Technological Know-How, Organizational Capabilities, And Strategic Management: Business Strategy And Enterprise Development in Competitive Environments

Contents......Page 6
Introduction......Page 8
Part I: FOUNDATIONS......Page 16
Knowledge and Competitive Advantage......Page 18
Expansion of What's Tradable......Page 19
The Growing Importance of Increasing Returns......Page 20
Decoupling of Information Flows from the Flow of Goods and Services......Page 22
Ramifications of New Information and Communications Technologies......Page 23
Implications......Page 24
CapturingValue from Knowledge and Competence......Page 25
The Nature of Knowledge......Page 26
Replicability, Imitability, and Appropriabilityl......Page 28
Appropriability and Markets for Know-How and Competence......Page 30
Some Sectoral Differences in the Market for Know-How......Page 32
Dynamic Capabilities......Page 35
Implications for the Theory of the Firm......Page 38
Conclusion......Page 39
Notes......Page 40
INTRODUCTION......Page 42
MODELS OF STRATEGY EMPHASIZING THE EXPLOITATION OF MARKET POWER......Page 44
MODELS OF STRATEGY EMPHASIZING EFFICIENCY......Page 46
TOWARD A DYNAMIC CAPABILITIES FRAMEWORK......Page 48
Markets and strategic capabilities......Page 49
Replicability and imitatability of organizational processes and positions......Page 57
CONCLUSION......Page 59
Normative implications......Page 61
REFERENCES......Page 63
1 INTRODUCTION......Page 68
2 THE BEHAVIORAL THEORY OF THE FIRM......Page 69
3 THE BEHAVIORAL THEORY OF THE FIRM AND STRATEGY......Page 71
4 THE BEHAVIORAL THEORY AND FIRM COMPETENCIES......Page 72
5 THE BEHAVIORAL THEORY AND DYNAMIC CAPABILITIES......Page 76
REFERENCES......Page 80
Authors......Page 84
The Resource Based Theory of the Firm......Page 85
Penrose and the Theory of Dynamic Capabilities......Page 87
Other Growth Issues and the Penrose Effect......Page 89
Entrepreneurship, Enterprise Design, and the Role of Markets......Page 90
Dynamic Capabilities, Resources and Competitive Advantage: Implications for MNEs......Page 93
Acknowledgements......Page 97
Endnotes......Page 98
References......Page 100
Understanding the Fundamental Economic Problems "Solved" by Strategic Managers......Page 102
Asset Orchestration (In the Face of Thin Markets)......Page 104
General considerations regarding asset orchestration......Page 105
Asset Orchestration Versus Coordination and Adaptation......Page 107
Towards a Dynamic Capabilities (Economic) Theory of the Firm......Page 110
Conclusion......Page 112
Part II: INTELLECTUAL CAPITAL, TECHNOLOGY TRANSFER, AND ORGANIZATIONAL LEARNING......Page 114
Introduction......Page 116
Organizing Research and Development and Knowledge Production Activities......Page 118
The Economics of Knowledge: Some Historical Roots Antecedents......Page 120
Innovation and Economic Growth......Page 122
Firm-Level Developments......Page 124
The Nature of Knowledge......Page 125
Replicability, Imitability, and Appropriability of Knowledge......Page 129
Capturing Value from Intellectual Capital......Page 131
Measurement Issues: Accounting and Market Metrics (Tobin's Q)......Page 133
Gross Margins......Page 134
Organizational Capital......Page 135
Conclusion......Page 136
References......Page 137
1. Introduction......Page 142
2. Mansfield's vision and early work......Page 143
3. The economics of (international) technology transfer......Page 144
4. Summarizing elements of received wisdom on replication and transfer......Page 145
5. Capturing value from intellectual capital......Page 150
6. Valuation issues: accounting and market metrics......Page 152
7. The multinational firm, internalization, and R&D activity......Page 155
Notes......Page 156
References......Page 157
I. INTRODUCTION......Page 160
II. THE ORGANIZATIONAL DIMENSIONS OF TECHNOLOGY STRATEGY......Page 162
III. FORCES DETERMINING TECHNOLOGY SOURCING STRATEGIES......Page 164
A. Sources of Know-how......Page 165
B. Appropriability Issues......Page 166
C. Transactions Costs......Page 167
IV. THE EXTERNAL PROCUREMENT OF KNOW-HOW......Page 168
A. Pro-active Considerations......Page 169
C. Implications......Page 171
