Business Sustainability Strategy in a Cooperative Kibbutz Industry

Abstract

This article describes the management approach underlying the strategic business sustainability at a kibbutz factory situated in a non-privatized collective community. The business strategy explains the outstanding success of “T Industries”—which ranks as a leading kibbutz enterprise. The research utilized qualitative methods, using deep interviews combined with document analysis. The study found that the strategic management of T Industries comprises three major components: (1) socialist concern for community wellbeing, (2) an external strategy that focuses on expansion and rendering the industry global, with numerous organizational alliances and acquisitions, and (3) an internal strategy that includes self-criticism, professionalism, creativity, and organizational learning. Strategies of the top management have the ability to integrate conflicting methods into their strategy while promoting innovation and originality and can increase economic success and reassure its sustainability for the business and the community.