What to Do With the Resource-Based View

Inside the Black-box: Analysing the Generation of Core Competencies and Dynamic Capabilities by Exploring Collective Minds. An Organisational Learning Perspective** The paper combines resource-based thinking with perspectives from theories of organisational learning and knowledge management. According to the resource-based view (RBV) strategy can be defined as emergent pattern of interaction generating core competencies and dynamic capabilities. These processes of interaction and their relation to core competencies and dynamic capabilities are of major concern in the presented analysis. A synthesis with learning theories further leads to the basic assumption that processes of knowledge identification, knowledge diffusion, knowledge integration and the enactment of the environment are critical for generating core competencies. Moreover, learning theories show how to approach the causal ambiguityargument that is important in the explanation of core competencies given by RBV. It will be argued that the analysis of the shared mental model of the organisational members is a method to explore critical processes for generating core competencies. A related research instrument will be validated in a case study analysis that was conducted in a medium-sized enterprise aiming at testing the instrument and the aforementioned basic assumption. The instrument can explore the critical processes in which the generation of core competencies and dynamic capabilities is embedded in. It provides a better understanding of the critical processes within the organisation than the RBV. Key words: Causal ambiguity, collective minds, competitive advantages, core competencies, dynamic capabilities, knowledge management, organisational learning, resource-based view, strategic processes 1. Introduction The resource-based view (RBV) of the firm has been thoroughly discussed in strategic management literature. The basic assumptions of this approach have been developed further during the last twenty years, specified for certain organisational functions and validated in hundreds of empirical analyses (see Barney/Arikan 2001; Rouse/Daellenbach 2002; Ray/Barney/Muhanna 2004). As a consequence, the RBV became a leading paradigm in strategic management (Wernerfelt 1995; Bresser 1998). Even though there is considerable theoretical and empirical progress in resourcebased research shortcomings still exist in the theoretical underpinnings of the approach. These restrict related empirical investigations that try to measure critical resources and processes for sustainable competitive advantages. One of the major shortcomings of the RBV is the fact that the organisation remains a black-box even though it is considered as the source of organisational success (Ortmann/Sydow 2001; Priem/Butler 2001). There is a lack in explanations of how heterogeneity arises (Helfat/Peteraf 2003: 997). This is not only a limitation in the eyes of those who regard the RBV as a theory of competitive advantage - if the major interest relies on rules for richness, the causal ambiguity argument of the RBV is somehow dissatisfying. Causal ambiguity means that the link between the resources controlled by a firm, internal processes and sustained competitive advantages can neither be attributed from outside nor from organisational members (Barney 1991). Rather, the causal ambiguity paradox - even though it is inspiring - veils the view on organisational internal processes that might have a strategic impact. The RBV does not only lay emphasis on the internal organisation but also limits a deeper understanding of organisational internal strategic processes. For a further development of strategy research a broader perspective of social action within and between organisations as well as between organisations and environments is essential. As Mintzberg (1978, 1994) points out these processes of forming a pattern of strategic action have been neglected in strategy research (see also Quinn 1984). …

