The Effects of the Complementarity among Firm Life Cycle, Strategy and Management Accounting Information on the Performance of Firm

Abstract

"[Purpose]This study investigated whether the complementarity among the stages of firm life cycle, management strategy, and management accounting information affects the performance of firms. [Methodology]For an empirical analysis, data were collected by a survey questionnaire of the manufacturing firms listed on the KOSDAQ, and carried out cluster analysis to verify the hypothesis. [Findings]As a result of empirical analysis, there are positive correlations between the management strategy according to the stages of firm life cycle and management accounting informations and the fit of the management strategy and management accounting information in each stage of firm life cycle affects the performance improvement. [Implications]The results of this study suggest that management accounting information system should be designed and developed based on the contingency theory that considers the stages of firm life cycle and management strategies."