Entrepreneurial biotechnology firms have long been recognized as knowledge-intensive firms that leverage their relationships with universities to develop and apply scientific knowledge. Given universities’ expertise, firms rely on them to gain access to scientific discoveries. Interestingly, existing studies have found that university-industry links such as technology transfer have a negative impact on a firm’s ability to create knowledge. So, the question arises: how does university technology transfer support firms’ ability to create knowledge?

To explore this question, we build on Theory of Knowledge Creation (TKC) by conceptualizing the university-biotechnology technology transfer process as a knowledge creation system, where each mode is an interdependent part of the same system. We put forth the notion that knowledge is created by each part as well as the interactions between parts.