Challenges and perspectives in using pims methodology to explain the success of the marketing strategy in businesses

Mosqueda Almanza Rubén Martín () and Montaudon Tomas Cynthia ()
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Mosqueda Almanza Rubén Martín: Instituto Tecnológico de Estudios Superiores de Monterrey
Montaudon Tomas Cynthia: Instituto Tecnológico de Estudios Superiores de Monterrey

Contaduría y Administración, 2011, vol. 56, issue 2, 79-99

Abstract: It is assumed that an appropriate strategy will positively impact on profits and it will contribute to the growth of the company´s market share. Recent findings suggest that only the adaptation of the strategic plan elements can bring the company’s performance to an optimum standard. The Profit Impact of Market Strategy (PIMS) is an archetype model to achieve that; but, fundamental problems remain that limit the model. This paper shows the evolution of the PIMS methodology that allows to reveal its challenges and its possible development. The adequate definition of the strategy, redesign of the PIMS questionnaire, problems of multicollinearity and the market share effect would be the most relevant problems. The results show the need to accurately define the strategy adopted by the company and the redesign of the PIMS survey when applied to incomplete markets. This way, the findings suggest PIMS econometric studies have to emphasize the Relative Quality Proceeds variable in order to solve the thorny issue of market share effect on ROI.

Keywords: PIMS; estrategia de marketing; retorno sobre la inversión; efecto de la cuota (search for similar items in EconPapers)
Date: 2011
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