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Strategic Choices And Business Performance: An Empirical Investigation

B. Sharma, T. Fisher
Published 1999 · Sociology

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The 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.
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