Teece (1997)

Question 1

what does teece argue?

Answer 1

that porters five forces (market based view) is an outdated theory.

The dynamic capability (DC) view is an evolution of the Resource-based view (RBV)
- RBV: source of competitive advantage is in organizational resources
- DC: in addition to hard-to-replicate resources, hard-to-replicate DSs are needed for competitive advantage

Question 2

Dynamic capbility are:

Answer 2

specific skills, processes, and activities that enable companies to adapt their recourse base to address rapidly changing environment
- These involve Sensing and shaping of business opportunities and threats, the seizing of business opportunities, and the ability to reconfigure organizational resources as a means of addressing long-term threats

Question 3

Sensing and shaping opportunities and threats

Answer 3

firm processes that allow the identification, assessment, and exploitation of opportunities in local and global markets. Sensing capabilities involve various activities that revolve around scanning, learning, creating, and interpreting

Question 4

Seizing opportunities

Answer 4

the mobilization of resources to address the identified technological or market opportunities through new products, processes, and services, and to capture value from doing so.

Question 5

Managing threats and reconfiguration

Answer 5

continued organizational renewal to maintain the evolutionary fitness of the organization. As Teece (2007) states “a key to sustained profitable growth is the ability to recombine and to reconfigure assets and organizational structures as the enterprise grows, and as markets and technologies change.

Question 6

Conclusion

Answer 6

Success requires the creation of new products and processes and the implementation of new organizational forms and business models, driven by an intensely entrepreneurial genre of management constantly honing the evolutionary and entrepreneurial fitness of the enterprise.