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Superstores and the evolution of firm capabilities in American bookselling

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  • Daniel M.G. Raff

Abstract

This study considers the transformation of book retailing in America ca. 1970–95. The major transition was less modal sales venues shifting from Central Business Districts to suburban locations than the rise of extremely broadly merchandised ‘superstores’ and their supporting infrastructure. The paper documents two superficially similar but from a capabilities perspective quite different superstore business models, one identified with Borders and the other with Barnes & Noble. The two companies' key capabilities originated and developed in distinctive ways, one oriented around the management of information and the other around scale. Complementarities and the persistence of core capabilities are striking features of the organizational histories, but so is—over a fairly extended period—evolutionary change. Copyright © 2000 John Wiley & Sons, Ltd.

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  • Daniel M.G. Raff, 2000. "Superstores and the evolution of firm capabilities in American bookselling," Strategic Management Journal, Wiley Blackwell, vol. 21(10‐11), pages 1043-1059, October.
    • Handle: RePEc:bla:stratm:v:21:y:2000:i:10-11:p:1043-1059
    DOI: 10.1002/1097-0266(200010/11)21:10/113.0.CO;2-7
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    Cited by:

    1. Efua Obeng & John Prescott & John Hulland & Robert Gilbert & James Maxham, 2015. "Retail capability systems," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 5(3), pages 103-122, December.
    2. Somohano Rodríguez, Francisco M. & López Fernández, José Manuel & Martínez García, Francisco Javier, 2018. "El efecto de la innovación en el resultado empresarial durante la recesión económica. Una aplicación a la industria de la automoción," Revista de Contabilidad - Spanish Accounting Review, Elsevier, vol. 21(1), pages 91-105.
    3. Mark Ritson & Mark Zbaracki & Shantanu Dutta & Daniel Levy & Mark Bergen, 2005. "The Three Capitals of Pricing – Human, Systems and Social Capital," Macroeconomics 0505014, University Library of Munich, Germany.
    4. Battistella, Cinzia & De Toni, Alberto F. & De Zan, Giovanni & Pessot, Elena, 2017. "Cultivating business model agility through focused capabilities: A multiple case study," Journal of Business Research, Elsevier, vol. 73(C), pages 65-82.
    5. Strese, Steffen & Adams, Daniel R. & Flatten, Tessa C. & Brettel, Malte, 2016. "Corporate culture and absorptive capacity: The moderating role of national culture dimensions on innovation management," International Business Review, Elsevier, vol. 25(5), pages 1149-1168.
    6. Ennen, Edgar & Richter, Ansgar, 2009. "The Whole Is More Than the Sum of Its Parts - Or Is It? A Review of the Empirical Literature on Complementarities in Organizations," MPRA Paper 15666, University Library of Munich, Germany.
    7. Christopher B. Bingham & Kathleen M. Eisenhardt, 2008. "Position, leverage and opportunity: a typology of strategic logics linking resources with competitive advantage," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 29(2-3), pages 241-256.
    8. Maheshkumar P. Joshi & Ravi Kathuria & Sidhartha Das, 2019. "Corporate Entrepreneurship in the Digital Era: The Cascading Effect through Operations," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 28(1), pages 4-34, March.
    9. Efua Obeng & John E. Prescott & John Hulland & Robert Gilbert & James Maxham, 2015. "Retail capability systems," AMS Review, Springer;Academy of Marketing Science, vol. 5(3), pages 103-122, December.
    10. Kiamehr, Mehdi, 2017. "Paths of technological capability building in complex capital goods: The case of hydro electricity generation systems in Iran," Technological Forecasting and Social Change, Elsevier, vol. 122(C), pages 215-230.
    11. London, Ted & Anupindi, Ravi & Sheth, Sateen, 2010. "Creating mutual value: Lessons learned from ventures serving base of the pyramid producers," Journal of Business Research, Elsevier, vol. 63(6), pages 582-594, June.
    12. Fernández-Pérez, Virginia & García-Morales, Victor J. & Pullés, Dainelis Cabeza, 2016. "Entrepreneurial decision-making, external social networks and strategic flexibility: The role of CEOs' cognition," European Management Journal, Elsevier, vol. 34(3), pages 296-309.
    13. Thomas Keil & Erkko Autio & Gerard George, 2008. "Corporate Venture Capital, Disembodied Experimentation and Capability Development," Journal of Management Studies, Wiley Blackwell, vol. 45(8), pages 1475-1505, December.
    14. Xinxin Li & Bin Gu & Hongju Liu, 2013. "Price Dispersion and Loss-Leader Pricing: Evidence from the Online Book Industry," Management Science, INFORMS, vol. 59(6), pages 1290-1308, June.
    15. Dixit, M. R. & Karna, Amit & Sharma, Sunil, 2008. "A Unified Theory of Capability Building: Need and Response," IIMA Working Papers WP2008-01-10, Indian Institute of Management Ahmedabad, Research and Publication Department.

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