University of Amsterdam, Netherlands
Peppard and Ward (2004) have instigated the development of the concept of IS capability based on Resource-based Theory (RBT). The goal of this paper is to add scrutiny to their initiative by drawing on the complementarities between RBT and Industrial Economics, and by focusing explicitly on the mechanisms around information that lead to IS-based rents. We introduce an IS rent framework with IS rent as dependent variable for IS capability and four corresponding propositions on the decision-making around how firms address IS rent opportunities. This framework allows us to test whether firms with a presumed IS capability actually display IS rent-seeking behaviour.
Huizing, Ard and Truijens, Onno, " Relating IS capability to IS rent: Towards understanding the underlying mechanisms" (2008). All Sprouts Content. 128.