Influence of Dynamic Capabilities in Creating Disruptive Innovation

Authors

  • Rūta Čiutienė Kaunas University of Technology
  • Emil William Thattakath Kaunas University of Technology

DOI:

https://doi.org/10.7250/eb.2014.015

Keywords:

Dynamic Capabilities, Disruptive Innovation, Innovation Lifecycle.

Abstract

The aim of this paper is to demonstrate the influence of Dynamic Capabilities in creating Disruptive Innovation. For doing so the concepts of Dynamic Capabilities and Disruptive Innovation are reviewed. The criteria of an innovation named Disruptive Innovation are obtained by comparative study between the various innovation types. To demonstrate the role of Dynamic Capabilities in creating Disruptive Innovation, the Innovation Lifecycle is demonstrated with respect to Dynamic Capabilities. The advantages obtained from Disruptive Innovation and its superiority in comparison with other types of innovation are also portrayed. Suitable examples and case studies are presented to describe certain situations. This paper establishes the required clarification by using comparative methodology for obtaining the results.

References

Professor and Dean of Xi’an Jiaotong Liverpool University Business School in Suzhou, China, Dr. Sarah E. A. Dixon, “Failure, Survival or Success in a Turbulent Environment: The Dynamic Capabilities Lifecycle,” Management Articles of the Year January, 2013. [Accessed 25.05.2014].

Bernard, B., “Incumbent Curse or Incumbent Capabilities?” Solvay Brussels School of Economics and Management, 2013. [Accessed 27.06.2014].

Christensen, C. M., Horn, M. B. and Johnson, C. W., “Disrupting Class: How Disruptive Innovation Will Change the Way the World Learns,” New York: McGraw-Hill, 2008. [4] Prahalad, C. K. and Hamel, G., “The Core Competences of the Corporation,” Harvard Business Review. May 1990.

Nonaka, I. and Takeuchi, H., “The Knowledge-Creating Company: How Japanese Companies Create the Dynamics of Innovation,” Oxford University Press, 1995.

Helfat, C. E., “Dynamic Capabilities: Understanding Strategic Change in Organizations,” Malden, MA: Blackwell Pub., 2007.

Teece, D. J., Pisano, G. and Shuen, A., “Dynamic Capabilities and Strategic Management,” Berkeley: U of California, 1992.

Barney, J., “Firm Resources and Sustained Competitive Advantage,” Journal of Management vol. 17, no. 1, 1991, pp. 99‒120. Web. [Accessed: 12.06.2014]. http://dx.doi.org/10.1177/014920639101700108

Danneels, E., “The Dynamics of Product Innovation and Firm Competences,” Strategic Management Journal vol. 23, no. 12, 2002, pp. 1095‒1121. [Accessed: 05.06.2014]. http://dx.doi.org/10.1002/smj.275

Makadok, R., “Toward a Synthesis of the Resource-based and Dynamic-capability Views of Rent Creation,” Strategic Management Journal vol. 22, no. 5, 2001, pp. 387‒401. [Accessed: 15.06.2014]. http://dx.doi.org/10.1002/smj.158

Zollo, M. and Winter, S. G., “Deliberate Learning and the Evolution of Dynamic Capabilities,” Organization Science vol. 13, no. 3, 2002, pp. 339‒351. [Accessed: 25.05.2014]. http://dx.doi.org/10.1287/orsc.13.3.339.2780

Ireland, R. D., Hitt, M. A. and Sirmon, D. G., “A Model of Strategic Entrepreneurship: The Construct and Its Dimensions,” Journal of Management vol. 29, no. 6, 2003, pp. 963‒989. [Accessed 07.06.2014].

Dierickx, I. and Cool, K., “Asset Stock Accumulation and Sustainability of Competitive Advantage,” Management Science vol. 35, no. 12, 1989, pp. 1504 ‒ 1511. [Accessed: 04.06.2014]. http://dx.doi.org/10.1287/mnsc.35.12.1504

Teece, D. J., Pisano, G. and Shuen, A., “Dynamic Capabilities and Strategic Management,” Strategic Management Journal vol. 18, no. 7, 1997, pp. 509‒533. [Accessed: 01.06.2014]. http://dx.doi.org/10.1002/(SICI)1097-0266(199708)18:7<509::AID-SMJ882>3.0.CO;2-Z

Helfat, C. E. and Peteraf, M. A., “The Dynamic Resource-based View: Capability Lifecycles,” Strategic Management Journal vol. 24, no. 10, 2003, pp. 997‒1010. [Accessed: 02.06.2014]. http://dx.doi.org/10.1002/smj.332

Bower, J., Christensen, C., “Disruptive technologies,” Catching the wave. Harv Bus Rev, 1995, pp. 43‒53.

Tellis, G. J., “Disruptive technology or visionary leadership?” J. Prod. Innov. Manag., vol. 23, no. 1, 2006, pp. 34‒38. http://dx.doi.org/10.1111/j.1540-5885.2005.00179.x

Danneels, E., “Disruptive technology reconsidered ‒ a critique and research agenda,” Prod Dev Manag Assoc 2004, vol. 21, pp. 246‒258.

Gilbert, J. B., Confronting disruptive innovation; 2013. pp. 280‒2.

Porter, M. E., “Technology and Competitive Advantage,” Journal of Business Strategy, vol. 5, no. 3, 1985, pp. 60‒78. [Accessed: 05.06.2014]. http://dx.doi.org/10.1108/eb039075

Anderson, P. and Tushman, M. L., “Technological Discontinuities and Dominant Designs: A Cyclical Model of Technological Change,” Administrative Science Quarterly vol. 35, no. 4, 1990, pp. 604‒633. [Accessed 11.06.2014].

Abernathy, W. and Kimb, C. “Innovation: Mapping the Winds of Creative Destruction,” Research Policy, vol. 22, no. 2, 1993, p. 102. [Accessed: 09.06.2014].

Kalbach, J., “Clarifying Innovation: Four Zones of Innovation,” Experiencing Information. [Accessed: 10.06.2014].

Eckermann, E., “World History of the Automobile’. SAE Press, 2001, p. 14. http://dx.doi.org/10.4271/R-272

Ambrosini, V., Bowman, C. and Schoenberg, R., “Should Acquiring Firms Pursue More Than One Value Creation Strategy? An Empirical Test of Acquisition Performance,” British Journal of Management vol. 22, no. 1, 2011, pp. 173‒185. [Accessed: 13.06.2014]. http://dx.doi.org/10.1111/j.1467-8551.2010.00693.x

Kishore, S., “The Power of Incremental Innovation,” Wired.com, 2013, [Accessed 13.06.2014].

Tumati, P., “Types of Innovations.” Go for Funding, 2013, [Accessed: 15.06.2014].

Gilliard, M., “Radical Innovation,” Innovation Creativity, 2014. [Accessed: 15.06.2014].

Downloads

Published

11.02.2015

How to Cite

Čiutienė, R., & Thattakath, E. W. (2015). Influence of Dynamic Capabilities in Creating Disruptive Innovation. Economics and Business, 26, 15-21. https://doi.org/10.7250/eb.2014.015