Extending the Resource-based View to the Mega-event: Entrepreneurial Rents and Innovation

Marc J. Dollinger, Xueling Li and Christine H. Mooney

Management and Organization Review, 2010, vol. 6, issue 2, 195-218

Abstract: The resource-based view of the firm has previously been expanded by including relational rents and rent from network and alliance participation. This paper extends the Dyer-Singh-Lavie synthesis by considering the special circumstances arising from the relationships, alliances, and networks of a mega-event, using the Beijing Olympics as a case for our analyses. The mega-event that is organized as a cartel increases the pricing power of the participants, produces relational rent, and is an ideal venue to introduce innovations. We discuss six factors that can influence the rent creation and capture from a mega-event and offer related propositions: periodicity (Proposition 1), event location (Proposition 2), governance structure (Proposition 3), media coverage (Proposition 4), network connectivity (Proposition 5), and membership rules (Proposition 6). We identify four innovation types associated with such mega-events and contend that the same factors can affect the entrepreneurial rent creation and capture within these innovation types (Proposition 7).

Date: 2010
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