The concept of 'fit' is a central thrust for middle-range theories in many man agement disciplines. In this context, 'fit' refers to the match between two or more factors. Several recent studies involving the concept of fit have examined how variables, both internal and external to the firm, combine to affect organ izational performance. When doing this type of research, a key decision must be made regarding the selection of research designs appropriate for testing the fit between variables. This study tests the fit concept and examines whether the identification of proper lag-structures associated with the fit relationship improves the effectiveness of the research design. Findings suggest that when testing models involving fit, the identification of proper lag-structures is an important research-design issue.
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