International Journal of

ADVANCED AND APPLIED SCIENCES

EISSN: 2313-3724, Print ISSN: 2313-626X

Frequency: 12

line decor
  
line decor

 Volume 10, Issue 11 (November 2023), Pages: 72-80

----------------------------------------------

 Original Research Paper

Influence of absorptive capacity and emotion regulation on business performance through the mediating role of knowledge management

 Author(s): 

 Dang Xuan Huy 1, Nguyen Hai Quang 2, Nguyen Thanh Hung 3, *

 Affiliation(s):

 1Vietnam Young Entrepreneurs Association, Hanoi, Vietnam
 2Faculty of Business Administration, Ho Chi Minh City University of Industry and Trade, Ho Chi Minh City, Vietnam
 3Department of Graduate, Tra Vinh University, Tra Vinh Province, Vietnam

 Full text

  Full Text - PDF

 * Corresponding Author. 

  Corresponding author's ORCID profile: https://orcid.org/0000-0001-8748-6987

 Digital Object Identifier (DOI)

 https://doi.org/10.21833/ijaas.2023.11.010

 Abstract

This study aims to explore the impact of absorptive capacity, emotion regulation, and knowledge management on performance, in Vietnam. The qualitative method is based on an overview of previous studies, the research team builds the first scale. For the quantitative research, data was collected using the convenience sampling method from a total of 536 Small and Medium Enterprises in the Mekong Delta. Owners, directors, and managers were targeted to be interviewed. The methods of exploratory factor analysis (EFA), confirmatory factor analysis (CFA), and structural equation modeling (SEM) are used to analyze the data. The findings revealed that the quality of the supervisor-employee relationship is a crucial factor in enhancing business performance. Specifically, the study found that absorptive capacity and emotion regulation have a positive influence on performance through the mediating role of knowledge management. The study suggests that enhancing absorptive capacity and emotion regulation in the enterprise and promoting the role of knowledge management can contribute to increasing business performance. This has great implications for firms looking to remain competitive in the market. By investing in these areas, firms can ensure that they are utilizing their resources effectively and efficiently to drive growth and success.

 © 2023 The Authors. Published by IASE.

 This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).

 Keywords

 Knowledge management, Absorptive capacity, Emotion regulation, Business performance

 Article history

 Received 11 May 2023, Received in revised form 9 September 2023, Accepted 30 October 2023

 Acknowledgment 

No Acknowledgment.

 Compliance with ethical standards

 Conflict of interest: The author(s) declared no potential conflicts of interest with respect to the research, authorship, and/or publication of this article.

 Citation:

 Huy DX, Quang NH, and Hung NT (2023). Influence of absorptive capacity and emotion regulation on business performance through the mediating role of knowledge management. International Journal of Advanced and Applied Sciences, 10(11): 72-80

 Permanent Link to this page

 Figures

 Fig. 1 Fig. 2 

 Tables

 Table 1 

----------------------------------------------   

 References (44)

