Online citations, reference lists, and bibliographies.
← Back to Search

Product Quality, Cost Position And Business Performance: A Test Of Some Key Hypotheses

L. Phillips, D. R. Chang, R. D. Buzzell
Published 1983 · Business

Cite This
Download PDF
Analyze on Scholarcy
Share
This study uses a causal modelling methodology to examine competing methodological and theoretical hypotheses concerning the effects of product quality on direct costs and business unit return on investment (ROI). Results show that the PIMS’ measures under study exhibit high reliability across all samples. The findings fail to support the widely held view that a high relative quality position is incompatible with achieving a low relative cost position in an industry.
This paper references
10.1177/002224378201900413
Explaining Control Losses in Corporate Marketing Channels: An Organizational Analysis
L. Phillips (1982)
How Prices, Ad Expenditures and Profits are Linked
Paul Farris
Market Share, Technology Leadership and Competition in International Semiconductor Markets
M Flaherty (1982)
10.1108/EB053944
Market share: Key to profitability?
D. Mclagan (1981)
LISREL: Analysis of Linear Structural Relationships by Method of Maximum Likelihood
Karl Joreskog (1979)
QUALITY CONTROL AND LEARNING IN PRODUCTIVE SYSTEMS by
J. Shapiro
10.2307/1251239
Causal models in marketing
L. Phillips (1980)
1981a), "How Important is Industry in Explaining Firm Profitability," working paper, Graduate School of Management, University of California, Los Angeles
Rumelt (1981)
Assessing Measurement Error
Phillips (1981)
10.1177/002224377801500102
Firm Effects and Industry Effects in the Analysis of Market Structure and Profitability
F. Bass (1978)
10.2307/3151081
Marketing Research: Methodological Foundations
Dawn Iacobucci (1976)
10.2307/3151325
Causal Models in Marketing
William R. Darden (1981)
Survival strategies in a hostile environment
W. Hall (1980)
Product Quality," PIMSLEITER
Buzzell (1978)
Finding New Opportunities for Profitability in Manufacturing Cost,
Smith (1980)
Concentration versus Market Share: Which Determines Performance and Why Does It Matter
Bradley T Gale (1977)
Incorporating Quality in Competitive Strategies,
Reddy (1980)
Industrial Market Structure and Economic Performance
Charles F. Phillips (1971)
10.2307/3151312
Evaluating structural equation models with unobservable variables and measurement error.
C. Fornell (1981)
10.1177/002224377501200405
Pooling Issues and Methods in Regression Analysis with Examples in Marketing Research
F. Bass (1975)
Japan-Where Operations Really are Strategic
Steven C Wheelwright
The PIMS Data Manual
(1978)
10.2307/2097932
Heterogeneity within an Industry: Firm Conduct in the U.S. Brewing Industry, 1952-71
Kenneth J. Hatten (1977)
Marketing Research: Methodological Foundations, New York: Dryden
Churchill (1979)
10.1086/223509
Alternative Questionnaire Approaches to the Measurement of Influence in Organizations
M. Patchen (1963)
10.1002/SMJ.4250020104
Modelling changes in market share: A cross‐sectional analysis
R. D. Buzzell (1981)
Three (or Four, or More) Ways to Win,
Kiechel (1981)
Can Marketing and Manufacturing Coex-ist
B. P. Shapiro (1977)
10.1037/0033-2909.88.3.588
Significance Tests and Goodness of Fit in the Analysis of Covariance Structures
P. Bentler (1980)
How Important is Industry in Explaining Firm Profitability
Richard P Rumelt
Market Share and the Rate of Return: Testing the Stochastic Hypothesis, " working paper, Graduate School of Management, University of California, Los Angeles
J. Robin C. Wensley (1981)
10.2307/1924405
Structure-Profit Relationships at the Line of Business and Industry Level
D. Ravenscraft (1983)
10.2307/2392322
Representing and testing organizational theories: A holistic construal.
R. Bagozzi (1982)
Some Early Results on the Concentration-Profits Relationship from the FTC's Line of Business Data," working paper, Federal Trade Commission
Weiss (1981)
10.1207/s15327906mbr1603_4
An Examination Of The Validity Of Two Models Of Attitude.
R. Bagozzi (1981)
10.1177/002224298104500314
Strategic Marketing: Betas, Boxes, Or Basics
R. Wensley (1981)
10.1037/0022-3514.41.4.607
Attitudes, intentions, and behavior: A test of some key hypotheses.
R. Bagozzi (1981)
10.1177/002224378101800401
Assessing Measurement Error in Key Informant Reports: A Methodological Note on Organizational Analysis in Marketing
L. Phillips (1981)
Some Early Results on the Concentration-Profits Relationship from the FTC's Line of Business Data
Leonard Weiss (1981)
An Examination of the Reliability of PIMS Relative Competitive Strategy Measures," paper presented at American Institute for Decision Sciences
D. Robert (1982)
10.1086/225590
Measures of Organizational Structure: A Methodological Note
J. Pennings (1973)



