Faedpyme International Review (Feb 2016)

Strategy, Performance Determining Factor of MSMEs: An Empirical Study in Mexico City

  • Francisco Ballina Ríos,
  • Domingo García Pérez de Lema,
  • Francisco Javier Martínez García

DOI
https://doi.org/10.15558/fir.v4i7.105
Journal volume & issue
Vol. 4, no. 7
pp. 66 – 78

Abstract

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The aim of this paper is to analyze the relationship between the strategy used by the company to compete in the market and its performance, considering two different time points before the economic crisis and in times of crisis. To measure the strategy uses the typology of Miles and Snow (1978) and to measure performance using the model proposed by Quinn and Rohrbaugh (1983). For this, an empirical study on a sample of 983 MSMEs Federal District of Mexico. The results show that the strategy is an important factor for the development of MSMEs, both in times of growth and economic crisis, since it significantly influences their growth and profitability. Companies that follow an exploratory strategy, which are those with a greater inclination to innovation, institutions get better performance

Keywords