Meaning ● Dynamic Capability Deficit in the SMB sector represents the gap between an organization’s ability to sense, seize, and reconfigure its resources and the rapidly evolving demands of its market, particularly concerning growth, automation, and the implementation of new technologies. It manifests when an SMB’s operational capabilities become rigid, hindering its ability to adapt to disruptions or capitalize on new opportunities. Addressing this often involves a deliberate strategy to invest in learning, experimentation, and internal process optimization, tailored to the SMB’s specific industry and competitive landscape. Without adaptable dynamic capabilities, SMBs may find themselves unable to effectively leverage automation tools or execute growth strategies that demand flexible resource allocation. ● Consequently, an SMB may struggle to adjust its business model when faced with market shifts.
