Dynamic Capability and Coopetition

2022 ◽  
pp. 21-30
Author(s):  
Wlademir Leite Correia Filho ◽  
Daniel Knebel Baggio
Keyword(s):  
Competitive Advantage ◽  
Adaptive Capacity ◽  
Absorptive Capacity ◽  
Dynamic Capabilities ◽  
Dynamic Capability ◽  
Competitive Advantages ◽  
Changing Environments ◽  
Business Opportunities ◽  
New Business ◽  
Collective Strategy

The COVID-19 pandemic accelerated changes in company management, valuing coopetition as a collective strategy by strengthening the dynamic capabilities defined by Teece et al. as the firm's ability to integrate, build, and reconfigure external and internal competencies in rapidly changing environments. The adaptive capacity will prepare the company for adversity; the absorptive capacity favors the acquisition, assimilation, transformation, and application of external knowledge to create and maintain competitive advantages, and the capacity to innovate allows the identification of new business opportunities. The research showed that for the studied group, the good use of the dynamic absorption and adaptation capacities present in coopetition strongly contributes to the development of innovation competences, thus achieving and sustaining competitive advantage.

Validating a Design Thinking Strategy: Merging Design Thinking and Absorptive Capacity to Build a Dynamic Capability and Competitive Advantage

2018 ◽  
Vol 6 (2) ◽  
pp. 102-120 ◽  
Author(s):  
Brad Cousins
Keyword(s):  
Competitive Advantage ◽  
Absorptive Capacity ◽  
Dynamic Capabilities ◽  
Design Thinking ◽  
Theoretical Foundation ◽  
Organization Design ◽  
Dynamic Capability ◽  
Capacity Theory ◽  
Management Context ◽  
Strategic Consideration

Design thinking in the management context has suffered from vague definition, gaps in literature, and lack of theoretical foundation. Research streams in absorptive capacity and dynamic capabilities have reached a point of convergence with respect to design thinking and absorption of external knowledge. As such, this study draws on both absorptive capacity and dynamic capability theory to provide theoretical foundation for the strategic consideration of design thinking in strategy, organization design, and organizational learning. In doing so, this study extends seminal absorptive capacity theory providing empirical evidence of design thinking as a dynamic capability to enhance absorptive capacity. Additionally, this study extends dynamic capabilities theory by confirming design thinking as a means of integration, learning, and reconfiguring knowledge to build competitive advantage. Therefore, this study merges existing research streams to empirically validate design thinking as a dynamic capability which must be strategically considered.

Dynamic Capability as a Theory of Competitive Advantage

2016 ◽  
Author(s):  
Jerker Denrell ◽  
Thomas C. Powell
Keyword(s):  
Technological Change ◽  
Competitive Advantage ◽  
Effect Size ◽  
Dynamic Capabilities ◽  
Market Competition ◽  
Explanatory Power ◽  
Dynamic Capability ◽  
Firm Resources ◽  
Changing Environments

Dynamic capability is a theory of competitive advantage in rapidly changing environments. We reconcile this explanation with previous theories of competitive advantage, showing how it informs and complements explanations based on market positions, firm resources, and Schumpeterian creative destruction. We examine the scope conditions of dynamic capability; that is, when the theory has more and less explanatory power. We find that dynamic capability has greatest explanatory power when a partially foreseeable technological change is on the verge of transforming market competition; and less explanatory power when dynamic capabilities are not undervalued or scarce; when change is unforeseeable; when change is easily foreseeable; when the effect size of new capabilities is small; in industries subject to repeated technological shifts; and in markets that reward short bursts of extraordinary performance over long-term persistence. We discuss these scope conditions and show how dynamic capability combines with prior theories to explain competitive advantage in different industry contexts.

scholarly journals Analysis Effect of Resources and Dynamic Capabilities to Sustainable Competitive Advantages and It’s Implications to the Firms Performance

