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Human Capital as Source for Sustained Competitive Advantages in SMEs: A Core Competencies Approach

Author

Listed:
  • Carlos M. F-JARDON

    (Department of Applied Economics, University of Vigo (Spain))

  • Miguel GONZALEZ-LOUREIRO

    (Department of Business Management and Marketing, University of Vigo (Spain))

Abstract

Human capital is a source of competitive advantage, since it helps to build core competencies which position the company above its competitors. Core competencies are dynamic competencies of superior hierarchy, which integrate, build and reconfigure internal and external factors of business to create value. Core competencies are competitive advantages when an organization gets better performance than competitors. Human capital is source of competitive advantage but it possibly does not directly affect to performance. It needs to associate with other elements in core competencies. These associations are not well known. That is the goal of this paper: to determine how human capital affects the organizational performance through core competencies. We argue that human capital needs other intellectual capital-based elements to constitute core competencies which finally improve and yields above average performance.

Suggested Citation

  • Carlos M. F-JARDON & Miguel GONZALEZ-LOUREIRO, 2013. "Human Capital as Source for Sustained Competitive Advantages in SMEs: A Core Competencies Approach," Economia. Seria Management, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 16(2), pages 255-276, December.
    • Handle: RePEc:rom:econmn:v:16:y:2013:i:2:p:255-276
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    Cited by:

    1. Demyen Suzana, 2015. "The Relationship Between Human Resource, Managerial Performance And The Economic Competitiveness Of The Enterprise," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 1, pages 169-176, January.
    2. Carlos M. Jardon & Xavier Martinez-Cobas, 2022. "Leadership and Marketing Capabilities in Small Businesses of Subsistence Marketplaces," SAGE Open, , vol. 12(2), pages 21582440221, April.
    3. Chaiwichit Chianchana & Sageemas Na Wichian, 2016. "Assessment Of Performance Competency In The Organization: Dimensionality Oriented Assessment," Polish Journal of Management Studies, Czestochowa Technical University, Department of Management, vol. 13(2), pages 27-35, June.
    4. Chao Liu & Qichen Liao & Wenyan Gao & Shuxian Li & Peng Jiang & Ding Li, 2024. "Intellectual Capital Evaluation Index Based on a Hybrid Multi-Criteria Decision-Making Technique," Mathematics, MDPI, vol. 12(9), pages 1-29, April.

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    More about this item

    Keywords

    Sustained Competitive Advantage; human capital; intellectual capital; SMEs; core competencies.;
    All these keywords.

    JEL classification:

    • L21 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Business Objectives of the Firm
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • M21 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics - - - Business Economics

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