Paul Amadieu

Retail network organizational design and financial performance

Building on the exploration–exploitation–ambidexterity perspective as a broad theoretical framework, the overall objective of this chapter is to contribute to a better understanding of the impact that different mixes of organizational forms have on performance in a retail setting. Four organizational forms are considered: (1) the plural form; (2) the dual form associating company-owned stores and shop-in-shops; (3) the dual form associating franchised stores and shop-in-shops; and, finally, (4) the combined form associating company-owned stores, franchised stores and shop-in-shops. These organizational design–performance relationships are tested on a sample of 170 French fashion retail networks. The results show that (1) none of the pure or dual forms tended to generate better financial performance than any other; (2) combining company-owned units, franchised units and shop-in-shops tends to generate better financial performance compared to dual and pure forms, up to a certain point.

Financial Reaction to the Business Cycle in Periods of Difficulties: The Case of French Wine Companies

From the beginning of this century, French wine companies are said to have been in a state of crisis … Over the last 20 years, major studies have been commissioned: Booz-Allen and Hamilton (1993), ONIVINS and Ernst & Young (1999), the Ministry of Agriculture (Berthomeau 2002). As a whole, France lost its world export leadership in 2005 (by 2010 the French export market share was just 3.8%, against 6% in 1982),1 as well as losing its position of first world consumer in 2007 and leading wine producer in 2008. The French wine industry is struggling to maintain its commercial position.