Empirical investigation of relationship patterns between competitive advantage and superior performance

Abstract

Purpose

The purpose of this paper is to empirically investigate the relationship patterns between competitive advantage and superior performance.

Design/methodology/approach

This study empirically investigates the aforementioned relationship patterns using a cross-sectional, self-administered survey methodology.

Findings

The results indicate that there are four relationship patterns between competitive advantage and superior performance. In addition, this study provides empirical evidence of the reasons, underpinning the relationship pattern of competitive advantage without superior performance as well as the relationship pattern of superior performance without competitive advantage.

Research limitations/implications

This study contributes to our knowledge that competitive advantage is neither a necessary nor a sufficient condition for superior performance.

Practical implications

In finding support that there can be cases of underperformance despite competitive advantage and superior performance despite the absence of competitive advantage, the study’s findings are useful to practicing managers involved in the strategic management process of their firms.

Originality/value

This study fills an important gap in the empirical research, by responding to the literature call to test the possible relationship patterns between competitive advantage and superior performance. In addition, this study formally introduces the relationship pattern of competitive advantage without superior performance, and the relationship pattern of superior performance without competitive advantage that until now were largely ignored by the existing literature in the field of strategic management.

Citation

Sigalas, C. and Papadakis, V.M. (2018), "Empirical investigation of relationship patterns between competitive advantage and superior performance", Journal of Strategy and Management, Vol. 11 No. 1, pp. 81-111. https://doi.org/10.1108/JSMA-01-2017-0010