The Effects of Product Line Length on Firm Performance

2018 Portland International Conference on Management of Engineering and Technology (PICMET) Pub Date : 2018-08-01 DOI:10.23919/PICMET.2018.8481780

J. Kirjavainen, S. Mäkinen, Matti Sommarberg

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Abstract

What products to offer represents one of the most important strategic choices a firm has to make in order to survive in competitive environments. Decisions about the length and breadth of a firm's product line are difficult but vital to its success. Despite this, the performance effects of product line length are a topic of continuing discussion in the academia. There are also multiple ways to define both product line length and breadth, further hindering the analysis and comparison of the results. This study defines both product line length and breadth, and distinguishes them as separate dimensions of a firm's product portfolio. Additionally, the relationship between product line length and firm performance is analyzed through customer evaluations. The study is set in the digital camera industry, focusing on the new product introductions into the compact product category during 2000–2014. Our results offer indication that there exists an inverted U-shaped relationship between product line length and firm performance.

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产品线长度对企业绩效的影响

提供什么产品代表了公司为了在竞争环境中生存而必须做出的最重要的战略选择之一。决定公司产品线的长度和宽度是困难的，但对其成功至关重要。尽管如此，产品线长度对业绩的影响仍是学术界持续讨论的话题。还有多种定义产品线长度和宽度的方法，这进一步阻碍了结果的分析和比较。本研究定义了产品线长度和宽度，并将它们区分为公司产品组合的单独维度。此外，通过客户评价分析了产品线长度与企业绩效之间的关系。该研究以数码相机行业为背景，重点关注2000-2014年期间推出的紧凑型产品类别的新产品。我们的研究结果表明，产品线长度与企业绩效之间存在倒u型关系。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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2018 Portland International Conference on Management of Engineering and Technology (PICMET)

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