A descriptive study of the strategy-to-performance gap from a resource-based perspective

Abstract

The purpose of this study was to determine which specific resources contribute to the strategy-to-performance gap of small businesses trading in the Pietermaritzburg metropolitan area, from a resource-based perspective of strategic management. The research was prompted by a study conducted by Marakon Associates, the purpose of which was to investigate how successfully companies translate their strategies into performance and what steps they take to close the resulting strategy-to-performance gaps. The main reasons advanced for poor strategy-to-performance results are inadequate or unavailable resources. The research design in the study is quantitative and descriptive in nature. The data was collected from a structured questionnaire comprising of 18 questions emailed to the owners using LimeSurvey. The findings of the survey show that the businesses surveyed lack resources, which leads directly to strategy-to-performance gaps. The most important resources they lack are financial and human resources.