Improving Corporate Venture Investment through Strategic Inter-Firms Knowledge Transfer: An Empirical Evaluation of Service Firms in Nigeria

Abstract

This study examines corporate venture investment performance through strategic inter-firms knowledge transfer: An Empirical Evaluation of Service Firms in Nigeria. Inter-firm knowledge transfer has reward over traditional markets because firm-specific technological capabilities frequently are based on implied knowledge and are subject to considerable doubt regarding their uniqueness and performance. Inter-firm knowledge transfer enables one firm to gain access to key knowledge based capabilities of another without necessarily acquiring that capability. Two research objectives, research questions and hypotheses were formulated respectively in carrying out this inquiry. Data relevant to the study were reviewed using secondary method of data collection while the chief instrument for analytical data collection was questionnaire, which was designed for selected management employees. A sample of 216 employees of service firms in Nigerian pharmaceutical, banking, electrical and general service firms was used to test the framework. The data was analyzed using students ‘t’ distribution test method. The result of the study showed that strategic inter-firms knowledge transfer impact positively on corporate venture performance. It enables one firm to gain access to key knowledge based capabilities of another without necessarily acquiring that capability. When we examine corporate venture investment through strategic inter-firms knowledge transfer one will certainly conclude that, the primary objective of conducting knowledge transfer activities is to retain and manage various knowledge types that can be used to inform decision making and problem solving. Finally, it was recommended that, Firms should identify the knowledge holders within their organization and motivating them to share their knowledge to enhance it investment and performance.