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Journal of New Business Ideas and Trends
2024, Volume 2, Issue 1 : 1-9
Research Article
Dynamic Capability Theory for IT-Enabled Business Growth
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1
¹ Department of Information Systems, Indian Institute of Technology (IIT) Delhi, India
2
² School of Business Information Systems, University of Manchester, UK
3
³ Centre for Digital Strategy and Innovation, University of Milan, Italy
Abstract

Dynamic Capability Theory (DCT) provides a foundational explanation of how firms sense opportunities, seize resources, and reconfigure capabilities to achieve sustained business growth in dynamic digital environments. This research examines the application of DCT within IT-enabled business environments, emphasizing the interplay between digital technologies, organizational processes, and strategic agility. The paper synthesizes prior research and develops a comprehensive conceptual model illustrating how IT capabilities cultivate sensing, seizing, and reconfiguring processes to accelerate growth. The findings highlight that IT-enabled dynamic capabilities—such as digital sensing analytics, rapid IT deployment, and platform agility—are critical drivers of competitive advantage in the digital era.

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