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Interactive effects of marketing strategy formulation and implementation upon firm performance

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Abstract:

This study employed an integrative approach to investigate the influence of external business environment, strategy formulation, viability of marketing strategy, and strategy implementation upon firm performance. The findings show that while technological change and market competition negatively influence the credibility of the strategy, market attractiveness has a positive influence upon the viability of strategy employed. Moreover, market competition has a positive influence upon the involvement of marketing managers in terms of strategy making and that the presence of an innovative culture is strongly required in executing a strategic marketing plan. In addition, the study shows that the involvement of marketing managers in strategy making, which is strongly supported by an innovative culture, generates their commitment to the strategy, which positively influences strategy viability.

Keywords: external environment; firm performance; marketing strategy formulation; marketing strategy implementation; viability of marketing strategy

Document Type: Research Article

DOI: http://dx.doi.org/10.1080/0267257X.2013.796319

Affiliations: 1: Curtin University, Perth, Australia 2: Universitas Islam Indonesia, Indonesia,

Publication date: August 1, 2013

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