Abstract
Knowledge transfer is regarded as a critical element for successful business. Cohen and Levinthal initially proposed the concept of absorptive capacity in 1989. Absorptive capacity is the ability to transfer and exploit external knowledge and it has become one of the most critical theories for two decades. The main purpose of the study is to identify the most appropriate model of absorptive capacity via statistical analyses. The three major models of absorptive capacity will be examined through the three core reconceptualization papers performed by Cohen and Levinthal (1990), Zahra and George (2002), and Todorova and Durisin (2007) in order to highlight a need for greater clarity about the construct of absorptive capacity. As a result, model3 proposed by Todorova and Durisin (2007) was the most reasonable in this study.
Highlights
From the perspective of international business, knowledge management and learning between organizations are regarded as a fundamental factor in recent decades both in academia and in business aspect
The three major models of absorptive capacity will be examined through the three core reconceptualization papers performed by Cohen and Levinthal (1990), Zahra and George (2002), and Todorova and Durisin (2007) in order to highlight a need for greater clarity about the construct of absorptive capacity
We have to reexamine the final observed variables that are confirmed through data screening, exploratory factor analysis (EFA), and confirmatory factor analysis (CFA) before the main analysis
Summary
From the perspective of international business, knowledge management and learning between organizations are regarded as a fundamental factor in recent decades both in academia and in business aspect. Lane and Lubatkin (1998) found the fact that most of previous studies on inter-organizational learning had mainly focused on absorptive capacity as a firm's ability “to recognize the value of new, external knowledge, assimilate it and apply it to commercial ends”. They regarded this definition of the construct as much of unreasonable aspects because authors believed that a firm does not have an equal ability to learn from all other organizations. They proposed new feedback links in order to capture the dynamic aspects of the phenomenon
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