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The Resource-Based Theory of Competitive Advantage: Implications for Strategy Formulation

1991/04/01 by Robert M. Grant · 9,625 citations
Business, Management and Accounting · #Business #Business Strategy and Innovation #Competitive advantage #Computer science #Dynamic capabilities #Foundation (evidence) #Industrial organization #Innovation and Knowledge Management #Intellectual Capital and Performance Analysis #Marketing #Profitability index #Resource (disambiguation) #Resource-based view #Strategic management

paper · doi:10.2307/41166664

published in California Management Review 33(3), 114-135 (SAGE Publishing)

openalex publication_date 1991/04/01 · openalex created_date 2025/10/10 · openalex updated_date 2026/08/04

Abstract

Recent contributions to strategic management and the theory of the collectively known as the view of the firm provide illuminating insights into the sources of profitability and the nature of competitive strategy. This article argues that internal resources rather than the market environment should provide the foundation for a firm's strategy. On the basis of an analysis of the relationships among resources, capabilities, conpetitive advantage, and profitability, this article advances a framework for a resource-based approach to strategy formulation.

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