MGMT4210 4

  1. strategic group?
    a set of companies with similar strategy within an industry
  2. strategic group model
    model that explains intraindustry performance difference by clustering firms into groups depending on strategic dimensions
  3. strategic group model - insights
    • competitive rivalry is strongest among the same group
    • PESTEL and 5F affect different groups differently
    • some groups have better performance on some but not all metrics
  4. resource-based view of the firm (RBV)
    • assets and capabilities are collectively known as resources
    • competitive advantage and a high valuation of the firm often comes from the intangible resource of the firm
    • origins of persistent differences in performance comes from resource heterogeneity and resource immobility(cannot imitate)
  5. what is VRIO about?
    what turns resources into competitive advantage
  6. VRIO - components and what happens if missing
    • valuable - no effect on performance
    • rare - competitive parity with other firms
    • costly to imitate - temporary advantage
    • organized- unfulfilled potential
  7. barriers to imitation
    • path dependence
    • causal ambiguity
    • social complexity
  8. barriers to imitation - path dependence?
    • time compression diseconomies
    • cumulative advantages
    • interdependencies
  9. value chain analysis (VC) - notes
    • while RBV focus on resources>competitive advantage, VC focuses on specific activities
    • breaks down perceived value added vs cost for each VC activity
Card Set
MGMT4210 4