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How to sell in diverse markets? A two-level approach to industry factors and selling factors for explaining firm profitability

Alexander Leischnig and Kati Kasper-Brauer

Journal of Business Research, 2016, vol. 69, issue 4, 1307-1313

Abstract: Literature reveals continuous interest in explanations for differences in firm performance. This article aims to contribute to the existing body of literature by adopting a two-level perspective of industry and firm factors as causal conditions to explain firm profitability. This article illustrates a two-step fuzzy set Qualitative Comparative Analysis (fsQCA) and shows how certain proximate conditions (i.e., selling approaches) can bring about an outcome (i.e., profitability) in a given context of remote conditions (i.e., industry factors). The findings of the two-step fsQCA point to alternative profitability-enhancing industry contexts. In addition, the findings of this study indicate combinations of selling approaches within these contexts that jointly lead to profitability. Knowledge about these configurations contributes to a deeper understanding of context-dependency and helps managers develop selling strategies to increase profitability in diverse settings. From a methodological point of view, the stepwise fsQCA helps address limited diversity which presents a major challenge in many QCA studies.

Keywords: Firm profitability; Sales strategy; Industry factors; FsQCA; Two-level approach (search for similar items in EconPapers)
Date: 2016
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Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:jbrese:v:69:y:2016:i:4:p:1307-1313

DOI: 10.1016/j.jbusres.2015.10.097

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