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Purpose

This paper aims to provide theoretical explanation to a story of a manufacturing firm in Uganda that produced new knowledge which enhanced its performance. Precisely, the paper suggests multiple theories that explain knowledge creation in that firm.

Design/methodology/approach

This study adopted a qualitative approach. Based on a series of in-depth interviews, a story was developed providing practical experiences based on the themes of context, actions, results and lessons.

Findings

Findings reveal that interactional processes, learning, diverse knowledge sources make firms build dynamic capability and create new knowledge. Also, a combination of theories including organizational knowledge creation theory, experiential learning theory and the complexity theory help to explicate knowledge creation in manufacturing firms.

Originality/value

This paper constitutes one of the earliest works that use a positive story showing practical experiences to delineate firm level conditions and practices for new knowledge creation. Further, contrary to prior studies, multiple theoretical lenses have been used to explain the conditions and practices in the story which may be peculiar in this study context.

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