Fundamentals

Consider the local bakery, a small business often overlooked in discussions of grand strategy. Its growth, seemingly simple, actually embodies a profound business principle ● resource-based view, or RBV. RBV suggests a company’s success hinges not merely on external market forces, but on its unique internal resources and capabilities. For a small bakery, this isn’t about global supply chains; it’s about Grandma’s secret sourdough starter, the skilled hands of the baker, or the warm, inviting atmosphere that keeps customers returning daily.

Unpacking Resource-Based View

RBV, at its core, proposes that a company’s competitive advantage Meaning ● SMB Competitive Advantage: Ecosystem-embedded, hyper-personalized value, sustained by strategic automation, ensuring resilience & impact. and growth stem from resources that are valuable, rare, inimitable, and non-substitutable ● often remembered by the acronym VRIN. These resources are not just physical assets; they include intangible elements like brand reputation, proprietary knowledge, and organizational culture. For SMBs, often operating on tighter margins and with fewer employees, understanding and leveraging these internal strengths becomes exceptionally critical for navigating the competitive landscape and achieving sustainable growth.

Resource-Based View posits that a company’s internal resources, when valuable, rare, inimitable, and non-substitutable, are the primary drivers of competitive advantage and growth.

SMBs and the Resource Reality

Small and medium-sized businesses frequently operate under resource constraints. They may lack the financial muscle of large corporations, the extensive networks, or the brand recognition. This reality makes RBV particularly relevant. Instead of trying to compete head-on with larger players in areas where they are outmatched, SMBs can thrive by identifying and exploiting their unique resource bundles.

Think of a local coffee shop competing with Starbucks. It likely cannot match Starbucks’ marketing budget or global reach. However, it can cultivate a unique resource ● deep community connections, personalized customer service, and locally sourced, high-quality beans. These resources, difficult for a large chain to replicate authentically, become the foundation for the coffee shop’s growth and customer loyalty.

Identifying Valuable Resources

The first step in applying RBV for SMB growth Meaning ● SMB Growth is the strategic expansion of small to medium businesses focusing on sustainable value, ethical practices, and advanced automation for long-term success. involves a frank assessment of existing resources. What does the business possess that provides value to customers? Value isn’t just about price; it’s about perceived benefits. For a tech startup, valuable resources might include proprietary software code, a team of highly skilled developers, or a first-mover advantage in a niche market.

For a consulting firm, valuable resources could be the expertise of its consultants, a proven methodology, or a strong client network. SMBs need to look beyond the obvious and identify less tangible but equally important resources, such as a founder’s deep industry knowledge or a company culture that fosters innovation.

Rarity and Competitive Edge

Valuable resources alone are not enough for sustained growth. They also need to be rare. If every competitor possesses the same resources, they cannot provide a source of competitive advantage. Rarity implies that the resource is not widely available in the market.

For a craft brewery, a rare resource could be access to a unique water source, a proprietary brewing process, or a distinctive hop variety. For a local bookstore, rarity might manifest in a curated selection of niche books, author events that attract a dedicated readership, or a knowledgeable staff that offers personalized recommendations. This rarity is what allows the SMB to stand out and attract customers who value what is uniquely offered.

Inimitability and Sustainable Advantage

Even rare and valuable resources can be copied or acquired by competitors over time. Therefore, truly strategic resources should be inimitable ● difficult or costly for others to replicate. Inimitability can arise from several factors. Path Dependency means resources developed over long periods are hard to duplicate quickly.

A long-standing reputation for quality, built over years of consistent service, exemplifies path dependency. Causal Ambiguity refers to situations where the link between a resource and competitive advantage is unclear, making it difficult for competitors to understand and copy. A company’s unique organizational culture, for instance, can be causally ambiguous. Social Complexity arises from resources embedded in complex social systems, such as strong relationships with suppliers or a highly motivated and collaborative team. These inimitable resources provide a more sustainable foundation for SMB growth.

Non-Substitutability and Market Position

The final VRIN criterion is non-substitutability. A resource is non-substitutable if competitors cannot easily find alternative resources to achieve the same customer value. If a resource can be readily substituted, its competitive advantage is fleeting. For a specialized repair service, non-substitutability might stem from possessing highly specialized equipment or technicians with unique skills that are not easily replaced by generic repair services.

For a software company, a strong network effect, where the value of the software increases as more users adopt it, creates a non-substitutable advantage. Customers are less likely to switch to a competing product if it means losing access to a large user base and the benefits of that network. Non-substitutable resources solidify an SMB’s market position and protect its growth trajectory.

