Strategic fit and strategic drift in Jordanian pharmaceutical manufacturing: The moderating role of environmental factors

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Type of the article: Research Article

Abstract
This study aims to investigate the relationship between strategic fit and strategic drift in Jordanian pharmaceutical manufacturing and tests whether environmental factors moderate this relationship. Motivated by rising environmental dynamism and uncertainty, the study examines how alignment between internal capabilities and external conditions relates to drift over time. Survey data were collected from 164 senior and middle managers in Jordanian pharmaceutical firms between late November 2024 and late January 2025. The model was tested using partial least squares structural equation modeling (PLS-SEM). The results indicate that strategic fit has a statistically significant positive effect on strategic drift (β = 0.283, p = 0.001). In addition, environmental factors significantly moderate the fit–drift relationship (β = 0.127, p = 0.007), suggesting that external conditions shape the strength of this linkage. The study contributes empirical evidence on how internal alignment and environmental context jointly influence strategic drift and offers practical implications for strengthening adaptive strategic practices in the pharmaceutical sector.

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    • Figure 1. Research model
    • Figure 2. PLS-SEM structural model analyses
    • Table 1. Survey item indicator and loadings
    • Table 2. Internal consistency, reliability, and convergent validity
    • Table 3. Discriminant validity based on Fornell and Larcker criterion
    • Table 4. Discriminant validity based on heterotrait-monotrait ratio (HTMT)
    • Table 5. Variance explained in the endogenous latent variables
    • Table 6. Results of Q2 predict test
    • Table 7. Effect size (f2) of latent variables
    • Table 8. Hypothesis testing results
    • Table A1. Pharmaceutical manufacturers included in the sampling frame
    • Table B1. Measurement items used in the survey
    • Conceptualization
      Ihab Ignaim, Junainah Mahdee
    • Data curation
      Ihab Ignaim
    • Formal Analysis
      Ihab Ignaim, Nurazlin Mohd Fauzi
    • Investigation
      Ihab Ignaim
    • Methodology
      Ihab Ignaim, Junainah Mahdee
    • Resources
      Ihab Ignaim
    • Validation
      Ihab Ignaim, Junainah Mahdee, Nurazlin Mohd Fauzi
    • Visualization
      Ihab Ignaim
    • Writing – original draft
      Ihab Ignaim
    • Writing – review & editing
      Ihab Ignaim, Junainah Mahdee, Nurazlin Mohd Fauzi
    • Project administration
      Junainah Mahdee
    • Supervision
      Junainah Mahdee, Nurazlin Mohd Fauzi