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How do Entrepreneurial Firms Achieve Strategic Transformation by Using the Coordination of Resource Allocation Models and Dynamic Capabilities |
Zhang Lu1,Liang Lina1,Chang Haodong2 |
(1.Inner Mongolia University of Technology, Hohhot 010051, China;2.Purdue University Northwest College of Business, Indiana 46323, America) |
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Abstract Due to the turbulence and uncertainty of the economic environment of globalization, how do new innovative companies coordinate their organizational behavior and capabilities to promote successful transformation of enterprises - respond to the drastic changes of the environment - become the core issue of strategic theory research. By selecting the M-Grass Ecology case as the study object, this paper analyzes the interaction between resource allocation models and dynamic capability in the process of enterprise transformation, reveals the evolution mechanism of enterprise resource allocation models and dynamic capability,and analyzes the internal mechanism process of enterprise strategic transformation. The main findings of this research showed as following:①enterprises use dynamic capabilities to capture their transformational factors to promote the formation of Resource allocation models compatible with the factors to achieve the successful transformation of enterprises;②The resource allocation models in coordination with dynamic capabilities of each stage undergoes the evolution process of "resource transfer internalization-resource patching expansion-resource transmit sharing";③The evolution of the resource allocation models promotes dynamic capabilities from "perceiving capabilities" to "integration capabilities" to "learning capabilities" to "innovation capabilities" to ensure that enterprises maintain dynamic and sustainable advantages of competition.
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Received: 13 September 2018
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