Adaptation and firm performance : the moderating role of firm size

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Adaptation and firm performance : the moderating role of firm size

 

Author: Kwong, Siu-ling
Title: Adaptation and firm performance : the moderating role of firm size
Degree: D.B.A.
Year: 2003
Subject: Hong Kong Polytechnic University -- Dissertations
Organizational effectiveness
Organization
Industries -- Size
Department: Graduate School of Business
Pages: vii, 162 leaves : ill. ; 30 cm
Language: English
InnoPac Record: http://library.polyu.edu.hk/record=b1737668
URI: http://theses.lib.polyu.edu.hk/handle/200/2983
Abstract: This study examined the moderating effect of the size of firm on its degree of adaptation and performance. The results from a cross-sectional survey of 197 IT-related companies within the service sector in Hong Kong suggest that hostile environmental conditions and risk-taking entrepreneurial posture are important determinants of organizational adjustment, and that a firm's degree of adaptation is related to its performance. Specifically, significant interactive relationships among some variables reveal that both larger and smaller firms differ in their adaptive behaviors. Smaller firms are more willing to initiate changes in response to risk-taking posture and in an organic configurational context, while larger firms are more willing to initiate changes in response to innovative posture. However, the moderating role of firm size on organizational performance is not detected at least in the firms that were examined. This may imply that firms of all types - large and small, that display a higher degree of adaptation can perform better. Several important implications are drawn from the findings and suggestions are made for future research directions.

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