Beyond market strategies: political and social dynamics of firm strategy and performance in Ghana Online publication date: Sat, 22-Feb-2020
by John A. Parnell; Edwin C. Mensah; Derek Oppong
International Journal of Business and Emerging Markets (IJBEM), Vol. 11, No. 4, 2019
Abstract: This paper investigates factors associated with strategic capabilities, market and non-market strategies (NMS), and performance in Ghana. SmartPLS was utilised to analyse 166 middle and top managers in the Accra-Tema district. Two distinct capability-strategy 'paths' to firm performance were identified. Financial performance was driven by technology and marketing capabilities, cost leadership, and political NMS, while non-financial performance was driven by management and marketing capabilities, differentiation, and social NMS. A firm's political involvement leveraged by cost controls and technology improved financial outcomes, while social engagement influenced only non-financial results.
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