An analysis of the Mondragon case's competitiveness from a systemic perspective

  1. Retegi, Jabier
  2. Igartua, Juan Ignacio
Revista:
Intangible Capital

ISSN: 1697-9818,  2014-3214

Año de publicación: 2023

Volumen: 19

Número: 4

Páginas: 513

Tipo: Artículo

DOI: 10.3926/IC.2261 DIALNET GOOGLE SCHOLAR lock_openAcceso abierto editor

Otras publicaciones en: Intangible Capital

Objetivos de desarrollo sostenible

Resumen

Purpose: This study analyses some of the aspects that contribute to the better performance ofMondragon Corporation compared to other cooperatives and to the rest of the companies in the BasqueCountry from a systemic perspective. Design/methodology: First, a systematic review of the literature on the factors that can explain thehigher competitiveness of Mondragon cooperatives compared to the rest of the firms was performed.Then, a draft framework representing the existing relationship between the factors was proposed basedon the previously analysed studies. Next, a contrast with five experts having different perspectives ofMondragon Corporation was made. The contributions of the experts to the proposal yielded the finalframework. Findings: A framework that links the factors and establishes precondition relationships among them isproposed. This framework assigns a special role to the basic inter-cooperative agreement structure as acondition for developing intercompany synergies.Research limitations/implications: In this study, a specific case of Mondragon Corporation wasanalysed, and the framework was tested by a limited number of experts. This study adds a new systemicperspective to the rich literature on the factors that explain Mondragon cooperatives’ competitiveness.Practical implications: This paper provides insights into the factors that should be considered whentrying to replicate the experience of Mondragon Corporation in other socioeconomic contexts.Social implications: This study stresses the relevance of a shared set of values, basic agreements andgovernance institutions as a base for the construction of strong synergetic relationships amongcompanies. Originality/value: The existing literature related to the key factors for Mondragon cooperatives’competitiveness analysed them from an individual factor perspective. This research advances theknowledge to understand the systemic interrelationships among them.

€ Ver financiación

Información de financiación

The authors received no financial support for the research, authorship, and/or publication of this article.

