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Journal of Management 1989

Strategy, Beliefs about the Environment, and Performance in a Banking Simulation

Sandra Waddock1; Lynn Isabella2

1 Boston College · 2 Southern Methodist University

Abstract

This study examined the relationship of strategy and beliefs about the environment to performance outcomes. By means of an assetlliability simulation game, the performance of 64 "banks" was monitored and data were collected on strategic decisions and environmental assessments. Results indicate that systematic differences in performance emerged most sharply when beliefs about the environment differed rather than as a result of differences in strategies.

DOI
10.1177/014920638901500410
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