Modify or Extend? the Application of the Structure Conduct Performance Approach to Service Industries

Abstract

This paper considers the extent to which the structure conductperformance approach, widely used to analyse manufacturing industry, can be adapted to industries in the service sector. It details the problems which arise in doing so, both empirical and theoretical, and prescribes some modifications to overcome these problems. To illustrate these points the paper draws on the authors' research into the executive search and selection industry.

Firm growth patterns: Examining the associations with firm size and internationalization

“…In general, manufacturing involves large-scale production, aimed at exploiting scale economies to yield storable output (Stanback, 1979). However, service is intangible, highly differentiated, perishable and involves simultaneity in consumption and production (Akehurst, 1987;Britton et al, 1992). Thus, in manufacturing industries, it is difficult for small firms to survive because of the disadvantage of scale economies.…”

Adaptability and creative potential of local further training systems

“…Britton et al (1992) In der peripheren Region LA1 gibt es wenige etablierte Anbieter, die den Markt unter sich aufgeteilt haben. Um einen ruinösen Wettbewerb zu verhindern, kommt es hier unter den etablierten komplementären Anbietern zu einer kooperativen Koordination im Sinne der Idee der "Co-opetition" (Brandenburger und Nalebuff 1996).…”

The Changing International Scope of Executive Search and Selection

“…The first study in [1987][1988][1989][1990] represented the first in-depth examination of the executive recruitment consultancy industry in the UK (Watson et al, 1990;Britton et al, 1992aBritton et al, , 1992b. The second study in 1992 extended the research to France Ball, 1994a, 1994b).…”

“…The identification of the executive recruitment consultancies in each of the three countries was achieved by means of the closed loop method (Britton et al, 1992a). Consultancies were identified from the relevant trade directories (Executive Grapevine in the UK, Guide des Conseils en Recrutement in France and Personalberator in Germany) and these were supplemented through searches of newspapers and other sources.…”

“…This would lend support to the dual economy model, but when the market is widened to include all executive recruitment, the picture is very different. Using Leicester Business School data on all executive recruitment, the top five firms accounted for 5% of total employment and 10% of total output in Europe in 1994 (Britton et al, 1992a). Therefore, the market as a whole is more competitive than it appeared at first.…”