V. ACCESSING COMPLEMENTARY ASSETS6......Page 172
A. Contractual Modes......Page 174
B. Integration Modes......Page 175
C. Mixed Modes......Page 176
VI. THE GOVERNANCE OF COLLABORATIVE RELATIONSHIPS IN THE WORLD'S TELECOMMUNICATIONS EQUIPMENT INDUSTRY......Page 180
A. Source of Data......Page 181
VIII. CONCLUSIONS......Page 187
REFERENCES......Page 188
INTRODUCTION......Page 190
COMPETENCES AND CAPABILITIES......Page 191
Processes......Page 192
Positions......Page 197
Paths......Page 198
Replicability and Imitability of Organizational Processes and Positions......Page 202
IMPLICATIONS......Page 205
REFERENCES......Page 209
10. A Review and Assessment of Organizational Learning in Economic Theories Christopher S. Boerner, Jeffrey T. Macher and David J. Teece......Page 214
Orthodox Models of learning......Page 215
Behavioral Modifications......Page 216
Institutional Modifications......Page 219
Equilibrium Modifications......Page 220
Learning and Innovation......Page 224
Types of Learning Processes......Page 225
Sources of Know/edge......Page 227
Incremental and Cumulative Learning......Page 229
Organizational Learning and the Theory of the Firm......Page 230
Antecedents......Page 231
Transaction-cost Economics......Page 232
Resource-based and Evolutionary Theories of the Firm......Page 233
Dynamic Capabilities and the Knowledge-creating Organization......Page 234
Conclusion......Page 236
References......Page 237
The assembling of evidence to test the proposition that firm-level competitive advantage in open economies flows from difficult-to-rep1icate knowledge assets......Page 244
Making greater efforts to quantify the value of intangible assets......Page 245
Understand generic inputs, idiosyncratic inputs and profitability......Page 246
Reflections on the Berkeley Initiative......Page 247
References......Page 249
Part III: MARKET ENTRY AND LICENSING STRATEGIES FOR INNOVATIVE FIRMS......Page 250
12. Capturing Value from Technological Innovation: Integration, Strategic Partnering, and Licensing Decisions David J. Teece......Page 252
Who wins from innovation?......Page 255
Expectations of £100 million a year In scanner sales by EMI were projected.......Page 256
RC Cola was the first to introduce cola in a can and the first to introduce diet cola.......Page 259
Patents do not work in practice as they do in theory.......Page 261
Conclusion......Page 266
References......Page 267
13. Managing Intellectual Capital: Licensing and Cross-Licensing in Semiconductors and Electronics Peter C. Grindley and David J. Teece......Page 268
Background-The Formation of RCA......Page 270
AT&T's Cross-Licensing Practices......Page 272
Cross-Licensing in the Computer Industry-IBM......Page 274
Impact of Consent Decrees on Industry Development......Page 275
Licensing Objectives......Page 276
"Proud List" Royalty Valuation Process......Page 278
Strategic Considerations......Page 279
Impact of TI's Licensing Strategy......Page 280
Innovation Strategy......Page 282
Licensino Objectives......Page 283
IP Management......Page 284
Contrasting IP Management Objectives......Page 286
Changing IP Modes in the Semiconductor Industry......Page 287
Lessons for Innovation Management......Page 289
Policy Issues......Page 291
Conclusion......Page 293
Notes......Page 294
2. Intellectual Property and Entrepreneurship......Page 302
3. The Multi-invention (Systemic Innovation) Context......Page 304
4.1. Proprietary Use (No Licensing)......Page 307
4.2. "Design Freedom" (Defensive) Patent Strategies......Page 308
4.3. Royalty Generation Strategies......Page 309
5. Entrepreneurship and Patent Strategy in Multi-invention Contexts......Page 310
5.1. Integrated Modes......Page 311
CROSS-LICENSING IN ELECTRONICS AND SEMICONDUCTORS......Page 312
AT&T'S CROSS-LICENSING PRACTICES......Page 313
IBM'S CROSS· LICENSING PRACTICES......Page 315
LICENSING PRACTICES AT TEXAS INSTRUMENTS......Page 316
THE FORMATION OF RCA......Page 318
5.2. Nonintegrated Modes......Page 319
SYSTEM ON A CHIP (SOC) AND ARM, LTD.......Page 320
COMPONENTIZATION AT KENTRON TECHNOLOGIES......Page 321
6. Conclusion......Page 322
Notes......Page 323
References......Page 326