THE RELATIONSHIP BETWEEN ABSORPTIVE CAPACITY, STRATEGIC PLANNING CAPABILITY, AND FIRM PERFORMANCE

Abstract

In today's conditions where competition has reached global, organizational capabilities are decisive for firm success. Furthermore, in order to adapt to the changing environment and market structure, knowledge from the external environment and the use of this knowledge by integrating with existing knowledge are critical for determining the road map as well as improving the intangible resources of the firm such as its capabilities. The aim of this study is to examine the relationships between absorptive capacity, strategic planning capability and firm performance. In this context, data were collected by survey method from 211 executives working in firms from manufacturing sector in Istanbul and Gebze. As a result of the analysis of the data collected, it is determined that the absorptive capacity is positively associated with the strategic planning ability. In addition, a positive relationship is found between strategic planning capability and firm performance.