scholarly journals Generic Strategies and Firm Performance: An Investigation of Informal Sector Micro-Enterprises in Kenya

2017 ◽  
Vol 12 (3) ◽  
pp. 148 ◽  
Author(s):  
Esther Mungai ◽  
Madara Ogot
Keyword(s):  
Developing Countries ◽  
Firm Performance ◽  
Informal Sector ◽  
Business Strategy ◽  
Business Performance ◽  
Low Cost ◽  
Business Strategies ◽  
Strategic Groups ◽  
Generic Strategies ◽  
Micro Enterprises

Micro-enterprises (MEs) have been shown to collectively be the largest employer in most developing countries thus playing a significant role in the countries economies. Using informal sector micro-enterprise furniture makers (wood and metal) in Nairobi, Kenya and based on Porter's competitive business strategies typology, this study sought to determine if the strategies employed by the informal sector MEs fit within the typology framework, and if membership within the strategic groups in the typology are a predictor of better business business performance. From the study, although membership within the two focus strategic groups of differentiation and low cost was confirmed, unlike studies done with medium and large enterprises, membership was not found to be a predictor of better business performance. Porter's typology may therefore not adequately capture the competitive business activities relevant to and directly by MEs, presenting an opportunity for research into the development of competitive business strategy typologies directly derived from their activities and therefore applicable to them.

scholarly journals ALIGNMENT BETWEEN THE SUPPLY, MANUFACTURING AND DISTRIBUTION STRATEGIES AND THE BUSINESS STRATEGY

2010 ◽  
Vol 3 (2) ◽  
pp. 44 ◽  
Author(s):  
Margareth Rodrigues de Carvalho Borella ◽  
Antônio Domingos Padula
Keyword(s):  
Business Strategy ◽  
Business Performance ◽  
Low Cost ◽  
Business Strategies ◽  
Profile Deviation ◽  
Cost Strategy ◽  
Low Cost Strategy ◽  
The One ◽  
High Degree ◽  
The Relationship

The study aims to identify the degree of alignment between the supply, manufacturing and distribution practices on the one hand and the generic business strategies suggested by Porter (1996): differentiation, low cost, focus on differentiation and focus on low cost on the other and to obtain some insights into how these relationships influence business performance. The gestalt and profile deviation (Venkatraman, 1989) approaches were used to identify the relationship between practices and the degrees of alignment in the respective strategy groups. When compared to other strategy groups, the group of companies predominantly devoted to the Focus on Low Cost strategy (49,25%) was found to have: greater consistency in the development of practices between supply, manufacturing and distribution, a high degree of alignment of most of these practices with that strategy, a greater tendency towards achieving better business performance.

scholarly journals Faktor-faktor Penentu Keberhasilan Usaha Kecil dan Menengah (UKM) di Kota Yogyakarta

2016 ◽  
Vol 6 (1) ◽  
pp. 24
Author(s):  
Eny Sulistyowati ◽  
Nining Sofiati Lestari
Keyword(s):  
Business Strategy ◽  
Urban Areas ◽  
Business Performance ◽  
Business Strategies ◽  
Direct Influence ◽  
Performance Variables ◽  
Independent Variable ◽  
Medium Businesses ◽  
The City ◽  
Variable Performance

<p><span class="fontstyle0">This research was conducted with the aim to explain the influence of the characteristics of the owner/manager of the business strategy, describes the influence of business strategy on business performance, explaining the influence of the characteristics of the owner/manager of the business performance. Variables used in this research is variable owner/manager, business strategy (independent variable) and variable performance or Small Bussinis Performance (dependent variable). The results obtained show that a direct influence on the performance characteristics of the manager of small and medium businesses in the </span><span class="fontstyle0">city of Yogyakarta strong with R2 values of 0.224, or 22.4%, the effect of business strategies on business performance </span><span class="fontstyle0">of small and medium businesses in urban areas with R2 values of 0,049 or 4.9%. Meanwhile, indirectly influence the characteristics of managers' business performance through business strategy in the city of Yogyakarta only has value R2 value of 0.080 or 8.0%.</span></p>

scholarly journals THE HARMONIZED EFFECTS OF GENERIC STRATEGIES AND BUSINESS CAPABILITIES ON BUSINESS PERFORMANCE

2010 ◽  
Vol 11 (4) ◽  
pp. 689-711 ◽  
Author(s):  
Avni Zafer Acar ◽  
Cemal Zehir
Keyword(s):  
Information System ◽  
Business Strategy ◽  
Business Performance ◽  
Manufacturing Firms ◽  
Positioning Theory ◽  
Research Model ◽  
Main Subject ◽  
Resource Based View ◽  
Key Variables ◽  
Generic Strategies

