Strategic Plan Intensity and Competitive Strategy

This study investigates the relationship between a firm's competitive strategy and strategic plan intensity, defined as the emphasis placed on strategic planning in guiding the future decisions and activities carried out by organisational members. The research question addressed is “Under what competitive strategy contexts does high strategic plan intensity lead to greater performance?” The competitive strategies considered are low‐cost, differentiation and competitive strategy segmentation. Strategic plan intensity is viewed as the combined emphasis a firm places on mission/vision, long‐term objectives, planned activities, short‐term objectives and policies in guiding the decisions and activities of organisation members.