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A rough set approach to knowledge discovery in analyzing competitive advantages of firms

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  • Yuan Li
  • Xiuwu Liao
  • Wenhong Zhao

Abstract

Competitive advantage analysis (CAA) is still an important issue of strategic management research. Although many studies are developed on this topic, they remain conceptual and descriptive, and it is difficult to make them operational in practice. Therefore, this article proposes an intelligent decision support approach for solving such a difficulty. The proposed approach integrates soft computing, rough set theory, and group decision making technique. In this study, CAA is considered as a multiple criteria sorting problem with multi-granularity linguistic assessment information. An algorithm based on linguistic computing is first presented to construct the decision table of exemplary decisions, and then the extended rough set theory and dominance functions are taken to induce a set of decision rules that satisfy a minimum support threshold. These rules can explicitly describe the relationship between the competitive advantage positions and the key determinant factors of competitive advantage. Finally, a numerical example is used to illustrate the application of the proposed approach. Copyright Springer Science+Business Media, LLC 2009

Suggested Citation

  • Yuan Li & Xiuwu Liao & Wenhong Zhao, 2009. "A rough set approach to knowledge discovery in analyzing competitive advantages of firms," Annals of Operations Research, Springer, vol. 168(1), pages 205-223, April.
  • Handle: RePEc:spr:annopr:v:168:y:2009:i:1:p:205-223:10.1007/s10479-008-0399-x
    DOI: 10.1007/s10479-008-0399-x
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    Cited by:

    1. Wen-Min Lu & Qian Long Kweh & Chung-Wei Wang, 2021. "Integration and application of rough sets and data envelopment analysis for assessments of the investment trusts industry," Annals of Operations Research, Springer, vol. 296(1), pages 163-194, January.
    2. Du, Wen Sheng & Hu, Bao Qing, 2017. "Dominance-based rough fuzzy set approach and its application to rule induction," European Journal of Operational Research, Elsevier, vol. 261(2), pages 690-703.
    3. Fu-Ling Cai & Xiuwu Liao & Kan-Liang Wang, 2012. "An interactive sorting approach based on the assignment examples of multiple decision makers with different priorities," Annals of Operations Research, Springer, vol. 197(1), pages 87-108, August.
    4. Galo, Nadya Regina & Calache, Lucas Daniel Del Rosso & Carpinetti, Luiz Cesar Ribeiro, 2018. "A group decision approach for supplier categorization based on hesitant fuzzy and ELECTRE TRI," International Journal of Production Economics, Elsevier, vol. 202(C), pages 182-196.

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