Show Less
You do not have access to this content

Sustainable Growth Through Strategic Innovation

Driving Congruence in Capabilities

Mitsuru Kodama

From detailed reviews of existing dynamic capabilities, this book presents a theoretical model of a strategic innovation system as a corporate system capability to enable a large company to achieve strategic innovation. The book includes in-depth case studies to illustrate the importance of strategic innovation capabilities.
Show Summary Details
You do not have access to this content

Chapter 7: Successful and unsuccessful strategic innovation in the mobile telephone industry: the cases of NTT DOCOMO and SoftBank

Driving Congruence in Capabilities

Mitsuru Kodama

Extract

Japanese mobile phone manufacturers (NEC, Fujitsu, Panasonic, Sharp, and so on) including NTT DOCOMO and KDDI were slow to respond to the emergence of smartphones. According to existing research, it can be interpreted that the cause of this failure to respond to changes in the environment (markets and technologies) was the strong pull of habits built up over a long time and capabilities grown through experiences in their existing businesses, e.g., competency trap, core rigidities, or the innovators dilemma. However, looking deeply into the organizations in large corporations facing the need to change, it’s clear that negative interactions (capabilities abrasion and friction) between the diverse capabilities within a large corporation are often the cause of the inability to respond with new potential technologies or products. In contrast, SoftBank, a young player in the mobile telephone business and the only Japanese mobile telephone carrier that was not dragged down by negative interactions between its capabilities, was successful in its strategy transformation, as it demonstrated strategic innovation capabilities by executing capabilities congruence through configuration of its dynamic organizational forms both in itself and between it and other companies. This chapter analyses and describes in detail the negative interactions between capabilities that can hinder capabilities congruence (capabilities abrasion and friction), and presents theoretical and practical implications for successful strategic innovation.

You are not authenticated to view the full text of this chapter or article.

Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.

Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.

Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.


Further information

or login to access all content.