While the empirical evidence on the merits of fast-paced strategic decision-making and action in high velocity environments is compelling, it remains unclear whether the effect is driven by the speed, volume, or continuity of the actions. We examined this research question by analyzing all the announced actions of 401 firms of the S&P 500 sample during a ten-year period from 2003 to 2012. We coded the activities into different activity categories and the diversity of the industries allowed us to also perform comparisons between higher and lower velocity industries. Based on our analysis, we find that industry velocity enhances the performance effects of high activity levels and that firms that pace their actions above the industry average outperform their peers.
Language
English
Keywords
Austrian Economics
Competitive Dynamics
Industry Evolution
HSG Classification
contribution to scientific community
HSG Profile Area
SoM - Business Innovation
Refereed
Yes
Publisher
Strategic Management Society
Publisher place
Chicago
Event Title
34th Strategic Management Society (SMS) Annual International Conference