The Importance of Internal and External Knowledge Sourcing and Firm Performance: A Latent Class Estimation

38 Pages Posted: 28 Apr 2003

See all articles by Timothy M. Devinney

Timothy M. Devinney

University of Manchester - Alliance Manchester Business School

Christine W. Soo

University of Technology, Sydney

Torben Pedersen

Copenhagen Business School - Department of Strategic Management and Globalization

Date Written: February 2003

Abstract

The present research examines the differential impact of the importance of internally and externally sourced information and knowledge and its relationship to absorptive capacity and firm performance. In addition, this analysis deals directly with the unobservable heterogeneity amongst firms that is generally viewed as the raison d'etre for a unique resource based perspective of organizational performance. Latent class finite mixture regression models are used that show that a single model relating knowledge sourcing, absorptive capacity and firm performance is inadequate in explaining even a minor portion of the variation between firms that is seen.

Keywords: Knowledge Sourcing, Absorptive Capacity, Latent Class Modelling, Finite Mixture Regression

Suggested Citation

Devinney, Timothy M. and Soo, Christine W. and Pedersen, Torben, The Importance of Internal and External Knowledge Sourcing and Firm Performance: A Latent Class Estimation (February 2003). Available at SSRN: https://ssrn.com/abstract=376020 or http://dx.doi.org/10.2139/ssrn.376020

Timothy M. Devinney (Contact Author)

University of Manchester - Alliance Manchester Business School ( email )

Booth Street West
Manchester, M15 6PB
United Kingdom

Christine W. Soo

University of Technology, Sydney ( email )

15 Broadway, Ultimo
Sydney 2007, New South Wales
Australia

Torben Pedersen

Copenhagen Business School - Department of Strategic Management and Globalization ( email )

Porcelænshaven 24
Frederiksberg, 2000
Denmark
+45 3815 3030 (Phone)
+45 3815 3035 (Fax)

HOME PAGE: http://www.cbs.dk/staff/tp

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