Dynamic Organizing Capability and Innovation and Evolution of Firm Organization

Nankai University (Philosophy and Social Sciences) 6:69-79 (2006)
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Abstract

World economic history and reality shows, corporate organizational innovation and evolution of a country or area businesses and industries to enhance the international competitiveness of an important source. Whether it is the price of the new classical economics theory or as a complement and development of its transaction cost economics, organizational innovation and evolution regarded as exogenous. As a non-important part of the coordination mechanism, the reality of the enterprise organizational innovation and evolution is endogenous, is the corporate response to the external environment changes, the accumulation of dynamic organizational capabilities, the new business expansion and achieve sustained competitive advantage in the process. In the rapid economic transformation and the process of internationalization, organizational innovation is the development of China's manufacturing industry and the international competitiveness of an important way. Implementation, including organizational innovation, including innovative competitive strategy, China's sustained economic growth and development of the fundamental source. According to the reality and history of world 'economic development, the innovation and evolution of enterprise organization always forms an important resource for upgrading a country or region's international industrial competence. It is regarded as exogenous by both new classical economics' price theory and as its complement, the transaction cost economies. However, as a significant component of the informal harmonizing mechanism, the innovation and evolution of firm organization is indeed endogenetic, being a process in which a firm copes with the environment changes, accumulates its dynamic organizing capability, and finally achieve a sustainable competence. In the course of rapid economy transition and internationalizing, innovation of firm organization becomes a necessary way for China's manufacture industry to enhance her international competence, and her ability of a sustainable development as well

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