An empirical study of the influence of business strategy, uncertainty and market position on financial measures using the SEM approach.
The performance measurement system (PMS) has been a salient research topic for many prominent researchers in the accounting and management areas. The performance measures in PMS which have mainly concentrated on the financial dimension, are insufficient for today’s competitive business environment t...
| Main Authors: | , , |
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| Format: | Journal Article |
| Published: |
Inderscience Publishers
2014
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| Subjects: | |
| Online Access: | http://hdl.handle.net/20.500.11937/27533 |
| _version_ | 1848752289684127744 |
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| author | Krishnan, Anbalagan Ramasamy, R. Prem, L. |
| author_facet | Krishnan, Anbalagan Ramasamy, R. Prem, L. |
| author_sort | Krishnan, Anbalagan |
| building | Curtin Institutional Repository |
| collection | Online Access |
| description | The performance measurement system (PMS) has been a salient research topic for many prominent researchers in the accounting and management areas. The performance measures in PMS which have mainly concentrated on the financial dimension, are insufficient for today’s competitive business environment to gauge the firm’s success. As a result a firm incorporates non-financial measures to supplement the financial measures. Research work has been widely focused on variables that influence both the financial and non-financial performance measures and provided valuable information for the firm’s strategic direction. Among the variables, the business strategy, environmental uncertainty and market position have some influence on performance measures. This study empirically explores the influence of these three research variables on the financial dimension using the structural equation modelling (SEM) approach. The SEM analysis has revealed that among the three independent variables, only two variables have influence on the dependent financial performance measure dimension. However, on the whole, the standard regression weight of all three latent variables is not very strong, indicating that other elements are influencing the financial dimension. A future study is recommended using a similar approach on other non-financial performance measures to identify the significance. |
| first_indexed | 2025-11-14T08:06:15Z |
| format | Journal Article |
| id | curtin-20.500.11937-27533 |
| institution | Curtin University Malaysia |
| institution_category | Local University |
| last_indexed | 2025-11-14T08:06:15Z |
| publishDate | 2014 |
| publisher | Inderscience Publishers |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | curtin-20.500.11937-275332017-01-30T12:59:32Z An empirical study of the influence of business strategy, uncertainty and market position on financial measures using the SEM approach. Krishnan, Anbalagan Ramasamy, R. Prem, L. business strategy financial performance measures environmental uncertainty and market position performance evaluation The performance measurement system (PMS) has been a salient research topic for many prominent researchers in the accounting and management areas. The performance measures in PMS which have mainly concentrated on the financial dimension, are insufficient for today’s competitive business environment to gauge the firm’s success. As a result a firm incorporates non-financial measures to supplement the financial measures. Research work has been widely focused on variables that influence both the financial and non-financial performance measures and provided valuable information for the firm’s strategic direction. Among the variables, the business strategy, environmental uncertainty and market position have some influence on performance measures. This study empirically explores the influence of these three research variables on the financial dimension using the structural equation modelling (SEM) approach. The SEM analysis has revealed that among the three independent variables, only two variables have influence on the dependent financial performance measure dimension. However, on the whole, the standard regression weight of all three latent variables is not very strong, indicating that other elements are influencing the financial dimension. A future study is recommended using a similar approach on other non-financial performance measures to identify the significance. 2014 Journal Article http://hdl.handle.net/20.500.11937/27533 Inderscience Publishers restricted |
| spellingShingle | business strategy financial performance measures environmental uncertainty and market position performance evaluation Krishnan, Anbalagan Ramasamy, R. Prem, L. An empirical study of the influence of business strategy, uncertainty and market position on financial measures using the SEM approach. |
| title | An empirical study of the influence of business strategy, uncertainty and market position on financial measures using the SEM approach. |
| title_full | An empirical study of the influence of business strategy, uncertainty and market position on financial measures using the SEM approach. |
| title_fullStr | An empirical study of the influence of business strategy, uncertainty and market position on financial measures using the SEM approach. |
| title_full_unstemmed | An empirical study of the influence of business strategy, uncertainty and market position on financial measures using the SEM approach. |
| title_short | An empirical study of the influence of business strategy, uncertainty and market position on financial measures using the SEM approach. |
| title_sort | empirical study of the influence of business strategy, uncertainty and market position on financial measures using the sem approach. |
| topic | business strategy financial performance measures environmental uncertainty and market position performance evaluation |
| url | http://hdl.handle.net/20.500.11937/27533 |