Creating Economic Value Through Social Values: Introducing a Culturally Informed Resource-Based View

Authors:
Cara C. Maurer;Pratima Bansal;Mary M. Crossan
Affiliations:
Strategic Management Group, Richard Ivey School of Business, The University of Western Ontario, London, Ontario N6A 3K7, Canada;Strategic Management Group, Richard Ivey School of Business, The University of Western Ontario, London, Ontario N6A 3K7, Canada;Strategic Management Group, Richard Ivey School of Business, The University of Western Ontario, London, Ontario N6A 3K7, Canada
Venue:
Organization Science
Year:
2011

Citing 3
Cited 1

Clothes Make the Person? The Tailoring of Legitimating Accounts and the Social Construction of Identity

Organization Science
Demand Heterogeneity and Technology Evolution: Implications for Product and Process Innovation

Management Science
CEO Ambivalence and Responses to Strategic Issues

Organization Science

The Cultural Construction of Organizational Life: Introduction to the Special Issue

Organization Science

Quantified Score

Hi-index	0.00

Visualization

Abstract

The resource-based view (RBV) has historically privileged the firm's internal resources and capabilities, often at the exclusion of its institutional context. In this paper, we introduce a culturally informed RBV that explains how cultural elements in the firm's institutional context shape the economic value associated with a firm's strategy. We posit that a firm's institutional context may create or destroy economic value. If the strategy inadvertently becomes associated with a social issue, it poses a risk for the firm. Firms that recognize the dynamic interplay between their resources and their institutional context in the face of social issues can engage in important cultural work, and thereby preserve their strategy's economic value.