ABSTRACT



Objective: Strategic renewal refers to the processes organizations undertake to adapt and transform, maintaining competitiveness and relevance in changing environments. This process involves identifying and exploiting new opportunities, essential for long-term business success. With its holistic and systematic approach, strategic renewal enables institutions and organizations to sustain their competitive edge. This study aimed to design a strategic renewal model using a regional market opportunity recognition approach for exporting automotive parts manufacturers.

Method: This research is applied in terms of its objective and follows a grounded theory approach as its overarching study strategy. Within the framework of research paradigms, it aligns with the interpretive paradigm. Regarding the research methodology, a qualitative approach has been employed. Data were collected from successful automotive parts entrepreneurs, the Iranian Ministry of Industry, Mine and Trade (IMT), industry experts, academia, as well as technology incubators, science and technology parks, and chambers of commerce through semi-structured interviews. Participants were selected via purposive sampling until theoretical saturation was achieved. Using content analysis of interviews and code extraction, a strategic renewal model based on regional market opportunity recognition was developed according to Strauss and Corbin's grounded theory approach. The three-stage coding process (open, axial, selective) was performed using MAXQDA 2020 software. The validity of the data collection instrument was assessed and confirmed through expert judgment evaluations. To measure the reliability of the data collection tool, the percentage agreement method between two coders was employed. The results of the re-coding of three interviews demonstrated that the coding reliability was verified.

Results: Findings revealed that 299 initial concepts were labeled during open coding. After analysis and categorization of these concepts, sub-categories were identified. Through axial coding, 17 main categories and 51 sub-categories emerged from the 299 open codes. Finally, selective coding classified the 17 main categories into Strauss and Corbin’s six paradigmatic elements. The resulting paradigmatic model, centered on the core phenomenon of regional strategic renewal, was shaped by causal conditions (trends and challenges in the automotive parts industry, technological changes, financial constraints in the automotive sector, and the market potential for automotive parts). It also incorporates contextual conditions (identifying opportunities for automobile and automotive parts production, as well as internal resources and capabilities in the automotive industry) and intervening variables (restraining and facilitating factors within the automotive sector). The model is further shaped by action-response strategies, including renewal strategies, production and supply chain adjustments for automotive parts, opportunity and risk identification in the automotive sector, and businesses engaged in automotive parts exports. Finally, the outcomes of strategic renewal, emphasizing regional market opportunity recognition, include preservation of human and financial capital, effective communication, technological advancement and innovation in the automotive and parts industry, leveraging automotive parts export opportunities, and industry growth and market expansion.

Conclusion: Strategic renewal in Iran's automotive industry requires a comprehensive approach incorporating market analysis, sanctions adaptation, geopolitical factors, and strategic partnerships. As demonstrated in the paradigmatic model of strategic renewal with a regional market opportunity recognition approach, prerequisites include addressing trends and challenges in the auto parts sector, technological shifts, financial constraints in the automotive industry, and target market potential. The model describes mechanisms to leverage Iran's automotive industry infrastructure and potentials for identifying regional market opportunities. Based on the model's extracted components, managers of exporting automotive parts manufacturers can utilize this framework to optimize strategic renewal within the industry.

Keywords: Grounded Theory; ICM; International Entrepreneurship; Opportunity Identification; Organizational Entrepreneurship; Strategic Renewal.