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Technology strategy and performance: a study of information technology service providers from selected Asian countries

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  • Doren Chadee

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  • Billy Pang

Abstract

The provision of information technology (IT) services to support a wide range of information and communication technology (ICT) products has experienced rapid growth in recent years, particularly in less developed countries in Asia. This paper develops a conceptual model to test the impacts of the technology strategy of IT service providers on two measures of performance based on the experience of a sample of 98 IT firms from Korea, China, Thailand and the Philippines. It is found that technology strategy related to the adoption and diffusion of technology contributes positively to both performance measures. While the technology capabilities of firms, both internal and external, are important for financial performance, internal technological capabilities are more effective for the firm’s response to market changes. The technology competence of employees reflected by their education levels and the availability of in-house training are also found to be crucial for financial performance. The overall results suggest that technology strategy contributes significantly towards the performance of IT service providers but the impacts of different strategies on the financial and strategic performance of firms vary markedly. Copyright Springer-Verlag 2008

Suggested Citation

  • Doren Chadee & Billy Pang, 2008. "Technology strategy and performance: a study of information technology service providers from selected Asian countries," Service Business, Springer;Pan-Pacific Business Association, vol. 2(2), pages 109-126, June.
  • Handle: RePEc:spr:svcbiz:v:2:y:2008:i:2:p:109-126
    DOI: 10.1007/s11628-007-0027-x
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    References listed on IDEAS

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    1. Terry Clark & Masaaki Kotabe & Dan Rajaratnam, 1999. "Exchange Rate Pass-Through and International Pricing Strategy: A Conceptual Framework and Research Propositions," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 30(2), pages 249-268, June.
    2. Helfat, C.E. & Raubitschek, R.S., 2000. "Product Sequencing: Co-Evolution of Knowledge, Capabilities and Products," Papers 00-1, U.S. Department of Justice - Antitrust Division.
    3. Roper, Stephen & Love, James H., 2002. "Innovation and export performance: evidence from the UK and German manufacturing plants," Research Policy, Elsevier, vol. 31(7), pages 1087-1102, September.
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    Cited by:

    1. Sang-Gun Lee & Chang-Gyu Yang & Sin-Bok Lee & Jae-Beom Lee, 2015. "A study on the antecedents and consequences of satisfaction and dissatisfaction in web portal usage," Service Business, Springer;Pan-Pacific Business Association, vol. 9(3), pages 567-586, September.
    2. Nur Fadiah Binti Mohd Zawawi & Sazali Abdul Wahab & Abdullah Al Mamun & Ghazali Bin Ahmad & Syed Ali Fazal, 2017. "Logistics Capability, Information Technology, and Innovation Capability of Logistics Service Providers: Empirical Evidence from East Coast Malaysia," International Review of Management and Marketing, Econjournals, vol. 7(1), pages 326-336.
    3. Herrera, Liliana & Muñoz-Doyague, Maria Felisa & Nieto, Mariano, 2010. "Mobility of public researchers, scientific knowledge transfer, and the firm's innovation process," Journal of Business Research, Elsevier, vol. 63(5), pages 510-518, May.
    4. Youngjung Geum & Sungjoo Lee & Daekook Kang & Yongtae Park, 2011. "The customisation framework for roadmapping product-service integration," Service Business, Springer;Pan-Pacific Business Association, vol. 5(3), pages 213-236, September.
    5. Sang-Gun Lee & Eui-bang Lee & Chang-Gyu Yang, 2014. "Strategies for ICT product diffusion: the case of the Korean mobile communications market," Service Business, Springer;Pan-Pacific Business Association, vol. 8(1), pages 65-81, March.

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    Keywords

    Technology strategy; Service providers; ICT; Asia;

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