Abell, Peter, Felin, Teppo and Foss, Nicolai (2008) Building micro-foundations for the routines, capabilities, and performance links. Managerial and decision economics, 29 (6). pp. 489-502. ISSN 0143-6570
Micro-foundations have become an important emerging theme in strategic management. This paper addresses micro-foundations in two related ways. First, we argue that the kind of macro (or ‘collectivist') explanation that is presently utilized in the capabilities view in strategic management—which implies a neglect of micro-foundations—is incomplete. There are no mechanisms that work solely on the macro-level, directly connecting routines and capabilities to firm-level outcomes. While routines and capabilities are useful shorthand for complicated patterns of individual action and interaction, ultimately they are best understood at the micro-level. Second, we provide a formal model that shows precisely why macro-explanation is incomplete and which exemplifies how explicit micro-foundations may be built for notions of routines and capabilities and how these impact firm performance.
|Additional Information:||© 2008 John Wiley & Sons, Ltd.|
|Library of Congress subject classification:||H Social Sciences > HD Industries. Land use. Labor|
|Sets:||Research centres and groups > Managerial Economics and Strategy Group
Departments > Management
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