STRATEGY DEVELOPING A NORMATIVE FRAMEWORK TO ASSESS SMALL-FIRM ENTRY STRATEGIES: A RESOURCE-BASED VIEW
The decision to pursue growth opportunities is often complex and multidimensional. Small businesses pursuing these opportunities must consider many important criteria, such as resource requisites, timing and how to enter new markets. Unfortunately, there are not many systemic tools available to make these dificult decisions. One area of literature that may assist small businesses in deciding how to enter new markets is the resource-based view of a firm The resource-based view of afirm
... of afirm complements current strategic management thought by refocusing efforts on the longterm accumulations of assets rather than short-term resource allocations. Ipe synthesize concepts porn the resource-based view with the literature on alternative entry strategies to develop a normativepamework for small-business decision makers. Specifically, porn ihe resource-based view, we consider: l) diferent types of distinctive competencies-tangiblehntangihie resources owned by afirm and capabilitieslprocesses used by afirm; 2) the degree to which these distinctive competencies can be sustained given cemain environmental attributes, such as ease of imitation, abilities of competitors and industry dynamism. The interrelationshipsbetweendistinctivecompetenceandenvironmentalsustainabilityare then used to identify appropriate strategies to enter new markets.