NESTA Crime Online - University of Brighton Repository
NESTA Crime Online - University of Brighton Repository
NESTA Crime Online - University of Brighton Repository
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Chain upgrading. This refers to the moving to a new value chain. 168 In a legitimate<br />
business this could involve a move from manufacturing radios to computers. In Storm<br />
Worm upgrading is exemplified by their move from spamming to becoming Internet<br />
Service Providers for criminals.<br />
2.2 Capabilities and specialisation<br />
Specialisation is causing changes in the skills needed to perpetrate cybercrime<br />
at different points in the value chain. Cybercriminals adapt their capabilities to<br />
create and exploit opportunities for innovative forms <strong>of</strong> credit card fraud and<br />
identity theft.<br />
The second component <strong>of</strong> the ecosystem relates to capabilities. A firm’s capability is “a<br />
collection <strong>of</strong> routines that confers upon an organisation’s management the ability to<br />
produce significant outputs <strong>of</strong> a particular type”. 169 Scholars, however, argue that<br />
dynamic capabilities, more than just ‘routine’ capabilities, are required to create and<br />
sustain competitive advantage in a changing business environment. 170 Dynamism<br />
connotes change, so dynamic capabilities are those that extend, modify or create<br />
ordinary capabilities 171 to meet the challenges and demands <strong>of</strong> the marketplace. Such<br />
capabilities therefore underpin the ability <strong>of</strong> an organisation to make best use <strong>of</strong> new<br />
equipment or technologies to produce novel and innovative products or services, and<br />
hence improve their productivity and competitive advantage. 172 Dynamic capabilities<br />
may be developed from within the firm through training 173 or through continuous<br />
168 Kaplinsky R, and Morris M., (2001).<br />
169 Winter, S. G., (2000), “The satisficing principle in capability learning.” Strategic Management Journal 21<br />
(Oct-Nov (special issue)): pp.981-996.<br />
170 Teece, D., G. Pisano, and A. Shuen, (1997), “Dynamic capabilities and strategic management.” Strategic<br />
Management Journal 18: 509-533.<br />
171 Winter, S.G. 2000. (Winter. S.G. (2002). Understanding Dynamic Capabilities,<br />
http://bus8020kelly.alliant.wikispaces.net/file/view/Understanding+Dynamic+Capabilities.pdf.<br />
172 Bessant, J., and S. Caffyn, (1997), “High-involvement innovation through continuous improvement.”<br />
International Journal <strong>of</strong> Technology Management, 14(1), 7–28; Rao, S., Tang, J., and Wang, W., (2002), “The<br />
Importance <strong>of</strong> Skills and Innovation and Productivity.” International Productivity Monitor, 4, 1-26.<br />
173 Bessant, J., and J. Buckingham, (1993), “Organizational learning for effective use <strong>of</strong> CAPM.” British Journal<br />
<strong>of</strong> Management, 4(4), 219-234.<br />
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