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Issue 5(1), October 2010 -- Paper Abstracts
Girard  (p. 9-22)
Cooper (p. 23-32)
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Coulmas-Law (p.42-46)
Stasio (p. 47-56)
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Efficiency and Flexibility in Small Firms: The Impact of Industry Structure

Author(s): Chuanyin Xie

Citation: Chuanyin Xie, (2012) "Efficiency and Flexibility in Small Firms: The Impact of Industry Structure," Journal of Management Policy and Practice, Vol. 13, Iss. 2, pp. 74 - 86

Article Type: Research paper

Publisher: North American Business Press


Efficiency and flexibility may be a classification of small firms’ competitive strategies (Ebben & Johnson,
2005). Which strategy, efficiency or flexibility, is more effective? How do small firms implement the two
strategies? This study examines the two questions in different industry contexts. I argue that both industry
concentration and dynamism can affect the relative effectiveness of efficiency and flexibility. To
implement the two strategies, small firms may focus on the product side or the process side of their
operation, depending on the industry environment. I demonstrate that competition and demand are two
mechanisms through which the industry environment affects small firms’ competitiveness.