Towards a theoretical framework of strategic decision, supporting capability and information sharing under the context of Internet of Things

A theoretical framework which classifies IoT strategies into four archetypes from two dimensions of managers’ strategic intent and industrial driving force is provided, and it is proposed that market-based exploratory capabilities play a more important role for firms adopting get-ahead strategy, and market- based exploitative capabilities play an important rolefor firms adopting catch-up strategy in market.

Abstract

The effective strategy of Internet of Things (IoT) can help firms to grasp the emerging opportunities from the IoT and then improve their competitive advantage. In this article, based on organizational capability perspective, we provide a theoretical framework which classifies IoT strategies into four archetypes from two dimensions of managers' strategic intent and industrial driving force, and propose that market-based exploratory capabilities play a more important role for firms adopting get-ahead strategy, and market-based exploitative capabilities play a more important role for firms adopting catch-up strategy in market. The technology-based exploratory capabilities play a more important role for firms adopting get-ahead strategy in technology, and technology-based exploitative capabilities play a more important role for firms adopting catch-up strategy in technology. Especially, external industry information sharing more efficiently contributes to the enhancement of both market-based and technology-based exploratory capabilities, and internal industry information sharing more efficiently contributes to the enhancement of both market-based and technology-based exploitative capabilities.