The behavioral and evolutionary roots of dynamic capabilities. (10th November 2017)

• Record Type: Journal Article
• Authors: Arndt, Felix; Pierce, Lamar
• Is Part Of: Industrial and corporate change. Volume 27:Number 2(2018)
• Page Start: 413
• Page End: 424
• Publication Date: 2017-11-10
• Subjects: L -- M -- N -- O; Organizational change -- Periodicals; Organizational effectiveness -- Periodicals; Industrial management -- Periodicals; 658.4062
• DOI: 10.1093/icc/dtx042
• Languages: English
• ISSNs: 0960-6491

Abstract

Abstract: Although the dynamic capabilities framework has proved important for explaining long-term competitive advantage, some scholars have attacked it as lacking theoretical underpinnings. In this article, we clarify the lineage of the "dynamics" in the dynamic capabilities framework from the non-strategic model of Cyert and March to the dynamic evolutionary theory of the firm in Nelson and Winter that enabled the initial breakthrough of Teece, Pisano, and Shuen. We explain that the theoretical schism in dynamic capabilities between the tradition of Eisenhardt and Martin and that of Teece and colleagues can be traced to their relative emphasis on behavioral versus evolutionary theories. Finally, we provide a brief overview of implications for emergent topics and empirical research, along with ideas for future research.