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Strategy in turbulent environments: the role of dynamic competence

  • P.N SubbaNarasimha

    (Department of Management, G.R. Herberger College of Business, St. Cloud State University, MN, USA)

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    It is often observed that firm survival and success have become problematic in the turbulent environments that firms face today. Resource-based theories propose that sustained competitive advantage is more a function of firm resources than of industry structure. In this paper, the nature of resources that help firms sustain (or try to sustain) a competitive advantage in turbulent environments is queried. Viewing the firm as a stock of knowledge, the argument that dynamic competence or the variety-generating capability of knowledge is an important antecedent of superior performance in such turbulent environments is developed. Copyright © 2001 John Wiley & Sons, Ltd.

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    Article provided by John Wiley & Sons, Ltd. in its journal Managerial and Decision Economics.

    Volume (Year): 22 (2001)
    Issue (Month): 4-5 ()
    Pages: 201-212

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    Handle: RePEc:wly:mgtdec:v:22:y:2001:i:4-5:p:201-212
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    1. Teece, David J., 1982. "Towards an economic theory of the multiproduct firm," Journal of Economic Behavior & Organization, Elsevier, vol. 3(1), pages 39-63, March.
    2. Nelson, Richard R, 1982. "The Role of Knowledge in R&D Efficiency," The Quarterly Journal of Economics, MIT Press, vol. 97(3), pages 453-70, August.
    3. Richard N. Langlois & Metin M. Cosgel, 1996. "The Organization of Consumption," Working papers 1996-07, University of Connecticut, Department of Economics.
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