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Appears in Collections:Management, Work and Organisation Book Chapters and Sections
Title: Addressing path dependency in the capabilities approach: historicism and foresight meet on the 'road less travelled'
Author(s): Masrani, Swapnesh
McKiernan, Peter
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Editor(s): Costanzo, Laura Anna
MacKay, Robert Bradley
Citation: Masrani S & McKiernan P (2009) Addressing path dependency in the capabilities approach: historicism and foresight meet on the 'road less travelled'. In: Costanzo LA & MacKay RB (eds.) Handbook of Research on Strategy and Foresight. Cheltenham: Edward Elgar, pp. 485-504.
Keywords: Strategic planning.
Issue Date: 2009
Date Deposited: 27-Jul-2011
Abstract: This chapter challenges the commonly held notion in the capabilities approach, arising out of an overemphasis on path dependency, that capability development follows a single path-dependent route, which is determined positively by interrelatedness among existing technologies. It queries the fascination especially within the empirical literature with examining a single, successful choice. The chapter argues, like Penrose (1959) and Hamel and Prahalad (1994), that a firm seldom considers only one strategic capability development route. Often, a route is chosen from a bounded option set, anchored by the ‘do-nothing’ default. This is supported by empirical case evidence, which also suggests that, in some instances, technological interrelatedness is not a major factor influencing the development of capabilities from the available options.
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