Product Proliferation Strategies and Firm Performance: The Moderating Role of Product Space Complexity Articles uri icon

publication date

  • December 2013

start page

  • 1435

end page

  • 1452

issue

  • 12

volume

  • 34

International Standard Serial Number (ISSN)

  • 0143-2095

Electronic International Standard Serial Number (EISSN)

  • 1097-0266

abstract

  • In the Spanish automobile market between 1990 and 2000, significant reductions in tariff and nontariff protections increased the complexity of the product space, through the penetration of new car brands and models. Acknowledging these environmental dynamics, this study details conditions in which across-niche (product breadth or intra-industry diversification) and within-niche (product depth or versioning) product proliferation exerts a positive relationship on firm performance, as well as how key relationships change according to the complexity of the product space in the industry.JEL codes: M10, M30