Organizational learning, collective human capital and performance of MNEs: The mediating effect of competitive advantage
List of Authors
  • Phynthamilkumaran Siea Dass , Shankar Chelliah

Keyword
  • Organizational learning, human capital, competitive advantage, firm performance, Malaysia

Abstract
  • The main objective in this research was to understand the organizational learning challenges of Multinational Enterprises (MNEs) and their performance in Malaysia. At the same time, it also has been explored how competitive advantage with organizational learning and collective human capital has a mediating effect on MNEs performance. The data were collected from 237 manufacturing MNEs operating in Peninsular Malaysia. Structural equation modelling (SEM) was used through partial least square (PLS) approach to test the research hypotheses. The findings of data analysis showed that knowledge acquisition, knowledge distribution, organizational memory and collective human capital have positive influence on competitive advantage. Competitive advantage was strongly related to firm performance. In case of mediating effect competitive advantage mediates the relationships between knowledge acquisition, organizational memory, collective human capital and firm performance. This research highlights the significance of the relationships within MNE so that they can have a stronger and lasting sustainability in Malaysia enabling the domestic industry to grow.

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