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Management Learning
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Assessing the Impact of Learning Capability on Business Performance: Empirical Evidence from Spain

Isabel Ma Prieto

University of Valladolid, Spain

Elena Revilla

Instituto de Empresa, Spain

It is widely recognized that the development of learning capability is key to achieve a durable competitive advantage. However, the analysis of the relevance of learning capability to improve business performance and, thus, the organizational competence has been insufficiently developed in literature. Based on data from 111 Spanish companies, this article explores the link between learning capability and the improvement of business performance by comparing how the main dimensions of learning capability—stocks of knowledge and flows of learning—impact on performance, in terms of both non-financial and financial performance. The results show that those organizations with the highest levels in their knowledge stocks and learning flows obtain a superior performance.

Key Words: business performance • knowledge stocks • learning capability • learning flows

Management Learning, Vol. 37, No. 4, 499-522 (2006)
DOI: 10.1177/1350507606070222
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