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Elements and evolution mechanism of dynamic capabilities: The perspective of knowledge

Author(s): Chun-hong Lu

It is the competition principle to “Select the superior and eliminate the inferior, the survival of the fittest”. The firm is the knowledge system and the capabilities system, the knowledge is the capabilities of nature. Based on the knowledge, the dynamic capabilities include knowledge absorptive capabilities, knowledge creation capabilities and knowledge integration capabilities. In accordance with the requirements of the firm, three elements of the dynamic capabilities don’t operate automatically. The driving forces are required, it is a complete mechanism for the evolution of dynamic capabilities, including response mechanism, matching mechanism, learning mechanism, incentive mechanism

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