The knowledge-based view of the firm and its theoretical precursor

The knowledge-based view of the firm is a recent extension of the Resource-Based View (RBV) of the firm and provides a strong theoretical underpinning for the organisation learning and intellectual capital researchers. Knowledge is considered to be a special strategic resource that does not depreciate in the way traditional economic productive factors do. The nature of most knowledge-based resources is mainly intangible and dynamic, allowing for idiosyncratic development through path dependency and causal ambiguity, which are the basis of the mechanism for economic rent creation in the Knowledge-Based View (KBV) of the firm. Future implications that emerge from these characteristics as they relate to learning organisations are presented at the end of the paper.