Pouring new wine into old bottles: A dynamic perspective of the interplay among environmental dynamism, capabilities development, and performance

In order to face increased environmental dynamism (ED), firms are increasingly called on to leverage deliberate learning processes that make dynamic capabilities emerge in a path-dependent way from the conversion of tacit knowledge to explicit knowledge. Moreover, to mitigate the effect that ED can play in eroding a firm's capabilities and subsequently its performance, managers need to effectively align short- and long-term strategies, which in the literature have been addressed as ‘capability traps’. Although these two processes are strictly interrelated, to date they have been treated in quite an isolated way and usually through the development of linear approaches. To fill this gap, leve…