promote digital innovation, entrepreneurship, and growth of MSBs.

Social Media Engagement in Shaping Green Energy Business Models

Recent years have seen an increase in the role of social media in the communication of energy sector companies (ESCs) with consumers. Currently, consumers look for information, create it themselves, and share it with other Internet users. eWOM communication means that energy companies, firstly, must be present in social media so that consumers can get to know them better, and secondly, they must consciously shape their image according to the expectations of their customers. One-way communication, such as customer satisfaction measurements, is no longer enough to know their preferences. Market trends indicate that for current buyers—both consumer and non-consumer products—the image of a “green product” or a “green company” is expected. Only a few companies report that they are harmful for environment. All companies report that they are generally community friendly. The consumer would like to know, in particular, about the harmfulness to the environment. Thus, there is a knowledge gap that the companies are not filling. In addition to the advertised satisfaction indicators, you can also test customers’ perceptions of environmental responsibility. That is, the research and results in the area of social responsibility must also be accompanied by environmental responsibility. Therefore, the article aims to indicate whether the level of consumer engagement in social media affects the perception of the green energy business model and how the attitude and pro-environmental behavior of social media users affects this perception. The paper also identifies factors related to social media that influence the perception of ESCs.

Travel-Business Stagnation and SME Business Turbulence in the Tourism Sector in the Era of the COVID-19 Pandemic

The COVID-19 pandemic, apart from having an impact on public health, has also caused the stagnation of travel-bureau businesses and the management of small and medium enterprises (SMEs) in the tourism sector. This study aims to analyze the COVID-19 pandemic as a determinant of travel-business stagnation and turbulence in small and medium enterprises (SMEs), the influence of human resources, business development, and product marketing on the productivity of the travel and SME business, the direct and indirect effects of business innovation, economic digitization, and the use of technology on business stability and economic-business sustainability. This study uses an explanatory sequential qualitative–quantitative approach. Data were obtained through observation, in-depth interviews, surveys, and documentation. This study is focused on assessing the efforts made by travel-agency-business actors and SMEs in responding and adapting to changes in the business environment, both internally and externally. Human resources, business development, and product marketing together affect the productivity of travel agents and SMEs with a coefficient of determination of 95.84%. Furthermore, business innovation, economic digitization, and the use of technology simultaneously affect business stability with a coefficient of determination of 63.8%, and business stability affects the sustainability of travel and SMEs with a coefficient of determination of 67.6%. This study recommends a strategy for travel-agency-business sustainability and the stability of SMEs’ economic-business management towards increasing economic growth in the North Toraja Regency, South Sulawesi, Indonesia.

Involvement in Renewable Energy in the Organization of the IR 4.0 Era Based on the Maturity of Socially Responsible Strategic Partnership with Customers—An Example of the Food Industry

The purpose of this study is to explain the determinants of the process of investing in renewable energy sources (RES) from the perspective of enterprises, with particular emphasis on the strength of their orientation on such strategic issues as sustainable development, orientation towards innovation, as well as the level of maturity of their partnership with the client. The research method was carried out on a sample of 157 industrial enterprises in the food industry. The research process was conducted with the consideration of making these decisions dependent on the strength of companies’ commitment to several strategic issues: sustainable development, innovation orientation, and the maturity of their partnership with the customer. The results of the data analysis collected during the quantitative research show a strong correlation between the level of openness of the organization of the IR 4.0 era to RES and (a) orientation towards sustainable development, (b) orientation towards intelligence, and (c) maturity of strategic partnering with customers.

Application of Smart Technologies in Metropolis GZM to Reduce Harmful Emissions in District Heating Systems

Harmful emissions from heating installations have recently received public attention in Poland. Polish municipalities mainly take their heat from local district heating networks with large-scale coal-fired heat sources. Today, transition to nonemissive sources on this scale would be impractical. The easiest way to reduce carbon emissions is to limit heat consumption, but at the same time, to preserve thermal comfort, the application of smart technologies is necessary. Veolia operates on 71 district heating systems in Poland, including Warsaw, Lodz, and Poznan. Since heat consumption in Warsaw and Metropolis GZM is at a similar level, this is a case study of Hubgrade automation system application within the Warsaw district heating network. This paper also presents results of simulation of harmful emission reduction potential in Metropolis GZM. Simulation results show that there is a potential for saving approximately 275 kt of CO2 for the whole Metropolis GZM.