Opportunity Costs and Non-Scale Free Capabilities: Profit Maximization, Corporate Scope, and Profit Margins

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Understanding dynamics of strategic decision-making in venture creation : a process study of effectuation and causation (2015, background): “, changes in corporate scope result from resource constraints, the firms’ technological innovations, or innovations introduced by competitors (Kaul, 2012; Levinthal and Wu, 2010).”
Entry, exit, and the potential for resource redeployment (2017, result): “The theory we develop is complementary to the work of Levinthal and Wu (2010), and Wu (2013) who emphasize that certain resources (e.g., employees, equipment, plants) are largely “nonscale free” in that their use in one business precludes their simultaneous use in alternative businesses.”
Corporate divestitures and family control (2016, background): “(Chatterjee and Wernerfelt, 1991; Markides, 1992, 1995), as are companies that have higher growth in their primary industries (Anand and Singh, 1997; Capron, Mitchell, and Swaminathan, 2001; Helfat and Eisenhardt, 2004; Levinthal and Wu, 2010; Berry, 2010).”
Digital Sustainability and Entrepreneurship: How Digital Innovations Are Helping Tackle Climate Change and Sustainable Development (2020, methodology): “A capacity for replication makes digital toolkits resemble the scale-free resources described by Levinthal and Wu (2010) .”