DOI:

Abstract

In response to the effort to evaluate knowledge creating initiatives of organizations, this study introduces the concept of ‘knowledge creating capabilities' (KCC) that indicates the structural balance of the four knowledge creation modes proposed in the SECI Model by Nonaka & Takeuchi (1995). The relationship of these capabilities with corporate financial performance is explored using two financial indicators of Vietnamese small and medium enterprises (SMEs) from different sectors. The empirical evidence reveals a correlation between knowledge creating capabilities and financial performance of SMEs in retailing service, which implies some solutions to KCC in Vietnamese SMEs.

Keywords

Knowledge Creation; Knowledge Assets; SECI Model; Business Performance.