A theoretical perspective on the contribution of PSM to the generation of competitive advantage

Abstract

This chapter discusses PSM’s possible contribution to the firm’s sustainable competitive advantage from a theoretical perspective. Section 2.1 defines and differentiates the most important terms and concepts used in this doctoral thesis. Having laid the foundation for a uniform understanding of the subject matter, organization theories that add important insights into the relationships and dependencies between business strategy, purchasing strategy, purchasing practices, and firm performance are presented and explained in section 2.2. Last, key levers and prerequisites for PSM’s contribution to competitive advantage in practice are discussed in section 2.3.