Strategic Deviance, Diversification and Enterprise Resilience in the Context of COVID-19: Heterogeneous Effect of Managerial Power

Xiaoxu Kong, Fei Jiang and Xuexin Liu

Emerging Markets Finance and Trade, 2021, vol. 57, issue 6, 1547-1565

Abstract: This article analyses the role of strategic deviance, diversification, their interaction, and managerial power on enterprise resilience (ER) during COVID-19. Using an event study approach and regression analysis based on the Chinese stock market, our findings show: (1) strategic deviance and diversification significantly, positively affect ER, while their interaction term’s effect is significantly negative; (2) when managers are powerful, diversification’s impact on ER is insignificant, while strategic deviance has a significant positive impact; (3) when managers are less powerful, strategic deviance’s influence on ER is not significant, while diversification is significant. Therefore, strong-managerial enterprises should adopt strategic deviance, while weaker-managerial enterprises should diversify.

Date: 2021
References: Add references at CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://hdl.handle.net/10.1080/1540496X.2021.1904882 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:mes:emfitr:v:57:y:2021:i:6:p:1547-1565

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/MREE20

DOI: 10.1080/1540496X.2021.1904882

Access Statistics for this article

More articles in Emerging Markets Finance and Trade from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().