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David against Goliath - How creative communication helps small advertising agencies survive in a market led by giant agencies

Author

Listed:
  • Jenny - Maria Åström

    (Mälardalen University, P.O. Box 883 721 23 Västerås, Sweden)

  • Karim Carroum Sanz

    (Universitat de Girona, Plaça Sant Domènec, 3 17071 Girona, Spain)

  • Sofia Lena Hagström

    (Mälardalen University, P.O. Box 883 721 23 Västerås, Sweden)

  • Andreu Safont Bagué

    (Universitat de Girona, Plaça Sant Domènec, 3 17071 Girona, Spain)

  • João Pedro Teles Estima

    (Instituto Politécnico de Coimbra, Avenida Doutor Marnoco e Sousa 3000-271 Coimbra, Portugal)

Abstract

Purpose - The purpose of the study is to research how national advertising agencies use creativity to compete with larger, global agencies in the advertising market of Sweden, Spain and Portugal. Design/methodology/approach: To conduct the study, the authors keep a qualitative approach: we first carry out an analysis of previous studies about creativity, communication and entrepreneurial orientation, followed by interviews with one small and one large advertising agency for each country. Findings: The findings of the study show that smaller agencies have higher levels of competitive aggressiveness and risk - taking, because of the wish to expand and vulnerability to their larger clients. The levels of opportunity recognition are higher in the large agencies because of their resource assets. All agencies are creative and innovative and equally as proactive, but because the speed of the decision - making process can be faster and communication skills better in a small agency, they can reach higher levels of proactiveness. Research limitations/implications: The implications of the study show that the entrepreneurial orientation to some extent can be used by small agencies to gain competitive advantages on the advertising market. Originality/value: To the best of our knowledge there is no similar study available. This study showed that entrepreneurial orientation, to some extent, can be used by small agencies to gain competitive advantages in the advertising market.

Suggested Citation

  • Jenny - Maria Åström & Karim Carroum Sanz & Sofia Lena Hagström & Andreu Safont Bagué & João Pedro Teles Estima, 2017. "David against Goliath - How creative communication helps small advertising agencies survive in a market led by giant agencies," International Journal of Business and Economic Sciences Applied Research (IJBESAR), International Hellenic University (IHU), Kavala Campus, Greece (formerly Eastern Macedonia and Thrace Institute of Technology - EMaTTech), vol. 10(3), pages 18-46, September.
    • Handle: RePEc:tei:journl:v:10:y:2017:i:3:p:18-46
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    References listed on IDEAS

    as
    1. Ashiqur Rahman & Mehmet Civelek & Ludmila Kozubíková, 2016. "Proactiveness, Competitive Aggressiveness And Autonomy: A Comparative Study From The Czech Republic," Equilibrium. Quarterly Journal of Economics and Economic Policy, Institute of Economic Research, vol. 11(3), pages 631-650, September.
    2. William J. Baumol, 2002. "Entrepreneurship, Innovation and Growth: The David-Goliath Symbiosis," Journal of Entrepreneurial Finance, Pepperdine University, Graziadio School of Business and Management, vol. 7(2), pages 1-10, Summer.
    3. Sharon Horsky, 2006. "The Changing Architecture of Advertising Agencies," Marketing Science, INFORMS, vol. 25(4), pages 367-383, 07-08.
    4. Mazzei, Matthew J. & Flynn, C. Brian & Haynie, Jeffrey J., 2016. "Moving beyond initial success: Promoting innovation in small businesses through high-performance work practices," Business Horizons, Elsevier, vol. 59(1), pages 51-60.
    5. Ajamieh, Aseel & Benitez, Jose & Braojos, Jessica & Gelhard, Carsten, 2016. "IT infrastructure and competitive aggressiveness in explaining and predicting performance," Journal of Business Research, Elsevier, vol. 69(10), pages 4667-4674.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Creativity; Communication; Advertising; Entrepreneurship; Entrepreneurial Orientation;
    All these keywords.

    JEL classification:

    • M37 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Advertising
    • M1 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration

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