Assessing Miles and Snow Typology through the Lens of Managerial Discretion: How National-Level Discretion Impact Firms Strategic Orientation

Abstract

Studies on the implications of managerial discretion have mainly focused on the firm, executive or industry level
attributes. Little work has tackled the national-level aspect of this construct and its potential implication on firm
strategies. We seek to theoretically establish an association between the construct of managerial discretion and firm
strategic orientation from a national-level. Our theoretical analysis strongly suggests that the degree of managerial
discretion available to executives in each country could have a strong influence on companies’ competitive strategy.
We contribute to the strategic management field and the discretion literature by uncovering new national-level
implications.