Understanding why some firms outperform others is central to strategy research. The resource-based view (RBV) suggests that competitive advantages arise due to possessing strategic resources (i.e., assets that are valuable, rare, nonsubstitutable, and inimitable), and researchers have extended this logic to explain performance differences. However, RBV is relatively silent about the actions managers could use to create or capitalize on a resource-based advantage. Enriching RBV, the resource orchestration framework describes specific managerial actions that use such resources to realize performance gains. After reviewing the conceptual evolution of these two literature streams as well as related streams, we use meta-analytic structural equation modeling to aggregate evidence from 255 samples involving 111,614 observations to answer outstanding research questions regarding the strategic resources–actions–performance pathway. The results show strong complementarity and interdependence between their logics. Additional inquiry drawing on their complementarity is a clear path toward enhancing scholars’ understanding of how and why some firms outperform others. We build on our findings to lay a foundation for such inquiry, including a call for theorizing centered on the interdependence of resources and actions, as well as new theoretical terrain that can help resource-based inquiry continue to evolve.
In their pursuit of greater performance, firms invariably compete with their rivals for customer demand or scarce resources in factor markets. Firms' competitive behavior-the series of competitive actions taken to create or maintain competitive advantage-thus, is a key predictor of profitability and has received much attention in the strategic management literature. The central tenet of this article is that supply networks and the relationships among firms in these networks fundamentally shape the nature of interfirm competition and, ultimately, firm performance. Although prior research has amply studied the competitive dynamics among (horizontal) rival firms as well as the linkages between supply network characteristics and firm performance, there remain important opportunities to examine how supply networks enable and shape firms' competitive behavior and the effectiveness of their rivalrous activity. The goal of this article, therefore, is to take stock of the advances made in prior literature and to outline topics for future study at the intersection of competition and supply chain management. Collectively, we lay out a comprehensive perspective on the role that supply networks can play in affecting competition that, we hope, will inform and guide efforts to enhance our understanding of firm-level competitive behavior and associated performance outcomes.
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