The research conducted in the strategic field has primarily focused on examination of corporate performance centered on competitive strategy. However, along with the successful cases of global innovators such as Steve Jobs and Tim Cook of Apple, Jeff ...
The research conducted in the strategic field has primarily focused on examination of corporate performance centered on competitive strategy. However, along with the successful cases of global innovators such as Steve Jobs and Tim Cook of Apple, Jeff Bezos of Amazon, and Kun-hee Lee of Samsung in the time of a global competitive system, the interest in innovation ability of CEO is increasing. In particular, the success stories of global innovators such as Steve Jobs, Jeff Bezos, Michael Dell, Mark Zuckerberg, and Elon musk have been the main areas of research in finding a discovery DNA.
This research demonstrates examination targeting domestic companies, in relation to the relationship between traditional competitive strategy & corporate performance centered on the discovery DNA, which serves as the foundation of the innovation ability of CEO. In order to achieve the purpose of this research, the concept of discovery DNA being discussed in recent years has been comprehensively analyzed. The references related to the influential relationship on corporate performance through discovery DNA and competitive strategy has been organized in order to establish a logical theory system. This theoretical logic includes the corporate feature variation as the control variable, and a positive research model and hypothesis has been set regarding the discovery DNA of CEO, corporate performance, and moderating effects of corporate competitive strategy.
The empirical research was conducted through a survey targeting companies all over the nation. The gathered data was composed of surveys targeting CEO, executive staff, and directors of strategic and management departments. A total of 2,000 copies were distributed, and a valid sample of 268 copies was collected. The samples for positive analysis targets were distributed evenly, between capital area (45.1%) and local areas (54.9%), major companies (32.9%) and small and medium sized companies (67.1%), manufacturing business (87.8%) and service industry (12.2%).
The discovery DNA of CEO was higher than median value, while the observing of discovery DNA a comparatively higher score than the questioning. In case of competitive strategy, the product differentiation strategy was higher than the market differentiation strategy. In addition, the corporate performance of sample companies applied in this analysis displayed minor higher scores than the median value.
The empirical analysis set the discovery DNA of CEO as an independent value with the firm’s characteristics as control variables. The competitive strategy of companies was the moderating variable, and the company performance was set as the dependent variable, followed by a multiple regression analysis.
The results of empirical analysis showed that performance was higher for capital area companies than local companies, and manufacturing business over service industry. It has been showed that the discovery DNA of CEO enhanced the performance of companies. In particular, among the compositional elements of CEO’s discovery DNA, the observing had a comparatively high influence on company performance. These results imply the significance of detailed and diverse observation skills regarding new products and the market, unlike the factor of associating which is emphasized for global innovators within Korean companies
Porter’s original competitive strategy, a topic discussed in the main field of corporate strategy, had a positive influence on the performance of companies. In particular, it has been examined that the product differentiation strategy had a higher influence on company performance that the market differentiation strategy
Finally, it has been verified that the relationship between the discovery DNA of CEO and corporate performance was controlled by the competitive strategies of companies. In particular, the interaction of testing capabilities of CEO and market differentiation strategy had a strong synergy effect on corporate performance. These results imply that the discovery DNA of CEO and company strategies lead to corporate performance through interaction.