In this section, the selected topic is sustainable competitive advantage in an increasingly

competitive environment. According to Barney (1991), a competitive advantage reers to a value

generating strategy that is not simultaneously implemented by any e!iting or potential rivals. "hat
should #co$ash do to %eep sustainable competitive advantage in an increasingly competitive
environment& 'his essay ans$ers this (uestion generally in a resources based vie$.
)ne o the selected *ournal article is +irm ,esources and -ustained .ompetitive Advantage
(Barney, 1991). 'his article aims to e!amine the relationship bet$een corporate resources and
sustained competitive advantages. It irstly deines some %ey terms, including irm resources,
competitive advantage and sustained competitive advantage/ and indicates the role o company
resources in creation o sustained competitive advantages. 'hen, through a evaluation rame$or%,
the author discusses our %ey characteristics to identiy strategic resources $hich contributes to
develop organisational sustained competitive advantages. 'he our characteristics are respectively
value, rareness, imitability and substitutability. 'o sum up, the article describes each company as a
uni(ue bundle o tangible and intangible resources.
'his article is relevant to #co$ash situation as it states the importance o strategic resources,
$hich are the undamentals or a company to develop and remain develop and remain competitive
advantages in an increasingly competitive environment. 'his article contributes to identiy the
companys idiosyncratic strategic resources by the our characteristics rom three aspects0 physical
resources, human resources and company capital. Also, it implies the importance or #coeash to
%eep sustainable competitive advantages. 'hat is, to achieve and create strategic resources, and to
properly use and allocate these resources. In a vie$ o article structure, his article establishes
theoretical basis o discussion on selected topic. 'he theoretical and rame and model represented
by this article are used to lead ollo$ed discussion. 'he selection o all other support materials is
in conormity $ith its illustrations.
1o$ever, its classiications on strategic resources are merely s%etchy. It has limits on discussion
about relationships bet$een some %inds o speciic resources,and the creation o sustainable
competitive advantage. 'hese speciic resources include but not limited to innovations, business
culture and company brand. 'hus, some other academic materials are needed to cover these
shortages. +urther, in practice, the s%etchy classiications made by this article might mislead irms
li%e #co$ash. -ince some important but intangible resources such as core value, branding and the
capacities o innovations are not identiied and clearly divided into any o the three types o
resources. As a result, irms might conuse about $hether these resources are strategical to
development and remain competitive advantages. .orrespondingly, they might not realise the
importance o these %ind o resources.
According to the model illustrated by this article, #co$ash generally has three %inds o strategic
resources. It includes 1) physical resources, such as the techni(ue o $aterless car $ash/ 2) human
resources, or e!ample, the company provides ull training, supports and transparency inormation
to ranchisees/ 3) company capital, a lead position in $aterless car industry and a environmental
core value, or instance. 'o %eep its competitive advantages in an increasing competitive
environment, #co$ash has to properly allocate and use these strategic resources and %eep their
sustainabilities.
In addition to Barneys $or%, some articles play similar roles to establish theoretical rame $ithin
$hich the discussions on this topic are made. 'hese articles include0 the cornerstones o
competitive advantage0 a resources based vie$ (4etera, 1993), and the resources based vie$
$ithin the conversation o strategic management (5ahoney 6 4andin, 1992). Both o these t$o
articles ollo$ Barneys $ay. 'he ormer supports Barneys arguments and ocus on application o
his resources based model or strategy management. 'he later ma%es research in depth and
stresses the conversion rom theory to strategy management.
Another selected academic paper is the resource7based vie$ o the irm and innovation0
identiication o critical lin%age, $hich is conerence paper published at the 2nd #uropean
Academy o 5anagement .onerence. It aims to state the interrelationships bet$een
organisational innovation and the resources based vie$. 'he article begins $ith a introduction o
bac%ground %no$ledge on resources based vie$ and the process to create sustainable competitive
advantage. 'hen, it discussion the irms capacity o innovation in a resources based vie$.
