In this study, we follow the strategy typology proposed by Treacy and Wiersema (1995) and develop a textual measure of firms’ generic strategy along three dimensions: product leadership, customer intimacy, and operational excellence. Product-leadership firms emphasize innovation and confront...

We re-examine the question why large positive and large negative book-tax differences (LPBTDs and LNBTDs) are associated with lower earnings persistence (Hanlon, 2005). Specifically, we investigate whether lower earnings persistence of LPBTD firms and LNBTD firms, relative to firms in the middle...

This paper uses text parsing analysis on managerial self-disclosure in regulatory Form 10-K and develops a three-dimensional measure of business strategy for a large sample over 22 years. To ensure content validity, we draw the keyword list from prior literature. Adding to the face validity of...

Managerial ability plays a vital role in the performance of business enterprises; however, such efforts are not directly observable. This study estimates managerial ability within the insurance sector of the economy based on two data sets from two different Asian countries. We estimate...

This paper examines how public firms’ organizational constraints affect the sensitivity of labor outsourcing to demand uncertainty. We focus on a single industry in which state-owned firms are subject to additional organizational constraints that private firms are not. We mitigate omitted...

Purpose – The purpose of this paper is to investigate the relationship between the strategic positioning of firms and the sustainability of firm performance. The paper argues that pursuing a differentiation strategy leads to more sustainable financial performance compared to following a cost...