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THE EFFECTS OF DYNAMIC CAPABILITIES IN THE ENTREPRENEURIAL FIRMS

Gabriela ÞUÞUEANU and Elena Claudia ªerban

Proceedings of the INTERNATIONAL MANAGEMENT CONFERENCE, 2013, vol. 7, issue 1, 477-490

Abstract: Three entrepreneurial case studies in Romania show that changes in the environment—such as changes in customers needs changes in competitive products—are the major sources of opportunities. To recognize and exploit these opportunities, the firm needs entrepreneurial capabilities. At the same time, to gain long-run competitive advantage, the firm needs dynamic capabilities. The case findings show that entrepreneurial capabilities have circular and iterative relationship with dynamic capabilities—each reinforces other's. More often the iteration takes place, the stronger entrepreneurial capabilities and dynamic capabilities are. Further, the study builds on the extant literature and develops a new method to capture dynamic capabilities through capturing changes in ordinary capabilities

Date: 2013
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