Broadly stated, the major objective of this study was to investigate the extent to which South African export companies exhibited characteristics of strategic flexibility, which is seen to be the most viable strategic option for a firm operating within a turbulent environment. This entailed:- (1) Determining the degree of environmental turbulence as perceived by South African export companies and identifying the most important elements of the external environment as perceived by these companies. (2) Identifying the nature and strength of the various components of strategic flexibility possessed by South African export companies facing environments of either low, medium or high turbulence. (3) Identifying the nature and strength of the various components of strategic flexibility possessed by South African export companies of different size. In order to elicit this information, 1361 questionnaires were posted to the managing directors of export firms who were members of the South African Foreign Trade Organization. The major findings of this study indicate that:- (1) Political elements of the remote environment contribute most to environmental turbulence. (2) Respondents identified economic elements as being the most important in terms of their potential impact on the long term profitability of the firm. (3) Although at present the majority of the firms surveyed were classified as operatIng in medium levels of turbulence, in the future they perceive the external environment as becoming very turbulent. (4) Generally speaking, the firms surveyed are ill-equipped to operate in a turbulent environment as they displayed signs of inflexibility in certain key aspects of their business. In this regard, particular mention must be made of their decision-making processes, the extent to which they had specialist planners, the techniques used to identify future trends in the environment, the extent to which computer technology was utilised in the firm and their structure. (5) Finally, the results do not generally support the view that a relationship exists between the perceived degree of turbulence in the environment and the extent to which strategic flexibility exists in the firm. Often, however, the size of tne firm was more of a determining factor on the components of strategic flexibility than the degree of turbulence in the environment. In this regard, particular mention must be made of the impact of size on the planning processes of the firm, the techniques used to monitor trends in the environment and the emphasis placed on management development and training.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:rhodes/vital:1159 |
| Date | January 1989 |
| Creators | Skae, Frederick Owen |
| Publisher | Rhodes University, Faculty of Commerce, Management |
| Source Sets | South African National ETD Portal |
| Language | English |
| Detected Language | English |
| Type | Thesis, Masters, MCom |
| Format | 361 leaves, pdf |
| Rights | Skae, Frederick Owen |
Page generated in 0.002 seconds