›› 2017, Vol. 29 ›› Issue (8): 198-210.

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The Effect of Resource Operation Mode on Capability Evolution:The Moderating Role of Organizational Inertia

Su Jingqin, Han Guiling   

  1. Faculty of Management and Economics, Dalian University of Technology, Dalian 116024
  • Received:2015-05-19 Online:2017-08-28 Published:2017-09-26

Abstract:

Exploratory case study method is used in this paper to excavate the organization inertia and its antecedents, resource operation mode, and path of capability evolution of TCL Group during its 30 years development. Resource-based view, organizational ecology theory and evolution theory are combined together to analyze the role of inertia between the evolution of resource-capability and the transformation of organization performance, aiming to extend the relevant theoretical framework and clarify the root of the problems suffered by China's household appliance manufacturing industry during its transitional period. The result shows that TCL has gradually accumulated and displayed several kinds of inertia in each stage, some of which even directly influence its resource configuration and significant strategic decision as well as the way it operates the resource in a long run, and then determine the escalation and evolution of capability, innovation and the opportunity of transition and change. The result proves that inertia plays a crucial moderating role between resource operation mode and capability development.

Key words: inertia, resource, capability, manufacturing