A limited absorptive capacity leads to:
A)A tendency to block inflows of knowledge.
B)Reductions in corporate-level overload of responsibilities.
C) Better motivation among subsidiary-level managers.
D) A tendency away from the "not invented here" syndrome.

Question

Quizplus · Accepted Answer

A limited absorptive capacity refers to a company's inability to effectively assimilate and utilize new knowledge and information. This can lead to a tendency to block inflows of knowledge as the company may not see the value in new information or lack the skills to effectively incorporate it. It may also lead to a "not invented here" syndrome where the company is reluctant to adopt new ideas that were not developed internally. The other options are not necessarily related to limited absorptive capacity.

A Limited Absorptive Capacity Leads To