Assertions in current academic research and practical discourse that promote agility reduce the importance or prominence given to organizational strategic planning. While firms today are required to become agile and thus quickly and timely respond to emerging market challenges, the strategic planning process is perceived as rigid, slow, and somehow obsolete and may contradict agility. These present practitioners with a dilemma regarding the relevance of planning in this era. This study examines the pertinence of strategy planning in this agile age and its effect on firms’ business performance. In addition, since the environment in which firms operate play a significant role in determining strategies, when maintaining strategic planning, organizations need to consider internal and external factors that may change the effect of planning on performance. Hence, the study also explores market scanning (an external condition) and fault tolerance climate (an internal condition) under which the relationship planning-performance varies. Based on a quantitative research, data from organizations, and insights from fit-as-moderation approach, a conceptual model and research hypotheses are designed and tested. Common and acceptable analysis methods were employed to test the hypotheses. Initial findings indicate that strategy planning should not be deemphasized in contemporary days since it is associated with better financial (e.g., sales growth) and nonfinancial (e.g., new customer acquirement) outcomes. Additionally, performance consequences of planning are dependent on firm external and internal conditions. While the positive planning-performance relationship is associated with higher levels of market sensing, it is negatively associated with higher levels of fault tolerance. The findings have well-timed theoretical and practical implications for the business and strategy literature. Managers considering the necessity of planning strategies should recognize its relevance and take into account contingencies examined in this research.

Product’s warranty is used strategically by firms to create differentiation and attract consumers. Hence, the effect of warranties on consumer decision making is of interest to both marketers and consumer researchers and his research has received much attention in the consumer behavior literature. Studies have shown that product warranty plays an important role for consumers. It influences the expectations and subjective assessments of product's efficacy and thus can signal quality, reduce risks and encourages purchases, based on the belief that offering a warranty for a product that has a high failure rate is not profitable for companies. However, this article documents a new phenomenon, extending the known capabilities of product warranty. Labeling products with a Long-term product warranty, versus products without warranty, improved consumers' objective performance, even when motivation to perform better was unlikely to explain the improvement. Results from three experiments indicate that the efficacy of products carrying “3 YEARS WARRANTY” labels were better than the efficacy of the same products without these labels. Specifically, we compared performance of participants utilizing a product (sunglasses, earmuffs, or chamomile tea) said to assist task performance (visual, auditory, or concentration, respectively) when it carried “3 YEARS WARRANTY” label versus no label. Participants facing a glaring light were asked to read printed words as accurately and as quickly as they could, receiving compensation proportional to their performance. Those wearing sunglasses carried “3 YEARS WARRANTY” label were able to read more quickly yet with fewer errors than those wearing sunglasses without label that were otherwise identical. Similarly, ear-muffs blocked noise more effectively, and chamomile tea improved mental focus more, when otherwise identical target products carried long-term product warranty.