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B300 B TMA 01 Strategy

It can also lead to the successful adaptation of experience and technology in the workplace. Business organizations need to apply innovation and creativity in order to accomplish their business and organizational goals. They also need to have appropriate processes that can respond effectively to the changes in the business environment. Path dependency has been associated with an increase in organizational performance. This report will seek to identify and assess the impact of path dependency in augmenting organizational performance. The report provides an overview and background about the definition of path dependency. It describes the relationship between path dependency and business firms. The characteristics of path dependency are explained using relevant theories. The strengths and weaknesses of path dependency approach are elucidated in a smart and prudent manner. Finally the paper concludes that path dependency can significantly enhance the firm performance in many ways.
Path dependence has been defined as the impact of past choices on existing options. It creates the structural framework for an association between efforts and results. The results are reliant upon the choices completed at the feedback phase. However in reality, path dependence has an intricate and complex definition (Mazzucato, 2002: Pg 250). It can involve a scenario where existing choices are constrained because of earlier alternatives. Another situation can occur when earlier judgments are simply part of multiple variables which impact the ability of organizations to choose alternatives. Path dependencies are an integral nature of organizational innovation and change. At the basic level, organizations might make decisions that are not limited by path dependency. However this can restrict the ability of organizations to pursue future alternatives in a smart and prudent manner. Path dependence emerges from a number of causes. If certain policies provide efficiency ...Show more


They have given rise to new concepts and ideas which enhance our understanding of firm performance. Path dependence has been emerging as new concept in business studies…
Author : qledner
B300 B TMA 01 Strategy
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