Referencias bibliográficas

  • Agirre, I., Reinares, P., & Freundlich, F. (2015). Does a democratic management model enhance performance through market orientation? Empirical evidence from the Mondragon Industrial Group. Review of Radical Political Economics, 47(3), 345-367. https://doi.org/10.1177/0486613414542770
  • Agirre, I., & Nieto, B. (2022). Relationship between cooperative values and CSR. Case of Mondragon Corporation. CIRIEC-Espana Revista de Economia Publica, Social y Cooperativa, 106, 55-84. https://doi.org/10.7203/CIRIEC-E.106.21017
  • Ahrne, G., & Brunsson, N. (2005). Organizations and meta-organizations. Scandinavian Journal of Management, 21(4), 429-449. ISSN 0956-5221. https://doi.org/10.1016/j.scaman.2005.09.005
  • Almeida, H., Chang, S.K., & Hwanki, B.K. (2015). Internal Capital Markets in Business Groups: Evidence from the Asian Financial Crisis. The Journal of Finance, 70(6), 2539-2586. https://doi.org/10.1111/jofi.12309
  • Alves, F.S., Segatto, A.P., & De-Carli, E. (2016). Theoretical framework about relational capability on inter- organizational cooperation. Journal of Industrial Integration and Management, 1(04),1650012. https://doi.org/10.1142/S2424862216500123
  • Antonazzo, L. (2019). Narratives of Cooperation, resilience and resistance: Workers’ self recovery in times of crisis. International Journal of Sociology and Social Policy, 39(9/10), 851-864. https://doi.org/10.1108/IJSSP-04-2019- 0064
  • Arando, S., Gago, M., Jones, D.C., & Kato, T. (2015). Efficiency in employee-owned enterprises: An econometric case study of Mondragon. ILR Review, 68(2), 398-425. https://doi.org/10.1177/0019793914564966
  • Arregi A., Gago, M.,& Legarra M. (2022). Employee Perceptions About Participation in Decision-Making in the COVID Era and its Impact on the Psychological Outcomes: A Case Study of a Cooperative in MONDRAGON (Basque Country, Spain). Front. Psychol., 13, 744918. https://doi.org/10.3389/fpsyg.2022.744918
  • Ategi (2023). Company History. Retrieved, March 2023 from: https://ategi.com/empresa/?lang=en
  • Auster, E.R. (1994). Macro and strategic perspectives on interorganizational linkages: A comparative analysis and review with suggestions for reorientation. Advances in Strategic Management, 10B, 3-40.
  • Azkarraga, J., & Cheney, G. (2019). Mondragon: Cooperatives in global capitalisme. In S. Berger, L. Pries, and M. Wannöffel (eds), The Palgrave Handbook of Workers’ Participation at Plant Level. New York, NY: PalgraveMacmillan. https://doi.org/10.1057/978-1-137-48192-4_11
  • Bartlett, C.A., & Ghoshal, S. (1990). The multinationalcorporation as an interorganizational network. Academy of Management Review, 15(4), 603-626. https://doi.org/10.2307/258684
  • Basterretxea, I. (2011). Sources of competitive advantage in the Mondragon Cooperative Group. Collection of essays on Basque cooperativism. Center for Basque Studies. University of Nevada, Reno. ISBN 978-1-935709-13-8
  • Basterretxea, I., & Albizu, E. (2010a). Management training as a source of perceived competitive advantage: The Mondragon Cooperative Group case. Economic and Industrial Democracy, 32(2) 199-222. https://doi.org/10.1177/0143831X10377809
  • Basterretxea, I., & Albizu, E. (2010b). ¿Es possible resistir a la crisis? Un análisis desde la gestión de las políticas de formación y empleo en Mondragon. CIRIEC-España. Nº 67/2010
  • Billiet, A., Dufays, F., Friedel, S., & Staessens, M. (2021). The resilience of the cooperative model: How do cooperatives deal with the COVID-19 crisis? StrategicChange, 30, 99-108. https://doi.org/10.1002/jsc.2393
  • Brown, J., Jones, P., Meadows, A., & Murphy, F. (2021). Building resilience through cooperation: Two case studies. Learned Publishing, 34, 25-29. https://doi.org/10.1002/leap.1354
  • Buckley, P., & Casson, M. (1988). A theory of co-operation in international business. In Contractor, F. and Lorange, P. (Eds), Cooperative Strategies in International Business (pp. 31-54). Lexington, MA: Lexington Books.
  • Cerrato, D. (2006). The multinational enterprise as an internal market system. International Business Review, 15(3), 253-277. https://doi.org/10.1016/j.ibusrev.2006.02.001
