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

Torben Pedersen, Christine Soo, Timothy M. Devinney

    Research output: Working paperResearch

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    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'être 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.
    Original languageEnglish
    Place of PublicationFrederiksberg
    PublisherDepartment of International Economics and Management, Copenhagen Business School
    Number of pages38
    Publication statusPublished - 2002
    SeriesWorking Paper / Department of International Economics and Management, Copenhagen Business School


    • Knowledge sourcing
    • Absorptive capacity
    • Latent class modelling
    • Finite mixture regression

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