Routines, Capabilities and Innovation in the Brazilian Wine Industry

André Cherubini Alves, Aurora Carneiro Zen, Antonio Domingos Padula

Abstract


As environments become more competitive and change, firms need to look for new ways of competing by implementing changes and innovations aiming at improving or even building new capabilities. Through multiple case studies, we examine the relationship between routines, capabilities and innovation seeking to identify the changes and innovations that have occurred along the trajectory of two wine producing firms in the Serra Gaúcha of Rio Grande do Sul, Brazil. The results indicate that both companies submitted changes/innovations in routines and capabilities, however, the different strategies and decisions made led to totally different outcomes in terms of size, growth and market-share.

Keywords


Routines, Capabilities, Dynamic Capabilities, Innovation and Change.

Full Text:

PDF [en]

References


ALIEVI, R. M.; Fensterseifer, J. E. (2007) Relações de cooperação e criação de vantagens competitivas: um estudo no arranjo produtivo vinícola da região da serra gaúcha - Brasil. In: DOTTO, D. M. E., & Matuelle, Juvir, L. Estudos organizacionais - Desafios Contemporâneos. Santa Cruz: Edunisc.

ANDERSON, E., & Gatignon, H. (2004) Firms and the creation of new markets. In C. Ménard & M. M. Shirley (Eds.). Handbook of new institutional economics (pp. 401-431). New York: Springer.

ANDERSON, K. (ed.) (2004) The World's Wine Markets: Globalization at Work. Edward Elgar,Cheltenham.

BARNEY, J. (1991) Firm resources and sustained competitive advantage. Journal of Management, 17 (1), 99-120.

BECKER, M. C.; Lazaric, N. (2009) Advancing Empirical Research on Organizational Routines: introduction. In: ________;________. Organizational Routines: Advancing Empirical Research. Cheltenham: Edward Elgar Publishing Limited; p. 1-10.

BESSANT, J., Francis, D. (1999) Developing strategic continuous improvement capability. International Journal of Operations & Production Management, 19 (11), 11061119.

CHANDLER, A. D. (1992) Organizational capabilities and the economic history of the industrial enterprise. Journal of Economic Perspectives, 6 (3): 79-100.

CHARTERS, S. (2006) Wine & Society - the Social and Cultural Context of a Drink, 1st Edition, Elsevier, But-terworth-Heinemann, Oxford.

CHRISTENSEN, C.M. (2003) The innovator's dilemma:the revolutionary book that will change the way you do business. New York: HarperCollins.

COASE, R. (1937) The Nature of the Firm. Economica, New Series, 4 (16), 386-405.

COLLIS, D.J. (1994) Research note: how valuable are organizational capabilities? Strategic Management Journal. 15 (8), 143-152.

COOPER, R. G. (2001) Winning at New Products: accelerating the process from idea to launch. 3 ed. USA, NY: Basic Book.

DOSI, G., Nelson, R., Winter, S. (Eds.), 2000. The Nature and Dynamics of Organizational Capabilities. New York: Oxford University Press.

EISENHARDT, K.M., Martin, J.A. (2000) Dynamic capabilities: What are they? Strategic Management Journal. 21 (10/11), 1105-1121.

FAGERBERG, J. (2004). Innovation: A Guide to the Literature..In: Fagerberg, J., Mowery, D.C. & Nelson, R.. The Oxford Handbook of Innovations. Oxford University Press. pp. 1-26.

FRANCIS, D., Bessant, J. (2005) Targeting innovation and implications for capability development. Technovation, 25, 171-183.

FREEMAN, C. (1994) The economics of technical changes. Cambrige Journal of Economics, 18, p.463-514.

GLOBAL WINE SUPPLY MONITOR (2009) Market Insight Report. Obtained through the internet: http://www.wineaustralia.com/australia/LinkClick.aspx?fil eticket=K%2Bqax%2BskYXk%3D&tabid=5419. [Accessed 17/03/2010].

