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The Influence Factors of Dynamic Capabilities: The Case of Innovation Speed at Korean Electronics Companies

DISSERTATION of the University of St.Gallen, Graduate School of Business Administration, Economics, Law and Social Sciences (HSG) to obtain the title of Doctor of Business Administration submitted by

Florian Fuhl from Germany

Approved on the application of Prof. Dr. Li Choy Chong and Prof. Dr. Narendra Agrawal

Dissertation No. 3211 Druckerei Lauterberg, Ketzin, 2006

The University of St.Gallen, Graduate School of Business Administration, Economics, Law and Social Sciences (HSG) hereby consents to the printing of the present dissertation, without hereby expressing any opinion on the views herein expressed.

St.Gallen, June 12, 2006

The President:

Prof. Ernst Mohr, PhD

I

ACKNOWLEDGEMENTS
Many people contributed to the creation of this doctoral thesis. Even though they may not be mentioned here by name, they are aware of their role and support during the research process, for which I feel most grateful. First of all, I am most indebted to Prof. Li Choy Chong, who has far exceeded his duty as my supervisor by continuously supporting me throughout my doctoral thesis project. The discussions with him in St.Gallen and Singapore were always fruitful and inspiring. This is also true for my co-supervisor Prof. Narendra M. Agrawal, who encouraged and challenged my work with his detailed comments. I also would like to thank all my interview partners, whose statements represent a building block of my empirical work. Especially, I would like to thank Albrecht “Ali” Fromm, who reactivated his expatriate network in South Korea and thereby made the contact to many interviewees possible. His friend Bernd Isslinger played an important role in Korea and supported me with his industrial experience and connections. Mr. Park, Dong-Seok, my old friend and fellow student, Ms. Song, Son-Jong, my colleague, and Mr. Lee, Deok-Hyong also helped me with their various contacts to key people and showed me a great time in Seoul. Prof. Lee, Seung-Joo from KDI School supported me with his alumni connections. Many thanks as well to my fellow doctoral colleagues in St.Gallen. We rejoiced and suffered together. Thanks in particular to Guido, Markus, Christian, Zheng and Claudia for a great time in Singapore and St.Gallen. My warmest thanks go to my family both in Germany and South Korea, above all to my parents, Kyung-Sook and Manfred Fuhl, for being the world’s best parents in every stage of my life. For that reason, I dedicate this dissertation to them.

Munich, June 29, 2006

Florian Fuhl

II

TABLE OF CONTENTS
Page

ACKNOWLEDGEMENTS.................................................................................I TABLE OF CONTENTS................................................................................... II LIST OF FIGURES ........................................................................................... V LIST OF TABLES ............................................................................................VI LIST OF ABBREVIATIONS AND ACRONYMS ...................................... VII ABSTRACT .......................................................................................................IX 1 INTRODUCTION......................................................................................... 1 1.1 1.2 1.3 RESEARCH FOCUS AND OBJECTIVE .................................................................................1 RELEVANCE OF RESEARCH .............................................................................................3 STRUCTURE OF THE THESIS .............................................................................................5

2

LITERATURE REVIEW AND THEORETICAL FOUNDATION ....... 8
2.1 2.2 DEFINITION OF COMPETITIVE ADVANTAGE ....................................................................8 THEORIES EXPLAINING COMPETITIVE ADVANTAGE...
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