DYNAMIC CAPABILITIES IN TURBULENT ENVIRONMENT

Abstract

The aim of this article is to identify external conditions in which dynamic capabilities contribute to the company’s result. The scientific literature studies were the method used during the researches. The first and the second part of the paper contain the conceptualization of two main constructs, both the dynamic capabilities and the dynamism of environment. The third part contains conclusions of the researches on the implications of the environmental dynamism on the relationship: dynamic capabilities (DCs) – firm performance (FP). The review of the researches findings did not allow to unambiguously classify the environmental dynamism as a moderator of DC’s – FP relationship. Some controversial arguments appeared concerning the role of environmental dynamism as a moderator of DC’s – FP relationship. Some of the researches show that the impact of the dynamic capabilities on results maybe be different in different types of environments. However, some other researches present environmental dynamism as a necessary precondition or constitutive element of dynamic capabilities. Therefore, further research should elaborate on the nuanced consequences that different environmental characteristics have for the deployment and performance of dynamic capabilities.
Key words: dynamic capabilities, environmental dynamism, turbulent environment, competitive advantage, firm performance, dynamic capabilities view
JEL: M1, L12, M3