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Original scientific paper

Cognitive Structure, Managers’ Shared Social Understanding: From Psychological and Sociological Concepts to Managerial Strategic Choices

Nikša Alfirević ; University of Split, Faculty of Economics, Split, Croatia
Jurica Pavičić ; University of Zagreb, Faculty of Economics and Business, Zagreb,Croatia
Vladimir Gnjidić


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Abstract

In this paper, the cognitions of industry participants are explored, by analyzing the shared social understanding of the industry (‘mental models’, ‘industry recipes’) as a factor limiting the pursuit of innovative strategies. It is hypothesized that the managers’ interpretation
of Porter’s fi ve industry forces, within a given industry, represent the ‘cognitive’ proxy for performance, since shared cognitions represent the (self) imposed performance limitations. The empirical research has been conducted in the Croatian food & beverage industry, where CEOs of mid-sized and large enterprises have been surveyed. Initial support
for this hypothesis is provided, since the perceived industry impact (measured by the INDUSTRUCT construct) has been empirically linked to the managers’ strategic behavior pattern. In addition, the discriminant analysis demonstrated that it is possible to forecast
the specifi c strategic behavior archetype by analyzing the cognition of the industry’s structure. Implications for both theory and managerial practice are discussed.

Keywords

cognition; industry; structure; Croatia

Hrčak ID:

129470

URI

https://hrcak.srce.hr/129470

Publication date:

1.11.2014.

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