Table of Contents
Reading Lecture 1 ........................................................................................................................................... 2
VALUE CREATION AND VALUE CAPTURE: A MULTILEVEL PERSPECTIVE ............................................................. 2
by David P. Lepak, Ken G. Smith, and M. Susan Taylor ....................................................................................... 2
Reading Lecture 2 ........................................................................................................................................... 4
FIRM RESOURCES AND SUSTAINED COMPETITIVE ADVANTAGE ........................................................................ 4
by Jay Barney ...................................................................................................................................................... 4
DYNAMIC CAPABILITIES: WHAT ARE THEY?........................................................................................................ 5
by Kathleen M. Eisenhardt and Jeffrey A. Martin ............................................................................................... 5
Reading Lecture 3 ........................................................................................................................................... 6
COMPETITOR ANALYSIS AND INTERFIRM RIVALRY: TOWARD A THEORETICAL INTEGRATION .......................... 6
by Ming-Jer Chen ................................................................................................................................................ 6
BLIND SPOTS IN COMPETITIVE ANALYSIS ........................................................................................................... 8
by Shaker A. Zahra and Sherry S. Chaples .......................................................................................................... 8
TESLA’S NOT AS DISRUPTIVE AS YOU MIGHT THINK ........................................................................................ 10
Reading Lecture 4 ......................................................................................................................................... 11
STRATEGY AND UNCERTAINTY: RESOURCE-BASED VIEW, STRATEGY-CREATION VIEW, AND THE HYBRID
BETWEEN THEM ............................................................................................................................................... 11
by Nathan R. Furr and Kathleen M. Eisenhardt ................................................................................................ 11
THE DISCIPLINE OF BUSINESS EXPERIMENTATION ........................................................................................... 13
from Harvard Business Review ......................................................................................................................... 13
Reading Lecture 5 ......................................................................................................................................... 15
WHAT IS DIFFERENT ABOUT DIGITAL STRATEGY? FROM QUANTITATIVE TO QUALITATIVE CHANGE.............. 15
by Ron Adner, Phanish Puranam, and Feng Zhu:.............................................................................................. 15
HOW TO DEVELOP A GREAT DIGITAL STRATGY ................................................................................................ 16
from MIT Sloan Management Review .............................................................................................................. 16
by Jeanne W. Ross, Ina M. Sebastian, and Cynthia M. Beath ........................................................................... 16
Reading Lecture 6 ......................................................................................................................................... 18
THE MYTHS AND REALITIES OF BUSINESS ECOSYSTEMS .................................................................................. 18
from MIT Sloan Management Review .............................................................................................................. 18
by Jack Fuller, Michael G. Jacobides, and Martin Reeves ................................................................................. 18
HOW FIRMS NAVIGATE COOPERATION AND COMPETITION IN NASCENT ECOSYSTEMS ................................. 20
by Douglas P. Hannah, Kathleen M. Eisenhardt, and published in the Strategic Management Journal .......... 20
1
,Reading Lecture 1
VALUE CREATION AND VALUE CAPTURE: A MULTILEVEL PERSPECTIVE
by David P. Lepak, Ken G. Smith, and M. Susan Taylor
Introduction:
• The document introduces the topic of value creation, defining it in terms of use value
and exchange value.
• The process of value creation varies based on whether the value is created by an
individual, an organization, or society.
• The concepts of competition and isolating mechanisms are used to explain how value
can be captured at different levels of analysis.
• There's a lack of consensus among scholars about what value creation is and how it's
achieved.
• Different disciplines, such as strategic management, HRM, marketing, and
entrepreneurship, have varying perspectives on value creation targeting different
entities like business owners, stakeholders, or customers.
• Value creation is a central concept in both micro (individual, group) and macro
(organization theory, strategic management) research.
Value Creation Defined:
• Value creation depends on the perceived quality of a new job, task, product, or
service in relation to the needs of users.
• Two types of value are introduced:
1. Use Value: Refers to the specific quality of a new job, task, product, or service
as perceived by users.
2. Exchange Value: The monetary amount realized when the exchange of the
new task, product, or service takes place.
Process of Value Creation:
• The process of value creation is contingent on the source and targets of value
creation and the level of analysis.
• At the individual level, value is created through creative acts and certain individual
attributes interacting with the environment.
• At the organizational level, value creation involves innovation, knowledge creation,
invention, and management. Innovation and invention activities are highlighted as
key aspects of organizational value creation.
Individuals as Value Creators:
• Individuals create value by developing novel tasks, services, jobs, products, or other
contributions perceived as valuable by a target user.
• Individual creativity, intrinsic motivation, and interaction with the environment are
crucial for value creation at this level.
Organizations as Value Creators:
• Organizations create value when they develop new methods, technologies, or use
new raw materials.
2
, • Innovation and invention are central to organizational value creation. Innovative
organizations introduce new products, services, or management practices.
The document further delves into the intricacies of value creation and capture, emphasizing
the importance of understanding the processes at different levels of analysis.