RBV in Action ● Practical SMB Examples

Consider a small, independent bookstore. It cannot compete with Amazon on price or selection breadth. However, it leverages RBV by focusing on resources Amazon struggles to replicate ● personalized customer service, curated book selections reflecting local tastes, and community events that foster a sense of belonging.

These resources are valuable to a specific customer segment, relatively rare in the age of online retail, difficult for Amazon to imitate at scale, and non-substitutable for customers seeking a community-focused book-buying experience. This bookstore’s growth, while perhaps not explosive, can be sustainable and profitable by effectively utilizing its unique resource bundle.

Another example is a local organic farm. It cannot compete with large agricultural conglomerates on price due to economies of scale. Instead, it leverages resources like fertile local soil, sustainable farming practices, and direct relationships with consumers through farmers’ markets and community-supported agriculture (CSA) programs.

These resources are valuable to health-conscious and environmentally aware consumers, rare in a mass-produced food system, difficult for large farms to imitate authentically, and non-substitutable for customers prioritizing fresh, local, and sustainably grown produce. The farm’s growth is rooted in its ability to effectively manage and market these unique resources.

Table ● VRIN Framework for SMB Resource Assessment

Automation and RBV for SMBs

Automation, often perceived as a tool for large corporations, presents significant opportunities for SMBs to enhance their resource base and drive growth through RBV. Automation can augment existing valuable resources, create new rare resources, and even contribute to inimitability and non-substitutability. For instance, a small manufacturing company can automate certain production processes to improve efficiency and reduce costs, making its products more valuable to price-sensitive customers.

Implementing a unique automation system, tailored to its specific needs and processes, can create a rare and potentially inimitable resource. Furthermore, automation can free up human resources to focus on higher-value activities, such as innovation and customer relationship management, further strengthening the SMB’s resource advantage.

Implementation ● Turning Resources into Growth

Identifying and assessing resources is only the first step. The true power of RBV lies in effective implementation ● strategically deploying and leveraging these resources to achieve SMB growth. This involves aligning business strategies with core resources, investing in resource development and enhancement, and protecting resources from imitation or substitution.

For example, if a marketing agency identifies its key resource as its creative talent, implementation might involve investing in training and development programs to further enhance those skills, creating a company culture that attracts and retains top talent, and developing proprietary creative processes that are difficult for competitors to replicate. Successful implementation ensures that resources are not just assets on paper, but active drivers of SMB growth and competitive success.

List ● Practical Steps for SMBs to Apply RBV

1. Resource Audit ● Conduct a thorough assessment of all tangible and intangible resources.
2. VRIN Analysis ● Evaluate each resource against the VRIN criteria (Valuable, Rare, Inimitable, Non-Substitutable).
3. Core Resource Identification ● Pinpoint the resources that meet most or all VRIN criteria as core strategic assets.
4. Strategy Alignment ● Develop business strategies that leverage and exploit these core resources.
5. Resource Investment ● Invest in developing, enhancing, and protecting core resources.
6. Automation Integration ● Explore automation opportunities to augment and strengthen core resources.
7. Performance Monitoring ● Track key performance indicators (KPIs) to measure the effectiveness of resource utilization and strategy implementation.
8. Adaptation and Evolution ● Continuously reassess resources and strategies in response to changing market conditions and competitive dynamics.

For SMBs, resource-based view Meaning ● RBV for SMBs: Strategically leveraging unique internal resources and capabilities to achieve sustainable competitive advantage and drive growth. is not an abstract academic theory; it is a practical framework for understanding how to leverage their unique strengths to achieve sustainable growth. By focusing on what makes them different and valuable, SMBs can carve out successful niches and thrive even in competitive markets. The journey of SMB growth, when viewed through the lens of RBV, becomes a strategic exercise in resource cultivation and deployment, turning internal capabilities into external success.

Intermediate

Beyond the foundational understanding of resource-based view (RBV), a deeper exploration reveals its nuanced application within the dynamic context of Small and Medium Businesses Meaning ● Small and Medium Businesses (SMBs) represent enterprises with workforces and revenues below certain thresholds, varying by country and industry sector; within the context of SMB growth, these organizations are actively strategizing for expansion and scalability. (SMBs). While the VRIN framework Meaning ● VRIN Framework: A strategic tool for SMBs to assess resources for lasting market advantage by evaluating Value, Rarity, Inimitability, and Non-substitutability. provides a robust starting point, the reality of SMB growth necessitates a more sophisticated approach, one that considers the interplay of internal resources with external market dynamics and strategic implementation.