  • Chalupnicek, P. (2019). Social Entrepreneurship, Conscience, and the Common Good. In: Setter, O., Zsolnai, L. (eds), Caring Management in the New Economy. Palgrave Studies in Sustainable Business In Association with Future Earth. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-14199-8_9
  • Chang, S.J. & Hong, J. (2000). Economic performance of group-affiliated companies in Korea: Intragroup resources haring and internal business transactions. Academy of Management Journal,43(3), 429-448. https://doi.org/10.2307/1556403
  • Charterina, J., Albizu, E., & Landeta, J. (2007). The Quality of management in Basque companies: Differences existing between cooperative and non-cooperative companies. Advances in the Economic Analysis of Participatory and Labor-Managed Firms, 10, 109-150. ISSN: 0885-3339.
  • Cheney, G., Santa Cruz, I., Peredo, A.M., & Nazareno, E. (2014). Worker cooperatives as an organizational alternative: Challenges, achievements and promises in governance and corporate ownership. Organizational, 21(5), 591-603. https://doi.org/10.1177/1350508414539784
  • Chu, W. (2001). Contingency organizations and shared values: Multiple logics in managing diversification. Asia Pacific Journal of Management, 18, 83-99. https://doi.org/10.1023/A:1010617323691
  • Clauss, T., & Ritala, P. (2023). Network governance institutionalization: Creating mutual value by harnessing and avoiding conflicts in interorganizational networks. Journal of Business Research, 163, 11 3880. https://doi.org/10.1016/j.jbusres.2023.113880
  • Coghlan, D., & Coughlan, P. (2015). Effecting Change and Learning in Networks Through Network Action Learning. The Journal of Applied Behavioral Science, 51(3), 375-400. https://doi.org/10.1177/0021886314540210
  • Colina, A. (2009). Un análisis comparativo de la productividad de las cooperatives Industriales de Mondragón dentro del sector de la economia social española. Revista Venezolana de Economía Social, Año 9, Nº 17, Enero- Junio 2009. ISSN: 1317-5734.
  • Contractor, F., & Lorange, P. (Eds) (1988). Cooperative Strategies in International Business. Lexington, MA: Lexington Books.
  • Cunningham, M., & Calligan, N. (1991). Competitiveness through networks of relationships in information technology product Markets. In Paliwoda, S. (Ed.), New Perspectives in International Marketing. London: Routledge.
  • Denyer, D., & Tranfield, D. (2009). Producing a systematic review. In D.A. Buchanan & A. Bryman (Eds.), The Sage handbook of organizational research methods (pp. 671-689). Sage Publications.
  • Douglas Beets, S. (2022).An ethical revision of the status quo: The modified Mondragon Corporation. Business and Professional Ethics Journal, 41(1), 1-32. https://doi.org/10.5840/bpej20211229113
  • Doz, Y. (1996). The evolution of co-operative strategical liances: Initial conditions or learning processes?. Strategic Management Journal, 17, 55-83. https://doi.org/10.1002/smj.4250171006
  • Dwyer, R., Schurr, P.H., & Oh, S. (1987). Developing buyer-seller relationships. Journal of Marketing, 51(2), 11-27. https://doi.org/10.1177/002224298705100202
  • Ellis, J., Colin-Jones, A., & Zugasti, I. (2021). Mondragon: Maintaining Resilience through Cooperative Strategies. In Colin Mayer, and Bruno Roche (eds), Putting Purpose Into Practice: The Economics of Mutuality (Oxford, 2021; online edn, Oxford Academic, 22 Apr. 2021), https://doi.org/10.1093/oso/9780198870708.003.0029 (accessed 1 march 2023).
  • Elortza, N., Alzola, I., & López, U. (2012). La gestión de la crisis en la Corporación Mondragón. Ekonomiaz,79, 1er cuatrimestre, 2012.
  • Elorza, J.R. (2000). Ikerlan: Centro de investigaciones tecnológicas. REVESCO. Revista de estudiós cooperatives, 71, 130-141.
  • Filipetti, A., & Savona, M. (2017). University-industry linkages and academic engagements: individual behaviours and firms’ barriers. Introduction to special section. The Journal of Technology Transfer, 42, 719-729. https://doi.org/10.1007/s10961-017-9576-x
  • Fink, M., & Kessler, A. (2010). Cooperation, Trust and Performance – Empirical Results from Three Countries. British Journal of Management, 21, 469-483. https://doi.org/10.1111/j.1467-8551.2009.00647.x
  • Flecha, R., & Santa Cruz, I. (2011). Cooperation for economic success: The Mondragon case. Analyse & Kritik, 01/2011, 157-170. https://doi.org/10.1515/auk-2011-0113
