Dynamic capabilities, the new multinational enterprise and business model innovation: A de/re-constructive commentary

We critically assess the state of play with the dynamic capability view (DCV) and explore its nature and scope, its relationship with extant theories, its application and applicability to the theory of the multinational enterprise (MNE), and its relationship with business model innovation (BMI). We claim that the DCV should be considered a meta-theory-plus that is both applicable to and extends extant theories. We submit that, while it has contributed to the theory of the MNE and BMI, there remains scope to add more value, and that its progress has been hindered because of several limitations. These are both conceptual and in terms of operationalization and empirical testing. We find disconcerting the plurality of concepts, and the lack of a comprehensive conceptual framework and of theory-congruent proxies for the key variables. We are also concerned by the lack of econometric evidence that accounts for causal inferencing. These limitations need to be addressed for the DCV to realize its full potential, and we propose ways to go about it.