Paper ID

1190

Description

This study examines the influence of IT resources on the strategic behaviors of firms. Based on institutional theory, we postulate that firms can orchestrate their IT resources in the way of differentiating their strategic behaviors without losing institutional legitimacy. Specifically, we suggest two ways of IT resource orchestration: integrative IT orchestration and compensatory IT orchestration. Then, using a sample of 1,843 firm-year observations from the United States, we find that integrative IT orchestration leads to strategic distinctiveness, and compensatory IT orchestration results in strategic dynamism. Further, we investigate the moderation effect of business environments on the relationship between IT resource orchestration and the strategic moves of firms. Overall, our research implies that orchestrated IT resources can be used to generate and support the strategic moves and competitive advantage of firms.

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IT Resource Orchestration, Strategic Moves, and Business Environment

This study examines the influence of IT resources on the strategic behaviors of firms. Based on institutional theory, we postulate that firms can orchestrate their IT resources in the way of differentiating their strategic behaviors without losing institutional legitimacy. Specifically, we suggest two ways of IT resource orchestration: integrative IT orchestration and compensatory IT orchestration. Then, using a sample of 1,843 firm-year observations from the United States, we find that integrative IT orchestration leads to strategic distinctiveness, and compensatory IT orchestration results in strategic dynamism. Further, we investigate the moderation effect of business environments on the relationship between IT resource orchestration and the strategic moves of firms. Overall, our research implies that orchestrated IT resources can be used to generate and support the strategic moves and competitive advantage of firms.