This proposal outlines two sets of hypotheses corresponding to different types of firms$$ Innovators and Cost leaders$$with each firm type characterized by varying levels of organizational structure and have a different relationship with flexibility in product, sourcing, and volume. The hypotheses are as follows:

$$

H$1$a: Innovators have a high level of product flexibility.

H$1$b: Innovators have a high level of sourcing flexibility.

H$1$c: Innovators have a high level of volume flexibility.

$$

H$2$a: Cost leaders have a low level of product flexibility.

H$2$b: Cost leaders have a high level of sourcing flexibility.

H$2$c: Cost leaders have a high level of volume flexibility.