  • Forcadell, F.J. (2005). Democracy, cooperation and business success: The case of Mondragón Corporación Cooperativa. Journal of Business Ethics, 56, 255-274. https://doi.org/10.1007/s10551-004-5094-5
  • Freundlich, F., Arando, S., Gago, M., Jones, D.C., & Kato, T. (2013). Institutional Innovation in Mondragon: Context, Shape and Consequence. Auckland: Hamilton Digital Commons. https://doi.org/10.2307/j.ctv18pgm4x.18
  • Gallego-Bono, J.R., & Chavez-Avila, R. (2016). Innovation cooperative Systems and structure change: An evolutionary analysis of Anecoop and Mondragon cases. J. Bus. Res., 69, 4907-4911. https://doi.org/10.1016/j.jbusres.2016.04.051
  • Gassmann, O., & Bader, M.A. (2006). Intellectual property management in Inter-firm R&D Collaborations. Taiwan Academy of Management Journal,6, 217-236. Gondim de Almeida, L., Blanchet, P., & Yan C. (2021). Collaboration among Small and Medium-Sized Enterprises as Part of Internationalization: A Systematic Review. Administrative Sciences, 11,153. https://doi.org/10.3390/admsci11040153
  • Gulati, R. (1998). Alliances and networks. Strategic Management Journal, 19, 293-317. ttps://doi.org/10.1002/ (SICI)1097-0266(199804)19:4<293::AID-SMJ982>3.0.CO;2-M
  • Håkansson, H., & Ford, D. (2002). How should companyies interact in business networks?. Journal of Business Research, 55(2), 133-139. https://doi.org/10.1016/S0148-2963(00)00148-X
  • Hamel, G. (1991). Competition for competence and inter-partner learning with International strategic alliances. Strategic Management Journal, 5(1), 33-55. https://doi.org/10.1002/smj.4250120908
  • Havila, V., & Salmi, A. (2009). Managing Project Ending. New York, NY.: Routledge. https://doi.org/10.4324/9780203886663
  • Heras-Saizarbitoria, I. (2014). The ties that bind? Exploring the basic principles of worker-owned organizations in practice. Organization, 21, 645-665. https://doi.org/10.1177/1350508414537623
  • International Electrotechnical Commission (IEC) (2015). Factory of the Future. IEC Whitepaper.
  • Iturrioz, C., Aragón, C., & Narvaiza, L. (2015). How to foster shared innovation within SMEs’ networks: Social capital and the role of intermediaries. European Management Journal, 33, 104-115. https://doi.org/10.1016/j.emj.2014.09.003
  • Johnston, W.J., & Hausman, A. (2006). Expanding the marriage metaphor in understanding long-term business relationships. Journal of Business & Industrial Marketing , 21(7), 446-452. https://doi.org/10.1108/08858620610708939
  • Kongmanila, X., & Takahashi, Y. (2009). Inter-firm Cooperation and Firm Performance: An Empirical Study of the Lao Garment Industry Cluster. International Journal of Business Management, 4(5), ISSN: 1833-3850. https://doi.org/10.5539/ijbm.v4n5p3
  • Laboral Kutxa (2018). Memoria de Responsabilidad Social Empresarial 2018. Retrieved on march 2023 from: https://corporativa.laboralkutxa.com/src/themes/LaboralKutxa/Resources/rse/2016/cast/pdf/cas.pdf
  • Levi, H., & Luiz Pasold, C. (2022). Mondragon Corporation and Sustainability. Law of Justice Journal, 36(1), 30-44. https://doi.org/10.5335/rjd.v36i1.12519
  • Mele, D. (2004). The principle of subsidiarity in organizations: A case study. IESE Business School Paper Nº 566. https://doi.org/10.2139/ssrn.884395
  • Mierzejewska, W., & Dziursky, P. (2020). How Firms Cooperate in Business Groups? Evidence fromPoland. Central European Management Journal, 29(2), 63-88, ISSN: 2658-0845, e-ISSN: 2658-2430. https://doi.org/10.7206/cemj.2658-0845.46
  • Mondragon (2021). Informe anual 2020. Retrieved in march 2023 from: https://www.mondragon- corporation.com/urtekotxostena/dist/docs/es/informe-anual-2020-es.pdf
  • Mondragon (2022). Informe annual 2021.Retrieved in march 2023 from: https://www.mondragon- corporation.com/urtekotxostena/dist/docs/eng/annual-report-2021-extended.pdf
  • Morlà-Folch, T., Aubert, A., Burgués de Freitas, A., & Hernández-Lara, A.B. (2021). The Mondragon case: Companies addressing social impact and dialogic methodologies. International Journal of Qualitative Methods, 20, 1-9. https://doi.org/10.1177/16094069211058614
  • OECD. (2021). The spatial dimension of productivity in Italian cooperatives. Local Economic and Employment Development (LEED). Papers 2021/2022. https://doi.org/10.1787/4f9b9d77-en
  • Oliveri, I. (2012). Mondragon Unibertsitatea: Un modelo propio. Revista de Contabilidad y Dirección, 14, 259-268.
