Hybrid Strategy, Ambidexterity And Environment: Toward An Integrated Typology

Alexandre Lapersonne, Nitin Sanghavi, Claudio De Mattos

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Abstract

Hybrid strategy, which emerged as a contingency option to Porter’s (1980) generic strategies framework, defends that in a dynamic environment the simultaneous pursuit of “Low Cost” and “Differentiation” approaches is fundamental for the short-term performance and long-term survival of the firm. A vast amount of literature supports the benefits of adopting a mixed approach of strategy: several empirical studies have proved that a hybrid strategy establishes a firm’s performance superiority over the pure strategy choice. However, the hybrid literature has concentrated all its focus on the performance linkage and to the debate of countering the pure strategy approach, but very little attention has been paid to the challenges that the mixed strategy implementation present. In fact, despite the rich empirical literature, it has still not been elucidated how firms that adopt a hybrid strategy may successfully integrate the inherent contradiction of the “Low Cost” and “Differentiation” approaches, escaping from the “Stuck in The Middle” outcome. Furthermore, the literature reveals that several types of hybrid implementations, which should correspond to different strategy-structure-environment paradigms, exist. In order to study the characteristics
of these different types of hybrid strategies, we suggest a typology composed of four types of hybrid implementation, defined by two antecedents of the firm and two antecedents of the environment.
Additionally, we align and contrast the hybrid and ambidextrous approaches, which share many similarities. Despite the fact that they have been confounded in empirical studies, we concluded that hybridity and ambidexterity are distinct and complementary concepts: while hybrid strategy defines the value proposition of the firm (a composition of “Low Cost” and “Differentiation”), ambidexterity focus on how to deliver this value with efficiency (Exploitation) and how to renew it effectively (Exploration).
LanguageEnglish
Title of host publicationThe 13th International Conference of the Society for Global Business & Economic Development
Subtitle of host publicationManaging the "Intangible": Business and Entrepreneurship Perspectives in a Global Context
EditorsC. Jayachandran, Gian Luca Gregori
PublisherSGBED
Pages1169-1182
Number of pages14
ISBN (Print)9788890779572
Publication statusPublished - Jul 2014
Externally publishedYes
Event13th International Conference of the Society for Global Business and Economic Development: Managing the "Intangibles": Business and Entrepreneurship Perspectives in a Global Context - Uniersità Politecnica delle Marche, Ancona, Italy
Duration: 16 Jul 201418 Jul 2014
https://repository.stkipgetsempena.ac.id/bitstream/386/1/SGBED-2014.pdf

Conference

Conference13th International Conference of the Society for Global Business and Economic Development
CountryItaly
CityAncona
Period16/07/1418/07/14
Internet address

Fingerprint

Integrated
Ambidexterity
Costs
Pure strategies
Empirical study
Paradigm
Hybridity
Value proposition
Linkage
Exploitation
Mixed strategy
Dynamic environment
Strategy implementation
Generic strategies
Contingency

Cite this

Lapersonne, A., Sanghavi, N., & Mattos, C. D. (2014). Hybrid Strategy, Ambidexterity And Environment: Toward An Integrated Typology. In C. Jayachandran, & G. L. Gregori (Eds.), The 13th International Conference of the Society for Global Business & Economic Development: Managing the "Intangible": Business and Entrepreneurship Perspectives in a Global Context (pp. 1169-1182). SGBED.
Lapersonne, Alexandre ; Sanghavi, Nitin ; Mattos, Claudio De. / Hybrid Strategy, Ambidexterity And Environment: Toward An Integrated Typology. The 13th International Conference of the Society for Global Business & Economic Development: Managing the "Intangible": Business and Entrepreneurship Perspectives in a Global Context. editor / C. Jayachandran ; Gian Luca Gregori. SGBED, 2014. pp. 1169-1182
@inproceedings{cac9514f5d384e139fe38a64befc431f,
title = "Hybrid Strategy, Ambidexterity And Environment: Toward An Integrated Typology",
abstract = "Hybrid strategy, which emerged as a contingency option to Porter’s (1980) generic strategies framework, defends that in a dynamic environment the simultaneous pursuit of “Low Cost” and “Differentiation” approaches is fundamental for the short-term performance and long-term survival of the firm. A vast amount of literature supports the benefits of adopting a mixed approach of strategy: several empirical studies have proved that a hybrid strategy establishes a firm’s performance superiority over the pure strategy choice. However, the hybrid literature has concentrated all its focus on the performance linkage and to the debate of countering the pure strategy approach, but very little attention has been paid to the challenges that the mixed strategy implementation present. In fact, despite the rich empirical literature, it has still not been elucidated how firms that adopt a hybrid strategy may successfully integrate the inherent contradiction of the “Low Cost” and “Differentiation” approaches, escaping from the “Stuck in The Middle” outcome. Furthermore, the literature reveals that several types of hybrid implementations, which should correspond to different strategy-structure-environment paradigms, exist. In order to study the characteristicsof these different types of hybrid strategies, we suggest a typology composed of four types of hybrid implementation, defined by two antecedents of the firm and two antecedents of the environment.Additionally, we align and contrast the hybrid and ambidextrous approaches, which share many similarities. Despite the fact that they have been confounded in empirical studies, we concluded that hybridity and ambidexterity are distinct and complementary concepts: while hybrid strategy defines the value proposition of the firm (a composition of “Low Cost” and “Differentiation”), ambidexterity focus on how to deliver this value with efficiency (Exploitation) and how to renew it effectively (Exploration).",
keywords = "Hybrid strategy, Exploration, Exploitation, Ambidexterity, Organizational architecture, Turbulence, Hypercompetition, Uncertainty",
author = "Alexandre Lapersonne and Nitin Sanghavi and Mattos, {Claudio De}",
year = "2014",
month = "7",
language = "English",
isbn = "9788890779572",
pages = "1169--1182",
editor = "C. Jayachandran and Gregori, {Gian Luca}",
booktitle = "The 13th International Conference of the Society for Global Business & Economic Development",
publisher = "SGBED",