Purpose This study examines how intellectual capital components – human, structural, relational and renewal capital (RNC) – impact service innovation performance (SIP) in Chinese management consulting firms. It also investigates the mediating role of dynamic capabilities (DCs) in transforming intellectual capital into innovative service outcomes. The research aims to provide a comprehensive understanding of how consulting firms can strategically leverage their intangible resources and organizational capabilities to sustain a competitive advantage in a rapidly evolving market. Design/methodology/approach The study employs a quantitative research design using survey data from Chinese management consulting firms. Structural equation modeling is utilized to test relationships between intellectual capital dimensions, DCs and SIP. The analysis focuses on the direct effects of human, structural, relational and RNC on innovation, as well as the mediating effect of DCs. This empirical approach integrates theories from the resource-based view (RBV), enterprise capability theory and service innovation literature. Findings Results indicate all four intellectual capital components positively and significantly influence service innovation, with RNC exerting the strongest effect. DCs mediate these relationships by enabling firms to sense opportunities, seize them and reconfigure resources effectively. Human capital (HC) fosters creativity; structural capital supports knowledge management; relational capital enhances client collaboration and RNC drives continuous learning and adaptability. The findings confirm that strategic orchestration of intellectual capital through DCs is essential for sustaining innovation in consulting services. Research limitations/implications The study is limited by its focus on Chinese consulting firms, which may restrict generalizability to other cultural or industry contexts. The cross-sectional design limits causal inferences, suggesting longitudinal studies for future research. Measurement of intellectual capital and DCs relies on self-reported data, which may introduce bias. Further research could explore sector-specific variations, incorporate qualitative insights and examine external environmental factors influencing the intellectual capital innovation relationship. Despite limitations, the findings offer valuable insights for theory development and practical innovation management in knowledge-intensive service industries. Practical implications Consulting firms should invest in targeted HC development, advanced knowledge management systems and robust client relationship management to drive service innovation. Emphasizing continuous learning and renewal through research and development, foresight activities and collaborative partnerships is critical. Firms must enhance DCs by adopting agile project management and digital tools to quickly sense, seize and reconfigure resources. An integrated innovation strategy combining intellectual capital development with capability building helps firms remain competitive and responsive to rapid market changes. These practices foster sustained innovation, improved client satisfaction and organizational resilience. Social implications By enhancing service innovation, consulting firms contribute to more effective and customized solutions for client organizations, potentially improving overall business performance and economic growth. The promotion of continuous learning and talent development supports workforce skill advancement and knowledge diffusion within the industry. Trust-based client relationships foster transparency and collaboration, encouraging ethical business practices. Additionally, innovation driven by intellectual capital and DCs can lead to sustainable consulting services that better address complex societal challenges. These outcomes collectively promote a knowledge-based economy and strengthen the social fabric of professional service ecosystems. Originality/value This study uniquely integrates intellectual capital theory, DCs and service innovation theory to offer a holistic framework explaining innovation performance in consulting firms. It empirically validates the mediating role of DCs in converting intellectual capital into service innovation, extending the RBV with capability orchestration. By focusing on the Chinese management consulting context, the research provides culturally relevant insights into intangible resource management. The multi-theoretical model advances academic understanding and offers actionable strategies for practitioners to enhance innovation through coordinated development of human, structural, relational and RNC alongside dynamic organizational capabilities.

Taking the resource-based view –RBV- and the dynamic capability view –DCV- as an orientation, the main aim of this study is to develop the mediator role that competitive advantages play in the relations between strategic resources, dynamic capabilities and performance. The study takes place in a dynamic and changing sector: the sale of new cars in Portugal. The results show that (a) achieving competitive advantages, which are decisive for business results, depends on the available strategic resources and the generating of dynamic capabilities, (b) in dynamic and changing sectors strategic resources are essential to generate dynamic capabilities, (c) firms must center their attention on, more than results, the generating of sustainable competitive advantages as these act as a mediator variable of the effect of strategic resources and dynamic capabilities on performance. The data scrutiny uses structural equation modeling (SEM) through PLS as the statistical instrument. The sample comprises 89 firms which sell new cars in Portugal.

Applying the resource-based view (RBV), this article examines two organisational capabilities in the hotel distribution sector: strategic alignment and dynamic capabilities. Exploratory interviews conducted with business managers (BMs) and technology managers (TMs) from the hotel sector allowed to operationalise three constructs used in this research: the maturity of strategic online alignment, the maturity of dynamic online capabilities, and organisational performance. A subsequent questionnaire survey administered among BMs and TMs from 101 hotels in Morocco then allowed to validate the three hypotheses of this research: H1 Strategic alignment maturity has a direct and positive effect on the maturity of dynamic online capabilities; H2 The maturity of dynamic online capabilities is significantly linked to organisational performance; H3 The maturity of strategic online alignment is significantly linked to organisational performance.

