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Strategic transformation as the essential last step in the process of business turnaround

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  • Pearce II, John A.
  • Robbins, D. Keith

Abstract

Just over a decade ago, the work of strategic management scholars helped to broaden the perspectives of executives caught in the throes of declining organizational performance. In addition to the traditional turnaround options that stabilized financial performance, managers were shown approaches that they could deploy to reduce the chances of a recurrence of the turnaround situation. This article updates the progress that has since been made in understanding the turnaround process. Further, we look at an ambitious approach to redirecting the strategies of a reemerging company toward a more promising competitive position, as the essential last step in the process of business turnaround. Called strategic transformation, this approach to reformulating strategy cultivates company growth in strong or emerging markets.

Suggested Citation

  • Pearce II, John A. & Robbins, D. Keith, 2008. "Strategic transformation as the essential last step in the process of business turnaround," Business Horizons, Elsevier, vol. 51(2), pages 121-130.
    • Handle: RePEc:eee:bushor:v:51:y:2008:i:2:p:121-130
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    References listed on IDEAS

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    Cited by:

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    2. Mei, Liang & Zhang, Tao & Chen, Jin, 2019. "Exploring the effects of inter-firm linkages on SMEs' open innovation from an ecosystem perspective: An empirical study of Chinese manufacturing SMEs," Technological Forecasting and Social Change, Elsevier, vol. 144(C), pages 118-128.
    3. Chenguang Hu & Kyung Hwan Yun & Ziqi Su & Chang Xi, 2022. "Effective Crisis Management during Adversity: Organizing Resilience Capabilities of Firms and Sustainable Performance during COVID-19," Sustainability, MDPI, vol. 14(20), pages 1-20, October.
    4. José García-Quevedo & Francisco Mas-Verdú & Daniel Montolio, 2011. "What type of innovative firms acquire knowledge intensive services and from which suppliers?," Working Papers 2011/22, Institut d'Economia de Barcelona (IEB).
    5. Mas-Verdú, Francisco & Ribeiro-Soriano, Domingo & Roig-Tierno, Norat, 2015. "Firm survival: The role of incubators and business characteristics," Journal of Business Research, Elsevier, vol. 68(4), pages 793-796.
    6. García-Quevedo, José & Mas-Verdú, Francisco & Montolio, Daniel, 2011. "What type of innovative firms acquire knowledge intensive services and from which suppliers?," INGENIO (CSIC-UPV) Working Paper Series 201108, INGENIO (CSIC-UPV).
    7. Manuel Rico & Naresh R. Pandit & Francisco Puig, 2021. "SME insolvency, bankruptcy, and survival: an examination of retrenchment strategies," Small Business Economics, Springer, vol. 57(1), pages 111-126, June.
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    10. Jose L. Barbero & Alicia Ramos & Catherine Chiang, 2017. "Restructuring in dynamic environments: a dynamic capabilities perspective," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 26(4), pages 593-615.

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