Dynamic Capabilities and Resource Evolution

RBV, in its initial formulations, sometimes faced criticism for being static, focusing on resources at a given point in time. However, the concept of Dynamic Capabilities addresses this limitation, recognizing that firms must not only possess valuable resources but also develop the ability to adapt, reconfigure, and evolve their resource base in response to changing environments. For SMBs, operating in often volatile and rapidly evolving markets, dynamic capabilities Meaning ● Organizational agility for SMBs to thrive in changing markets by sensing, seizing, and transforming effectively. are paramount.

They need to be agile, able to sense opportunities and threats, seize new possibilities, and reconfigure their resources to maintain a competitive edge. This dynamic perspective on RBV shifts the focus from simply possessing VRIN resources to actively managing and developing them over time.

Dynamic capabilities extend RBV by emphasizing a firm’s ability to adapt, reconfigure, and evolve its resource base in response to changing market conditions, crucial for sustained SMB growth.

From Resources to Capabilities ● The Value Chain Connection

Resources, in isolation, may not directly translate into competitive advantage. It is the organization’s ability to bundle, integrate, and deploy these resources effectively that creates capabilities. Capabilities are organizational routines and processes that transform inputs into outputs, creating value for customers. Michael Porter’s value chain framework provides a useful lens for understanding how resources contribute to capabilities across different organizational activities.

For an SMB, analyzing its value chain ● from inbound logistics to marketing and sales to service ● helps identify where its resources are most effectively deployed and where capabilities can be strengthened. For example, a software SMB might possess a valuable resource in its coding expertise. However, this resource only translates into a competitive capability when integrated into effective software development processes, project management methodologies, and customer support systems.

Leveraging Tangible and Intangible Resources Synergistically

SMBs often possess a mix of tangible and intangible resources. Tangible resources, such as equipment, technology, and physical assets, are relatively easy to identify and value. Intangible resources, like brand reputation, intellectual property, organizational culture, and employee knowledge, are less visible but often more critical for sustained competitive advantage. Effective RBV implementation requires SMBs to understand how to leverage these resource types synergistically.

For instance, a manufacturing SMB might invest in advanced automation technology (tangible resource) to improve production efficiency. However, the full benefit of this investment is realized when coupled with intangible resources such as employee training programs (to operate the new technology effectively) and a culture of continuous improvement (to optimize processes and adapt to technological advancements). The synergy between tangible and intangible resources amplifies their individual impact and creates a more robust competitive advantage.

Resource Orchestration ● Managing Interdependencies

SMB growth often involves managing a complex web of resources, both internal and external. Resource Orchestration refers to the strategic management Meaning ● Strategic Management, within the realm of Small and Medium-sized Businesses (SMBs), signifies a leadership-driven, disciplined approach to defining and achieving long-term competitive advantage through deliberate choices about where to compete and how to win. of resource portfolios, involving structuring, bundling, and leveraging resources to create and sustain competitive advantage. This is particularly relevant for SMBs that rely on partnerships, collaborations, or outsourcing to access resources they do not possess internally. Effective resource orchestration Meaning ● Resource Orchestration for SMBs: Strategically managing and deploying resources to achieve business goals and adapt to market changes. requires SMBs to understand the interdependencies between different resources, both within and outside the organization.

For example, a fashion design SMB might rely on external manufacturers for production and distributors for sales. Successful growth depends on orchestrating these external resources effectively, ensuring quality control, timely delivery, and alignment with the brand’s overall strategy. Resource orchestration becomes a critical capability for SMBs seeking to scale and expand their operations.

Table ● Resource Types and SMB Examples

RBV and Competitive Dynamics in SMB Markets

SMB markets are often characterized by intense competition, rapid innovation, and fluctuating customer preferences. Applying RBV in this environment requires a keen understanding of competitive dynamics. SMBs need to not only identify and leverage their own resources but also anticipate and respond to competitors’ resource strategies. Competitive Advantage is Relative; it exists only when a firm possesses resources or capabilities that are superior to those of its rivals.

Therefore, SMBs must continuously monitor the competitive landscape, assess competitors’ strengths and weaknesses, and proactively develop resources that provide a differential advantage. This might involve investing in innovation to create new products or services, building stronger customer relationships to enhance loyalty, or developing more efficient operational processes to reduce costs. RBV, in a dynamic competitive context, becomes an ongoing process of resource development, deployment, and adaptation.

