IMPLEMENTING STRATEGIC MISSIONS: EFFECTIVE STRATEGIC, STRUCTURAL AND TACTICAL CHOICES

This article describes a study of the impact of strategic mission on the relationships between firm performance and selected strategic, structural, and tactical variables. Moderated regression analysis and subgroup analysis were used to analyse data collected from 91 advanced technology manufacturing companies. Results indicate that firms with build-oriented strategic missions, relative to those with more hold- and harvest-oriented strategic missions, performed better when they: (1) adopted entrepreneurial strategic postures; (2) had organic organization structures; (3) offered relatively low product prices; (4) employed relatively large sales forces; (5) offered relatively generous customer credit; and (6) offered relatively broad product lines. On the other hand, firms with hold- and harvest-oriented strategic missions, relative to those with more build-oriented strategic missions, performed better when they emphasized R&D activity geared toward the development and refinement of existing products. Strategic mission did not moderate the effectiveness of the firms’advertising expenditures or their new product development activity.     

ARE TREASURY INFLATION PROTECTED SECURITIES REALLY TAX DISADVANTAGED?

In 1997, the U.S. Treasury introduced Inflation Protected Securities, commonly known as TIPS. Several in the finance field have since described these securities as “tax disadvantaged” relative to conventional securities, leading to serious questions regarding their appropriateness outside of tax‐deferred accounts. In this article, we develop a framework that demonstrates that at least in a real sense the tax treatment of TIPS is trivially different from that of conventional Treasury securities. Moreover, empirically we find evidence that TIPS generally have after‐tax yields comparable to, if not exceeding, conventional fixed‐rate Treasury securities. We also show that TIPS have generally outperformed matched‐maturity conventional Treasury securities in terms of after‐tax rates of return.     

Galbraith revisited: advertising in non-affluent societies

The first part of the paper challenges J.K. Galbraith's view of advertising as: (i) a problem solely of affluent societies; and (ii) a close correlate of rising levels of income. It is shown that advertising is far from insignificant in poor countries and that it correlates only weakly with rising levels of national affluence. In the second part we suggest, furthermore, that advertising in poor countries is likely to have effects that are significantly different from those in rich countries, and that these warrant further research.     

Strategy, organization structure and success in the lodging industry

Has Hyatt's success been the result of the way it has structured its organization? Research evidence has accumulated indicating that the way an organization is structured can have profound effects on its performance.Should every lodging organization adopt the same type of structure? Probably not! However, determining the appropriate organizational structure for a lodging organization requires considerable thought and analysis.The results of some of the more compelling research findings relative to the factors that affect the structuring of an organization and the relationship between organizational strategy, structure and effectiveness are examined. Some of these concepts are then applied in an analysis of the structure of three different lodging organizations.     

The determination of government expenditure for short-term forecasting and policy simulation models

This paper analyzes the way short-term forecasting and policy simulation models currently treat government expenditure and the extent to which available research is indicative of future developments for this sector. Emphasis is placed on the problems of, and the necessity for, developing endogenous equations for the various transfers and goods and services expenditures. Consideration is also given to the adaption of budget estimates to form endogenous or exogenous variables for the models, the distinctive problems of including state and local government sectors, and the interaction of the different parts of government expenditure with the rest of the model.