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The Role of Dynamic Capabilities in Creating Product Innovations

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  • P. O. Semenov

Abstract

This paper examines the importance of innovation in the development of new products as a means of increasing organizational competitiveness. It reviews the theoretical foundations of the resource- and capability-based view of the firm, with particular attention to the contemporary concept of dynamic capabilities. The paper identifies four key higher-level competencies – dynamic capabilities – that are used to analyze the impact of specific firm abilities on the effectiveness of product innovation: sensing capability, seizing capability, transformation capability, and entrepreneurial management capability. Based on this review, a general thesis and a theoretical model are proposed that may be applied in empirical research and further tested using real-world cases of product innovation.

Suggested Citation

  • P. O. Semenov, 2026. "The Role of Dynamic Capabilities in Creating Product Innovations," Strategic decisions and risk management, Real Economy Publishing House, vol. 16(4).
    • Handle: RePEc:abw:journl:y:2026:id:1244
    DOI: 10.17747/2618-947X-2025-4-404-408
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