Keyword Firmperformance. Compettitive intensity Organization slack Ownership
How do different types of Organization slack affect firm performance?
What factors moderate the Organization slack performance relationship? With exception to work by Tan and Peng(2003) and SU,Xie,and Li(2009) most empirical research on these important question has confined the slack-performance investigations to developed economies. However, finding document in developed economics are ambiguous and increase evidence suggests that findings from developed economies may not be generalized directly to transition economies.
To address the aforementioned researce Gap, the present study aims to replicate and
Extend the study of Tan and Peng (2003) by introducting a contingency perspective in excamining the moderating impacts of firm ownerships type and industry competitive intensity on the Organization slack performance relationship.
Specifically , the objective of our study are three-fold First, we replicate the work by Tan and Peng (2003)and su et al.(2009) using longitudinal data for 60,945 firms in China’s transition economy to test the generalizability of their findings in differents types of firms from multiple industries. Based on data for Chinese state-owned enterprises(SOEs) in 1991-1992, Tan and Peng (2003) conduct to separate studiesand suggest differential impacts of absorbed and unabsorbed slack on firm Performance. While Tan and Peng’s (2003) work offer valuable insight , it is neccessry to replicate theirstudy as dynamic in stitutional and industrial change have occurred in Chinese economy since 1992 , and replication serve “thefundeamental role of projecting against the uncritical acceptance of empritical result” and un ravel real theoretical structures
Secound, the present study extends Tan and Peng (2003) by addressing their call for a contingency perspective on the relationship between Organization slack and performance and investigates the moderating roles of resources munificence and environment dynamism . In the same vain, our study draw on the institutional-based
View of firm behavior in translation economics to examine the moderating role of ownership types as transition ecomices ‘dynamic’ and instable institutions necessitates an institutional approach in investigating the organizational diversity reflected in ownership differences