The behavioral and evolutionary roots of dynamic capabilities

Date

2017-11-10

Advisors

Journal Title

Journal ISSN

ISSN

0960-6491
1464-3650

Volume Title

Publisher

Oxford University Press

Type

Article

Peer reviewed

Yes

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 paper, 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.

Description

The file attached to this record is the author's final peer reviewed version. The Publisher's final version can be found by following the DOI link

Keywords

Dynamic capabilities, Behavioral theory of the firm, Evolutionary theory of the firm, routines

Citation

Arndt, F., Pierce, L., and Teece, D. (2017) The behavioral and evolutionary roots of dynamic capabilities. Industrial and Corporate Change, 27 (2), pp. 413-424

Rights

Research Institute

Centre for Enterprise and Innovation (CEI)