Influence of Strategy Formulation Drivers on Strategic Performance

Abstract

To optimize scarce resources firms, need to formulate strategies that will enable them to achieve and sustain competitive advantage. The objective of the study was to propose recommendations to managers of MNCs operating in the mobile telecommunication sector in Nigeria on how to enhance and sustain strategic performance base on the evaluation of strategy formulation drivers. The focus on company vision, mission and long-term objectives helps to bring about new insights on the impact of strategy formulation drivers on strategic performance. The study was analysed using theoretical insights from strategic management literature to better understand how strategy formulation drivers enhance strategic performance of mobile telecommunication companies in Nigeria. The authors focused on a single industry using quantitative methods and a survey to obtain information from managers of mobile telecommunication companies operating in Nigeria. One hundred and twenty managers were randomly selected from finance/audit, sales, marketing, customer service and engineering departments of the head offices and eight regional offices of four mobile telecommunication companies in Nigeria. The authors used descriptive statistics and multiple regression techniques to analyse the resultant data. Statistical package for social sciences (SPSS 25) software was employed in the different analyses conducted. The study found that strategy formulation drivers jointly influence strategic performance of mobile telecommunication firms in Nigeria. Attention to company vision and long-term objectives has significant and positive impact on strategic performance. Furthermore, attention to company mission had a negative and significant impact on strategic performance. This study contributes to the existing literature by providing experience on strategy formulation drivers and their impact on strategic performance in mobile telecommunication companies in an emerging market (Nigeria).

Competitive strategies in the agri-food industry in Italy during the COVID-19 pandemic: an application of K-means cluster analysis

“…Innovation means focusing on improving existing processes, procedures, products and/or services or creating new ones. This kind of innovation happens, usually, in markets where innovation determines the success or failure of a product (Chijioke et al, 2018;Coltrain et al, 2000;Irfan and Wang, 2019;Mancini et al, 2019). Coordination instead involves the arrangements or agreements between firms over some activities and/or initiatives in the value chain.…”

“…Innovation means focusing on improving existing processes, procedures, products and/or services or creating new ones. This kind of innovation happens, usually, in markets where innovation determines the success or failure of a product (Chijioke et al. , 2018; Coltrain et al.…”

Influence of Customer Focus on Competitiveness of Food and Beverage Manufacturing Firms in Kenya

“…In their study on effects of strategic management drivers on the performance of hotel industry in Kenyan Coast, Mutindi, Namusonge and Obwogi (2013) found that adopting key strategic drivers such as Information Communication Technology and customer relationship management had a significant influence on firm competitiveness. Chijioke, Vu and Olatunji (2018) influence of strategic drivers on performance of government organizations in Malawi found that as a result of focusing on human capital and customers as strategic drivers, firm strategies were achieved thus enhancing competitiveness. On the other hand, Porck, Knippenberg and Groenen (2020) in their study on strategic management drivers and firm performance; a case of financial institutions in Pakistan established that strategic drivers only contributed to minimal success of a strategy and had insignificant direct relationship with firm competitiveness.…”

The Impact of Strategic Alignment and Strategic Awareness on Strategic Performance: Evidence from Jordan

“…it can be defined it is a holistic approach that explains how organizations attain their several strategies for instance in terms of marketing, finance, promotion, delivery, and even customer service strategies (Kim et al, 2008). On the other side, giving more attention to the vision of the organization during the Strategy formulation process is a critical and important element in improving strategic performance (Chijioke et al, 2018). Despite the importance of financial performance as a measure of the organization's activities, strategic performance is of paramount importance in terms of helping the organization to transform and implement its vision and strategy into a set of integrated strategic goals and scales to evaluate the organization's activities and thus predict future events (Al-Qashash, 2020).…”