Human Resource Management and Market Orientation Strategies in Family and Non family Firms in Ghana: How Do They Relate to Competitive Strategy and Firm Performance?
This chapter examined the effects of human resource management (HRM) and market orientation strategies on competitive strategy and firm performance in family and non family firms. It also examined how these effects varied across family and non family firms in Ghana. Data for the study came from two different respondents within each of the 122 manufacturing firms sampled in Ghana. The results indicated that the market orientation strategy was positively related to both cost leadership and differentiation in both family and non family firms. However, the impact of market orientation strategy on competitive strategy was not different between family and non family firms. While HRM participation was significantly related to both cost leadership and differentiation strategies only for family firms, the impact was stronger in terms of the differentiation strategy only for family firms. Market orientation strategy was not directly related to performance for both family and non family firms. However, the HRM strategy of human resource (HR) participation was directly related to profitability only in family firms, and the impact was stronger for family firms than for non family firms.