Marketing strategy, constituent influence, and resource allocation: An application of the Miles and Snow typology to closely held firms in Chapter 11bankruptcy

This study utilizes the Miles and Snow typology within the context of firms in Chapter 11 bankruptcy. We specifically examine (1) the impact of consti tuent influence on management's choice of strategic archetype (prospector, defender, or reactor) and (2) whether successful emergence from Chapter 11 is move likely when managers propose prospector strategies which focus on m arketing and product innovation, defender strategies which focus on cost ef ficiency, or reactor strategies which have no clearly defined orientation. Results of the study suggest that when firms are in distress, external cons tituents influence them not to pursue reactor strategies. Further findings indicate that firms with prospector strategies and well-defined marketing p lans are most likely to emerge from Chapter II. (C) 2000 Elsevier Science I nc. All rights reserved.