Knowledge: accumulation, diffusion and reactivation within organization

In the past decade, theorists have been attempting to find out the sources of the firm´s sustainable competitive advantage. Since the origin of all tangible resources lies outside the firm, and outside resources cannot obtain the sustainable competitive advantage, it follows that competitive advantage is more likely to arise from the intangible firm-specific knowledge. Now, more and more corporate strategy theorists have considered the firm as a body of knowledge; accordingly, management of knowledge is becoming a firms´ routine work. Especially in knowledge-based companies, knowledge management has come to be the firm´s primary consideration. The objectives of this paper are to explore the framework of the process of knowledge management, the activities of knowledge management and the management of knowledge accumulation, diffusion and reactivation, so as to help knowledge-based companies find effective approaches to manage their firm-specific knowledge