Interest Alignment and Competitive Advantage

Abstract

International audienceThis paper articulates a theory of the conditions under which the alignment between individual and collective interests generates sustainable competitive advantage. The theory is based on the influence of tacitness, context specificity, and causal ambiguity in the determinants of different types of motivation (extrinsic, normative intrinsic, and hedonic instinsic) under varying conditions of environmental dynamism. The analysis indicates the need to consider motivational processes as a complement to current resource- and competence-based approaches in a comprehensive theory of competitive advantag

Firm‐specific knowledge resources and competitive advantage: the roles of economic‐ and relationship‐based employee governance mechanisms

“…Thus, both explicit and implicit governance mechanisms, such as employee stock ownership and firm-employee relationships, can be important in influencing the performance impact of firm-specific knowledge (Gottschalg and Zollo, 2007;Wang and Barney, 2006). Consistent with this view, some researchers have recognized organizational capabilities and motivation as two key drivers for firm competitive behavior, and consequently firm-level economic performance (Chen, 1996;Gimeno, 1999).…”

“…However, relatively little research has explored employee governance mechanisms and how they may influence the actual economic benefits that can be obtained from firm-specific resources (Gottschalg and Zollo, 2007;Makadok, 2003). This study was based on the idea that the features of firm-specific knowledge resources that constitute potential performance advantages simultaneously give rise justifiably to employee concerns about holdup by the firm ex post, and thus a reluctance to invest in firm-specific human capital.…”

“…The governance of employees who deploy such knowledge in the value creating process moderates the de facto rents generated by the firm. Indeed, the next generation of resourcebased theory needs to place more emphasis on the logic that a firm's resource base and the effectiveness of its governance system jointly influence its economic performance (Gottschalg and Zollo, 2007;Kim and Mahoney, 2005;Makadok, 2003). 1267 1993).…”

The role of incentives and communication in strategic alliances: an experimental investigation

“…However, approximately half of all strategic alliances fail (Kale, Dyer, and Singh, 2002). Indeed, the large gap between potential economic value creation and realized economic value creation in strategic alliances suggests that there are formidable impediments to successful alliance outcomes (Anand and Khanna, 2000;Gottschlag and Zollo, 2007).…”

Microfoundations for learning within international joint ventures

“…Managers' knowledge sources and their scope to gain and exploit knowledge are governed by the organizational structure in which they work (Abell, Felin & Foss, 2008;Foss et al, 2011) and by the governance mechanisms in place (Gottschalg & Zollo, 2007). Structure can therefore also facilitate or inhibit learning; the autonomy proffered by flat structures, for example, is thought to help learning, but also to create gaps that can inhibit knowledge sharing (Foss, 2003).…”