Dynamic capabilities at samsung: Optimizing internal co-opetition

California Management Review

Volumn 58, Issue 4, 2016, Pages 118-140

  Song, Jaeyong ^a   Lee, Kyungmook ^a   Khanna, Tarun ^b  

^a Seoul National University   (South Korea)

^b HARVARD BUSINESS SCHOOL   (United States)

Author keywords

Business group; Competitive advantage; Creative collaboration; Dual sourcing; Dynamic capabilities; Internal co opetition; Parallel development; Technological innovation

Indexed keywords

EID: 84989353458     PISSN: 00081256     EISSN: 21628564     Source Type: Journal    
DOI: 10.1525/cmr.2016.58.4.118     Document Type: Article

References (29)

1. D. Teece, G. Pisano, and A. Shuen, "Dynamic Capabilities and Strategic Management", Strategic Management Journal, 18/7(August 1997):509-533.
2. For more literature that defined dynamic capabilities, please see K. Eisenhardt and J. Martin, "Dynamic Capabilities: What Are They?" Strategic Management Journal, 21/10-11(October/November 2000):1105-1121;
3. C. E. Helfat and S. G. Winter, "Untangling Dynamic and Operational Capabilities: Strategy for the (N) ever-Changing World", Strategic Management Journal, 32/11(November 2011):1243-1250.
4. D. Teece, "Explicating Dynamic Capabilities: The Nature and Microfoundations of (Sustainable) Enterprise Performance", Strategic Management Journal, 28/7(December 2007):1319.
5. M. Iansiti and K. Clark, "Integration and Dynamic Capability: Evidence from Product Development in Automobiles and Mainframe Computers", Industrial and Corporate Change, 3/3(1994):557-605.
6. See T. Khanna, J. Song, and K. Lee, "The Paradox of Samsung's Rise", Harvard Business Review, 89/7-8(July/August 2011):142-147.
7. A. M. Brandenburger and B. J. Nalebuff, Co-opetition: A Revolution Mindset that Combines Competition and Cooperation: The Game Theory Strategy that's Changing the Game of Business (New York, NY: Currency Doubleday, 1997).
8. D. R. Gnyawali, J. He, and R. Madhavan, "Impact of Co-opetition on Firm Competitive Behavior: An Empirical Examination", Journal of Management, 32/4(August 2006):507-530.
9. K. Walley, "Coopetition: An Introduction to the Subject and an Agenda for Research", International Studies of Management and Organization, 37/2(Summer 2007):11-31.
10. W. Tsai, "Social Structure of 'Coopetition' within a Multiunit Organization: Coordination, Competition, and Intraorganizational Knowledge Sharing", Organization Science, 13/2(March/April 2002):179-190;
11. Y. Luo, "Toward Coopetition within a Multinational Enterprise: A Perspective from Foreign Subsidiaries", Journal of World Business, 40/1(February 2005):71-90.
12. P. Ritala, K. Valimaki, K. Blomqvist, and K. Henttonen, "Intrafirm Coopetition, Knowledge Creation and Innovativeness" in G. Dagnino and E. Rocco, eds., Coopetition Strategy: Theory, Experiments and Cases (New York, NY: Routledge, 2009), pp. 64-73.
13. A survey of groups can be found in T. Khanna and Y. Yafeh, "Business Groups in Emerging Markets: Paragons or Parasites?" Journal of Economic Literature, 45/2(June 2007):331-372.
14. J. Birkinshaw, "Strategies for Managing Internal Competition", California Management Review, 44/1(Fall 2001):21-38.
15. See E. Berglof and E. Perotti, "The Governance Structure of the Japanese Keiretsu", Journal of Financial Economics, 36/2(October 1994):259-284
16. and the sociologists' effort J. Lincoln, M. Gerlach, and C. Ahmadjian, "Keiretsu Networks and Corporate Performance in Japan", American Sociological Review, 61/1(February, 1996):67-88, for example.
17. The former refers to this suboptimal situation as a quiet life equilibrium, where everyone agrees not to rock the proverbial boat. For a more recent cross-country investigation, see T. Khanna and Y. Yafeh, "Business Groups and Risk Sharing around the World", Journal of Business, 78/1(January 2005):301-340.
18. K. M. Eisenhardt and D. C. Galunic, "Coevolving: At Last, a Way to Make Synergies Work", Harvard Business Review, 78/1-2(January/February 2000):91-101.
19. J. Strikwerda and J. W. Stoelhorst, "The Emergence and Evolution of the Multidimensional Organization", California Management Review, 51/4(Summer 2009):11-31.
20. J. Song and K. Lee, The Samsung Way (New York, NY: McGraw-Hill, 2014).
21. Chairman Kun-Hee Lee in an interview with Korea Economic Daily in 2002.
22. For the concept of parallel development and the effects of faster speed and a diversified knowledge base, see R. Nelson, "Uncertainty, Learning, and the Economics of Parallel Research and Development Efforts", Review of Economics and Statistics, 43/4(November 1961):351-364.
23. L. Kim, Imitation to Innovation: The Dynamics of Korea's Technological Learning, (Cambridge, MA: Harvard Business School Press, 1997).
24. For the theoretical basis of the effects of job transfers on internal co-opetition, we appreciate an anonymous reviewer pointing us to these relevant articles: G. Akerlof and R. Kranton, "Identity and the Economics of Organizations", Journal of Economic Perspectives, 19/1(Winter 2005):9-32;
25. R. Kramer and M. Brewer, "Effects of Group Identity on Resource Use in a Simulated Commons Dilemma", Journal of Personality and Social Psychology, 46/5(May 1984):1044-1057;
26. A. Kleinbaum and T. Stuart, "Inside the Black Box of the Corporate Staff: Social Networks and the Implementation of Corporate Strategy", Strategic Management Journal, 35/1(January 2014):24-47;
27. A. Kleinbaum and M. Tushman, "Building Bridges: The Social Structure of Interdependent Innovation", StrategicEntrepreneurship Journal, 1/1-2(November 2007):103-122.
28. D. J. Teece, Dynamic Capabilities and Strategic Management: Organizing for Innovation and Growth (Oxford: Oxford University Press, 2009), p. 54.
29. P. Olson, "Samsung's Secret to Innovating: An Extraordinary Grip on Components", Forbes, March 20, 2013.