Automation as a Strategic Resource Enhancer

Automation plays a pivotal role in enhancing SMB resources and capabilities within an RBV framework. Beyond simply automating tasks, strategic automation Meaning ● Strategic Automation: Intelligently applying tech to SMB processes for growth and efficiency. initiatives can create entirely new resource advantages. For example, implementing a customer relationship management Meaning ● CRM for SMBs is about building strong customer relationships through data-driven personalization and a balance of automation with human touch. (CRM) system not only automates sales and marketing processes but also generates valuable data insights about customer behavior and preferences. This data, when analyzed effectively, becomes a new intangible resource, enabling SMBs to personalize marketing efforts, improve customer service, and develop more targeted product offerings.

Similarly, automation in supply chain management Meaning ● Supply Chain Management, crucial for SMB growth, refers to the strategic coordination of activities from sourcing raw materials to delivering finished goods to customers, streamlining operations and boosting profitability. can create efficiencies that reduce costs (tangible resource advantage) and improve responsiveness to customer demand (intangible capability). Strategic automation, aligned with RBV principles, transforms automation from a cost-saving tool into a strategic resource enhancer that drives SMB growth and competitive differentiation.

Implementation Challenges and Strategic Choices

Implementing RBV strategies in SMBs is not without challenges. Resource identification and assessment can be complex, particularly for intangible resources. Developing dynamic capabilities requires organizational learning and adaptation, which can be difficult for resource-constrained SMBs. Resource orchestration, especially when relying on external partners, introduces coordination and control challenges.

Furthermore, SMBs must make strategic choices about which resources to prioritize, how to allocate limited resources effectively, and when to invest in resource development versus resource exploitation. These choices often involve trade-offs and require a deep understanding of the SMB’s specific context, industry dynamics, and long-term growth aspirations. Successful RBV implementation in SMBs necessitates a pragmatic and adaptive approach, focusing on building core resource advantages incrementally and strategically.

List ● Intermediate RBV Strategies for SMB Growth

1. Dynamic Capability Development ● Invest in organizational learning, innovation processes, and adaptability to evolve resources.
2. Value Chain Optimization ● Analyze the value chain to identify resource deployment and capability enhancement opportunities.
3. Tangible-Intangible Resource Synergy ● Strategically combine tangible and intangible resources for amplified impact.
4. Resource Orchestration Expertise ● Develop skills in managing internal and external resource portfolios effectively.
5. Competitive Resource Analysis ● Continuously monitor competitor resources and develop differential advantages.
6. Strategic Automation Integration ● Leverage automation to enhance existing resources and create new strategic assets.
7. Prioritized Resource Investment ● Make strategic choices about resource allocation and development based on SMB context.
8. Adaptive Implementation Approach ● Adopt a pragmatic and flexible approach to RBV implementation, learning and adjusting as needed.

For SMBs navigating the complexities of growth, RBV offers a strategic compass, guiding them to leverage their unique resource strengths in a dynamic and competitive landscape. Moving beyond basic resource identification to developing dynamic capabilities, orchestrating resource portfolios, and strategically implementing automation, SMBs can unlock the full potential of RBV to achieve sustainable and differentiated growth. The intermediate stage of RBV application is about refining the understanding, deepening the analysis, and strategically executing resource-based strategies to build a resilient and competitive SMB.

Advanced

Progressing beyond intermediate applications, the advanced understanding of Resource-Based View (RBV) in the context of Small and Medium Businesses (SMBs) demands a sophisticated lens, one that integrates strategic foresight, organizational ambidexterity, and a deep appreciation for the intricate interplay between internal resource configurations and external competitive landscapes. At this level, RBV is not merely a framework for identifying and leveraging resources; it becomes a dynamic, evolving strategic paradigm that shapes organizational identity, drives innovation, and dictates long-term competitive survival in increasingly complex and turbulent markets.

Ambidextrous Organizations and Resource Reconfiguration

Advanced RBV recognizes that sustained SMB growth necessitates organizational ambidexterity ● the ability to simultaneously pursue exploration (innovation, new resource development) and exploitation (efficiency, leveraging existing resources). This duality is critical for SMBs operating in dynamic environments where both incremental improvements and radical innovations are essential for long-term success. Resource Reconfiguration becomes a core dynamic capability at this level, involving the constant realignment and redeployment of resources to support both exploratory and exploitative activities.

