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Competence-Based Management (CBM) theory and research suggest that a firm’s competence building and leveraging processes are key factors influencing its competitive success. To achieve sustained competitive success, a firm’s competence building processes must continuously renew and extend the competences a firm has and can leverage. However, the ability of a firm to sustain strategically adequate levels of competence building – while also maintaining strategically successful competence leveraging – may be limited by various self-reinforcing managerial and organizational mechanisms that can arise from competence leveraging processes. In this paper we focus on certain managerial behaviors that may create path dependencies that lead an organization to become “locked-in” to its current competence leveraging processes and to neglect essential competence building, resulting in an inability to renew competences at a strategically adequate level and eventually in competitive failure.

In order to avoid such consequences, the management literature suggests that organizations must cultivate dynamic capabilities to overcome tendencies toward lock-in and to sustain ongoing competence building. This study investigates ways in which firms can maintain healthy competence building processes by avoiding lock-ins, especially those resulting from self-reinforcing managerial behaviors. A case study of successful competence-renewing processes in a home improvement retailing company helps to amplify the components of dynamic capabilities and to illustrate the insights that emerge from our study.

Comparative studies have confirmed that the current types of cohabitation (defined as living together as a couple without being married) and the meanings attached to them differ across Europe. This variation could reflect differences in the levels of progress or the stages countries have reached in a common developmental process, as suggested by the theory of the Second Demographic Transition and Kiernan’s stage model of cohabitation. However, it may also indicate that countries are on different developmental paths, as suggested by path dependency theories. To examine whether changes in the prevalence of cohabitation follow a common script, this study analyses types of cohabitation within emerging family formation patterns over cohorts and across countries.

For this purpose, sequence methodology is applied to analyze cohort-specific family trajectories in France, western Germany, Norway, and Italy. In particular, using data from the German National Educational Panel Study (NEPS) and the Generation and Gender Survey (GGS), patterns of union status and co-residence with (own) children between ages 15 and 35 among the 1935–1969 birth cohorts (for Germany, among the 1940–1974 birth cohorts) are compared.

Our findings provide some support for the claim that there were common patterns of change. However, also country-specific variations in family trajectory patterns were detected, which suggests that general processes of change were mediated through country-specific institutions (path dependencies). The empirical evidence for convergence as well as for divergence indicates that both theoretical strands add to our understanding of the spread of cohabitation in European countries.

Purpose — The aim of this chapter is to explore the relative bounds between the domains of dishonesty and honesty, focusing on the antecedences and consequences of these phenomena.Design/methodology/approach — This conceptual paper discusses the literature on the nature of (dis)honesty in management based on the chapters published in this book but also other management literature.Findings — (Dis)honesty is a complex concept, especially in international management. The chapter brings out two main features of dishonesty. First, dishonest behavior occurs always in result of moral path dependency, and second, both honest and dishonest behaviors seem to be contagious — belonging to our social surrounding, we inevitably mirror others.Originality/value — The complexity of (dis)honesty in management (encompassing its nature, impact factors and consequences) has received relatively little research attention.

Journal articles and books on Toyota's competitive advantage abound. More recent analyses tended to focus on Toyota alone (Coriat, 2000; Liker, 2004) while earlier literature examined the competitive advantage of the Japanese automobile industry as a whole (Asanuma, 1989; Womack, Jones, & Roos, 1990; Fruin, 1992; Dyer, 1994, 1996a, 1996b). Intensive analysis on the Toyota Production System (TPS) notwithstanding, what exactly constitutes the system's inimitability remains elusive. This paper contributes to existing literature by examining how a post-war industrial policy might have given rise to Toyota and Nissan adopting two different strategic logics (or governance structures) as each had a unique set of resources and competences. Different governance structures however, did not appear to contribute to inter-firm performance variance between the two competitors for at least 15 years. What then could be the source of Toyota's competitive advantage and its inimitability? This paper unravels how causal ambiguity might have confounded Nissan, Toyota's only significant domestic rival for the second half of the last century.

