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Strategy, Distinctive Competence, and Organizational Performance

Charles C. Snow and Lawrence G. Hrebiniak
Administrative Science Quarterly
Vol. 25, No. 2 (Jun., 1980), pp. 317-336
DOI: 10.2307/2392457
Stable URL: http://www.jstor.org/stable/2392457
Page Count: 20
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Strategy, Distinctive Competence, and Organizational Performance
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Abstract

This study examines relationships among strategy, distinctive competence, and organizational performance. The analysis focuses on the perceptions of top managers in four industries (plastics, semiconductors, automotives, and air transportation). Findings indicate that these managers perceive four strategy types, Defender, Prospector, Analyzer, and Reactor, to be present within their industry. Defenders, Prospectors, and Analyzers all show competence in general and financial management. Beyond these two functions, Defenders and Prospectors have identifiable but different configurations of distinctive competence, while Analyzers' special capabilities are considerably less apparent. Reactors, as expected, have no consistent pattern of distinctive competence. Finally, although the data are only suggestive, Defenders, Prospectors, and Analyzers consistently outperform Reactors in competitive industries, but not in an industry that is highly regulated.

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