This paper is referenced by
10.1016/S0148-2963(98)00026-5
Influence of Environment, Strategy, and Market Orientation on Performance in Small Manufacturing Firms
Alfred M. Pelham (1999)
10.2139/ssrn.2677179
Competitive Advantage, Organizational Innovation and Profitability: Evidence from Nigeria
Ogunkoya Femi Adewale (2015)
10.1080/10941669908722031
The structural relationships between service orientation, mediators, and business performance in Korean hotel firms.
Yong-Ki Lee (1999)
Service quality, customer satisfaction and loyalty towards JKR Malaysia
A. Rahim (2009)
Network Effects , Quality and the Success of New High-Tech Products
G. Tellis (2006)
10.1002/9781118335529.CH29
Synthesizing Relationship Dynamics: An Analysis of Products and Services as Components of Corporate Reputation
Pan Ji (2013)
10.1007/978-1-4614-8594-0_10
Error in Variables: Analysis of Covariance Structure – Structural Equation Models
Hubert Gatignon (2014)
The effect of an integrated quality management system on a leading fish product manufacturer : a pre-implementation viability study
Van Heerden (2013)
10.1016/S0272-6963(03)00004-4
The relationship between total quality management: practices and their effects on firm performance
H. Kaynak (2003)
10.1108/14635770710761906
Impacts of information management on business performance
J. Evans (2007)
10.1080/09544120120098546
The state of quality management implementation: A cross-sectional study of quality-oriented companies in Hong Kong
K. Lai (2002)
10.1002/SMJ.174
An examination into the causal logic of rent generation: contrasting Porter's competitive strategy framework and the resource-based perspective
Yiannis E. Spanos (2001)
10.1007/978-3-322-99748-7_9
Die Phase der Strategieformulierung und -bewertung
Martin K. Welge (2017)
10.1108/01443579610125561
Management perception of the link between product quality and customers’ view of product quality
M. A. Waller (1996)
10.4067/S0718-16202011000200002
Perceived quality in fresh peaches: an approach through structural equation modeling
M. Mora (2011)
10.23919/PICMET.2018.8481795
Firm's Product Innovation Strategy and Product Sales in Convergent Product Markets
Hyeokseong Lee (2018)
10.1016/0148-2963(90)90016-7
Impact of international marketing strategies on performance in diverse global markets
Cynthia Fraser (1990)
10.5465/AMR.1994.9412271803
MANAGEMENT THEORY AND TOTAL QUALITY: IMPROVING RESEARCH AND PRACTICE THROUGH THEORY DEVELOPMENT
J. Dean (1994)
Testing Partial Adjustment Dividend Behavioral Models in Emerging Markets: Evidence from Pre- and Post-Market Reforms in Bangladesh
S. Mollah (2009)
10.1108/EB002878
The Strategic Management of Quality: A Conceptual Synthesis
M. Walsh (1987)
10.1016/0142-694X(85)90002-X
The designer as ‘gatekeeper’ in manufacturing industry
V. Walsh (1985)
10.1016/j.eswa.2008.11.013
TQM measurement model for the biotechnology industry in Taiwan
Jui-Kuei Chen (2009)
10.1177/1094670502004004003
Customer Efficiency
Mei Xue (2002)
10.1108/JSTP-04-2014-0080
Customer defection in retail banking
Lamprini Piha (2015)
10.1177/1356766706071203
Developing a service quality questionnaire for the hotel industry in Mauritius
R. R. Ramsaran-Fowdar (2007)
10.1108/08858620910999448
The impact of industry and training influences on salesforce consulting time and consulting effectiveness
Alfred M. Pelham (2009)
10.1108/ebr-09-2019-0182
The role of competitive strategy in the performance impact of exploitation and exploration quality management practices
Julen Castillo Apraiz (2020)
10.1108/10595421211200179
An empirical model of marketing strategy and shareholder value
Mamoun N. Akroush (2012)
10.19044/ESJ.2013.V9N19P%P
THE COMPETITIVE ANALYSIS - THE APPROPRIATE INSTRUMENT TOWARDS A SUCCESSFUL DEVELOPMENT
Enida Pulaj (2013)
Integrating TQM methods with corporate strategy : a source of sustainable competitive advantage
Steve Rajpatty (2011)
10.14288/1.0072509
Flexibility and strategic alignment of enterprise resource planning systems with business strategies : an empirical study
N. Taskin (2011)
10.1007/978-3-322-90512-3_5
Preisänderung und Repositionierung
U. Schneider (2003)
See more
Semantic Scholar Logo Some data provided by SemanticScholar