Determinants of manufacturing strategy formulation: A longitudinal study in Hong Kong

Recent developments of the World Trade Organisation and other international trade agreements have forced industries worldwide to face a new era of intense global competition. Manufacturers will have to compete effectively not only in the local context, but in wider regional and global marketplaces. Global competition has offered numerous opportunities and problems for the manufacturing industry. This paper investigates the determinants of strategy formulation (SF) in manufacturing enterprises and consolidates the empirical findings of a longitudinal study from 1994-2001 in Hong Kong. It also discusses the experiences from some leading Hong Kong manufacturers in managing the competitive pressures and gaining sustainable competitive advantages. The paper attempts to complement the literature base of SF practices with empirical evidence. The findings presented address the identification of success factors and problematic areas that provide manufacturers with guidance and references for formulating viable strategies to meet their business and operations needs. © 2002 Elsevier Ltd. All rights reserved.