'heoretical illustrations and empirical evidences are included in this part. It is concluded that
resources based vie$ provides ne$ orientations or management o the irm7level innovations. 'o
sum up, the relationship bet$een resources based vie$ and innovation is bilateral. )n one hand,
corporate resources oer signiicant input or innovation actions. )n the other hand, innovation
produces competitive advantages that increase uture value. It also indicates that a company
should strive to innovations both better than rivals and beore the competition.
'his article is relevant to selected topic as it clearly identiies irm7level innovations as strategic
resources that produce sustainable competitive advantages. Its statements are made basis on
Barneys and other previous $or%s. 'he contribution o this article is its in depth discussion in a
speciic aspect o resources. 'hus, it is considered as a necessary supplementation on Barley
(1991)s $or%. Besides help in urther identiy #co$ashs core advantages, this article also
contributes to stress the role o innovation aspect in #co$ash situation. 'al%ing $ith the essay
structure, this article is used as supplementary supports to #co$ashs strategic resources
identiication/ and also to provide the theoretical base $hen discusses the innovations on products
and technologies. )ne o the articles signiicant limit is its narro$ scope. 'hat means, it does not
cover any other issues more than innovation.
'hin%ing about this articles statements, #co$ash has signiicant advantage in its technology o
liting dirt $ithout $ater. 'o %eep this advantage, the company should never stop technological
research to constantly improve current technologies and develop ne$ technologies. 'o %eep the
imitability, the company is encouraged to apply or patent. -econdly, its innovations on services
products help to remain current and create ne$ advantages. 'hus, to %eep its competitive
advantages sustainably, the orm is recommended to build a team or a department $ith the speciic
unction to develop ne$ product. All o these innovations should be made better than and beore is
competitors.
'here are some other academic articles $idening Barneys $or%, and ocusing on various aspect
o corporate resources. -ome e!ample includes0 organi8ational culture0 can it be a source o
sustained competitive advantage& (Barney, 199:)/ human resources and the resources based vie$
o the irm (;unord, -nell 6 "right, 2<<1)/ and is corporate branding a strategic resource that
drives competitive advantage& Insights rom the resource based vie$ o the irm ()tuban*o,
2<1<). All o these articles statements are made $ithin Barneys resources model. +urther, each
article has its speciic scope, $hich is can be seen rom the titles. 'hey contribute to analyse
#co$ash situation $ith various ocuses.
,eerences
Barney, =. B. (199:). )rgani8ational culture0 can it be a source o sustained competitive
advantage. The Academy of Management Review 11 (3), :>:7::>.
Barney, =. B. (1991). +irm resources and sustained competitive advantage. Journal of
Management, 17 (1), 99712<.
;unord, B. B., -nell, -. A. 6 "right, 4. 5. (2<<1). 1uman ,esources and the ,esources Based
?ie$ o the +irm. "or%ing 4aper, -chool o Industry and @abour ,elations. Ithaca0
.ornell Aniversity. ,etrieved rom http0BBdigitalcommons.ilr.cornell.eduC
Dostopoulos, D., -panos, E. #. 6 4rastacos, F. 4. (2<<2). 'he ,esource7Based ?ie$ o the +irm
and Innovation0 Identiication o .ritical @in%ages. The 2nd European Academy of
Management Conference -toc%holm0 +Gretagse%onomis%a institution. ,etrieved rom
http0BBecsocman.hse.ruBdataB1:>B::3B1219BrbHvie$.pd.
5ahoney, =. '. (1992). 'he resources based vie$ $ithin the conversation o strategic management.
!trategic Management Journal 1" (2), 3:3739<.
)tuban*o, ). (2<1<). Is corporate branding a strategic resource that drives competitive advantage&
Insights rom the resource based vie$ o the irm. =ournal o the Academy o 5ar%eting
-cience, 9 (11), 1721. ,etrieved 5arch I, 2<12, rom http0BBssrn.comBabstractJ1:I:<9<.
4etera, 5. A. (1993). 'he cornerstones o competitive advantage0 a resources based vie$.
!trategic Management Journal 1# (3), 1K97191.