Resource Based View Of Strategy. Fundamentally this theory formulates the firm to be a bundle of resources. The resource based view is a managerial framework used to determine the strategic resources a firm can exploit to achieve sustainable competitive advantage.
However some scholars argue that there was evidence for a fragmentary resource based theory from the 1930s. This paper reviews the literature of this position and the extent to which the rbv may be seen as a source of practical guidance for managers seeking competitive advantage and strategic success. Some resources such as cash and trucks are not considered to be strategic resources because an organization s competitors can readily acquire them.
Resource based view rbv highlights the internal environment of the firm in crafting strategy to accomplish a sustainable competitive advantage in it.
Barney s 1991 article firm resources and sustained competitive advantage is widely cited as a pivotal work in the emergence of the resource based view. A resource based view is a strategy method that focuses on the actual resources of a company. You can then match these to opportunities to develop your competitive advantage. Some resources such as cash and trucks are not considered to be strategic resources because an organization s competitors can readily acquire them.
