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Interest alignment and competitive advantage

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  • Gottschalg, Oliver
  • Zollo, Mauricio

Abstract

This paper articulates a theory of the conditions under which the alignment between individual and collective interests generates sustainable competitive advantage. The theory is based on the influence of tacitness, context-specificity and casual ambiguity in the determinants of different types of motivation (extrinsic, normative intrinsic and hedonic intrinsic), under varying conditions of environmental dynamism. The analysis indicates the need to consider mitivational processes as a complement to current resource and competence-based approaches in a comprehensive theory of competitive advantage.

Suggested Citation

  • Gottschalg, Oliver & Zollo, Mauricio, 2006. "Interest alignment and competitive advantage," HEC Research Papers Series 823, HEC Paris.
    • Handle: RePEc:ebg:heccah:0823
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    More about this item

    Keywords

    interest alignment; competitive advantage;

    JEL classification:

    • L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation
    • L21 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Business Objectives of the Firm

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