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Resource Characteristics and Redeployment Strategies: Toward a Theoretical Synthesis

Resource Redeployment and Corporate Strategy

ISBN: 978-1-78635-508-9, eISBN: 978-1-78635-507-2

Publication date: 31 August 2016

Abstract

Firms pursue a number of redeployment strategies in order to achieve growth and create value for their stakeholders. While the majority of previous research focuses on how firms create synergic value by sharing resources across multiple business units, we lack a systematic analysis of the determinants of different redeployment strategies. In this paper, we develop a theoretical framework that allows us to systematically investigate how intrinsic resource characteristics affect resource redeployment strategies. Our framework identifies four critical characteristics of resources, that is, fungibility, scale-free nature, decomposability, and tradability. We develop a number of predictions that provide guidance for researchers to identify the optimal resource redeployment strategy appropriate for resources with a certain set of characteristics.

Keywords

Acknowledgements

Acknowledgments

We are very grateful to the editors of the special issue, Tim Folta, Connie Helfat, and Samina Karim, for their insightful feedback on earlier drafts of this paper. We are also grateful to the anonymous reviewers and attendees at the special issue conference in Strasbourg, France for their comments, as well as to BETA for the funding. The first author would also like to thank Dan Levinthal and Harbir Singh for many helpful conversations over the years.

Citation

Anand, J., Kim, H. and Lu, S. (2016), "Resource Characteristics and Redeployment Strategies: Toward a Theoretical Synthesis", Resource Redeployment and Corporate Strategy (Advances in Strategic Management, Vol. 35), Emerald Group Publishing Limited, Leeds, pp. 155-184. https://doi.org/10.1108/S0742-332220160000035007

Publisher

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Emerald Group Publishing Limited

Copyright © 2016 Emerald Group Publishing Limited