The Effects of Knowledge Sharing and Absorption on Organizational Innovation Performance – A Dynamic Capabilities Perspective

Abstract

Knowledge sharing and absorption are required to achieve and sustain competitive advantage.Firms' dynamic capabilities assist in mediating the effects of knowledge sharing and absorption on organizational innovation performance.Therefore, this study proposed a conceptual model to investigate the relationships among knowledge sharing capability, absorptive capability, dynamic capability, and organizational innovation performance.The partial least squares method was employed to examine the relationships.Questionnaire surveys were collected from the top 500 manufacturing companies in a typical emerging market, Taiwan.The results showed the positive effects of knowledge absorptive capabilities on dynamic capability and then on organizational innovation performance.In addition, the effects varied for companies with high and low innovation investment.

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