How organizational cognitive frames affect organizational capabilities: The context of corporate sustainability |
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Authors: | Sylvia Grewatsch Ingo Kleindienst |
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Affiliation: | 1. Ivey Business School, Western University, 1255 Western Road, London, Ontario N6G 0N1, Canada;2. Aarhus University, Department of Management, Bartholins Allé 10, 8000 Aarhus C, Denmark |
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Abstract: | We draw on the emerging literature on the micro-foundation of capability development to investigate the effects of the relative importance of corporate sustainability in a firm's organizational cognitive frame on the development of distinct organizational capabilities. Based on survey data from 124 Danish manufacturing firms and seven interviews, we find that the relative importance of corporate sustainability in a firm's organizational cognitive frame positively encourages the development of three organizational capabilities, namely, stakeholder integration, market sensing, and organizational learning. However, contrary to our expectation and reasoning, we find that the development of the strategic planning capability is negatively affected. Our findings provide novel empirical evidence and contribute to an improved understanding of the effect of a firm's organizational cognitive frame on the development of organizational capabilities. |
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Keywords: | Organizational capabilities Corporate sustainability Organizational cognitive frame Partial-least squares structural equation modeling |
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