Towards a model of dynamic capabilities in innovation-based competitive strategy : insights from project-oriented service firms

Salunke, Sandeep, Weerawardena, Jay, & McColl-Kennedy, Janet R. (2011) Towards a model of dynamic capabilities in innovation-based competitive strategy : insights from project-oriented service firms. Industrial Marketing Management, 40(8), pp. 1251-1263.

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With the growing significance of services in most developed economies, there is an increased interest in the role of service innovation in service firm competitive strategy. Despite growing literature on service innovation, it remains fragmented reflecting the need for a model that captures key antecedents driving the service innovation-based competitive advantage process. Building on extant literature and using thirteen in-depth interviews with CEOs of project-oriented service firms, this paper presents a model of innovation-based competitive advantage. The emergent model suggests that entrepreneurial service firms pursuing innovation carefully select and use dynamic capabilities that enable them to achieve greater innovation and sustained competitive advantage. Our findings indicate that firms purposefully use create, extend and modify processes to build and nurture key dynamic capabilities. The paper presents a set of theoretical propositions to guide future research. Implications for theory and practice are discussed. Finally, directions for future research are outlined.

Impact and interest:

45 citations in Scopus
27 citations in Web of Science®
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ID Code: 47017
Item Type: Journal Article
Refereed: Yes
Keywords: Dynamic Capabilities, Service Innovation, Competitive Strategy, Project-oriented Service Firms, Service Entrepreneurship
DOI: 10.1016/j.indmarman.2011.10.009
ISSN: 0019-8501
Subjects: Australian and New Zealand Standard Research Classification > COMMERCE MANAGEMENT TOURISM AND SERVICES (150000) > BUSINESS AND MANAGEMENT (150300) > Entrepreneurship (150304)
Divisions: Current > Research Centres > Australian Centre for Entrepreneurship
Current > QUT Faculties and Divisions > QUT Business School
Copyright Owner: Copyright 2011 Elsevier
Copyright Statement: This is the author’s version of a work that was accepted for publication in [Industrial Marketing Management]. Changes resulting from the publishing process, such as peer review, editing, corrections, structural formatting, and other quality control mechanisms may not be reflected in this document. Changes may have been made to this work since it was submitted for publication. A definitive version was subsequently published in Industrial Marketing Management, [in press, (2011)] DOI:
Deposited On: 15 Nov 2011 23:03
Last Modified: 21 Jun 2017 21:37

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