The relationship between resources and capabilities of new ventures in emerging economies

Despite the fact that the resource-based view has drawn a great deal of attention in studying new ventures, our understanding on resource management in the emerging economies is limited and there are many unsolved issues. In this paper, theoretical reasoning approach is applied to analyze the relationship between the entrepreneurial resources and the organizational capabilities (including operating and dynamic capabilities) for new ventures. An empirical study in the context of emerging economy in China is conducted to verify the theoretical reasoning. As information technology becomes a key element for new ventures, the enterprise resources relevant to the network technology and e-commerce are especially focused, as well as the impact of information acquisition on the resource combination. The results from the theoretical and empirical study have shown that resource combination mediates the relationship of entrepreneurial resources and organizational capability. It is also found that the information acquisition affects the organizational capabilities significantly; however, there is an inverted U-shape relationship between the information acquisition and the resource combination in emerging economies