DYNAMIC CAPABILITIES AND STRATEGIC MANAGEMENT
Abstract Different approaches to strategy view sources of wealth creation and the essence of the strategic problem faced by firms differently. The competitive forces framework sees the strategic problem in terms of market entry, entry deterrence, and positioning; game-theoretic models view the strategic problem as one of interaction between rivals with certain expectations about how each other will behave; resource-based perspectives have focused on the exploitation of firm-specific assets. Each approach asks different, often complementary questions. A key step in building a conceptual framework related to dynamic capabilities is to identify the foundations upon which distinctive and difficult to replicate advantages can be built.