Generic strategies and organizational performance: Evidence from Czech Business Environment

摘要

This study focuses on the choice of strategy in the Czech Business Environment. In recent decades, the advantages or disadvantages of Porter's generic strategies with special alignment to hybrid or stack in the middle strategy are frequently discussed. We analyzed 91 companies which are running their business in the Czech Republic and have domestic or international owners. The successful choice of strategy with regard to the company's competitive advantage was investigated by using Return of Assets (ROA). Our results are that the size of organization does not have a significant impact on the formulation of competitive advantage and the same case was shown between organization size and a generic strategy choice. From our results, it is no possible to approve that low-cost, differentiation and stuck in the middle strategy has a significant impact on a company's performance. Many domestic companies prefer low-cost strategy, while the differentiation strategy is divided equally. Our study presented new interesting knowledge which is an initial point for future detailed research.