6. What do you mean by absorption capacity ?
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Cohen and Levinthal (1990) introduced the notion of absorptive capacity as the firm's ability to value, assimilate, and apply new knowledge for improving organizational learning. The notion of absorptive capacity refers to the capacity of a recipient to assimilate value and use the knowledge transferred.
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Cohen and Levinthal (1990) introduced the notion of absorptive capacity as the firm's ability to value, assimilate, and apply new knowledge for improving organizational learning. The notion of absorptive capacity refers to the capacity of a recipient to assimilate value and use the knowledge transferred.
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