Linking Intangible Resources and Competitive Advantage

The purpose of this chapter is to analyze the linkage between intangible resources and competitive advantage. The author uses a quantitative approach based on a survey data from 247 Portuguese small and medium-sized enterprises (SMEs) from the textile industry. Findings suggest that intangible resources have a positive and significant influence on competitive advantage, either by cost leadership or differentiation. This chapter presents further evidences of the strategies that SMEs managers should pursue and policy makers should promote. This study deepens our understanding and provides novel insights into strategic management literature, since it combines multiple factors and has obtained the importance of each construct in SMEs business growth.