  1. Abreu-Ledón R, Luján-García DE, Garrido-Vega P, and Escobar-Pérez B (2018). A meta-analytic study of the impact of Lean Production on business performance. International Journal of Production Economics, 200: 83-102. https://doi.org/10.1016/j.ijpe.2018.03.015   [Google Scholar]
  2. Adomako S and Tran MD (2022). Sustainable environmental strategy, firm competitiveness, and financial performance: Evidence from the mining industry. Resources Policy, 75: 102515. https://doi.org/10.1016/j.resourpol.2021.102515   [Google Scholar]
  3. Ahmad NH and Seet PS (2009). Dissecting behaviours associated with business failure: A qualitative study of SME owners in Malaysia and Australia. Asian Social Science, 5(9): 98-104. https://doi.org/10.5539/ass.v5n9p98   [Google Scholar]
  4. Andreeva T and Kianto A (2012). Does knowledge management really matter? Linking knowledge management practices, competitiveness and economic performance. Journal of Knowledge Management, 16(4): 617-636. https://doi.org/10.1108/13673271211246185   [Google Scholar]
  5. Aribi A and Dupouët O (2015). The role of organizational and social capital in the firm’s absorptive capacity. Journal of Knowledge Management, 19(5): 987-1006. https://doi.org/10.1108/JKM-05-2015-0169   [Google Scholar]
  6. Augier M and Teece DJ (2009). Dynamic capabilities and the role of managers in business strategy and economic performance. Organization Science, 20(2): 410-421. https://doi.org/10.1287/orsc.1090.0424   [Google Scholar]
  7. Barker R and Angelopulo GC (2005). Integrated organisational communication. Juta and Company Ltd, Cape Town, South Africa.   [Google Scholar]
  8. Baron RA (2008). The role of affect in the entrepreneurial process. Academy of Management Review, 33(2): 328-340. https://doi.org/10.5465/amr.2008.31193166   [Google Scholar]
  9. Bazaiah SAA (2023). The impact of soft lean management practices on green innovation the mediating role of absorptive capacity: An applied study in the manufacturing sector in Jordan. International Journal of Professional Business Review, 8(6): e01278. https://doi.org/10.26668/businessreview/2023.v8i5.2147   [Google Scholar]
  10. Bentler PM and Bonett DG (1980). Significance tests and goodness of fit in the analysis of covariance structures. Psychological Bulletin, 88(3): 588-606. https://doi.org/10.1037/0033-2909.88.3.588   [Google Scholar]
  11. Bhasin S (2008). Lean and performance measurement. Journal of Manufacturing Technology Management, 19(5): 670-684. https://doi.org/10.1108/17410380810877311   [Google Scholar]
  12. Bogner WC and Bansal P (2007). Knowledge management as the basis of sustained high performance. Journal of Management Studies, 44(1): 165-188. https://doi.org/10.1111/j.1467-6486.2007.00667.x   [Google Scholar]
  13. Cohen WM and Levinthal DA (1994). Fortune favors the prepared firm. Management Science, 40(2): 227-251. https://doi.org/10.1287/mnsc.40.2.227   [Google Scholar]
  14. Darroch J (2005). Knowledge management, innovation and firm performance. Journal of Knowledge Management, 9(3): 101-115. https://doi.org/10.1108/13673270510602809   [Google Scholar]
  15. Esmaeel RI, Zakuan N, Jamal NM, and Taherdoost H (2018). Understanding of business performance from the perspective of manufacturing strategies: Fit manufacturing and overall equipment effectiveness. Procedia Manufacturing, 22: 998-1006. https://doi.org/10.1016/j.promfg.2018.03.142   [Google Scholar]
  16. Fathi J and Derakhshan A (2019). Teacher self-efficacy and emotional regulation as predictors of teaching stress: An investigation of Iranian English language teachers. Teaching English Language, 13(2): 117-143.   [Google Scholar]
  17. Flatten TC, Greve GI, and Brettel M (2011). Absorptive capacity and firm performance in SMEs: The mediating influence of strategic alliances. European Management Review, 8(3): 137-152. https://doi.org/10.1111/j.1740-4762.2011.01015.x   [Google Scholar]
  18. Gold AH, Malhotra A, and Segars AH (2001). Knowledge management: An organizational capabilities perspective. Journal of Management Information Systems, 18(1): 185-214. https://doi.org/10.1080/07421222.2001.11045669   [Google Scholar]
  19. Grant RM (1996). Toward a knowledge‐based theory of the firm. Strategic Management Journal, 17(S2): 109-122. https://doi.org/10.1002/smj.4250171110   [Google Scholar]
  20. Grimpe C and Sofka W (2009). Search patterns and absorptive capacity: Low-and high-technology sectors in European countries. Research Policy, 38(3): 495-506. https://doi.org/10.1016/j.respol.2008.10.006   [Google Scholar]
  21. Gross JJ (1998). The emerging field of emotion regulation: An integrative review. Review of General Psychology, 2(3): 271-299. https://doi.org/10.1037/1089-2680.2.3.271   [Google Scholar]
  22. Gross JJ and John OP (2003). Individual differences in two emotion regulation processes: Implications for affect, relationships, and well-being. Journal of Personality and Social Psychology, 85(2): 348-362. https://doi.org/10.1037/0022-3514.85.2.348   [Google Scholar] PMid:12916575
  23. Gurteen D (1998). Knowledge, creativity and innovation. Journal of Knowledge Management, 2(1): 5-13. https://doi.org/10.1108/13673279810800744   [Google Scholar]