Objective: This study investigates how artificial intelligence (AI) research relates to firm value, focusing on dominant thematic trends, theoretical foundations, and global collaboration patterns. Methods: A PRISMA-guided systematic review was conducted on 219 peer-reviewed articles published between 2013 and May 2025 in the Web of Science Social Sciences Citation Index. Bibliometric techniques, including co-word, co-citation, and collaboration network analyses, were performed using the bibliometrix (version 4.2.3) in R (version 4.4.2) package to map key concepts, intellectual structures, and international research partnerships. Results: The literature is primarily grounded in strategic management theories such as the resource-based view (RBV) and dynamic capabilities. Emerging research streams emphasize digital transformation, big data analytics, and decision support systems. Frequently co-occurring terms include “firm performance,” “artificial intelligence,” “dynamic capabilities,” “information technology,” and “decision-making.” Collaboration mapping highlights the United States, United Kingdom, and China as leading hubs, with increasing contributions from emerging economies such as India, Malaysia, and Saudi Arabia. The alignment between co-word and co-citation structures reflects a shift from foundational theory to applied AI capabilities in firm-value creation. Implications: By integrating a systematic review with advanced bibliometric and science-mapping methods, this work establishes a structured foundation for theory development, empirical testing, and policy formulation in AI-driven business landscapes.

Recent years, Enterprise Dynamic Capabilities is considered as a key of the firm's competition, the more dynamic the competing environment is, and the strategy-making dynamic capabilities of the enterprise are more important. We argue that the dynamic capabilities theory (DCT) is a logical extension of the resource-based view (RBV), and then, we design an identifiable framework of dynamic capabilities, which is based on the interaction-space view, and provide an approach for the application of DCT and RBV.

Purpose This study identifies the critical factors influencing the adoption of artificial intelligence in recruitment processes and examines how such adoption reconfigures the sources of competitive advantage. Design/methodology/approach Drawing on the resource-based view and dynamic managerial capabilities perspectives, we conceptualise managerial capabilities as the applied manifestation of the microfoundations of dynamic managerial capabilities, in the context of artificial intelligence implementation. Data from 245 HR professionals involved in artificial intelligence driven recruitment were analysed using structural equation modelling. Findings HR competency and open innovation, operating through the microfoundations of dynamic managerial capabilities and manifested in managerial capabilities, significantly drive artificial intelligence adoption. Top management support strengthens these relationships by ensuring strategic alignment and resource mobilisation. Artificial intelligence adoption enhances competitive advantage by integrating human expertise with artificial intelligence–enabled capabilities. Research limitations/implications The study does not capture longitudinal dynamics and their generalisability across different cultural and industrial contexts. Practical implications Organisations should build internal capabilities, foster external innovation partnerships and secure leadership commitment to ensure responsible and strategically aligned artificial intelligence adoption. Social implications The adoption of AI in recruitment processes underscores the pivotal role of human-machine collaboration, enhancing HR practices and promoting a competitive edge in the labour market. This shift necessitates a re-evaluation of workforce dynamics and the ethical considerations surrounding AI integration in human resource management. Originality/value This study offers a novel perspective on how intangible resources and managerial capabilities interact to drive artificial intelligence adoption and reshape competitive advantage in recruitment contexts.

The Resource-based view (RBV) is one of the most commonly applied theories in supply chain management (SCM) and purchasing and supply management (PSM) research today. It is widely applied across many business disciplines and has inspired various extensions like the Relational View, Knowledge based View, Resource Advantage Theory, Dynamic Capabilities and Resource Orchestration, as well as multiple descendant theories like the Natural Resource-based View (NRBV) and the Social Resource-based View (SRBV). Given the extensive focus of initial efforts to explore resources and capabilities needed for superior financial performance, the NRBV and SRBV provide first insights on resources and capabilities needed to create triple bottom line value.

