Proximity effects in SMEs: up close and personal by strategically myopic

TitleProximity effects in SMEs: up close and personal by strategically myopic
Publication TypeConference Paper
Year of Publication2015
AuthorsMazzarol, T, Reboud, S, Clark, D
Conference Name29th Annual ANZAM Conference 2015
PublisherAustralian and New Zealand Academy of Management
Conference Location2-4 December, Queenstown, New Zealand.
Keywordsowner-managers, proximity effects, SMEs, strategy
Abstract
Owner-managers of small to medium enterprises (SME) are the most common business operators across most industries. However, there is a relative lack of information on how these business operators work and their management practices. A common criticism of SME owner-managers is their tendency to suffer from “strategic myopia” whereby they are not focused on long term strategy but more operational, day-to-day issues. Where planning and strategy occur they tend to be modest and incremental in nature. This paper examines the role played by “proximity effects” in shaping this strategic myopia. It draws on a large case study survey of owner-managers and how they manage their firms. The findings suggest proximity effects play a role in shaping the strategic myopia ownermanagers.