2017 ◽  
Vol 10 (10) ◽  
pp. 209
Author(s):  
Supriyadi Supriyadi
Keyword(s):  
Competitive Advantage ◽  
Dynamic Capabilities ◽  
Dynamic Capability ◽  
Company Performance ◽  
Competitive Advantages ◽  
Sustainable Competitive Advantage ◽  
Resources And Capabilities ◽  
Sustainable Competitive Advantages ◽  
Positive Effect ◽  
Dominant Influence

The objective of this research are to find out the effect : (1). resources on sustainable competitive advantages; (2). dynamic capability to continuous competitive advantage; (3). resources on company performance; (4). dynamic capability to company performance; (5). sustainable competitive advantage on company performance; (6). dynamic resources and capabilities on sustainable competitive advantages ; (7). dynamic resources and capabilities as well as the competitive advantage of sustainable. sample unit in this research using survey 69 companies which producing coffee in lampung, with interview to manager and director with total number of responden 345 respondents and all hypothesis accepted and positive effect to this research. the conclusion of this reserach are : (1). resources affect sustainable competitive advantage; (2). dynamic capabilities affect sustainable competitive advantage; (3). resources affect the firm's performance; (4). dynamic capability affects the firm's performance; (5). sustainable competitive advantage affects the company's performance; (6). resources and dynamic capabilities together affect sustainable competitive advantage; (7). resources, dynamic capabilities and sustainable competitive advantages jointly affect the company's performance the effect of resource, dynamic capability and sustainable competitive advantage simultaneously on company performance is positive and significant, with sustainable competitive advantage variables having the most dominant influence on firm performance. this shows that positively improving the effectiveness of resources, dynamic capabilities and sustainable competitive advantage will result in improved corporate performance.

Innovation and Creativity Used by Private Sector Firms in a Resources-Constrained Environment

2018 ◽  
pp. 219-238 ◽  
Author(s):  
Hoang Thanh Nguyen ◽  
Scott A. Hipsher
Keyword(s):  
Economic Development ◽  
Developing Economies ◽  
Business Owners ◽  
Field Observations ◽  
Competitive Advantages ◽  
Technology Advancement ◽  
Social And Economic Development ◽  
Business Opportunities ◽  
New Business ◽  
Micro Enterprises

While innovation has become a popular topic when advocating for technology advancement and enhancing innovative processes in firms in both developed and developing economies, innovation in the context of micro-enterprises in emerging economies, such as Vietnam is not well understood nor has the topic been examined thoroughly. This chapter, in addition to looking at innovation within a micro-entrepreneurial context, includes a review of the academic literature on innovation, entrepreneurship, creativity, competitive advantages, and knowledge as some of the main drivers for social and economic development. Based on the field observations and interviews, it appears business owners of micro-enterprises in Vietnam might often use innovation by depending on their own individual adaptability and creativity to advance business opportunities by building upon existing knowledge as opposed to creating an entirely new business model or concept. Awareness of the nature of innovation within micro-enterprises could be helpful in designing governmental policies which are intended to create conditions which foster innovation and reduce throughout all levels of society and could have a role in reducing poverty.

scholarly journals Assessing dynamic capabilities: Mintzberg’s schools of thought

2011 ◽  
Vol 42 (1) ◽  
pp. 1-8 ◽  
Author(s):  
F. Arndt
Keyword(s):  
Strategic Management ◽  
Competitive Advantage ◽  
Dynamic Capabilities ◽  
Human Agency ◽  
Dynamic Capability ◽  
Evolutionary Perspective ◽  
Central Source ◽  
Growing Body ◽  
Attention Process ◽  
Micro Foundations

A growing body of research in strategic management has focused on dynamic capabilities as a central source of firms' competitive advantage. The theoretical roots of dynamic capabilities can be found in many of the schools of thought identified by Mintzberg, Ahlstrand and Lampel (1998). In this paper, we identify three aspects of dynamic capabilities that, we believe, require more detailed attention: Process, cognitive and decision-based micro-foundations, and human agency. We explore each of these areas from an evolutionary perspective to emphasize the fact that dynamic capability is essentially an evolutionary construct. By highlighting the evolutionary implications of these areas, we add important detail to the way “evolution” has been used in this field of research.

