Researchers have produced extensive knowledge of the content of business strategy and the process of formulating and implementing strategy. We also know that business strategy cannot be isolated from the environmental context in which the strategy is shaped. As a certain business strategy concerns a set of products that are brought to a market, the market context is important. Further, customers and competitors are major actors of a market, and the structure and behaviour of these actors generally manifest characteristics of the market context. However, our knowledge of the impact of the market context is limited.