Abstract

Although competitive positioning is becoming increasingly important for the performance of entrepreneurial ventures in transition economies, not much is known about the types of strategies that are most likely to enhance their success in competition. In this study, we examine the role of strategic intensity and the impact of pure versus hybrid competitive strategies on entrepreneurial performance in transition economies, using survey data (N=333) from Bulgaria. We find that strategic intensity is positively related to performance, and firms that deviate from pure cost leadership or differentiation and achieve a balance on both dimensions report superior performance. In a post-hoc analysis of our data, we find preliminary evidence that strategic intensity may act to mediate the relationship between strategic type and performance.

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