Absorptive Capacity, R&D Intensity and Innovation Results

The dynamic capabilities Perspective has emerged in the last decade to improve the explanatory power of the Resource-Based View of the firm with regard to obtaining sustainable competitive advantage by firms operating in rapid change environments. However, some aspects of its conceptualization, especially in relation to the factors that make up them, do not appear to be entirely clear. Accordingly, the aim of the present chapter is to provide a conceptual synthesis of the construct, trying to identify the key factors involved in the development of dynamic capabilities by firms. Based on a sample of 177 companies around the world operating in the software industry, the authors derive an empirical study. Their findings suggest that firms that jointly develop absorptive capacity and innovative capacity achieve better results.