An empirical analysis of strategy types

TLDR

The study aims to identify business strategy types using the PIMS SPIYR database. The authors use a two‑stage method combining principal component and cluster analysis on consumer and industrial product data to derive strategy typologies. The analysis yields six consumer‑product strategy types—harvest, builder, cashout, niche, climber, continuity—and four industrial‑product types—low commitment, growth, maintenance, niche.

Abstract

Abstract Using the PIMS SPIYR data base, which pools cross‐section and timeseries data, an empirical study to identify business strategy types was undertaken. Using a two‐stage methodological approach combining principal component and cluster analysis on both a consumer products and an industrial products data base, two sets of strategy typologies were identified. Six strategy types were identified for consumer products: (1) harvest, (2) builder, (3) cashout, (4) niche or specialization, (5) climber, and (6) continuity. For industrial products, four strategy types were identified: (1) low commitment, (2) growth, (3) maintenance, and (4) niche or specialization. A discussion of the characteristics of each strategy type is offered.