Business Strategy, Market Governance and Performance: Insights from a Case Study

Advances In The Management Science And The “Keys” To Performance

Starting from the early insights of the classical school, the studies of business strategy have undergone, since the early seventies, a remarkable evolution. Methodological implications can be also traced by reflecting on the phenomena that have been brought to light, from time to time, as factors on which the difference in competitiveness among firms and the related processes of economic value creation are dependent.

A first interpretation attempt is summarized by the concept of experience curve on which the dynamics of production costs depend (Henderson, 1983). Among the various phenomena that determine the evolution of the efficiency profile of enterprises, in addition to the economies of scale, it may be pointed out that the most efficient firms, in the stage of market maturity, are those that have developed during the industry's growth phase a more intense or accelerated learning process. This led them to have the best production capabilities in the maturity phase, reflected in their cost positioning.