Resource‐based view and the positioning theory are the two main approaches which are considered as contrary to each other in order to achieve competitive advantage and superior business performance. In this study, the main subject is to harmonize these two theories with a research model which is based on the assumption that business strategy is more effective when pursued with related capabilities. To perform the study, we conducted a questionnaire survey with 445 owners/executives of manufacturing firms. We measured business capabilities in terms of management, production, marketing‐sales, information system, logistics and external relationship dimensions. Component factors and key variables for the constructs, which are identified through a literature review, are confirmed using AMOS 16.0. Then data have been analyzed to test the hypothesis by using SPSS 15.0. As a result, separate and harmonized effects of business capabilities (BC) and generic strategies (GS) on business performance have been examined. Santrauka Ištekliais pagristas požiūris ir pozicionavimo teorijos yra du pagrindiniai požiūriai, prieštaraujantys vienas kitam siekiant konkurencinio pranašumo ir aukščiausio verslo efektyvumo. Pagrindinis šio tyrimo objektas – minetuju teoriju suderinimas taikant tyrimo modeli, kuris grindžiamas prielaida, kad verslo strategija yra efektyvesne, kai vykdoma atsižvelgiant i verslo galimybes. Tyrimui parengta anketine apklausa. Apklausti 445 gamybos imoniu savininkai ir (arba) vadovai. Vertintos verslo galimybes pagal valdyma, gamyba, rinkodara, pardavima, informacine sistema, logistika ir išorinius santykius. Sudetiniu veiksniu ir pagrindiniu kintamuju sudetis, nustatyta remiantis literatūros apžvalga, patvirtinta taikant AMOS 16.0. Norint tai patvirtinti hipotezemis, buvo analizuojami duomenys naudojantis SPSS 15.0. Galiausiai buvo tiriamas atskiras bei darnus verslo galimybiu ir bendru strategiju poveikis verslo efektyvumui.

Strategic Choices and Business Performance: An Empirical Investigation

1999 ◽  
Vol 5 (2) ◽  
pp. 17-28
Author(s):  
Bishnu Sharma ◽  
Tom Fisher
Keyword(s):  
Business Performance ◽  
Business Strategies ◽  
Manufacturing Companies ◽  
Strategic Choices ◽  
Functional Strategy ◽  
Development Technology ◽  
Generic Strategy ◽  
Generic Strategies ◽  
Technology Marketing ◽  
Analysis Of Performance

AbstractThe paper reports research within Australian manufacturing companies that investigated the perceived importance and interrelationships of functional and business strategies. Seven functional strategies were postulated (operations, research and development, technology, marketing, human resources, organisational, and financial). Porter's (1980) generic strategies were used to define business strategies because of their ability to simplify complex strategic patterns and because of their popularity in the strategic management literature (Miller and Dess, 1993). The research found that Australian manufacturers operations strategy was the most preferred and effective functional strategy. Australian manufacturers also have a preference for combined generic strategies. However, an analysis of performance suggests that the adoption of a single generic strategy may be preferable.

scholarly journals Implementing a business strategy with supply chain management in a management system and management control to improve the performance of the hotel business

2021 ◽  
Vol 9 (3) ◽  
pp. 687-695 ◽  
Author(s):  
Harin Tiawon ◽  
I Wayan Gede Supartha
Keyword(s):  
Social Capital ◽  
Supply Chain ◽  
Supply Chain Management ◽  
Business Strategy ◽  
Business Performance ◽  
Management Control ◽  
Business Strategies ◽  
Chain Management ◽  
Electronic Payments ◽  
Marketing Systems

