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Knowledge management orientation, market orientation, and firm performance: an integration and empirical examination

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TLDR
In this paper, the authors examined the relationship between knowledge management orientation, market orientation, and firm performance using data from 213 United Kingdom firms and found that organizational memory, knowledge sharing, knowledge absorption, and knowledge receptivity serve as first-order indicators of the higher-order construct, which, in turn, has a positive link with market orientation.
Abstract
A growing belief has emerged that effectively managing knowledge can enhance performance. To date, however, there is limited empirical evidence. We draw on the resource-based and knowledge-based views of the firm as well as research on strategic sensemaking in order to introduce the concept of ‘knowledge management orientation’, and to examine the relationships among knowledge management orientation, market orientation, and firm performance. Using data from 213 United Kingdom firms, we found that organizational memory, knowledge sharing, knowledge absorption, and knowledge receptivity serve as first-order indicators of the higher-order construct we label knowledge management orientation, which, in turn, has a positive link with market orientation. Importantly, we found that market orientation mediates the relationship between knowledge management orientation on one hand and subjective and objective firm performance on the other. Our results suggest that knowledge management orientation can enhance perform...

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References
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TL;DR: This article seeks to make theorists and researchers aware of the importance of not using the terms moderator and mediator interchangeably by carefully elaborating the many ways in which moderators and mediators differ, and delineates the conceptual and strategic implications of making use of such distinctions with regard to a wide range of phenomena.
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Cutoff criteria for fit indexes in covariance structure analysis : Conventional criteria versus new alternatives

TL;DR: In this article, the adequacy of the conventional cutoff criteria and several new alternatives for various fit indexes used to evaluate model fit in practice were examined, and the results suggest that, for the ML method, a cutoff value close to.95 for TLI, BL89, CFI, RNI, and G...
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Evaluating Structural Equation Models with Unobservable Variables and Measurement Error

TL;DR: In this paper, the statistical tests used in the analysis of structural equation models with unobservable variables and measurement error are examined, and a drawback of the commonly applied chi square test, in additit...
Journal ArticleDOI

Common method biases in behavioral research: a critical review of the literature and recommended remedies.

TL;DR: The extent to which method biases influence behavioral research results is examined, potential sources of method biases are identified, the cognitive processes through which method bias influence responses to measures are discussed, the many different procedural and statistical techniques that can be used to control method biases is evaluated, and recommendations for how to select appropriate procedural and Statistical remedies are provided.
Book ChapterDOI

Firm Resources and Sustained Competitive Advantage

TL;DR: In this article, the authors examined the link between firm resources and sustained competitive advantage and analyzed the potential of several firm resources for generating sustained competitive advantages, including value, rareness, imitability, and substitutability.
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