The Acquisition of Tacit Knowledge in China: An Empirical Analysis of the 'Supplier-Side Individual Level' and 'Recipient-Side' Factors

Zusammenfassung

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This study examines the impact of "supplier-side individual level" factors pertaining to foreign expatriates, eg, individual embeddedness and motivation, as well as a number of recipient-side variables, on tacit knowledge acquisition by Chinese firms through joint ventures. Results indicate that individual embeddedness of foreign expatriates, and recipient-side variables such as recipient's collaborativeness, its readiness, and the comprehensiveness of its acquisition methods play critical roles in the successful acquisition of tacit knowledge. Establishing individual embeddedness for foreign expatriates in the joint venture is vital for Chinese firms to acquire tacit knowledge from their foreign partners.

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Auszug

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The Acquisition of Tacit Knowledge in China: An Empirical Analysis of the 'Supplier-Side Individual Level' and 'Recipient-Side' Factors

Introduction

Research in both strategic management and international business indicates that knowledge is the basis of a firm's competitive advantage (Buckley/Casson 1976, Grant 1996, Kogut/Zander 1993). Tacit knowledge, in particular, is considered a crucial source for a firm's core competences (Kogut/Zander 1993, Teece 1982). Acquiring tacit knowledge regarding critical capabilities from partner firms via JVs is therefore an important means for a firm to establish its competitiveness. This is especially true for firms in emerging economies, as they are under increasing pressure to compete directly with technologically advanced rivals from developed countries, their ability to acquire critical knowledge from their foreign partners often determines their fate in the marketplace.

Despite the fact that the most widely cited motive for establishing alliances is the acquisition of new knowledge (Hamel 1991), previous research does not adequately address the following aspects: First, research on knowledge migration across firm boundaries primarily takes a supplier's perspective, and focuses on knowledge transfer (e.g., Martin/Salomon 2003, Simonin 1999, 2004) rather than on its acquisition from a recipient's point of view. Second, the small group of studies on knowledge acquisition only focus on JVs rather than local firms as the recipients of knowledge (e.g., Lyles/Salk 1996, Tsang et al. 2004). In reality, however, and especially in emerging economies, the ultimate knowledge receivers are the local firms, while JVs as temporary entities are used primarily as a platform for knowledge acquisition. Third, few previous studies empirically examine the acquisition of tacit knowledge, even though research on this important concept abounds (Nelson/Winter 1982, Polanyi 1966).

In this study, we attempt to address these limitations. We take the recipients', i.e., the local firms' perspective, and focus on their tacit knowledge acquisition through JVs in an emerging economy, China. We then empiric...

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