Supply chain management is very important in improving the business system in the management sector to improve the regional economy. Based on the hotel business strategy at Lovina Beach by implementing e-payments is very important as a transaction tool starting from purchasing needs or marketing systems to the end of room payments and activities to implement the health protocol for the COVID-19 period. The research was conducted at 100 star hotels on Lovina beach Bali, regarding the importance of the main influence of social capital in driving digitalized payment systems and sharing information with microeconomic theory in improving business performance. The results obtained from simple linear quantitative statistical analysis, based on the r-square value of 63.8%, social capital can encourage electronic payments and knowledge sharing can improve hotel business performance in Lovina Beach Bali Indonesia. Research implications for applying social capital, electronic payments, sharing knowledge in improving business performance during the COVID 19 period and making business strategies to increase consumer confidence in hotels on Lovina Beach Bali.

Integrative capability, business model innovation and performance

2019 ◽  
Vol 22 (3) ◽  
pp. 541-561 ◽  
Author(s):  
Changwei Pang ◽  
Qiong Wang ◽  
Yuan Li ◽  
Guang Duan
Keyword(s):  
Firm Performance ◽  
Business Model ◽  
Business Strategy ◽  
Business Model Innovation ◽  
Mediating Effect ◽  
Business Strategies ◽  
Cross Sectional ◽  
Content Type ◽  
Using Data ◽  
The Relationship

Purpose The purpose of this paper is to examine how business model innovation (BMI) mediates the relationship between integrative capability, business strategy and firm performance. Design/methodology/approach A literature review provides the model and hypotheses. Using a sample of 165 Chinese firms, the authors conduct the examination using a theoretical model and hypotheses following standard analysis methods. Findings The results show that BMI positively mediates the relationship between integrative capability and firm performance. Moreover, a differentiation strategy positively moderates the link between BMI and firm performance, while a cost leadership strategy presents a significantly negative moderating effect. Research limitations/implications First, the authors test the hypotheses using data from China; thus data from other emerging economies should be tested. Second, the authors use cross-sectional data in this study making it impossible to verify the dynamic developed in the process of BMI; a longitudinal study could provide a more comprehensive understanding. Third, the authors consider one intermediate mechanism to test the relationship of integrative capability and firm performance; additional factors may link integrative capability and firm performance. Practical implications The mediating effect of BMI suggests managers should pay more attention to BMI to improve firm performance, and they should understand that BMI’s role varies across different business strategies. Originality/value The paper is original in its investigation of the effect of integrative capability and BMI on firm performance using data from China and demonstrates the mediating effect of BMI on the relationship between integrative capability and firm performance.

An Introduction to the Green IT Balanced Scorecard as a Strategic IT Management System

2011 ◽  
pp. 126-152 ◽  
Author(s):  
Yulia Wati ◽  
Chulmo Koo
Keyword(s):  
Competitive Advantage ◽  
Balanced Scorecard ◽  
Environmental Sustainability ◽  
Business Strategy ◽  
Business Performance ◽  
Business Strategies ◽  
Management Tool ◽  
Sustainable Business ◽  
Green It ◽  
Environmental Aspect

This chapter introduces the Green IT Balanced Scorecard by incorporating an environmental aspect of technology into the scorecard measurement method. The authors conceptualized the Green IT balanced scorecard as “a nomological management tool to systematically align IT strategy with business strategy from an environmental sustainability perspective in order to achieve competitive advantage.” The objectives of the Green IT balanced scorecard include the measurement of technology performance via the effective integration of environmental aspects, the investigation of both tangible and intangible assets of Green IT investment, the alignment of IT performance and business performance, and the transformation of the results into competitive advantage. This concept offers a new possibility for both practitioners and researchers to translate their sustainable business strategies into Green IT actions.

An Integrated Model of E-Business Strategy

2011 ◽  
pp. 271-289
Author(s):  
Peter Ping Li ◽  
Steven Tung-lung Chang
Keyword(s):  
Developing Countries ◽  
Business Strategy ◽  
Strategic Alliance ◽  
Organizational Form ◽  
Business Environment ◽  
Business Strategies ◽  
Business Success ◽  
Key Issues ◽  
Local Firms

This chapter proposes a conceptual framework of e-business strategy. It argues that such a framework must be holistic, dynamic, and dialectical. This framework will assist both researchers and practitioners regarding the key issues of e-business strategy. Further, a case study of Haier from China reveals that all firms need to learn how to design effective e-business strategies that should be built on a sound organizational form or business model. The case of Haier also suggests that the local firms from the developing countries need to be creative in formulating e-business strategies in order to operate effectively in the underdeveloped e-business environment. Strategic alliance is especially critical for the local firms with regard to their e-business success.

