This paper investigates the financial and non-financial performance effects of strategic emphasis during times of market turbulence in China. A survey of 246 middle and upper-level managers in Beijing identified market turbulence as a direct driver of firm performance, a positive moderator of the link between market strategy and financial performance, and a negative moderator of the link between market strategy and non-financial performance. Market turbulence did not moderate links between either market strategy or nonmarket strategy and non-financial performance. These results suggest a performance payoff for leveraging NMS and a performance penalty for emphasizing market strategies during turbulent times.
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Zhang, L., Parnell, J.A. & Xiong, C. Market and Nonmarket Strategies (NMS) in China: Performance Payoffs in Turbulent Environments. Asian Bus Manage (2020). https://doi.org/10.1057/s41291-020-00103-5
- Firm performance