Open Access. Powered by Scholars. Published by Universities.®
Finance and Financial Management Commons™
Open Access. Powered by Scholars. Published by Universities.®
Articles 1 - 1 of 1
Full-Text Articles in Finance and Financial Management
The Acquisition Of Capabilities: How Firms Use Dynamic And Ordinary Capabilities To Manage Uncertainty, Kris Irwin, Collin Gilstrap, Paul Drnevich, Manoj Sunny
The Acquisition Of Capabilities: How Firms Use Dynamic And Ordinary Capabilities To Manage Uncertainty, Kris Irwin, Collin Gilstrap, Paul Drnevich, Manoj Sunny
Management Faculty Publications
How organizations utilize capabilities to achieve competitive advantage and improve performance has received an abundance of scholarly attention. Both ordinary and dynamic capabilities (DC) enable organizations to achieve higher performance when leveraged appropriately and under favorable conditions. The complexity of an organization's motives for why and how different capabilities are acquired drives us further to explore what complementarities organizations might achieve and under what contexts. Specifically, we explore how firms engaging in mergers and acquisitions (M&A) to acquire dynamic and/or ordinary capabilities experience different market reactions and levels of short- and long-run value creation given environmental uncertainty. Our results support …