Strategic Group Analysis by Using Fuzzy Clustering

Date

2009-05-22

Author

Budayan, Cenk
Dikmen Toker, İrem
Birgönül, Mustafa Talat

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Strategic group is a group of firms in an industry following the same or similar strategy along a set of strategic dimensions. The aim of strategic group analysis is to find out if clusters of firms that have a similar strategic position exist within an industry or not, therefore it can be used as one of the methods for revealing the competitive structure. Using a theoretical conceptual framework applicable for the construction industry and fuzzy clustering, the objective of this research is to identify possible strategic groups within the Turkish construction industry. In this research, by considering the cluster validation techniques developed for fuzzy clustering, the number of the strategic groups is determined as three. The membership degrees of the companies to all clusters are obtained at the end of the analysis. It is concluded that the companies in the same strategic group do not necessarily implement the strategic recipe of the group at the same degree. Therefore, the traditional strategic group concept in which the clusters are wholly separated does not reflect the real strategic group structure of the Turkish construction industry and heterogeneity of strategies implemented in each group. Findings of this study can be used by professionals to understand their current strategic positions within the competitive environment and even in their strategic groups.

Subject Keywords

Strategic groups, Fuzzy clustering

URI

https://hdl.handle.net/11511/76114

Conference Name

Fifth International Conference on Construction in the 21st Century (CITC-V), 20 - 22 Mayıs 2009

Collections

Department of Civil Engineering, Conference / Seminar

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Citation Formats

C. Budayan, İ. Dikmen Toker, and M. T. Birgönül, “Strategic Group Analysis by Using Fuzzy Clustering,” presented at the Fifth International Conference on Construction in the 21st Century (CITC-V), 20 - 22 Mayıs 2009, İstanbul, Turkey, 2009, Accessed: 00, 2021. [Online]. Available: https://hdl.handle.net/11511/76114.