Toward a contingent resource-based theory: the impact of information asymmetry on the value of capabilities in veterinary medicine

Abstract

The paper investigates the contingencies which define valuable resources in professional medical services. We identify activities with credence, experience, and search qualities in medical service industries in general, and in veterinary practices more specifically. We propose that different capabilities are needed to deliver different services and test whether the contingent combination of capabilities for particular services is linked to the performance of veterinary practices. For example, we expect that practice capabilities which help to retain clients are necessary for the successful delivery of services with experience qualities. We find evidence of performance benefits of client retention in a sample of 193 veterinary practices. We also find that in markets where competition from a new form of entrant is especially intense, an independent veterinarian's credence activities combine with its experience and search activities to jointly improve practice profitability. Since the new entrants' resources are mainly effective in the delivery of services with search qualities, the practice capabilities of the independent veterinarians that allow them to offer services with credence and experience qualities can be seen as a type of isolating mechanism.

Which Resources Matter How and Where? A Meta‐Analysis on Firms’ Foreign Establishment Mode Choice

“…Beyond cultural distance, our analysis leaves plenty of room for future research to investigate other moderating variables on the individual-, firm-, industry, or countrylevel that cause information deficits for the investing firm and, hence, correspond to the theorizing developed in the present paper and in the broader RBV literature addressing the context-dependency of the RBV (e.g., Brush and Artz, 1999;Miller and Shamsie, 1996;Priem and Butler, 2001). For example, Slangen (2011) uses communication-based theory to suggest that differences in verbal communication between the parent firm and the subsidiary may be more relevant for the reduction of information deficits and, hence, for firm's establishment mode choices than cultural distance alone.…”

The role of internal capabilities and firms' environment for sustainable innovation: evidence for Germany

“…This follows the basic rationale that competitive advantage does not only arise from the possession of such resources but also from the way in which they are used (Penrose, 1959). Several studies argue that capabilities cannot be investigated without considering their context (Brush and Artz, 1999;Atuahene-Gima and Haiyang, 2004): the 'when, where and how' knowledge resources and capabilities translate into competitive advantage (Priem and Butler, 2001). We follow this stream of Internal capabilities and firms' environment literature by discussing the roots of sustainable innovation activities and their relevant context.…”

A Contingent Resource‐Based Perspective of Supply Chain Resilience and Robustness

“…Although we find that both connectivity and information sharing lead to visibility, connectivity may also lead directly to information sharing (Barratt & Oke, 2007), suggesting an interplay between these resources. When combined or bundled, resources may lead to capabilities (Grant, 1991;Sirmon et al, 2007), which are often more greatly embedded within an organization and provide superior value (Brush & Artz, 1999). Consequently, capabilities may be leveraged to exploit opportunities or mitigate threats (Sirmon et al, 2008), but their outcomes are contingent upon the specific context.…”