Effect of competitive tactics on performance: the case of the pharmaceutical industry

Abstract

Competitive tactics play a key role in explaining different levels of organizational performance since they are the linkers between strategy formulation and implementation. This study focuses on two main competitive tactics, namely, Quality-Oriented Competitive Tactic (Quality) and Cost-Oriented Competitive Tactic (Cost), which are the ones that are closely related to Porter's generic competitive strategies. Apart from that, we will analyze two other important competitive tactics, namely, Innovation-Oriented Competitive Tactic (Innovation) and Marketing-Oriented Competitive Tactic (Marketing) which will mediate the relationship between the main tactics and performance. Hence, we try to adopt an integrative posture by viewing competitive tactics in the pharmaceutical industry as inextricably linked, forming the fundamental pillars on which sustainable competitive advantage could be established.

Business Strategy and Innovation in Relation to the Intensity of Industry Competition on the Performance of Information Technology Companies

“…Innovation is beyond the new products, new technologies or new markets [36] where firms align innovation with price, utility, and cost positions which are simultaneously associated with offering differentiation or cost advantage [37] . Innovation can also be a mediator factor for company costs and performance [38].…”

“…Business procedure is a bunch of incorporated and facilitated responsibilities and activities intended to acquire upper hand so that organizations can accomplish their vision and mission [15]. Doorman's conventional system utilizing a separation methodology, cost benefit, and spotlight on giving organizations to focus on help to clients in a smaller section [16] was created with a development procedure [17] and is connected with the course of thought creation, innovation improvement, manufacture and promoting or new gear [18].…”