It is commonly acknowledged that history matters in strategy. However, the strategy literature mainly discusses history in terms of path dependency, leaving little room for managerial agency, despite growing anecdotal evidence that managers can actively draw on corporate history to improve decision-making. An emerging literature on how managers use the past to give sense to internal and external stakeholders has given rise to a more agent-based approach to history, but while sense-giving is commonly connected to sense-making as a driver of strategic change, the role of history in sense-making remains unexplored. Drawing on the concept of analogical reasoning, this chapter theorizes the connection between corporate archives and managerial sense-making, arguing that analogies drawn from past experience can reduce uncertainty and foster learning. This theory leads to the suggestion that consulting the corporate archive can promote strategic renewal and thus boost performance.

There has been considerable debate concerning the contribution of venture capitalists (VCs) to their investee companies (Sapienza, Manigart, & Vermeir, 1996). This research has shown that VCs can add value and impact the strategic direction of their investee firms through their skills and knowledge. These skills lie in two distinct areas: financial (monitoring) and non-financial (strategic and operational involvement) skills (Pruthi, Wright, & Lockett, 2003). The monitoring and involvement of VC firms in their investees have been shown to vary according to their needs (Lerner, 1995). On balance, the evidence suggests greater involvement during the more uncertain earlier stages than during the later stages when the firm is more established (Sapienza, Amason, & Manigart, 1994; Elango, Fried, Hisrich, & Polonchek, 1995). This suggests that the VC's ability to bring about change will be mediated by the impact of the history of the firm via path dependency (Teece, Pisano, & Shuen, 1997).

Purpose – To identify the key success factors in a change process and to demonstrate how adherence to the phases of large-scale change contributed to the successful reform of the Irish cancer services and is critical to the sustainability of this large-scale change.

Design – In-depth retrospective analytical case study drawing from face- to-face semi-structured interviews with key stakeholders and players.

Findings – The Irish health care reform had been continually thwarted by local politics. The Irish government confronted this trend by bringing in an outside expert to head the cancer services reform project who, with government support, managed both clinician and public resistance and, based on the evidence of international best practice, led the reform. Sustainable change was achieved by attention to how large-scale change works. The leadership of the project is an important element in overcoming the path dependency that is dogged in most health care reforms.

Value – This chapter provides evidence that the four key phases of large system change: understanding the need for change, framing the change, undertaking the change and sustaining the change, coupled with key success factors in relation to timing, financial viability, political will and leadership, public support, well-managed process, and technical infrastructure and capacity are critical to the implementation and sustainability of large-scale change.

This chapter reviews the theoretical literature about Europeanisation and argues the need for further analysis of post-Soviet Europeanisation. This chapter also connects post-Soviet Europeanisation to the notion of policy learning, which is introduced as a theoretical perspective. The chapter discusses the challenges around the definition of policy learning in relation to other policy processes such as transfer, translation and diffusion. Policy layering does not presuppose mutual exclusion between path-dependence and change, but rather the fruitful mutual development of both. It implies a gradual change of certain policy aspects and the retaining of others. The development of the links between path-dependence and change in layering is a highly messy process. Multiple actors participate in learning, and they create policy as they learn. There are no distinct stages of learning, and the line between policy-makers and practitioners is often blurred.

The difference between policy-making on the European level and the post-Soviet domestic context is significant. The literature about post-Soviet countries recognises the presence of a struggle between Europeanisation and post-Soviet legacies there. Europeanisation in this literature is presented as change; while the influence of the post-Soviet legacies is seen as an obstacle that hinders it. The policy learning concept is key here to frame Europeanisation in the post-Soviet context as an area of enquiry which may develop according to the logic of layering.

This chapter explores the role of colleges and universities supporting regional and national economic development with emphasis on leveraging innovation and entrepreneurship. Key focuses for economic development support from higher education include human resources development, technical assistance, capacity building, economic research and analysis, research, technology transfer, and new business development.