ORGANISATIONAL SLACK AND NEW PRODUCT TIME TO MARKET PERFORMANCE

Using archival data from two different industries, this paper examines the relationship between organisational slack and new product time to market performance. Prior research has shown that there is a relationship between slack and performance, but this prior research has primarily considered slack as it relates to financial performance or the innovativeness of a firm or its products. In this paper, using data from the computer modem and video game industries across more than 40 years, we test the hypotheses relating organisational slack time to market performance for new products. Cox regression analysis in general supports the hypothesised relationships, although there are some differences in the exact nature of the relationship across the two industries. We conclude by discussing the implications of these results for research and practice.