Ambidextrous SMBs are adept at creating organizational structures, processes, and cultures that foster both efficiency in current operations and flexibility for future innovation. This advanced perspective moves beyond static resource optimization to dynamic resource portfolio management, ensuring that the SMB is not only competitive today but also prepared for future market shifts and disruptions.

Advanced RBV emphasizes organizational ambidexterity and resource reconfiguration as critical dynamic capabilities for SMBs, enabling simultaneous exploration and exploitation Meaning ● Exploration, within the SMB landscape, signifies the proactive pursuit of novel opportunities, technologies, and business models to foster growth and innovation. for sustained growth.

Knowledge-Based View and Intellectual Capital

Extending RBV, the Knowledge-Based View (KBV) highlights knowledge as a particularly strategic resource, especially for SMBs in knowledge-intensive industries. KBV posits that a firm’s competitive advantage is fundamentally rooted in its ability to create, transfer, integrate, and apply knowledge effectively. For SMBs, intellectual capital ● encompassing human capital (employee knowledge and skills), structural capital (organizational knowledge and processes), and relational capital (knowledge embedded in relationships with stakeholders) ● becomes a primary driver of value creation and differentiation. Advanced RBV in SMBs therefore necessitates a focus on building and managing intellectual capital.

This involves investing in employee training and development, fostering a culture of knowledge sharing and innovation, protecting intellectual property, and building strong relationships with customers, suppliers, and partners to access external knowledge sources. KBV enriches RBV by emphasizing the strategic importance of intangible knowledge assets in driving SMB growth and competitive advantage.

Open Innovation and External Resource Acquisition

Traditional RBV often focused primarily on internal resources. However, advanced RBV recognizes the increasing importance of external resources and Open Innovation strategies for SMB growth. Open innovation Meaning ● Open Innovation, in the context of SMB (Small and Medium-sized Businesses) growth, is a strategic approach where firms intentionally leverage external ideas and knowledge to accelerate internal innovation processes, enhancing automation efforts and streamlining implementation strategies. involves actively seeking and integrating external knowledge, technologies, and resources into the SMB’s innovation processes. For resource-constrained SMBs, open innovation can be a powerful way to access capabilities they lack internally, accelerate innovation cycles, and reduce development costs.

This might involve collaborating with universities, research institutions, or other companies, engaging in crowdsourcing or idea contests, or acquiring external technologies through licensing or partnerships. Advanced RBV in SMBs therefore extends beyond internal resource development to encompass strategic external resource acquisition and integration, recognizing that competitive advantage can be enhanced by effectively leveraging resources beyond organizational boundaries.

Dynamic Resource Orchestration and Ecosystem Engagement

Building upon the intermediate concept of resource orchestration, advanced RBV emphasizes Dynamic Resource Orchestration ● the ability to proactively reconfigure and redeploy resource portfolios in response to rapidly changing market conditions and competitive moves. This requires not only managing internal resource interdependencies but also actively engaging with external ecosystems. SMBs operate within complex ecosystems of suppliers, customers, partners, and competitors. Advanced RBV necessitates understanding these ecosystem dynamics and strategically positioning the SMB within the ecosystem to access complementary resources, build collaborative advantages, and mitigate competitive threats.

Dynamic resource orchestration in this context involves actively shaping the ecosystem to the SMB’s advantage, forming strategic alliances, participating in industry consortia, and influencing industry standards. This proactive ecosystem engagement Meaning ● Ecosystem Engagement for SMBs is strategically participating in interconnected networks for mutual growth and resilience. becomes a critical aspect of advanced RBV for SMBs seeking to achieve scale and sustained competitive dominance.

Table ● RBV Evolution in SMB Context

RBV and Disruptive Innovation in SMBs

Disruptive innovation, characterized by the introduction of new products or services that initially appeal to niche or underserved markets before eventually challenging incumbent leaders, presents both threats and opportunities for SMBs. Advanced RBV provides a framework for SMBs to not only respond to disruptive threats but also to become disruptors themselves. By leveraging unique resource configurations, SMBs can create disruptive business models Meaning ● Disruptive Business Models in the SMB context refer to innovative approaches that fundamentally alter how value is created and delivered within a specific market, offering solutions that challenge or displace established competitors, this often involves leveraging technology and automation to streamline operations and enhance customer experience. that challenge established industry norms. This might involve combining existing resources in novel ways, developing entirely new resources through innovation, or strategically acquiring external resources to leapfrog incumbents.