Linking manufacturing digitalization and technological Innovation: The mediating role of dynamic capabilities

Purpose– Prior studies have argued that small firms with dynamic capabilities can revise and reconfigure their internal resources to meet the uncertainties of their business environment. However, there is a lack of understanding of how they can develop such critical capabilities. The purpose of this paper is to propose that small firms can employ information and communication technology (ICT) capabilities as a facilitator for developing dynamic capabilities. Thus, the study builds on resource-based view (RBV) literature and information systems (IS) literature by examining the influence of ICT capabilities on the dynamic capabilities of small firms.Design/methodology/approach– Several hypotheses were tested by analysing the survey data from 291 small high-technology firms in Sweden.Findings– The results reveal that ICT capabilities influence dynamic capabilities of small firms. More specifically, the ICT use for internal efficiency positively influences adoptive capabilities, collaborative use of ICT positively influences networking capabilities, and ICT use for communications positively influences both adaptive and innovation capabilities. Consequently, the results suggest that the different components of ICT capabilities facilitate the development of the different organizational capabilities that together represent dynamic capabilities and thus, can contribute to a small firm’s competitive advantage.Practical implications– This study has few implications for the managers and CEO’s of small high-technology firms. First, by prioritizing ICT capabilities, small firms can benefit from the development of dynamic capabilities that will support them to meet the challenges of turbulent business environment. Second, because small firms usually lack internal resources (i.e. financial resources and competence), the study provides more specific direction on how they can strategically invest and build different components of ICT that will positively influence their adaptive, absorptive, innovative, and network capabilities.Originality/value– The study provides an alternative view of how ICT capabilities influence the performance of small firms, and outlines how such capabilities influence the development of dynamic capabilities. Therefore, the study in hand contributes to the RBV and IS literature by specifically linking the components of ICT capabilities to dynamic capabilities and its related sub-capabilities.

PurposeBetween 1997 and 2002, Shell changed the way it organised its advertising activity, switching from a local approach to a global organisation. The transition was significant, given the group's long history of decentralisation. It was also very successful. This paper explores how this transition was made by applying the theoretical lenses of the resource‐based view (RBV) and dynamic capability view (DCV).Design/methodology/approachQualitative data were collected in 2002 from key executives in Shell and J.W. Thompson from which observations were made about Shell's transition and the change process. These observations are then explored further by applying the theoretical lens of the RBV and its natural extension, the DCV, testing what could be learned from the practical application of these theories.FindingsA dynamic capability is identified as a significant reason for Shell's success. A second important factor was that Shell did not attempt to copy an organisation with an apparent superior capability. The paper concludes that firms generally should search for internal asymmetries on which to build resources.Originality/valueThe RBV and DCV are not new as approaches to strategic thinking, but they do remain mainly of interest to the academic community at the theoretical level. There is little empirical work that makes the concepts easily accessible to practitioners through example and translation into “everyday” experience. This paper makes a contribution in this area.

Having made a globalisation decision, a contracting firm subsequently needs to make market selection decisions that are influenced by the level of uncertainty or the risks involved, the probability of winning the bid and the expected profitability, or based on generally expected utility. This paper aims to develop a globalisation entry decision-supporting tool integrating resource-based view (RBV), dynamic capabilities and Porter’s generic value chain for international project selection. Through the combination of a questionnaire survey and an interview survey analysed by partial least squares structural equation modelling, a globalisation entry decision-supporting tool for facilitating project selection decision for contractors venturing internationally was developed. This study attempts the usage of an anomaly-seeking method in combining theories from three streams of strategic management concepts – namely, RBV, dynamic capabilities and Porter’s generic value chain theories – into an integrated decision-supporting tool for risk forecasting and project selection in the international construction market. This study contributes to the knowledge of risk assessment by enhancing the current international entry decision tools with a firm’s capability component. The model developed enables a firm to be informed of the combination of the firm’s capabilities needed to lower the exposure to certain risks.