scholarly journals Development of Dynamic Capabilities for Automotive Industry Performance under Disruptive Innovation

2020 ◽  
Vol 6 (4) ◽  
pp. 97
Author(s):  
Atichat Rotjanakorn ◽  
Pornrat Sadangharn ◽  
Khahan Na-Nan
Keyword(s):  
Firm Performance ◽  
Dynamic Capabilities ◽  
Dynamic Environment ◽  
Past Research ◽  
Disruptive Innovation ◽  
Dynamic Capability ◽  
Competitive Advantages ◽  
Cross Sectional ◽  
Innovative Firm ◽  
Short Period

Dynamic capabilities are creating dramatic change for the industry around the world. Resource-Based View (RBV) theory and Operational capability theory are the basic capabilities of an organization under a normal changing environment. This creates a competitive advantage and organizational success in a relatively short period of time, in which the dynamic environment is not sufficient to cope with this change. Dynamic capability is a concept for managing change under this dynamic environment. Past research supports a direct positive relationship between dynamic capability and firm performance but it did not focus on the mediator variables. This research emphasizes the influences of competitive advantages and innovation capabilities as mediators of dynamic capabilities and firm performance were investigated. A cross-sectional design study was utilised and questionnaires were submitted to 326 firms to test the proposed relationships. IBM SPSS Statistics Base 26, IBM SPSS AMOS 21, and PROCESS macro 3.6 were used for statistical analysis. Results revealed that competitive advantages and innovation capabilities were partially mediated by dynamic capabilities and firm performance. Findings contribute to the literature on empowering leadership and innovative firm performance by highlighting that competitive advantages and innovation capabilities act as mediators to improve dynamic capabilities and enhance innovative firm performance.

Unbundling dynamic capabilities in successful Asian-Pacific shipping companies

2017 ◽  
Vol 11 (2) ◽  
pp. 113-134 ◽  
Author(s):  
Andrejs Čirjevskis
Keyword(s):  
Decision Making ◽  
Competitive Advantage ◽  
Dynamic Capabilities ◽  
Strategic Decision ◽  
Strategic Decision Making ◽  
Illustrative Case ◽  
Competitive Advantages ◽  
Content Type ◽  
Asian Pacific ◽  
Micro Foundations

Purpose This paper aims to add to the understanding of dynamic capabilities (DC) as sources of competitive advantage of successful Asian-Pacific shipping companies by demonstrating that DC development unfolds in three steps, from recognition that the environment has changed, to the decision to deploy DC, to assets re-orchestration. Design/methodology/approach Based on an approach involving two illustrative case studies, the author analyzed DC development of Chinese and Singaporean-based shipping groups in depth. The analysis was centered on DC by investigating how strategic decision-making on vertical integration, diversification and implementation of new technologies can be underpinned by developing DC to create sustained advantages. Findings The author found that strategic components of DC are rooted in strategic decision-making to initiate changes on the corporate and even on an operational level. Research limitations/implications While capability development is thoroughly studied, capability erosion has not been integrated into the research. The exploration of human capital as a firm’s idiosyncratic resource in assets orchestration capabilities can be future work. Practical implications The proposed research contributes to the debate on micro foundations of DC and provides insights for practitioners striving for retaining competitive advantages. Social implications Regarding implications for the society, the research shows how the DC serve to generate competitive advantages. The author has presented a logical structure of the competitive advantage paradigm as a product of DC and business models that can be useful to decision makers. Originality/value The research offers insights into the composition of micro foundations of DC and demonstrates that DC can be unbounded into well-known and concrete strategic and operational management activities.

