The resource‐based view of strategy and its value to practising managers

Abstract •A dominant theoretical paradigm in academic strategic management circles is the Resource‐Based View (RBV). This paper reviews the literature of this position and the extent to which the RBV may be seen as a source of practical guidance for managers seeking competitive advantage and strategic success. •The theories of management academics should be of practical value to managers, otherwise such theories are of limited value. The test of the validity of theorizing about management is whether the theories produced help to improve the art of management. That is the criterion adopted in this paper. •The RBV is an ‘inside‐out’ perspective, according to which, competitive success lies within the hands of managers themselves and it is from the point of view of practising managers that this paper examines competitiveness. Consequently, the assessment of the RBV will be a purely instrumental one. Does it help managers to manage better? Copyright © 2002 John Wiley & Sons, Ltd.