This research conducts a systematic literature review (SLR) to synthesize current knowledge on the role of corporate social responsibility (CSR), Environmental, Social, and Governance (ESG) practices, innovation, and digital transformation in shaping sustainable competitive advantage. Covering literature from 2000 to 2025, the review analyzes findings across industries and geographies to identify key mediators, moderators, and theoretical linkages. A comprehensive search strategy was employed across Scopus, Web of Science, and Google Scholar, following PRISMA guidelines. A total of 59 peer-reviewed articles met the inclusion criteria and were subjected to thematic analysis using frameworks informed by the Resource-Based View (RBV), Natural RBV (NRBV), Dynamic Capabilities, Stakeholder Theory, and Signaling Theory. Results indicate that CSR and ESG initiatives contribute to sustainable competitive advantage (SCA) primarily through mediators such as corporate reputation, service quality, and innovation, while digital transformation acts as an enabler that strengthens transparency, operational efficiency, and stakeholder engagement. Contextual moderators, including institutional trust, financing constraints, leadership diversity, and cultural factors, further condition these relationships. The review highlights methodological strengths (diverse designs, cross-industry evidence) and weaknesses (short-term focus, inconsistent measures, contextual narrowness). Theoretically, this review advances the RBV, NRBV, and dynamic capabilities frameworks, while integrating stakeholder and signaling theories to explain mechanisms of trust and legitimacy. Practically, it emphasizes the strategic integration of sustainability and digitalization as pathways to resilience and long-term competitiveness. The review concludes by identifying research gaps and calling for longitudinal, standardized, and context-sensitive studies to advance future scholarship.

Although Business Intelligence (BI) is one of the most essential technologies to be purchased, the implementation of many BI applications fails. The reasons for this failure are not clear and still not well investigated. Resource-based View (RBV) and dynamic capability theory could help to overcome this gap and to provide an appropriate theoretical basis for future research in BI area. It is considered that BI capabilities may be critical functionalities that help organizations to improve their performance and adopt to environmental change. The research objectives for this study are: (1) conceptualization and discussion on BI dynamic capability, (2) building the comprehensive framework of BI capabilities. In order to address these objectives, the remainder of the paper is structured as follows: The first sections provide the theoretical foundations of BI, RBV and dynamic capability theory. Next, the BI capability was conceptualized. Finally, a model of BI as a dynamic capability, was proposed. The study was based mainly on: (1) a critical analysis of literature, (2) an observation of different BI initiatives undertaken in various organizations, as well as on (3) interviews with managers and experts in BI. The results of this study can be used by IT and business leaders as they plan and develop BI capabilities in their organizations.

When Prahalad and Ramaswamy (2004) proposed their experience-centric view, they created a paradigm shift. Based on this new perspective, a firm should consider to enhance their competitiveness by treating customer experiences as their core value. Both the services and products a firm provides can be considered this way. However, the ability to create an experience for the customers cannot be achieved in a short time (Berry, Carbone and Haeckel, 2002). To understand how a firm creates customer experiences, this research is based on the resource-based view, knowledge-based view and the capability perspective. The case study of Lavender Cottage was chosen based on the research requirements and the development needs of society in Taiwan. In this case study, we considered the creation of an experience and achieving a competitive advantage to be a systematic process of creating and using knowledge. However, the systematic process was based on a core value which is context specific. The core value is the source of the sustainable competitive advantage. Starting from the core value, we divided this process into three stages. First, the validating stage is the process of generating knowledge in order to create an experience. Second, the embodying stage is the stage was the firm uses the knowledge to create experiences for their customers. And, the third stage is the stage of reinforcement in which the firm enhances the knowledge generating process through customer feedback. We refer to the validating stage of the process as the brewing process in which we foment, hatch and develop a series of activities that eventually translate the core value into explicit knowledge suitable for experience creation. In the brewing process, we further identify three potential factors that may influence the quality of the knowledge obtained and consequently the degree of competitive advantage that will be achieved. In order to define embodying capability we proposed a theoretical framework to describe it. We believe that the knowledge of the employees, storytelling and contextualization can stimulate and enhance the emotional experience of consumers. These experiences by an appropriate group of consumers will then filter through, by word of mouth, to more consumers for the firm. Finally, evidence has shown that customer feedback is strongly related to the development path of Lavender Cottage by enhancing the knowledge generating process retrospectively. In other words, we will argue that the brewing process supports the embodying capability and that the embodying capability helps a firm to create experiences which customers will provide feedback on to the employees and also pass on by word of mouth to other potential customers thereby further enhancing the brewing process. This systematic loop is the basis of the competitive advantage of a service firm.