"Every company needs a unique and insightful corporate theory to sustain value-creating growth. Such a theory, if done right, should help guide decisions about what assets and activities to pursue, what investments to make, and what strategies to adopt. It's not easy, though, because the process...

For decades, the literatures on firm capabilities and organizational economics have been at odds with each other, specifically relative to explaining organizational boundaries and heterogeneity. We briefly trace the history of the relationship between the capabilities literature and...