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Viewer Reference The core competence of the corporation by C.K Prahalad and Gary Hamel Dynamic Capabilities And Strategic Management by David J.Teece,Gary Pisano And Amy Shuen SBU concept of corporation Competencies: The Roots of Competitiveness How to build core competencies? Contents What is Dynamic capabilities? What is Dynamic capabilities? (continue) Dynamic capabilities is the firm’s ability to integrate, build, and reconfigure internal and external competences to address rapidly changing environment. The essence of Dynamic capabilities processes Coordination/integration Learning Position Path Conclusion Conclusion The competitive advantage is stemming from high-performance routines operating “inside the firm”, shaped by processes and positions. Distinctive competence is generally cannot be acquired; they must be built. * * 李秋萍 高旋 李升泫 李 莉 李海哨 龚子君 彭博 云晓丹 黄端端 inner-creating? theory competence-based theory resource-based theory The development of main strategy theory outer-creating theory the development of strategy theory Dynamic Capabilities 2 1 Core Competence Competitiveness advantages competence-based theory Pay attention to Doubt Why did Japanese corporations succeed with diversified strategy in business competition? Opinion Different concept of the corporation SBU(GET) VS Core Competence(NEC) (Strategic business unit) Example Consider the last 10 years of GTE and NEC ? GET VS NEC Outline Core concept SBU mind-set Corporation Structure Business 2 1 3 2 Business 1 1 3 2 cash cash Business 1 1 3 2 Corporation Toxic side effects Invent risk Underinvestment (投资不足) Imprisoned resources Bounded innovation Depend on OEM (贴牌生产) Barriers to building core competencies Related in product-market get capital by effect Pursue today’s product CORPORATION: A portfolio of businesses Spawn(生产) unanticipated products (NEC) Core competence End product Core competence Competitivenes
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