Abstract

<p>The aim of this study is to explore the impact of hybrid strategy on firm performance in a wire harness firm operating in the automotive supplier industry at Antalya Free Trade Zone in Turkey. It was the gap in literature concerning this relationship between hybrid strategy and firm performance under conditions of environment turbulence in the automotive supplier industry that motivated this study. The research question was pursued through in depth interviews with top-level managers of the firm. Data obtained from the interviews, observations and documents were analysed using NVivo software. The findings show that hybrid strategy influenced firm performance positively. Furthermore, the existence of environment turbulence positively influences hybrid strategy, whereas stable environment has a negative influence. Environment turbulence does not exert a direct influence on performance, but an indirect one, through hybrid strategy.</p>

Highlights

  • This paper aims to investigate the impact of hybrid strategy on firm performance under conditions of environment turbulence in an automotive supplier firm at Antalya Free Trade Zone (FTZ) in Turkey

  • The third examined question in this study was whether the environment turbulence impacts the relationship between hybrid strategy and firm performance in automotive supplier industry

  • During the interviews the respondents frequently stressed on the fact that marketing environment and technological environment in the automotive supplier industry influenced the firm performance through hybrid strategies

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Summary

Introduction

This paper aims to investigate the impact of hybrid strategy on firm performance under conditions of environment turbulence in an automotive supplier firm at Antalya Free Trade Zone (FTZ) in Turkey. While some studies revealed that pure strategies improved performance (Ebben & Johnson, 2005; Lechner, Gudmundsson & Vidar, 2014; Hansen, Nybakk & Panwar, 2015), others suggested that different generic strategies were linked to different aspects of performance (Chandler & Hanks, 1994; Baum, Locke & Smith, 2001) There is another group of studies, which indicated that hybrid strategies, combining elements of both generic competitive strategies, simultaneously lead to better performance (Carter, Stearns & Reynolds, 1994; Kim & Choi, 1994; Acquaah & Yasai-Ardekani, 2008; Pertusa-Ortega, Molina-Azorín & Claver-Cortés, 2009; Leitner & Güldenberg, 2010; Hodgkinson, 2013; Parnell, 2013; Manev, Manolova, Harkins & Gyoshev, 2014; Salavou, 2015). Between pure and stuck are hybrid strategies, regarded by some scholars to have potential (Carter, Stearns & Reynolds, 1994; Kim & Choi, 1994; Acquaah & Yasai-Ardekani, 2008; Pertusa-Ortega et al, 2009; Leitner & Güldenberg, 2010; Parnell, 2013)

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