Emergent Strategies and Their Consequences: A Process Study of Competition and Complex Decision Making

Using an Internet-based business simulation, we examine emergent strategy processes and their consequences in a competitive environment. We find that the emergent decision processes of management teams vary in the extent to which they entail forward looking, anticipatory thinking and experimentation, and the attention the teams pay to their organizations’ capabilities. In dynamic and uncertain environments, information search activities and decision processes are key determinants of organizational performance. Our results suggest that effective emergent decision processes necessarily include elements of deliberate strategy.