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Aligning operations, marketing, and competitive strategies to enhance performance: An empirical test in the retail banking industry

Authors
Journal
Omega
0305-0483
Publisher
Elsevier
Publication Date
Volume
34
Issue
5
Identifiers
DOI: 10.1016/j.omega.2005.01.017
Keywords
  • Service Operations
  • Strategic Fit
  • Banking Operations
  • Strategy
Disciplines
  • Communication

Abstract

Abstract The close linkage between competitive strategy and functional strategic activities is asserted to be a precondition to the achievement of optimal business performance. This study explores how the relationship between (and among) operations, marketing, and competitive strategies affects organizational performance in the banking industry. Our findings show that: (a) competitive strategy moderates the relationship between operations and marketing strategic activities, and organizational performance, (b) certain integrated strategic decisions of operations and marketing functions have a significant impact on organizational performance, and (c) the performance of retail banks within a strategic group differs depending on the quality of the strategic fit.

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