THE IMPACT OF KNOWLEDGE SHARING, ORGANIZATIONAL LEARNING CAPABILITY, OPEN INNOVATION, AND BUSINESS PERFORMANCE ON SMALL AND MEDIUM ENTERPRISES IN HO CHI MINH CITY

Abstract

This study aims to analyze the impact of knowledge sharing and organizational learning capability on open innovation through the framework of Knowledge Management Theory, Open Innovation Theory, and Organizational Learning Theory by validating an integrated model that examines its influence on the business performance of small and medium enterprises in Ho Chi Minh City. A quantitative research approach was applied, with data collected from 257 valid online survey responses by small and medium enterprise  managers. The data were analyzed using SPSS and AMOS, employing reliability testing, exploratory factor analysis, confirmatory factor analysis, and structural equation modeling. The results indicate that knowledge sharing positively influences organizational learning capability and open innovation. Furthermore, organizational learning capability significantly promotes open innovation. Notably, open innovation has a statistically significant positive impact on business performance. However, no direct significant relationships were observed between either knowledge sharing or organizational learning capability and business performance. These findings underscore the essential role of enhancing knowledge sharing and fostering open innovation as critical strategies for improving performance and ensuring sustainable growth among small and medium enterprises operating in increasingly competitive markets.