Duration matters: the interaction of the degree and the duration of environmental turbulence

Abstract Environmental turbulence is a well-known and widely used construct in management studies reflecting the degree of complexity, volatility, and uncertainty of the external environment. Operational and strategic decisions often depend on whether the organization is facing a stable or turbulent environment. This study investigates temporal duration as an additional dimension of environmental turbulence. That is, how long is the turbulence going to last? An experiment is conducted using a 2 × 2 factorial design with two dependent variables (perceived impact and intended response) and treatments for the degree (low/high) and duration (short/long) of turbulence. Applying ANOVA, main effects and interactions are found, suggesting that duration matters. However, the degree of turbulence is found to matter more. The study contributes to research by extending our understanding of the turbulence construct, its dimensions, and effects. The study contributes to practice by informing managers that a small amount of turbulence over a long period of time may be as impactful to the organization as a large amount of turbulence over a short period of time.