Towards a Resource-based Theory of Information Strategy

The central aim of this paper is to instigate the construction of a theory of information strategy based on the Resource-based View (RBV) of the firm (Barney, 1986, 1991; Penrose, 1959; Wernerfelt, 1984). Therefore, an initial theoretical framework is proposed within which such a theory could be developed further. In essence, this theoretical framework sheds light on how organizations can realize and sustain above-normal returns by either maintaining or solving information imperfections in factor and product markets. This explicit focus on information as a source of above-normal returns is reflected in a new type of rent, called InfoRent. Hence, information strategy can be conceived as a continuous search for InfoRent, analogous to the notion of strategy within the RBV (cf. Mahoney et al., 1992, p.364). First, the urge for constructing a theory of information strategy will be clarified. Subsequently, the appropriateness of the RBV as theoretical foundation for constructing such a theory will be discussed. Finally, the initial outline of a theoretical framework will be explained and empirical work that exemplifies the relevance and explanatory power of the theory are described shortly.