It was hypothesized that quality systems and team-based structures would provide higher benefits to the more successful companies emphasizing product differentiation strategies but not for high performing, low price strategies. This was supported by the low benefits reported for the higher performing C3 compared with C5. Notably, C5 gained higher benefits from quality systems and team-based structures than C3. It may be that in C5, quality systems were implemented to minimize waste thereby decreasing costs (Crosby, 1979). Similarly, firms introducing quality systems may have developed team-based structures, primarily to encourage employees to identify with cost reduction efforts (Ledford, 1993). However, without high benefits from improving existing processes and manufacturing systems innovations, these initiatives may be inadequate in improving performance.