Organizational unlearning and knowledge transfer in cross-border M&A: the roles of routine and knowledge compatibility

Purpose - The purpose of this study is to adopt the perspective of congruence to explore how organizational unlearning facilitates knowledge transfer in cross-border mergers and acquisitions (M&A). Design/methodology/approach - Drawing on the congruence theory, this study built a theoretical model and examined it with survey data from 212 firms in China. Findings - Organizational unlearning has no direct influence on knowledge transfer. In contrast, it promotes knowledge and routine compatibility that facilitate knowledge transfer. Routine and knowledge compatibility have different mechanisms on knowledge transfer. Specifically, the higher routine compatibility, the more effective is knowledge transfer. When knowledge compatibility is at a medium level, the effectiveness of knowledge transfer is optimal. Practical implications - Firms should regard organizational unlearning as a crucial facilitator to knowledge and routine compatibility that promote knowledge transfer. Originality/value - This study provides a specific understanding of the relationships between organizational unlearning and knowledge transfer by focusing on knowledge and routine compatibility as the crucial links, and enriches existing literature regarding knowledge transfer.