Knowledge Development and Protection as Competitive Advantage

This chapter explores the different circumstances facing firms and industries regarding knowledge development and knowledge protection. Contrary to the view that more aggressive knowledge management aimed at knowledge development is good, the authors take a more balanced approach by weighing knowledge development potential against the increased vulnerability resulting from such assets being spread more widely. By identifying industries falling into different development and protection circumstances, they explore what knowledge characteristics (tacitness, complexity, specificity) might characterize those different circumstances. As a result, strategists will be better able to plan investments in knowledge management, in knowledge protection, and in competitive intelligence operations while scholars can better understand when and why to do so.