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Article
The Impact of Market Focus on Operations Practices
International Journal of Production Research
  • Tritos Laosirihongthong, Thammasat University
  • Keah Choon Tan, University of Nevada, Las Vegas
  • Vijay R. Kannan, Utah State University
Document Type
Article
Publisher
Taylor & Francis
Publication Date
10-15-2010
Abstract

A key element of successful organisations is the alignment of their strategy and tactics. This study explores the relationship between a firm’s competitive strategy and its operations practices in the context of a developing economy. Two competitive strategies are examined; a niche market strategy characterised by targeting specific market segments, and a broad market strategy characterised by serving a wide range of market segments. Three sets of operations practices consistent with the adoption of lean manufacturing, Total Quality Management, and relationship development in a supply chain context, are explored. Using survey data from senior managers in Thailand, results show that for firms adopting a niche market focus, competitive strategy directly influences process management and relationship development, which in turn affect workforce commitment. Only workforce commitment has a direct effect on operational performance. In contrast, for firms adopting a broad market focus, competitive strategy directly influences workforce commitment, which in turn affects process management and relationship development practices. It is the latter practices that directly influence operational performance.

Comments

This is an Accepted Manuscript of an article published by Taylor & Francis in International Journal of Production Research on Oct. 15th, 2010, available online: http://www.tandfonline.com/10.1080/00207540903232797.

Citation Information
T. Laosirihongthong, K.C. Tan, V.R. Kannan, ‘The Impact of Market Focus on Operations Practices’, International Journal of Production Research, 48 (10),2010.