The Impact of Strategic Fit Among Strategy, Structure, and Processes on Multinational Corporation Performance: A Multimethod Assessment

Shichun Xu1,

1Doctoral candidate, Department of Marketing and Supply Chain Management, Eli Broad College of Business, Michigan State University.


S. Tamer Cavusgil Chair2,

2John William Byington Endowed Chair in Global Marketing, Department of Marketing and Supply Chain Management, Eli Broad College of Business, Michigan State University.


J. Chris WhiteAssistant professor3

3Department of Marketing and Supply Chain Management, Eli Broad College of Business, Michigan State University.




Abstract

The international marketing literature has produced divergent findings regarding the effect of a standardized marketing strategy on firm performance among large multinational corporations (MNCs). Prior research has typically considered external or environmental factors to reconcile different findings. This study employs multiple perspectives of strategic fit (moderation, mediation, profile deviation, and covariation) to examine the effect of the internal fit among strategy, structure, and processes of MNCs and explores their effects on firm performance. Empirical results based on 206 MNCs support the mediation, profile deviation, and covariation perspectives, but they fail to confirm the moderation perspective.

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