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The cornerstones of competitive advantage: A resource‐based view
Author(s) -
Peteraf Margaret A.
Publication year - 1993
Publication title -
strategic management journal
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 11.035
H-Index - 286
eISSN - 1097-0266
pISSN - 0143-2095
DOI - 10.1002/smj.4250140303
Subject(s) - competitive advantage , competition (biology) , resource (disambiguation) , industrial organization , ex ante , business , resource based view , economics , imperfect , imperfect competition , microeconomics , computer science , marketing , ecology , computer network , linguistics , philosophy , macroeconomics , biology
This paper elucidates the underlying economics of the resource‐based view of competitive advantage and integrates existing perspectives into a parsimonious model of resources and firm performance. The essence of this model is that four conditions underlie sustained competitive advantage, all of which must be met. These include superior resources (heterogeneity within an industry), ex post limits to competition, imperfect resource mobility, and ex ante limits to competition. In the concluding section, applications of the model for both single business strategy and corporate strategy are discussed.