MANAGING INTERINDUSTRY DIFFERENCES THROUGH DYNAMIC CAPABILITIES: THE CASE STUDY OF NOKIA

2005 ◽  
Vol 02 (03) ◽  
pp. 235-257 ◽  
Author(s):  
ARABELLA BHUTTO
Keyword(s):  
Competitive Advantage ◽  
Mobile Communication ◽  
Mobile Networks ◽  
Consumer Goods ◽  
Dynamic Capabilities ◽  
Dynamic Capability ◽  
Communication Industry ◽  
Mobile Communication Industry ◽  
The Impact

This paper examines the case of Nokia as a player of the mobile communication industry and provider of mobile communication system: Mobile handsets (consumer goods) and mobile networks (CoPS). Our aim is to analyze the impact of strategic management and dynamic capability developed by a firm of such an industry, which supports the entire system and manages inter-industry differences of consumer goods and CoPS. Recent convergence among technologies has raised competition among firms. Achieving and sustaining competitive advantage in this converging market is therefore possible by identifying threats and then developing strategies and capabilities to resolve them. This article concludes by examining how the firm can achieve its competitive advantage.

scholarly journals The Influence of Corporate Networks on the Competitive Advantage of High Technology Enterprises in China: The Mediating Effects of Dynamic Capacities and Ambidextrous Combination

2021 ◽  
Vol 9 (3) ◽  
pp. 42
Author(s):  
Huayun Wang ◽  
Zhuoran Zhang
Keyword(s):  
Competitive Advantage ◽  
Comparative Advantage ◽  
Structural Equation ◽  
Dynamic Capabilities ◽  
Manufacturing Sector ◽  
High Technology ◽  
Competitive Advantages ◽  
Mediating Effects ◽  
External Resources ◽  
Corporate Networks

As an essential channel to obtain external resources and information, corporate networks have played a key role in enhancing the competitive advantage of firms, especially during the period where most of the high-technology firms in China started to directly seek means other than import technology to boost their competitive advantages. However, there was still ambiguity concerning how exactly corporate networks would affect comparative advantage. This study sought to expose the internal mechanisms among two aspects of corporate networks, namely, the network strength and the network centrality, and competitive advantage. We also examined the mediating effects of the dynamic capabilities and the ambidextrous combination. Managers of 384 high technology enterprises in China were interviewed via telephone calls during the period of January to June 2020. The data were analyzed by utilizing the structural equation method, and the results show that both dynamic capacities and the ambidextrous combination significantly mediate the relationship between corporate networks and firms’ comparative advantage, where the two mediators also had a significant relationship with each other. Moreover, the multigroup analysis also unveiled that the corporate networks had a greater impact on competitive advantage and the ambidextrous combination in the manufacturing sector, while small-sized enterprises and service enterprises would benefit more than others from the improvement in the dynamic capabilities and ambidextrous combination. Our findings fill the gap in the literature and provide useful information to firms in China on how to allocate internal and external resources to enhance their competitive advantages.

E-Readiness of SMEs

2010 ◽  
pp. 111-128
Author(s):  
Stephen M. Mutula
Keyword(s):  
Capital Intensity ◽  
Cost Effective ◽  
The Internet ◽  
Competitive Advantages ◽  
Start Up ◽  
Low Degree ◽  
Global Cost ◽  
Business Opportunities ◽  
New Business ◽  
Electronic Networking

Increasingly, SMEs are achieving and sustaining competitive advantages using ICT that are propelling and accelerating the globalization of businesses. The growth of the Internet has created a global, cost-effective platform for businesses to communicate and conduct commerce. The Internet is making it possible for SMEs to enjoy the benefits that were once only afforded to larger businesses. A study by Ramayah et al. (2003) in Malaysia revealed that most SMEs in that country are increasingly embracing e-commerce and spending increasing amounts of money on information technology, with subsequent higher revenues. SMEs in the digital economy have significant advantages over larger competitors (Dejonckheere et al., 2003) arising out of: Increased outsourcing of information activities, resulting in • new business opportunities The low degree of capital intensity of many e-businesses, which has resulted in relatively low start-up and exploitation costs; Enhanced speed of decision-making and innovativeness; Electronic networking and clustering, which allow SMEs to combine the advantages of being small-sized with the various benefits of large scaleBenterprises.

Sign in / Sign up

Export Citation Format

Share Document