}

Lapersonne, A, Sanghavi, N & Mattos, CD 2014, Hybrid Strategy, Ambidexterity And Environment: Toward An Integrated Typology. in C Jayachandran & GL Gregori (eds), The 13th International Conference of the Society for Global Business & Economic Development: Managing the "Intangible": Business and Entrepreneurship Perspectives in a Global Context. SGBED, pp. 1169-1182, 13th International Conference of the Society for Global Business and Economic Development, Ancona, Italy, 16/07/14.

Hybrid Strategy, Ambidexterity And Environment: Toward An Integrated Typology. / Lapersonne, Alexandre; Sanghavi, Nitin; Mattos, Claudio De.

The 13th International Conference of the Society for Global Business & Economic Development: Managing the "Intangible": Business and Entrepreneurship Perspectives in a Global Context. ed. / C. Jayachandran; Gian Luca Gregori. SGBED, 2014. p. 1169-1182.

Research output: Chapter in Book/Report/Conference proceedingConference contribution

TY - GEN

T1 - Hybrid Strategy, Ambidexterity And Environment: Toward An Integrated Typology

AU - Lapersonne, Alexandre

AU - Sanghavi, Nitin

AU - Mattos, Claudio De

PY - 2014/7

Y1 - 2014/7

N2 - Hybrid strategy, which emerged as a contingency option to Porter’s (1980) generic strategies framework, defends that in a dynamic environment the simultaneous pursuit of “Low Cost” and “Differentiation” approaches is fundamental for the short-term performance and long-term survival of the firm. A vast amount of literature supports the benefits of adopting a mixed approach of strategy: several empirical studies have proved that a hybrid strategy establishes a firm’s performance superiority over the pure strategy choice. However, the hybrid literature has concentrated all its focus on the performance linkage and to the debate of countering the pure strategy approach, but very little attention has been paid to the challenges that the mixed strategy implementation present. In fact, despite the rich empirical literature, it has still not been elucidated how firms that adopt a hybrid strategy may successfully integrate the inherent contradiction of the “Low Cost” and “Differentiation” approaches, escaping from the “Stuck in The Middle” outcome. Furthermore, the literature reveals that several types of hybrid implementations, which should correspond to different strategy-structure-environment paradigms, exist. In order to study the characteristicsof these different types of hybrid strategies, we suggest a typology composed of four types of hybrid implementation, defined by two antecedents of the firm and two antecedents of the environment.Additionally, we align and contrast the hybrid and ambidextrous approaches, which share many similarities. Despite the fact that they have been confounded in empirical studies, we concluded that hybridity and ambidexterity are distinct and complementary concepts: while hybrid strategy defines the value proposition of the firm (a composition of “Low Cost” and “Differentiation”), ambidexterity focus on how to deliver this value with efficiency (Exploitation) and how to renew it effectively (Exploration).

AB - Hybrid strategy, which emerged as a contingency option to Porter’s (1980) generic strategies framework, defends that in a dynamic environment the simultaneous pursuit of “Low Cost” and “Differentiation” approaches is fundamental for the short-term performance and long-term survival of the firm. A vast amount of literature supports the benefits of adopting a mixed approach of strategy: several empirical studies have proved that a hybrid strategy establishes a firm’s performance superiority over the pure strategy choice. However, the hybrid literature has concentrated all its focus on the performance linkage and to the debate of countering the pure strategy approach, but very little attention has been paid to the challenges that the mixed strategy implementation present. In fact, despite the rich empirical literature, it has still not been elucidated how firms that adopt a hybrid strategy may successfully integrate the inherent contradiction of the “Low Cost” and “Differentiation” approaches, escaping from the “Stuck in The Middle” outcome. Furthermore, the literature reveals that several types of hybrid implementations, which should correspond to different strategy-structure-environment paradigms, exist. In order to study the characteristicsof these different types of hybrid strategies, we suggest a typology composed of four types of hybrid implementation, defined by two antecedents of the firm and two antecedents of the environment.Additionally, we align and contrast the hybrid and ambidextrous approaches, which share many similarities. Despite the fact that they have been confounded in empirical studies, we concluded that hybridity and ambidexterity are distinct and complementary concepts: while hybrid strategy defines the value proposition of the firm (a composition of “Low Cost” and “Differentiation”), ambidexterity focus on how to deliver this value with efficiency (Exploitation) and how to renew it effectively (Exploration).

KW - Hybrid strategy

KW - Exploration

KW - Exploitation

KW - Ambidexterity

KW - Organizational architecture

KW - Turbulence

KW - Hypercompetition

KW - Uncertainty

M3 - Conference contribution

SN - 9788890779572

SP - 1169

EP - 1182

BT - The 13th International Conference of the Society for Global Business & Economic Development

A2 - Jayachandran, C.

A2 - Gregori, Gian Luca

PB - SGBED

ER -

Lapersonne A, Sanghavi N, Mattos CD. Hybrid Strategy, Ambidexterity And Environment: Toward An Integrated Typology. In Jayachandran C, Gregori GL, editors, The 13th International Conference of the Society for Global Business & Economic Development: Managing the "Intangible": Business and Entrepreneurship Perspectives in a Global Context. SGBED. 2014. p. 1169-1182