Information Technology and Competitive Advantage in Small Firms

Webb, Brian and Schlemmer, Frank (2008). Information Technology and Competitive Advantage in Small Firms. Routlege Studies in Small Business, 13. London, UK: Routledge.



Does IT matter? This book argues that even as IT hardware, software, data and associated processes are becoming more of a commodity, it has never been more important to manage IT as a strategic asset. However, managing IT as a strategic asset is notoriously difficult, as is studying the impact of IT on firm performance. This book sets out to identify, explain and critically evaluate current research in this area.

Beginning with a thorough introduction to Schumpeterian economic theory the authors re-cast the pre-eminent theory in strategic management research (the Resource Based View) in the light of a Schumpeterian analysis and identify Dynamic Capabilities as an extension of, but also a radical departure from, RBV. The role of IT as an endogenous technology is discussed and it is argued that how we define IT determines not only how we study it but also how we use it and benefit from it.

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