Characteristics of resources and capabilities creating sustainable competitive advantage of the firm

The “Resource-based approaches to the theory of competitive advantage point towards four characteristics of resources and capabilities creating sustainable competitive advantage for the firm, including: durability, transparency, transferability, and replicability” (Grant, 1991, p. 124), that are complement to the VRIN model of Barney (1991) (in which the resources that create sustainable competitive advantage for

VRIN model or VRIO framework of Sustained Competitive Advantage of the Firm

We review the main contents of the VRIN model or VRIO framework, developed from the research of Barney, published in Journal of Management in 1991. This framework focuses on the attributes of resources that allow firm generating its sustainable competitive advantage. Four attributes of such resources include value, rareness, imitability, and non-substitutability or so-called

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The Resource-Based Process of Strategy Formulation

This article introduce a practical process of resource-based approach to strategy formulation, that includes: (i) analyzing the firm’s resource-base; (ii) appraising the firm’s capabilities; (iii) analyzing the profit-earning potential of firm’s resources and capabilities; (iv) selecting a strategy; and (v) extending and upgrading the firm’s pool of resources and capabilities. This five-stages process base

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Growth of Knowledge of the Firm

This article present the model of growth of knowledge of the firm, that is developed by Kogut and Zander (1992) in their famous article published in 1992 in Organization Science. This model explains what is knowledge, and how it develop within the firm. In the knowledge-based view, the central competitive dimension of what firms

Transformation Process of Personal to Social Knowledge within Organizations

This article focuses on the process of Transformation of Personal to Social Knowledge within organizations, that is developed by Kogut and Zander in their famous article published in 1992 in Organization Science. We begin by categorizing the organizational knowledge into information and know-how. By information, we “mean knowledge which can be transmitted without loss

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