Identification of the Dynamic Capabilities Ecosystem—A Systems Thinking Perspective

An in-depth look at the extant literature of dynamic capabilities (DCs) shows that the focus has been on the development, justification, and validation of individual DCs through both conceptual and empirical methods. We argue that studying DCs in isolation may not offer a complete practical meaning....

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Bibliographic Details
Published inGroup & organization management Vol. 46; no. 5; pp. 893 - 930
Main Authors Sunder M, Vijaya, Ganesh, L S
Format Journal Article
LanguageEnglish
Published Los Angeles, CA SAGE Publications 01.10.2021
SAGE PUBLICATIONS, INC
Subjects
Cognition & reasoning
Competitive advantage
Deductive reasoning
Justification
systems thinking
competitive advantage
complex systems
theory building
ecosystem
dynamic capabilities
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Summary:An in-depth look at the extant literature of dynamic capabilities (DCs) shows that the focus has been on the development, justification, and validation of individual DCs through both conceptual and empirical methods. We argue that studying DCs in isolation may not offer a complete practical meaning. Organizations being complex systems, multiple combinations of capabilities and their interrelationships (as a DC system) lead to a sustained competitive advantage, and this effect cannot be attributed to a single DC in isolation. Through this article, we present a system theoretic view of DCs and subsequently propose the concept of a DC ecosystem using a systems thinking perspective. We use the logical reasoning approach of justificationism to present the associated propositions. We conclude with a discussion of managerial implications and suggestions for future research.
ISSN:1059-6011
1552-3993
DOI:10.1177/1059601120963636