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Professor of Strategic Management
Cool K., Dierickx I., Almeida Costa L. (2013). Diseconomies of Time Compression. In Palgrave Encyclopedia of Strategic Management Palgrave.
This entry discusses the concept of time compression diseconomies and its importance to the sustainability of competitive advantage. It focuses on a key driver of time compression costs, the time dependency of resource accumulation, and illustrates the effects of three characteristics of this accumulation process (productivity, cycle time and absorption constraints). The effects are illustrated using a stylized stocks-flows simulation with iThink software.