Such organisational knowledge may also be called ‘capabilities’. For example the Korean development scholar Lin-su Kim, in an analysis of the rise of Korean firms such as Samsung (Kim 1997), uses the term ‘technological capability’ for this purpose. He identifies three layers of technological capability: the ability to organise production efficiently and deliver products of sufficient quality (production capability), the capacity to venture into new areas (investment capability) and, finally, the ability to create new products and processes (innovation capability).
Another much used term for firm’s abilities along this dimension – initially suggested by David Teece and co-authors (1997) – is ‘dynamic capabilities’ which is defined as ‘the skills, procedures, organizational structures and decision rules that firms utilize to create and capture value’ (Teece 2010, p. 680).