Resource title

Enriching Absorptive Capacity Through Social Interaction

Resource image

image for OpenScout resource :: Enriching Absorptive Capacity Through Social Interaction

Resource description

Absorptive capacity is frequently highlighted as a key determinant of knowledge transferwithin MNEs. But how individual behaviour translates to absorptive capacity at thesubsidiary level, and exactly how this is contingent on subsidiaries’ social context, remainsunder-addressed. This not only limits our understanding of the causal linkage betweenindividual and organizational level absorptive capacity, it also hampers further research onpotentially relevant managerial and organizational antecedents, and limits the implicationswe can draw for practitioners in the field seeking to increase their organization’s capacity toput new knowledge to use. To address this shortcoming we conduct an in-depthcomparative case study of a headquarters-initiated knowledge transfer initiative at twosubsidiaries of the same MNE. The findings demonstrate that social interaction is a keyrequirement for subsidiary absorptive capacity as it enables employees to participate in thetransformation of new knowledge to the local context. Second, the findings illustrate howorganizational conditions at the subsidiary level can impact subsidiary absorptive capacityby enabling or constraining local interaction patterns. These insights contribute to theabsorptive capacity literature by demonstrating the scale and scope of social interaction asthe key link between individual- and organizational-level absorptive capacity.

Resource author

Jasper J. Hotho, Florian Becker-Ritterspach, Ayse Saka-Helmhout

Resource publisher

Resource publish date

Resource language

eng

Resource content type

application/pdf

Resource resource URL

http://hdl.handle.net/10398/8160

Resource license

Check the according license before adaptation. When adapting give credits to the original author.