Background: The strategic management literature has increasingly recognised the importance of both market and non-market strategies for firm performance, yet understanding of how firm size shapes strategic choices in emerging economy contexts remains limited. South Africa presents a compelling context given its dual economy, strong social norms, and ambivalent attitudes toward corporate political engagement.

Aim: This study examines the market and non-market strategy nexus in South African firms, specifically investigating how relative firm size influences strategic choices and performance outcomes.

Setting: The study focuses on South African firms across diverse industries and size categories.

Methods: Drawing upon configuration theory and social exchange theory, four hypotheses were developed and tested using survey data from 308 South African firms. Data were collected using a structured questionnaire and analysed through structural equation modelling.

Results: Findings reveal that firm size is significantly and positively associated with differentiation strategy (β = 0.25, p < 0.001), political non-market strategy (β = 0.38, p < 0.001), and social non-market strategy (β = 0.29, p < 0.001). However, no significant relationship was found between firm size and cost leadership strategy (β = 0.09, p > 0.05).

Conclusion: Larger South African firms tend to emphasise differentiation and non-market engagement, while cost leadership remains accessible irrespective of firm size. These findings contribute to configuration and social exchange theories while offering practical insights for managers and policymakers navigating South Africa's institutional environment.