Advanced RBV in the context of disruptive innovation Meaning ● Disruptive Innovation: Redefining markets by targeting overlooked needs with simpler, affordable solutions, challenging industry leaders and fostering SMB growth. necessitates a willingness to challenge conventional wisdom, embrace experimentation, and build organizational resilience to navigate uncertainty and market turbulence. SMBs that effectively apply advanced RBV principles can not only survive disruptive forces but also capitalize on them to achieve exponential growth and market leadership.

Automation as a Catalyst for Resource Transformation

At the advanced RBV level, automation transcends mere efficiency gains and becomes a catalyst for fundamental resource transformation. Strategic automation initiatives can create entirely new categories of resources, reshape existing resource configurations, and enable SMBs to pursue previously unattainable strategic goals. For example, advanced artificial intelligence (AI) and machine learning (ML) driven automation can create cognitive resources, enabling SMBs to analyze vast amounts of data, make more informed decisions, and personalize customer experiences at scale.

Robotics and advanced manufacturing automation can create flexible and adaptable production resources, enabling SMBs to respond rapidly to changing customer demands and customize products to individual needs. Advanced RBV in SMBs necessitates viewing automation not just as a cost-saving tool but as a strategic resource transformer, capable of creating entirely new sources of competitive advantage and driving radical innovation.

Implementation Complexity and Strategic Agility

Implementing advanced RBV strategies in SMBs presents significant complexity. Developing ambidextrous organizational structures, fostering a culture of open innovation, and dynamically orchestrating resource portfolios across ecosystems require sophisticated management capabilities and organizational agility. SMB leaders must possess strategic foresight, adaptive leadership skills, and the ability to build and manage complex networks of relationships. Furthermore, advanced RBV implementation necessitates a continuous learning and adaptation mindset, as market conditions and competitive dynamics Meaning ● Competitive Dynamics for SMBs is the ongoing interplay of actions and reactions among businesses striving for market share, requiring agility and strategic foresight. are constantly evolving.

SMBs must be willing to experiment, iterate, and adjust their resource strategies in response to feedback and emerging opportunities. Strategic agility, the ability to adapt and respond effectively to change, becomes a critical meta-capability for SMBs seeking to thrive in the advanced RBV paradigm.

List ● Advanced RBV Strategies for SMB Competitive Dominance

1. Ambidextrous Organizational Design ● Structure the SMB to simultaneously pursue exploration and exploitation activities.
2. Intellectual Capital Maximization ● Invest in building and managing human, structural, and relational capital.
3. Open Innovation Ecosystem Engagement ● Actively seek and integrate external knowledge and resources.
4. Dynamic Resource Orchestration Mastery ● Proactively reconfigure resource portfolios and shape ecosystem dynamics.
5. Disruptive Innovation Leadership ● Leverage unique resources to create disruptive business models and challenge incumbents.
6. Strategic Automation for Resource Transformation ● Utilize advanced automation to create new resource categories and reshape existing ones.
7. Strategic Agility Cultivation ● Build organizational adaptability and responsiveness to navigate complexity and change.
8. Continuous Learning and Adaptation ● Foster a culture of experimentation, iteration, and ongoing strategic refinement.

For SMBs aspiring to achieve not just growth but competitive dominance, advanced RBV offers a strategic blueprint for navigating the complexities of the modern business landscape. By embracing ambidexterity, leveraging knowledge assets, engaging in open innovation, dynamically orchestrating resources, and strategically deploying automation, SMBs can unlock unprecedented levels of competitive advantage and sustainable growth. The advanced stage of RBV application is about transforming the SMB into a dynamic, adaptive, and strategically agile organization, capable of not only responding to market changes but also shaping them, achieving long-term success and industry leadership through sophisticated resource-based strategies.

References

• Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99-120.
• Teece, D. J., Pisano, G., & Shuen, A. (1997). Dynamic capabilities and strategic management. Strategic Management Journal, 18(7), 509-533.
• Grant, R. M. (1991). The resource-based theory of competitive advantage ● Implications for strategy formulation. California Management Review, 33(3), 114-135.
• Wernerfelt, B. (1984). A resource‐based view of the firm. Strategic Management Journal, 5(2), 171-180.
• Eisenhardt, K. M., & Martin, J. A. (2000). Dynamic capabilities ● What are they?. Strategic Management Journal, 21(10‐11), 1105-1121.