3
Reading Lecture 1 ........................................................................................................................................... 2
VALUE CREATION AND VALUE CAPTURE: A MULTILEVEL PERSPECTIVE ............................................................. 2
by David P. Lepak, Ken G. Smith, and M. Susan Taylor ....................................................................................... 2
Reading Lecture 2 ........................................................................................................................................... 4
FIRM RESOURCES AND SUSTAINED COMPETITIVE ADVANTAGE ........................................................................ 4
by Jay Barney ...................................................................................................................................................... 4
DYNAMIC CAPABILITIES: WHAT ARE THEY?........................................................................................................ 5
by Kathleen M. Eisenhardt and Jeffrey A. Martin ............................................................................................... 5
Reading Lecture 3 ........................................................................................................................................... 6
COMPETITOR ANALYSIS AND INTERFIRM RIVALRY: TOWARD A THEORETICAL INTEGRATION .......................... 6
by Ming-Jer Chen ................................................................................................................................................ 6
BLIND SPOTS IN COMPETITIVE ANALYSIS ........................................................................................................... 8
by Shaker A. Zahra and Sherry S. Chaples .......................................................................................................... 8
TESLA’S NOT AS DISRUPTIVE AS YOU MIGHT THINK ........................................................................................ 10
Reading Lecture 4 ......................................................................................................................................... 11
STRATEGY AND UNCERTAINTY: RESOURCE-BASED VIEW, STRATEGY-CREATION VIEW, AND THE HYBRID
BETWEEN THEM ............................................................................................................................................... 11
by Nathan R. Furr and Kathleen M. Eisenhardt ................................................................................................ 11
THE DISCIPLINE OF BUSINESS EXPERIMENTATION ........................................................................................... 13
from Harvard Business Review ......................................................................................................................... 13
Reading Lecture 5 ......................................................................................................................................... 15
WHAT IS DIFFERENT ABOUT DIGITAL STRATEGY? FROM QUANTITATIVE TO QUALITATIVE CHANGE.............. 15
by Ron Adner, Phanish Puranam, and Feng Zhu:.............................................................................................. 15
HOW TO DEVELOP A GREAT DIGITAL STRATGY ................................................................................................ 16
from MIT Sloan Management Review .............................................................................................................. 16
by Jeanne W. Ross, Ina M. Sebastian, and Cynthia M. Beath ........................................................................... 16
Reading Lecture 6 ......................................................................................................................................... 18
THE MYTHS AND REALITIES OF BUSINESS ECOSYSTEMS .................................................................................. 18
from MIT Sloan Management Review .............................................................................................................. 18
by Jack Fuller, Michael G. Jacobides, and Martin Reeves ................................................................................. 18
HOW FIRMS NAVIGATE COOPERATION AND COMPETITION IN NASCENT ECOSYSTEMS ................................. 20
by Douglas P. Hannah, Kathleen M. Eisenhardt, and published in the Strategic Management Journal .......... 20
1
,Reading Lecture 1
VALUE CREATION AND VALUE CAPTURE: A MULTILEVEL PERSPECTIVE
by David P. Lepak, Ken G. Smith, and M. Susan Taylor
Introduction:
• The document introduces the topic of value creation, defining it in terms of use value
and exchange value.
• The process of value creation varies based on whether the value is created by an
individual, an organization, or society.
• The concepts of competition and isolating mechanisms are used to explain how value
can be captured at different levels of analysis.
• There's a lack of consensus among scholars about what value creation is and how it's
achieved.
• Different disciplines, such as strategic management, HRM, marketing, and
entrepreneurship, have varying perspectives on value creation targeting different
entities like business owners, stakeholders, or customers.
• Value creation is a central concept in both micro (individual, group) and macro
(organization theory, strategic management) research.
Value Creation Defined:
• Value creation depends on the perceived quality of a new job, task, product, or
service in relation to the needs of users.
• Two types of value are introduced:
1. Use Value: Refers to the specific quality of a new job, task, product, or service
as perceived by users.
2. Exchange Value: The monetary amount realized when the exchange of the
new task, product, or service takes place.
Process of Value Creation:
• The process of value creation is contingent on the source and targets of value
creation and the level of analysis.
• At the individual level, value is created through creative acts and certain individual
attributes interacting with the environment.
• At the organizational level, value creation involves innovation, knowledge creation,
invention, and management. Innovation and invention activities are highlighted as
key aspects of organizational value creation.
Individuals as Value Creators:
• Individuals create value by developing novel tasks, services, jobs, products, or other
contributions perceived as valuable by a target user.
• Individual creativity, intrinsic motivation, and interaction with the environment are
crucial for value creation at this level.
Organizations as Value Creators:
• Organizations create value when they develop new methods, technologies, or use
new raw materials.
2
, • Innovation and invention are central to organizational value creation. Innovative
organizations introduce new products, services, or management practices.
The document further delves into the intricacies of value creation and capture, emphasizing
the importance of understanding the processes at different levels of analysis.
3
