IDEAS home Printed from https://ideas.repec.org/a/wly/mgtdec/v43y2022i8p3454-3465.html
   My bibliography  Save this article

Strategic management practices in Central American micro family enterprises: The case of the commercial sector in El Salvador

Author

Listed:
  • Edwin R. Flores‐Hernández
  • Carlos R. García‐Alonso
  • César Hervás‐Martínez

Abstract

This paper analyses the characteristics of family microenterprises (San Salvador, El Salvador) regarding competitiveness, entrepreneurship, strategic design, decision‐making process, and corporate governance practices. By applying clustering algorithms, it was possible to identify company profiles based on their strategic, entrepreneurial, and decision‐making practices. Variables not used for clustering were analyzed to explain a microenterprise's inclusion in a profile. The goal of this research are to help policy makers and managers understand the behavior of family microenterprises in a very complicated socioeconomic environment and to guide policy design to promote more organized and competitive business structures in compromised socioeconomic situations.

Suggested Citation

  • Edwin R. Flores‐Hernández & Carlos R. García‐Alonso & César Hervás‐Martínez, 2022. "Strategic management practices in Central American micro family enterprises: The case of the commercial sector in El Salvador," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 43(8), pages 3454-3465, December.
    • Handle: RePEc:wly:mgtdec:v:43:y:2022:i:8:p:3454-3465
    DOI: 10.1002/mde.3607
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/mde.3607
    Download Restriction: no
    File URL: https://libkey.io/10.1002/mde.3607?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Moses Acquaah, 2011. "Business Strategy And Competitive Advantage In Family Businesses In Ghana: The Role Of Social Networking Relationships," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 16(01), pages 103-126.
    2. Goodman, S.N. & Royall, R., 1988. "Evidence and scientific research," American Journal of Public Health, American Public Health Association, vol. 78(12), pages 1568-1574.
    3. Martie-Louise Verreynne & Denny Meyer, 2010. "Small business strategy and the industry life cycle," Small Business Economics, Springer, vol. 35(4), pages 399-416, November.
    4. Louis Raymond & Josée St-Pierre & Bruno Fabi & Richard Lacoursière, 2010. "STRATEGIC CAPABILITIES FOR THE GROWTH OF MANUFACTURING SMEs: A CONFIGURATIONAL PERSPECTIVE," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 15(02), pages 123-142.
    5. Michael A. Hitt & Beverly B. Tyler, 1991. "Strategic decision models: Integrating different perspectives," Strategic Management Journal, Wiley Blackwell, vol. 12(5), pages 327-351, July.
    6. Cristina Cruz & Mattias Nordqvist, 2012. "Entrepreneurial orientation in family firms: a generational perspective," Small Business Economics, Springer, vol. 38(1), pages 33-49, January.
    7. Héctor Montiel Campos & Luis S. Alvarado Acuna & José Pablo Nuno de la Parra & Francisco A. Aguilar Valenzuela, 2013. "Entrepreneurial Orientation in Mexican Microenterprises," Journal of Entrepreneurship, Management and Innovation, Fundacja Upowszechniająca Wiedzę i Naukę "Cognitione", vol. 9(3), pages 5-20.
    8. Laura Hougaz, 2015. "Entrepreneurs in Family Business Dynasties," Management for Professionals, Springer, edition 127, number 978-3-319-13918-0, December.
    9. Astrachan, Joseph H., 2010. "Strategy in family business: Toward a multidimensional research agenda," Journal of Family Business Strategy, Elsevier, vol. 1(1), pages 6-14, March.
    10. Zoltán Bakonyi & Balázs Muraközy, 2019. "Centralization of strategic decisions during the Great Recession," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 40(4), pages 394-413, June.
    11. Dana, Lucio E. & Smyrnios, Kosmas X., 2010. "Family business best practices: Where from and where to?," Journal of Family Business Strategy, Elsevier, vol. 1(1), pages 40-53, March.
    12. Brenes, Esteban R. & Madrigal, Kryssia & Requena, Bernardo, 2011. "Corporate governance and family business performance," Journal of Business Research, Elsevier, vol. 64(3), pages 280-285, March.
    13. repec:rre:publsh:v:40:y:2010:i:1:p:71-97 is not listed on IDEAS
    14. Carlo Bagnoli & Claudio Giachetti, 2015. "Aligning knowledge strategy and competitive strategy in small firms," Journal of Business Economics and Management, Taylor & Francis Journals, vol. 16(3), pages 571-598, June.
    15. Gordon R. Foxall & Gordon R. Foxall, 2016. "Operant Behavioral Economics," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 37(4-5), pages 215-223, 06-07.
    16. Nordqvist, Mattias & Melin, Leif, 2010. "The promise of the strategy as practice perspective for family business strategy research," Journal of Family Business Strategy, Elsevier, vol. 1(1), pages 15-25, March.
    17. Robert M. Grant, 2003. "Strategic planning in a turbulent environment: evidence from the oil majors," Strategic Management Journal, Wiley Blackwell, vol. 24(6), pages 491-517, June.
    18. W. Gibb Dyer Jr. & Wendy Handler, 1994. "Entrepreneurship and Family Business: Exploring the Connections," Entrepreneurship Theory and Practice, , vol. 19(1), pages 71-83, October.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Edwin Ricardo Flores-Hernández & María Luisa Rodero-Cosano & Ana Evelyn Perla-Cartagena, 2022. "Complexity of Family Businesses in El Salvador: A Structural Equation Model," Sustainability, MDPI, vol. 14(11), pages 1-18, June.
