The document discusses the resource-based view of entrepreneurship. It states that a firm's competitive advantage lies in its unique bundle of valuable tangible and intangible resources. Resources provide an advantage when they are valuable, rare, difficult to imitate, and there are no substitutes. Financial, physical, human, organizational, technological, and reputational resources are discussed as types that can provide competitive advantages if they meet these criteria. The resource-based view focuses on how firms can obtain and deploy resources to implement strategies and sell outputs at a higher price than costs.

1. RESOURCE-BASED VIEW OF
ENTREPRENEURSHIP
Fahim akhtar

2. Resource-based view
The resource-based view (RBV) as a basis for the
competitive advantage of a firm lies primarily in the
application of a bundle of valuable tangible or
intangible resources at the firm's disposal

3. Competitive advantage
A competitive advantage is an advantage over competitors gained by
offering consumers greater value, either by means of lower prices or by
providing greater benefits and service that justifies higher prices.

4. Resource

5. Features of resources
• Valuable. Because they exploit same
environment opportunity
• Rare. In a sense that there are not enough for
all competitors.
• Inimitable. So that competitors may not
merely copy them
• Non substitutable with other sources

6. Formula within theory
• Buy or acquire cheaply ----- transform or deploy ( the
resources)
• Implement the strategy -------sell dearly

7. Types of resources
• Financial resources
• Physical resources
• Human resources
• Organizational resources
• Technological resources
• Reputational resources

8. Financial resources
• Credit held
• Capacity to borrow
• Ability to liquidate

9. Financial resources
• Are financial resources valuable ?
• Are financial resources rare?
• Are financial resources imperfectly imitable?
• Are financial resources non substitutable with
other resources?

10. Physical resources

11. Human resources
• Knowledge
• Training
• Experience
• Judgment, insight, creativity, vision
• Relationship capital

12. Organizational resources
• Firms structure, routine and systems

13. Technological resources
• Process, system and physical transformation
• Lab, R & D facilities, testing and quality control

14. Reputational resources
• Quality of management
• Use of corporate resources
• Firm’s financial soundness
• Firm’s value as innovation
• Quality of product and services
• Innovativeness
• The ability to attract, retain top people

15. CA stands for competitive
advantage

16. Advantages of resourced based theory
• Neo- Classical Theory
• Industrial organization theory
• The transaction cost approach

17. Neo- Classical Theory
Neo-classical theory deals with the human factor.
Elton Mayo pioneered the human relations to improve
levels of productivity and satisfaction

18. Industrial Organization theory
• The Theory of Industrial Organization is the first primary
text to treat the new industrial organization
• Modern theory of monopoly, addressing single product
and multi product pricing, static and inter temporal price
discrimination, quality choice, reputation, and vertical
restraints

19. The transaction cost approach
The transaction cost approach to the theory of
the firm was created by Ronald Coase. Transaction cost
refers to the cost of providing for some good or service
through the market rather than having it provided from
within the firm.