Absorptive Capacity and Organizational Performance in Technology Intensive Firms: A Conceptual Framework

Malik, Haider Ali; Haider, Ghazala; Bin Alias, Mohammad Adnan; Idris, Fazli
June 2014
Australian Journal of Basic & Applied Sciences;Jun2014, Vol. 8 Issue 9, p270
Academic Journal
In today's world, newer and more knowledgeable economies spawn more technology intensive firms and these firms greatly depend on their persistently innovative capabilities to attain sustainable competitive advantage. The way the firms persistently innovate depends mostly on their ability to absorb knowledge from internal and external sources. This ability known as 'absorptive capacity' and its impact on organizational performance is the central motivation for this paper. More specifically, this study delves deeper into the literature pertaining to the absorptive capacity, organizational learning, organizational amnesia and their interrelationships and subsequent impact on predicting the performance of the technology intensive firms. This Paper methodologically reviews the extant literature thereby identifying the research need and proposes viable research propositions for the future empirical investigations.


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