Adaptability and resilience as business capabilities. Israel case.
Startups, the construction sector and the agri-food sector have increased their development in the country of Israel. It is inevitable to question the procedure that entrepreneurs have followed in order to have such growth. It is clear that they have a lot of positive aspects. The importance of education, the strengthening of its relations with the United States, India and China, and the mutual work between the public sector and the private sector. However, is that alone what is generating such growth?
Carney, Essen and Shapiro (2017) have commented that the prevalence of business groups is increasing in a variety of countries, among which are Brazil, Peru, Indonesia, and of course; Israel. It is clear that the presence of a commercial agent is vital to be able to break into new markets. Similarly, trade shows can provide a great opening opportunity for entrepreneurs. However, if we take a closer look at the business situation in Israel, we can see a capability that brings greater benefits: adaptability.
It has been found that the evolution of business groups “depends primarily on two key factors: they depend on the way in which the country's institutions, especially government ones, evolve. And of the adaptability that companies have to respond to changes ”(Carney, Essen and Shapiro, 2017, p.6). The authors conceive that business adaptability is reflected both in technology development and in international positioning. Aspects that the country of Israel currently has.
Coupled with its relationships with world powers, Israel is deeply interested in current issues such as technology and the ecosystem. Its market often has great ambitions that allow it to enter the international market despite the large number of risk possibilities. It is mentioned that annually between 1000 and 1500 startups are developed that are not afraid of the lack of certainty, again here both the capacity for adaptability and that of resilience are reflected.
Resilience
Resilience has been conceptualized from different perspectives. Such as the possibility of providing organizational responses to external threats (Staw et al., 1981). As a quality of organizational reliability (Weick and Sutcliffe, 2001). Also, as an employee strength (Luthans et al., 2007). Likewise, as the adaptability power of business models (Hamel and Valikangas, 2003). Or as a design that reduces vulnerabilities and supply chain disruptions (Ponomarov and Holcomb, 2009).
Through the video "Travel Israel with Connect with the Market", it can be found that a constant use of resilience is made in the great adaptability that they exercise in business models, in the sense of community that exists between the members of the startups, and in the absence of fear of risk. According to what was mentioned by Vogus and Sutcliffe (2007), this type of actions allows incipient companies to respond more quickly to the changing aspects of the environment, developing innovative ways of doing business.
Therefore, it can be concluded that although it is vital to make use of the large number of tools available in the business environment - trade fairs, commercial agents, sectoral analyzes, business incubators, etc.-. The most important thing is the way to face the inescapable adversities of a highly dynamic environment. Through resilience and business adaptability. Qualities that Israeli businessmen and entrepreneurs possess and transmit to their subordinates for greater and better development.
References
- Carney, Michael and Estrin, Saul and Van Essen, Marc and Shapiro, Daniel (2017) Business groups reconsidered: beyond paragons and parasites. The Academy of Management Perspectives, 30 (4) DOI: https://doi.org/10.5465/amp.2016.0058 Hamel, G. and Valikangas, L. (2003). The quest for resilience. Harvard Business Review, 81 (9), pp. 52-65 Luthans, F., Avey, JB, Avolio, BJ, Norman, SM and Combs, GM (2006). Psychological capital development: Toward a micro-intervention. Journal of Organizational Behavior, 27 (3), pp. 387-393 Luthans, F., Avolio, BJ, Avey, JB and Norman, SM (2007). Positive psychological capital: Measurement and relationship with performance and satisfaction. Personnel Psychology, 60 (3), 541- https://doi.org/10.1111/j.1744-6570.2007.00083.Ponomarov, SY and Holcomb, MC (2009). Understanding the concept of supply chain resilience. International Journal of Logistics Management, 20 (1), pp. 124-143. DOI: https://doi.org/10.1108/09574090910954873 Staw, BM, Sandelands, LE and Dutton, JE (1981). Threat rigidity effects in organizational behavior: A multilevel analysis. Administrative Science Quarterly , 26 (4), pp. 501-524. DOI: 10.2307 / 2392337 Vogus, TJ and Sutcliffe, KM (2007). Organizational resilience: Towards a theory and research agenda. Paper presented at IEEE International Conference on Systems, Man and Cybernetics. Weick, KE and Sutcliffe, KM (2001). Managing the unexpected. San Francisco: Jossey- Bass.
