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Apply the Dynamic Capabilities framework (Teece et al., 1997) — sensing, seizing, and transforming — to analyze how firms adapt, integrate, and reconfigure competences in rapidly changing environments. Use this skill when the user needs to explain why some firms sustain advantage while others decline, evaluate organizational agility, distinguish operational from strategic capabilities, or when they ask 'how do we stay competitive as the market shifts', 'why did this firm fail to adapt', or 'what capabilities do we need to build'.