1. Product-market planning capability and profitability
- Author
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Ian R. Hodgkinson, Mathew Hughes, Paul Hughes, Chih-Hsien Lois Hughes, and Robert E. Morgan
- Subjects
Marketing ,Strategic planning ,HF ,Product market ,Cost efficiency ,05 social sciences ,Product differentiation ,Hybrid ,Profit (economics) ,Contingency theory ,Product-market planning ,0502 economics and business ,Dynamic capability ,Marketing differentiation ,HD28 ,050211 marketing ,Profitability index ,Business ,Contingency ,050203 business & management ,Industrial organization ,Profits - Abstract
The file attached to this record is the author's final peer reviewed version. The Publisher's final version can be found by following the DOI link. We test the profit implication of product-market planning as a dynamic capability, from a contingency theory perspective. Among a sample of high-technology industrial organizations, we find that product-market planning capability is significantly and positively related to profits under marketing differentiation, but negative implications ensue for those adopting cost efficiency strategies. Pursuing hybrid strategies has no significant effect, while technological turbulence also has no moderating effect. Additional analysis establishes the temporal effects of product-market planning capability on 3-year lagged profits. These differential results are considered within a contingency framework. Implications are identified and discussed for industrial marketing management theory and practice.
- Published
- 2020
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