Sustained competitive advantage in small firm virtual organisations

Castner, G. J. (2000). Sustained competitive advantage in small firm virtual organisations. In: Proceedings of the International Conference on Small Business 2000. ICSB World Conference 2000, Brisbane, Australia, (1-14). 7-10 June, 2000.

Author Castner, G. J.
Title of paper Sustained competitive advantage in small firm virtual organisations
Conference name ICSB World Conference 2000
Conference location Brisbane, Australia
Conference dates 7-10 June, 2000
Proceedings title Proceedings of the International Conference on Small Business 2000
Place of Publication Brisbane
Publisher Queensland Government
Publication Year 2000
Sub-type Fully published paper
ISBN 0646396366
Start page 1
End page 14
Total pages 14
Collection year 2000
Language eng
Abstract/Summary This paper examines the factors that affect the sustained competitive advantage of small firm virtual organisations. Virtual organisations are separate firms that for certain activities (transactions) behave as if they were a single firm. A sustained competitive advantage occurs when a strategy is implemented that increases firm value but is not capable of duplication by other firms. The extent of the sustained competitive advantage is illustrated by the longevity of the virtual organisation and benefits derived from the virtual organisation by its members. The virtual organisation is formed to provide the firms within the virtual organisation access to additional resources. The extent of the sustained competitive advantage is related to the characteristics of the resources controlled by the virtual organisation. These characteristics, based on transaction cost economics and the resource-based view of the firm, are value, specificity, rareness, inimitability and non-substitutability. These attributes form the basis for the model of virtual organisation sustained competitive advantage developed in this paper. Because virtual organisations consist of a number of individual firms, electronic commerce technologies are necessary to enable inter-organisational co-ordination and to efficiently conduct transactions between firms within the virtual organisation. Electronic commerce technology diffusion and infusion are hypothesised to also affect the sustained competitive advantage of virtual organisations. The hypotheses will be tested using a case-study approach with firms from south-east Queensland providing the sample.
Subjects E1
350213 Electronic Commerce
729901 Technological and organisational innovation
Q-Index Code E1

Document type: Conference Paper
Collection: UQ Business School Publications
 
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Created: Fri, 06 Jun 2008, 13:57:20 EST