The Relationship between R&D Investment, Strategic Evolution and Firm Performance in the Automotive Industry
(2020) IBUH19 20201Department of Business Administration
- Abstract
- The purpose of this study is to investigate the relationship between R&D investment and strategy on firm performance for two automotive firms—Renault and BMW. This research was selected to explore the relatively undiscovered area of R&D expenditures and strategy as crucial determinants of firm performance. A mixed-method case study with a deductive research approach was chosen. The results reveal a statistically insignificant relationship between R&D investment and strategy on firm performance. We found that strategy resulting from management decisions forms the unseen, yet vital factor that affects how a firm performs. Despite statistical insignificance, the results display unique findings; the examined firms increased their R&D... (More)
- The purpose of this study is to investigate the relationship between R&D investment and strategy on firm performance for two automotive firms—Renault and BMW. This research was selected to explore the relatively undiscovered area of R&D expenditures and strategy as crucial determinants of firm performance. A mixed-method case study with a deductive research approach was chosen. The results reveal a statistically insignificant relationship between R&D investment and strategy on firm performance. We found that strategy resulting from management decisions forms the unseen, yet vital factor that affects how a firm performs. Despite statistical insignificance, the results display unique findings; the examined firms increased their R&D investments and performance while pursuing a Product-focus strategy. It was concluded that the relationship between R&D investment and strategy on firm performance is rather complex and vulnerable to many internal and external influences. Trends identified may be used to outline how a relationship could look like if the study scope were widened. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/9021789
- author
- Brunk, Hans LU and Hamandi, Lynn LU
- supervisor
- organization
- course
- IBUH19 20201
- year
- 2020
- type
- M2 - Bachelor Degree
- subject
- keywords
- Strategy, R&D, Firm Performance, Renault, BMW
- language
- English
- id
- 9021789
- date added to LUP
- 2020-11-16 14:11:42
- date last changed
- 2020-11-16 14:11:42
@misc{9021789, abstract = {{The purpose of this study is to investigate the relationship between R&D investment and strategy on firm performance for two automotive firms—Renault and BMW. This research was selected to explore the relatively undiscovered area of R&D expenditures and strategy as crucial determinants of firm performance. A mixed-method case study with a deductive research approach was chosen. The results reveal a statistically insignificant relationship between R&D investment and strategy on firm performance. We found that strategy resulting from management decisions forms the unseen, yet vital factor that affects how a firm performs. Despite statistical insignificance, the results display unique findings; the examined firms increased their R&D investments and performance while pursuing a Product-focus strategy. It was concluded that the relationship between R&D investment and strategy on firm performance is rather complex and vulnerable to many internal and external influences. Trends identified may be used to outline how a relationship could look like if the study scope were widened.}}, author = {{Brunk, Hans and Hamandi, Lynn}}, language = {{eng}}, note = {{Student Paper}}, title = {{The Relationship between R&D Investment, Strategic Evolution and Firm Performance in the Automotive Industry}}, year = {{2020}}, }