Research On The Formation And Evolution Of Competitive Advantage Based On Routine

Since Stene first raised "Routine" in 1940, more and more researchers have paid attention to this issue. Nelson and Winter gave us a comprehensive interpretation of "routine", which can serve as a milestone of the research on "Routine". Since then, lots of experts and scholars who studies sociology, organizational behavior, cognitive psychology, evolutionary biology and evolutionary economics, put forward their own view of "routine" from their respective areas. In recent years, some experts on business strategy also focused on Routine, they associated the enterprise's dynamic capabilities, organizational flexibility, industrial organizations and the organization routines, and explored ways of gaining access to competitive advantage.Markus C·Becker said, routines exist in the organization, and can be part of an organization. Hardly can anyone find an organization which didn't contain the routines. With the increase in routine applications, the study on routines continuous refinement, it has jumped out of the study on organizational level, and gradually turned to the study of the impact of corporate strategy. This paper, proposed on the basis of previous studies, drawing on the strategic experts'view, explored the impact on the formation and evolution of the competitive advantages.Firstly, the enterprise routines will be acting on the designation of the organization, and thus affect the business strategy to build the competitive advantage. Experts who studied the organizational behavior said that, there are some associations between the organization designation and the acquisition of enterprise competitive advantages. Saloner found that enterprise routine is an important part of the inner environment. When we design an organization, it's inevitable that we should taking into account of the coordination and incentive problems. Enterprise routines acted on the organization designation and thus build the internal frame of competitive advantages.Secondly, Routines may affect the learning of the organization. Routine has some knowledge properties. Huang Chun-chieh gave us the concept of original routine and reference routine. And the learning ability of the organization is the basis for sustainable competitive advantage.Thirdly, the routines may affect the organizational innovation, Feldman and Pentland found that routine is changeable. that is, regular variability. Enterprises will transform from one routine to another. Or even with Repeatability, there may be some change for the member's factors or technique factors. This change can be seen as organization innovation, it's also a process to build sustainable competitive advantages.