Structure and process of diversification, compensation strategy, and firm performance

Research output: Contribution to journalArticle

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Abstract

This study tests six hypotheses on the extent to which a match between compensation and diversification strategies affects firm performance. Using both archival and survey data, results generally support the notion that a firm's compensation strategies make a greater contribution to firm performance if these are attuned to extent and process of corporate diversification. The paper concludes with a set of recommendations for future research on compensation‐diversification strategy relations and their interactive effect on firm performance.

Original languageEnglish (US)
Pages (from-to)381-397
Number of pages17
JournalStrategic Management Journal
Volume13
Issue number5
DOIs
StatePublished - 1992

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Keywords

  • compensation strategy
  • Diversification
  • firm performance

ASJC Scopus subject areas

  • Business and International Management
  • Strategy and Management

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