The fit between product market strategy and business model: implications for firm performance

By Christoph Zott, Raphael Amit. 2008

1,712 citations recorded by the source corpus.

We examine the fit between a firm's product market strategy and its business model. We develop a formal model in order to analyze the contingent effects of product market strategy and business model choices on firm performance. We investigate a unique, manually collected dataset, and find that novelty-centered business models—coupled with product market strategies that emphasize differentiation, cost leadership, or early market entry—can enhance firm performance. Our data suggest that business model and product market strategy are complements, not substitutes. Copyright © 2007 John Wiley & Sons, Ltd.

Subfields: Accounting, Economics and Econometrics, Strategy and Management

View Paper: https://www.semanticscholar.org/paper/3e183931d6291ad27135f46cd966a43bf45abc56

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Citations in the corpus

Strategic management of business model transformation: lessons from Nokia (2011, background): “the greater business environment and industry networks ( Zott and Amitt, 2008”
Business model innovation in entrepreneurship (2012, background): “Finally, in the last section, conclusions and implications are presented.”
Differences in managerial discretion across countries: how nation‐level institutions affect the degree to which ceos matter (2011, background): “Moreover, the 10 See Hulland (1999), Sarkar, Echambadi, and Harrison (2001), Tsang (2002), and Zott and Amit (2008) for examples of the use of PLS techniques in strategic management research.”
The business model: Present and future—beyond a skeumorph (2013, background): “There have been two proposals—one that characterizes the business model idea as an integrator of established theoretical frameworks that focuses more on implementation (e.g. Amit and Zott, 2001; Hacklin and Wallnöfer, 2012; Zott and Amit, 2008), and one that characterizes the idea as configuration f”
Strategic development of business models: Implications of the web 2.0 for creating value on the internet (2010, background): “0: this is where our article intends to make its contribution.(9) More specifically, we aim to illustrate how various dimensions of environmental change associated with the Web 2.”
Business model innovation: The effects of exploratory orientation, opportunity recognition, and entrepreneurial bricolage in an emerging economy (2015, methodology): “Specifically, following extant studies (e.g., Zott & Amit, 2007, 2008), we measured business model innovation by nine items.”
Business Models: Origin, Development and Future Research Perspectives (2016, background): “Just to mention a few examples Zott and Amit (2008) develop a “ … formal model in order to analyze the contingent effects of product market strategy and business model choices on firm performance”.”
Marketing Strategies for Foreign Expansion of Companies Originating in Small and Open Economies: The Consequences of Strategic Fit and Performance (2012, background): “Strategic fit has been used extensively in management studies (Zott and Amit 2008), and some researchers argue that it is also particularly appropriate for research in marketing (Vorhies and Morgan 2003; Zeithaml, Varadarajan, and Zeithaml 1988) and have recently proposed that it would be useful in…”