An analytical framework for miles and snow typology and dynamic capabilities

Abstract

The literature on dynamic capabilities is confusing, full of overlapping definitions, and contradictions. The theoretical and practical importance of developing and applying dynamic capabilities to sustain competitive advantage in complex external environment is central in studies about strategy nowadays. In this paper, we offer a definition of dynamic capabilities under two aspects: first, it refers to the shifting character of the environment; second, it emphasizes the key role of strategic management in appropriately adapting, integrating, and re-configuring internal and external organizational skills, resources, and functional competences towards a changing environment. This paper aims to clarify the concept of dynamic capabilities, propose an analytical framework that connects this “new” concept to a well known and recognized generic strategic model (Miles and Snow, 1978) and to the concept of sustainable competitive advantage and evolutionary fit. DOI:10.5585/riae.v13i1.1934

Strategic positioning, differentiation and performance of Brazilian wineries

“…Notwithstanding, these results also agree with the position taken by Silveira- Martins et al (2014) when they state that Brazilian wineries seek to balance their activities between creation and improvement of the products and services offered, with the objective of achieving superior performance. In this context, prospector behavior is an option for wineries that seek differentiation in terms of products and services, which can be a strategy for dealing with international competitors that directly affect the industry's business.…”

“…The results contained in these data contribute to an analysis of this industry's unique attributes in terms of the nature and size of participants. According to Naidin (2012) and Silveira- Martins et al (2014), Brazilian winemaking companies are essentially small companies and family businesses. Therefore, the format of these firms does not constitute a barrier to their adopting a prospector orientation toward their environment or using differentiation strategies.…”

“…Analyzing the same industry as this study (wine/agroindustry), Silveira- Martins and Vaz (2017) emphasize that the performance of this type of company is strongly linked to the degree of innovation of the products and services they develop. Furthermore, Silveira- Martins et al (2014) and Bebber et al (2016) emphasize that strategies/investments aimed at the creation and improvement (adjustment) of products and services have a direct and positive impact on the performance of wineries. Although different research studies have addressed the performance construct, no experiments were identified that sought to analyze the effect of differentiation on performance in the winemaking industry.…”

“…At this juncture, to demonstrate the relationships between the constructs strategic orientation, competitive differentiation, and organizational performance, Figure 1 provides a graphical illustration of the theoretical relations that will be tested statistically. Thus, further to the theoretical framework presented, and based on the teachings of Smith and Tushman (2005) who point out that managers with prospector behavior should consider cascading through the operational team the cognitive processes of differentiation and integration of products and services to maintain superior performance, and on the observation made by Silveira- Martins et al (2014) that this type is marked by perpetual creation (associated with the innovation processes), the following hypothesis can be formulated for testing: H1. The proactive strategic orientation has a positive association with differentiation.…”

“…Hambrick (1983) states that the goal prioritized by this type of behavior is incremental adaptation of the products and services developed. Furthermore, Silveira- Martins et al (2014) add that managers with this orientation limit their scope to their organization's operations and do not tend to conduct research in search of new opportunities outside their areas. Working from this reasoning, the following hypothesis can be formulated for analysis: Working from the argument that differentiation should be seen as a strategy that drives company performance, as claimed by several researchers (Robinson and Pearce, 1988;Denton, 1999;Johannessen et al, 1999;Crossan and Apaydin, 2010;Dressler, 2013;Banker et al, 2014;Zancan, et al, 2014;Oyewobi et al, 2016;Bebber et al, 2016;Santos, 2017;Werlang et al, 2018), the following research hypothesis is raised:…”