GOLLO, S.S. (2006) Inovação e Estratégia de Cooperação Competitiva: estudo de caso da indicação de procedência Vale dos Vinhedos - Serra Gaúcha/RS. 2006. 361 f. Tese (Doutorado em Administração) - Programa de Pós-Gra-duação em Administração, Escola de Administração, Universidade Federal do Rio Grande do Sul, Porto Alegre.

GRANT, R.M., 1991. The resource-based theory of competitive advantage: implications for strategy formulation. California Management Review, 33 (3), 114-135.

HAYES, R.H. (1985) Strategic planning-forward in reverse? Harvard Business Review, 63(6): 111-119.

HENDERSON, R., Clark, K. (1990) Architectural innovation: the reconfiguration of existing product technologies and the failure of established firms. Administrative Science Quarterly, 35, 9-30.

MIOLO WINE GROUP (2010) Annual Report. Obtained through the internet: http://www.miolo.com.br. [Accessed 17/03/2010].

NELSON, R. R. (1991) Why do firms differ, and how does it matter? Strategic Management Journal, Winter Special Issue, 12, pp. 61-74.

NELSON, R.R., Winter, S.G. (1982) An Evolutionary Theory of Economic Change. Harvard University Press, Cambridge, MA. OCDE - Organização para Cooperação e Desenvolvimento Económico. Stan Indicators. OCDE: 2005. http://financasfaceis.files.wordpress.com/2009/10/stan-indicators-2005-edition.pdf. [Accessed July 28, 2010]

PENG, D. X., Schroeder, R. G., Shah, R. (2007) Linking routines to operations capabilities: A new perspective. Journal of Operations Management 26, (6), 730-748.

PORTER, M.E. (1998) Clusters and the new economics of competition. Harvard Business Review, 76 (6), nov./dec.,77-90, 1998.

PRAHALAD, C.K., Hamel, G. (1990) The core competence of the corporation. Harvard Business Review, 68 (3), 79-91.

RICHARDSON, G. B. (1972) The organization of industry. Economic Journal, 82 (September), 883-896.

ROTHWELL, R.;Gardiner, P. (1985) Invention, Innovation, re-innovation and the role of the user. Technovation, 3, 167-186.

SCHUMPETER, J. A. (1934) The Theory of Economic Development. Cambride: Harvard University Press. First published in German, 1912.

STALK, G.; Evans, P.; Shulman, L.E. (1992) Competing on capabilities: The new rules of corporate strategy. Harvard Business Review, 70(2): 57-69.

STERNS, J. A.; Schweikhardt, D. B.; Peterson, H. C. (1998) Using case studies as an approach for conducting agribuisiness research. International Food and Agribusiness Management Review, 1, 3, p. 311-327.

TEECE, D.J., Pisano, G., Shuen, A. (1997) Dynamic capabilities and strategic management. Strategic Management Journal, 18 (7), 509-533.

UNWIN, T (1996) Wine and the Vine: An Historical Geography of Viticulture and the Wine Trade. London: Routledge.

UTTERBACK, J. E.; Abernathy, W. (1975) A dynamic model of process and product innovation, Omega 3, 639-656.

WANG, C. E Ahmed, P. (2007). Dynamic capabilities: a review and research agenda. International Journal of Management Review, 9 (1) , 31-51.

WHEELWRIGHT, S.; Clark, K. (1992) Revolutionising Product Development. New York: Free Press.

WILLIAMSON, O.E. (1985). The Economic Institutions of Capitalism. New York, Free Press.

WINTER, S.G. (2000) The satisficing principle in capability learning. Strategic Management Journal. 21, 981-996.

YIN, R. K. (2003) Case study research: Design and methods (3rd ed.). Newbury Park, CA: Sage.

ZOLLO, M.;Winter, S.G. (2002) Deliberate learning and the evolution of dynamic capabilities. Organization Science, 13 (3), 339-351.




DOI: http://dx.doi.org/10.4067/S0718-27242011000200009

Bookmark and Share


Copyright (c)



2017 © Universidad Alberto Hurtado - Facultad de Economía y Negocios. 
Erasmo Escala 1835 - Santiago, Chile.
Economic Analysis Review | Observatorio Económico | Gestión y Tendencias 

Journal Supported by Chimera Innova Group