This study is an integrative model
developed to test contingency theories that
link environmental conditions, competitive
strategy, and organization performance. The
modified operational items and modified
constructed variables based on Dess and
Davis (1984: 467-488) and Miller (1988: 280-
308) and on Porterûs (1980: 322-329) generic
competitive strategies. To include differentiationbased
strategies as suggested by Miller
(1988: 288) and Mintzberg (1988: 23) is
generalized to innovative marketing strategies
and innovative product differentiations that
suit business atmosphere of both local
and foreign rivals. The interrelationships
between a new venture firm and local are
bilateral and independent. When firms constitute
the primary source of revenue for local
governments, they also receive immense
governmental assistance in financing,
resource access, risk diversification, and the
like (Nee, 1992: 1-27). These characteristics
are confirmed by the pre-interview results;
therefore, political interaction with the
government sector is included in this study
as another important competitive strategy.
The integrated alignment model shown in
figure 1 incorporates environment hostility,
competitive strategy, and firmsû performance.
This study is an integrative modeldeveloped to test contingency theories thatlink environmental conditions, competitivestrategy, and organization performance. Themodified operational items and modifiedconstructed variables based on Dess andDavis (1984: 467-488) and Miller (1988: 280-308) and on Porterûs (1980: 322-329) genericcompetitive strategies. To include differentiationbasedstrategies as suggested by Miller(1988: 288) and Mintzberg (1988: 23) isgeneralized to innovative marketing strategiesand innovative product differentiations thatsuit business atmosphere of both localand foreign rivals. The interrelationshipsbetween a new venture firm and local arebilateral and independent. When firms constitutethe primary source of revenue for localgovernments, they also receive immensegovernmental assistance in financing,resource access, risk diversification, and thelike (Nee, 1992: 1-27). These characteristicsare confirmed by the pre-interview results;therefore, political interaction with thegovernment sector is included in this studyas another important competitive strategy.The integrated alignment model shown infigure 1 incorporates environment hostility,competitive strategy, and firmsû performance.
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