  24. Huy Q and Zott C (2019). Exploring the affective underpinnings of dynamic managerial capabilities: How managers' emotion regulation behaviors mobilize resources for their firms. Strategic Management Journal, 40(1): 28-54. https://doi.org/10.1002/smj.2971   [Google Scholar]
  25. Kaplan S, Cortina J, Ruark G, LaPort K, and Nicolaides V (2014). The role of organizational leaders in employee emotion management: A theoretical model. The Leadership Quarterly, 25(3): 563-580. https://doi.org/10.1016/j.leaqua.2013.11.015   [Google Scholar]
  26. Kiessling TS, Richey RG, Meng J, and Dabic M (2009). Exploring knowledge management to organizational performance outcomes in a transitional economy. Journal of World Business, 44(4): 421-433. https://doi.org/10.1016/j.jwb.2008.11.006   [Google Scholar]
  27. Kim D and Lee RP (2010). Systems collaboration and strategic collaboration: Their impacts on supply chain responsiveness and market performance. Decision Sciences, 41(4): 955-981. https://doi.org/10.1111/j.1540-5915.2010.00289.x   [Google Scholar]
  28. Kogut B and Zander U (1996). What firms do? Coordination, identity, and learning. Organization Science, 7(5): 502-518. https://doi.org/10.1287/orsc.7.5.502   [Google Scholar]
  29. Koshelieva O, Tsyselska O, Kravchuk O, Baida I, Mironov V, and Miatenko N (2023). Knowledge management as a new strategy of innovative development. International Journal of Professional Business Review, 8(5): e01592. https://doi.org/10.26668/businessreview/2023.v8i5.1592   [Google Scholar]
  30. Lam L, Nguyen P, Le N, and Tran K (2021). The relation among organizational culture, knowledge management, and innovation capability: Its implication for open innovation. Journal of Open Innovation: Technology, Market, and Complexity, 7(1): 66. https://doi.org/10.3390/joitmc7010066   [Google Scholar]
  31. Lewin AY, Massini S, and Peeters C (2011). Microfoundations of internal and external absorptive capacity routines. Organization Science, 22(1): 81-98. https://doi.org/10.1287/orsc.1100.0525   [Google Scholar]
  32. Mårtensson M (2000). A critical review of knowledge management as a management tool. Journal of Knowledge Management, 4(3): 204-216. https://doi.org/10.1108/13673270010350002   [Google Scholar]
  33. Naqshbandi MM and Tabche I (2018). The interplay of leadership, absorptive capacity, and organizational learning culture in open innovation: Testing a moderated mediation model. Technological Forecasting and Social Change, 133: 156-167. https://doi.org/10.1016/j.techfore.2018.03.017   [Google Scholar]
  34. Nickerson JA and Zenger TR (2004). A knowledge-based theory of the firm-The problem-solving perspective. Organization Science, 15(6): 617-632. https://doi.org/10.1287/orsc.1040.0093   [Google Scholar]
  35. Nonaka I (1994). A dynamic theory of organizational knowledge creation. Organization Science, 5(1): 14-37. https://doi.org/10.1287/orsc.5.1.14   [Google Scholar]
  36. Nunnally JC and Bernstein IH (1994). Psychometric theory. 3rd Edition, McGraw-Hill Education, New York, USA.   [Google Scholar]
  37. Preece M (2015). Managing information and knowledge in service industries. In: Quaddus M and Woodside AG (Eds.), Sustaining competitive advantage via business intelligence, knowledge management, and system dynamics: 3-154. Emerald Group Publishing, Bingley, UK. https://doi.org/10.1108/S1069-09642015000022B002   [Google Scholar]
  38. Schutte NS, Manes RR, and Malouff JM (2009). Antecedent-focused emotion regulation, response modulation and well-being. Current Psychology, 28: 21-31. https://doi.org/10.1007/s12144-009-9044-3   [Google Scholar]
  39. Tanriverdi H (2005). Information technology relatedness, knowledge management capability, and performance of multibusiness firms. MIS Quarterly, 29(2): 311-334. https://doi.org/10.2307/25148681   [Google Scholar]
  40. Teece DJ (2007). Explicating dynamic capabilities: The nature and microfoundations of (sustainable) enterprise performance. Strategic Management Journal, 28(13): 1319-1350. https://doi.org/10.1002/smj.640   [Google Scholar]
  41. Volderba HW, Foss NJ, and Lyles MA (2010). Absorbing the concept of absorptive capacity: How to realize its potential in the organizational field. Organization Science, 21(4): 931-951. https://doi.org/10.1287/orsc.1090.0503   [Google Scholar]
  42. Wu E, Diao Y, and Rizvi S (2006). High-performance complex event processing over streams. In the Proceedings of the 2006 ACM SIGMOD International Conference on Management of Data, Association for Computing Machinery, Chicago, USA: 407-418. https://doi.org/10.1145/1142473.1142520   [Google Scholar]
  43. Zahra SA and George G (2002). Absorptive capacity: A review, reconceptualization, and extension. Academy of Management Review, 27(2): 185-203. https://doi.org/10.5465/amr.2002.6587995   [Google Scholar]
  44. Zin SM and Abd Manaf K (2019). Role of intellectual capital in women entrepreneurs' business performance. In: Tomos F, Kumar N, Clifton N, and Hyams-Ssekasi D (Eds.), Women entrepreneurs and strategic decision making in the global economy: 209-230. IGI Global, Pennsylvania, USA. https://doi.org/10.4018/978-1-5225-7479-8.ch011   [Google Scholar]