Employee and asset retrenchment strategies in SMEs: An institutional perspective
研究了2005至2014年间法国中小企业如何受财务困境、商业环境和行业领头羊模仿行为影响，做出员工或资产收缩决策，发现员工收缩更受社会合法性驱动，资产收缩更关注运营效率。
This research aims to enhance the understanding of retrenchment decisions among small and medium-sized enterprises (SMEs) through an institutional lens, focusing on both employee and asset retrenchment strategies. We empirically analyze retrenchment decisions among French firms from 2005 to 2014. Our findings underscore the significant influence of financial distress, business climate, and the mimicking behavior of industry-leading firms. These factors shape firms’ retrenchment strategies, with a notable emphasis on employee retrenchment, which is impacted mainly by social legitimacy and the need to align with industry norms. In contrast, asset retrenchment is influenced primarily by operational efficiency considerations, with less emphasis on social perception. These results provide a deeper understanding of institutional dynamics, revealing how institutional pressures impact different retrenchment decisions.