Market‐based success, organizational routines, and unlearning

Information, whether it is acquired from an external source or generated internally, is subjected to perceptual filters made up of the organization’s norms, procedures, and beliefs that influence what information the organization attends to and ultimately accepts. This paper examines the role which these organizational filters play in unlearning; viewed here as a specialized form of organizational learning. Unlearning is defined as the “process by which firms eliminate old logics and make room for new ones” by Prahalad and Bettis. The author argues that firms which engage in unlearning activities are better able to cast aside established routines in order to replace them with ones that ultimately result in superior value to their customers.