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In this chapter we pursue two goals. First, we aim at giving the reader an overview of the concept of knowledge within the management literature. We thereby concentrate on four major layers. We start by explaining why the concept of knowledge is important for strategic management. Then we explore the basic assumptions about knowledge and knowledge development. Three different epistemologies are out-lined that enable us to better understand the various contributions to knowledge. Based on these epistemological distinctions, we then pro-ceed to explore various categories and applications of knowledge. The second goal of this chapter is to give an example of ‘contextual-ized ’ research on knowledge. We will show how the previously men-tioned four layers are closely connected to each other. Contextualizing theory building therefore is a research methodology that pays homage to this close link between epistemological assumptions, knowledge appear-ances, knowledge applications, and the question of why the issue of
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