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- Title
MODULARITY, STRATEGIC FLEXIBILITY AND FIRM PERFORMANCE: A STUDY OF THE HOME APPLIANCE INDUSTRY.
- Authors
Worren, Nicolay; Moore, Karl; Cardona, Pablo
- Abstract
Recent theorizing has proposed that modular product and process architectures are key enablers of strategic flexibility. We formulated an integrative conceptual model encompassing antecedents, contributing factors, and outcomes of modularity. We then tested this model on data from managers in U.S. and U.K. home appliance companies using structural equations modeling. The results indicate a positive relationship between modular product architectures and performance, with product model variety as a mediating variable. The results also highlight linkages between perceptions of market context and the use of modular products architectures, and between complementary organizational capabilities and firm performance.
- Subjects
UNITED Kingdom; UNITED States; MODULAR design; ENGINEERING design; PRODUCT design; HOUSEHOLD appliances; PRODUCT management; STRATEGIC planning; BRITISH corporations; AMERICAN corporations
- Publication
Strategic Management Journal (John Wiley & Sons, Inc.) - 1980 to 2009, 2002, Vol 23, Issue 12, p1123
- ISSN
0143-2095
- Publication type
Article
- DOI
10.1002/smj.276