The co-evolution of organizational value capture, value creation and sustainable advantage

Christos Pitelis

MPRA Paper from University Library of Munich, Germany

Abstract: Despite recent emphasis on intra-organizational issues, scholarship on organizations, management and strategy remains unduly reliant on economic models, such as the industrial organization (IO) market structure-based analysis. The focus of such models is on price-output determination by firms and the economy-wide efficient allocation of scarce resources under conditions of full knowledge and certainty. This limits their usefulness for students of organizations who have concerns that are simultaneously wider and also focused on organizations, as opposed to just markets. In this paper, we aim to provide an answer and framework for analysing the most fundamental, indeed existential, issue of organization studies and strategic management scholarship. This is whether and how the pursuit of value capture from economic agents who perceive that they possess appropriable value creating advantages, capabilities and action potential, can motivate the emergence of organizations and their strategies and actions intended to capture socially co-created value in conditions of real life . To do so, we explore (the co-evolution of) value capture and creation and (their relationship to) organizational sustainable advantage (SA). In particular, we delve into the nature, determinants and relationship between organizational value capture and creation and explore causal pathways, trade-offs and their co-evolution, as well as vehicles through which SA can be effected in an evolving and uncertain environment. We also discuss implications for managerial practice, limitations and future research opportunities.

Keywords: Value Creation; Value Capture; Sustainable Advantage; Co-evolution (search for similar items in EconPapers)
JEL-codes: B00 L21 M00 M20 (search for similar items in EconPapers)
Date: 2009-10
New Economics Papers: this item is included in nep-cse and nep-knm
References: View complete reference list from CitEc
Citations: View citations in EconPapers (44)

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/23937/1/MPRA_paper_23937.pdf original version (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:23937

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().