    2. Hamilton, Eleanor & Discua Cruz, Allan & Jack, Sarah, 2017. "Re-framing the status of narrative in family business research: Towards an understanding of families in business," Journal of Family Business Strategy, Elsevier, vol. 8(1), pages 3-12.
    3. Bövers, Jana & Hoon, Christina, 2021. "Surviving disruptive change: The role of history in aligning strategy and identity in family businesses," Journal of Family Business Strategy, Elsevier, vol. 12(4).
    4. Elena Rivo-López & Mónica Villanueva-Villar & Alberto Vaquero-García, 2016. "Family office: a new category in family business research?," Working Papers. Collection C: Family business 1601, Universidade de Vigo, GEN - Governance and Economics research Network.
    5. Ismael Barros-Contreras & Jesús Manuel Palma-Ruiz & Angel Torres-Toukoumidis, 2021. "Organizational Capabilities for Family Firm Sustainability: The Role of Knowledge Accumulation and Family Essence," Sustainability, MDPI, vol. 13(10), pages 1-17, May.
    6. Lindow, Corinna M. & Stubner, Stephan & Wulf, Torsten, 2010. "Strategic fit within family firms: The role of family influence and the effect on performance," Journal of Family Business Strategy, Elsevier, vol. 1(3), pages 167-178, September.
    7. Tomasz Ingram & Katarzyna Bratnicka-Myśliwiec & Teresa Kraśnicka & Izabella Steinerowska-Streb, 2022. "Entrepreneurial Orientation as a Determinant of Sustainable Performance in Polish Family and Non-Family Organizations," Sustainability, MDPI, vol. 14(24), pages 1-25, December.
    8. Thomas Hutzschenreuter & Julian Horstkotte, 2013. "Performance effects of top management team demographic faultlines in the process of product diversification," Strategic Management Journal, Wiley Blackwell, vol. 34(6), pages 704-726, June.
    9. Craig, Justin & Moores, Ken, 2010. "Strategically aligning family and business systems using the Balanced Scorecard," Journal of Family Business Strategy, Elsevier, vol. 1(2), pages 78-87, June.
    10. Hien Thu Tran & Enrico Santarelli, 2014. "Capital constraints and the performance of entrepreneurial firms in Vietnam," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 23(3), pages 827-864.
    11. Goel, Sanjay & Mazzola, Pietro & Phan, Phillip H. & Pieper, Torsten M. & Zachary, Ramona K., 2012. "Strategy, ownership, governance, and socio-psychological perspectives on family businesses from around the world," Journal of Family Business Strategy, Elsevier, vol. 3(2), pages 54-65.
    12. Binz Astrachan, Claudia & Astrachan, Joseph H. & Kotlar, Josip & Michiels, Anneleen, 2021. "Addressing the theory-practice divide in family business research: The case of shareholder agreements," Journal of Family Business Strategy, Elsevier, vol. 12(1).
    13. Barros, Ismael & Hernangómez, Juan & Martin-Cruz, Natalia, 2016. "A theoretical model of strategic management of family firms. A dynamic capabilities approach," Journal of Family Business Strategy, Elsevier, vol. 7(3), pages 149-159.
    14. Francisco C. Marques & Fernando A. F. Ferreira & Constantin Zopounidis & Audrius Banaitis, 2022. "A system dynamics-based approach to determinants of family business growth," Annals of Operations Research, Springer, vol. 311(2), pages 799-819, April.
    15. Luiz Antonio de Camargo Guerrazzi & Fernando Antonio Ribeiro Serra & Manuel Portugal Ferreira & Vanessa Vasconcelos Scazziota, 2022. "Using Meta-Analytic Structural Equation Modelling to Advance Entrepreneurship Research: A Study on the Liabilities of Newness and Smallness," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 31(3), pages 603-631, November.
    16. Basco, Rodrigo, 2013. "The family's effect on family firm performance: A model testing the demographic and essence approaches," Journal of Family Business Strategy, Elsevier, vol. 4(1), pages 42-66.
    17. Unai Arzubiaga & Amaia Maseda & Txomin Iturralde, 2019. "Entrepreneurial orientation in family firms: New drivers and the moderating role of the strategic involvement of the board," Australian Journal of Management, Australian School of Business, vol. 44(1), pages 128-152, February.
    18. Francesca Ricciardi & Elisa Giacosa & Francesca Culasso, 2021. "Stepchildren or prodigal employees? Motives and consequences of employee entrepreneurship in family business," International Entrepreneurship and Management Journal, Springer, vol. 17(1), pages 229-247, March.
    19. Dean A. Shepherd & Andrew Zacharakis, 2000. "Structuring Family Business Succession: An Analysis of the Future Leader's Decision Making," Entrepreneurship Theory and Practice, , vol. 24(4), pages 25-39, July.
    20. McDowell, William C. & Harris, Michael L. & Geho, Patrick R., 2016. "Longevity in small business: The effect of maturity on strategic focus and business performance," Journal of Business Research, Elsevier, vol. 69(5), pages 1904-1908.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wly:mgtdec:v:43:y:2022:i:8:p:3454-3465. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www3.interscience.wiley.com/cgi-bin/jhome/7976 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.