Threats and opportunities from site :: essays research papers

Threats to sustainabilityImitation or substitution food market entry Powerful buyers and suppliers Unpredictable changes in external environment Factors beyond a firms control (bad luck) Limitations of the RBV Presented as static concept - however, many firms acquire to be able to cope with turbulent environments Suggests that managers may have throttle ability to create sustained competitive advantages (empirical support by " invariably failing firms" - firms that consistently earn normal or below-normal returns Difficult to rise empirically - data problem (at the level of the unit of analysis, Le., resources and capabilities) What is the appropriate level of analysis? How deeply does one have to look? Principles of capabilities-based competition mark Build unmanageable-to-imitate organizational capabilities that distinguish a company from its competitorsPrinciples o The expression blocks of strategy are business processes o The convertation of processes into valu able strategical capabilities is a key to success o Capabilities are created by do strategic investments in support infrastructure o CEO must be responsible, because competing on capabilities involves cross-functionalitySome lessons learned from the capabilities perspectiveA ability begins and ends with the customer (or supplier) The longer and more complex the string of business processes, the harder it is to transform into a capability or to duplicate or imitate Outsourcing displace be dangerous A strategy for growth Transfer inherent business processes to New geographic areas (e.g., Wal-Mart) or to New businesses (e.g., Honda) There is a difference between capabilities and core competencies Core competencies Coordinate diverse proceeds skills and integrate multiple streams of technology atomic number 18 communication, involvement, and a deep loading to working across organizational boundaries Do not diminish with use, barely are enhanced as they are applied and shared Are the glue that binds existing businesses Are difficult to imitate, especially if they are a complex harmonization of individual technologies and production skills Are corporate resources and may be reallocated by corporate management Tests to identify core competency Does it provide access to a wide variety of markets ?Does it make a significant contribution to the perceived customer benefits of the end product? Is it difficult for competitors to imitate? Dynamic capabilitiesDefinition Ability to integrate, build and reconfigure internal and external processes and competencies to address a rapidly changing environment ability to aver and adapt the capabilities that are the basis of competitive advantageHypothesis emulous advantage of a firm lies with its processes Roles of organizational and managerial processes