  • Osarenkhoe, A. (2010). A study of inter-firm dynamics between competition and cooperation – A coopetition strategy. Journal of Database Marketing & CustomerStrategy Management,17, 201-221. https://doi.org/10.1057/dbm.2010.23
  • Popov, E., Stoffers, J., &Simonova, V. (2019). Cultural factors of network inter-firm cooperation. Review of International Business and Strategy, 29(2), 103-116. https://doi.org/10.1108/RIBS-09-2018-0085
  • Retegi, J. (2006). Estudio de los factores y los resultados de la innovación tecnológica de producto y de proceso de las empresas del grupo industrial de Mondragon Corporación Cooperativa. Tesis Doctoral. Universitat Politècnica de Catalunya.
  • Retegi, J., Carrillo, F., Gil de San Vicente, I., & Salado, J.P. (2020). Análisis sectorial del potencial impacto y recuperación de la crisis de la COVID-19 en las empresas vascas. Reflexiones COVID-19. Orkestra-Instituto Vasco de Competitividad, 3/2020. ISSN: 2340-7638.
  • Rodríguez-Oramas, A., Burgues-Freitas, A., & Joanpere, M. (2022). Participation and Organizational Commitment in theMondragon Group. Frontiers in Psychology, 13, 806442. https://doi.org/10.3389/fpsyg.2022.806442
  • Santos-Larrazabal, J., & Basterretxea, I. (2022). Intercooperation, flexicurity and their impact on workers: The case of Fagor Electrodomésticos. Annals of Public Coop Econ., 93, 607-635. https://doi.org/10.1111/apce.12329
  • Sharma, A., & Kearins, K. (2011).Interorganizational Collaboration for Regional Sustainability: What happens When Organizational Representatives Come Together?. The Journal of Applied Behavioral Science, 47(2), 168-203. https://doi.org/10.1177/0021886310381782
  • Shehabudden, N., Probert, D., Phaal, R., & Platts, K. (1999). Representing and approaching complex management issues: Part 1 – Role and definition. University of Cambridge Institute for Manufacturing. ISBN: 1-902546-21-0. https://doi.org/10.2139/ssrn.1923155
  • Siedschlag, I., & Zhang, X. (2015). Internationalisation of firms and their innovation and productivity. Economics of Innovation and New Technology, 24(3), 183-203. https://doi.org/10.1080/10438599.2014.918439
  • Sinde, J.M. (2021). Keys for the succes of the Mondragon co-operative experience (GM): Lessons for an inclusive-participatory business model. Dyna (Spain),96(2), 119-122. https://doi.org/10.6036/9819
  • Stickkers, K.W. (2020). Institutinalizing the Common God in Economy: Lessons from the Mondragon Cooperatives. Humanistic Management Journal, 5(1), 105-115. https://doi.org/10.1007/s41463-020-00093-8
  • Szaller, A., Fries, C., & Kádár (2023). Financial aspects of a trust-based resources haring platform. CIRP Journal of Manufacturing Science and Technology, 43, 88-105. https://doi.org/10.1016/j.cirpj.2023.03.004
  • Tkacz M., Arando S., & Pacut A. (2015). Cooperative response to societal and market challenges – the motives and stages of development of Mondragon cooperative model. A case study. Ekonomia Społeczna, 2, 69-84. https://doi.org/10.15678/ES.2015.2.05
  • Todeva, E., & Knoke, D. (2005). Strategic alliances and models of collaboration. Management Decision, 43(1), 123-148. Emerald Group Publishing Limited. 0025-1747. https://doi.org/10.1108/00251740510572533
  • TU Lankide (1986). División Empresarial LKS. Trabajo y Unión, 288.
  • Tunisini, A., & Marchiori, M. (2020). Why do network organizations fail?. Journal of Business & Industrial Marketing, 35(6), 1011-1021. ISSN 0885-8624. https://doi.org/10.1108/JBIM-01-2019-0056
  • Vlaar, P.W.L., Van den Bosch, F.A.J., &Volberda, H.W. (2007). On the Evolution of Trust, Distrust, and Formal Coordination and Control in Interorganizational Relationships: Toward an Integrative Framework. Group & Organization Management, 32(4), 407-428. https://doi.org/10.1177/1059601106294215
  • Whyte, W.F. (1995). Learning from the Mondragón cooperative experience. St Comp Int Dev, 30, 58-67. https://doi.org/10.1007/BF02802954
  • World Cooperative Monitor (2020). Exploring the cooperative economy. EURICSE/International Cooperative Alliance.
  • Yström, A., Olilla, S., Agogue, M., & Coghlan, D. (2019). The Role of a Learning Approach in Building an Interorganizational Network Aiming for Collaborative Innovation. The Journal of Applied Behavioral Science, 55(1) 27-49. https://doi.org/10.1177/0021886318793383