AbstractInPart I of this paper we examined the possibility that certain managerial and organizational characteristics were associated with company performance under a wide range of operating conditions. Part II now turns to an alternative theory of performance which has attracted more attention in recent years. This is contingency theory, which enable a company to cope better with itsparticularoperating conditions. In other words, the factors associated with high performance are expected to vary along with differences in a company's context‐especially with differences in its environment, size and technolog