Impact of Porter’s Generic Strategy on Firm Performance with reference to Nepalese Retail Banking Sector

2021 ◽  
Vol 4 (i) ◽  
Keyword(s):  
Regression Analysis ◽  
Firm Performance ◽  
Low Cost ◽  
Differentiation Strategy ◽  
Cost Strategy ◽  
Generic Strategy ◽  
Low Cost Strategy ◽  
Focus Strategy ◽  
Generic Strategies ◽  
Focus Strategies

Porter’s generic strategies are the proven and pervasive strategic options in achieving competitiveness and better firm performance. This paper aims in examining the effect of Porter’s generic strategies (low-cost, differentiation, and focus) on firm performance in the context of Nepalese retail banks, a more competitive service industry. This study applies casual comparative research design and the data have been collected through administering questionnaire survey from 75 senior bank managers of 18 Nepalese commercial banks who being engaged in strategic affairs. The econometric model has been constructed to measure the expected effect of the strategies on firm performance. The descriptive analysis, Pearson’s correlation analysis, and multivariate regression analysis were conducted. The empirical results of correlation analysis and multiple regression analysis produced consistent results indicating positive associations between generic strategies and firm performance. The empirical results from regression analysis declared higher positive and significant impact of low-cost on firm performance. Similarly, positive effect of differentiation strategy and focus strategy on firm performance was reported. The findings suggested that pursuing low cost strategy provides more financial returns with comparison to differentiation and focus strategies. The finding also suggested for combination of low-cost and differentiation (and focus) strategies could provide better competitiveness and firm performance. Keywords: Generic Strategy, Low-cost strategy, Differentiation strategy, Focus strategy, Firm performance

scholarly journals Service fitness ladders: improving business performance in low cost and differentiated markets

2017 ◽  
Vol 37 (10) ◽  
pp. 1266-1303 ◽  
Author(s):  
Alex Hill ◽  
Richard Cuthbertson ◽  
Benjamin Laker ◽  
Steve Brown
Keyword(s):  
Business Performance ◽  
Low Cost ◽  
Differentiated Services ◽  
Business Strategies ◽  
Direct Result ◽  
Content Type ◽  
Strategic Fit ◽  
Market Needs ◽  
And Performance ◽  
The Impact

Purpose The purpose of this paper is to present 13 propositions about how internal strategic fit (often referred to as fit) impacts the business performance of low cost and differentiated services. It then uses these relationships to develop two “fitness ladder” frameworks to help practitioners understand how to improve fit given their business strategy (low cost or differentiation) and performance objectives (operational, financial or competitiveness). Design/methodology/approach In total, 11 strategic business units were studied that perform differently and provide a range of low cost and differentiated services to understand how changes in internal strategic fit impacted business performance over a 7 year period. Findings The findings suggest aligning systems with market needs does not improve performance. Instead, firms serving low cost markets should first focus managers’ attention on processes and centralise resources around key processes, before reducing process flexibility and automate as many steps as possible to develop a low cost capability that is difficult to imitate. By contrast, firms serving differentiated markets should first focus managers’ attention on customers and then locate resources near them, before increasing customer contact with their processes and making them more flexible so they can develop customer knowledge, relationships and services that are difficult to imitate. Research limitations/implications Some significant factors may not have been considered as the study only looked at the impact of 14 internal strategic fit variables on 7 performance variables. Also, the performance changes may not be a direct result of the strategic fit improvements identified and may not generalise to other service organisations, settings and environments. Practical implications The strategic fit-performance relationships identified and the “fitness ladder” frameworks developed can be used by organisations to make decisions about how best to improve fit given their different market needs, business strategies and performance objectives. Originality/value The findings offer more clarity than previous research about how internal fit impacts business performance for low cost and differentiated services.

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