How Does Knowledge Transfer Freedom Affect Financial Performance: Evidence From the Serbian Healthcare Sector: A Dimensional Analysis

Previous research offers only a partial understanding of how knowledge transfer freedom (KTF), defined as the unrestricted flow of knowledge among individuals, organizations, and societies, affects financial performance (FP). This study is among the first to address this issue by investigating the multidimensional relationship between KTF and FP. Multiple regression analyses were conducted using a nationally representative sample of 527 Serbian healthcare managers. The results show that KTF has a positive direct relationship with the FP of the selected healthcare organizations. Furthermore, dimensional analysis indicates that profitability, efficiency, and liquidity are particularly affected by KTF. At the individual FP level, the most affected indicators are the ability to fund business growth from profits, return on equity, overall firm performance/success, return on sales, sales growth, market share, return on assets, sales level, and cash flow. This study makes a substantial contribution to the limited literature on the relationship between FP and KTF, especially in the Serbian context, and provides a thorough analysis of the links between different FP dimensions and KTF in healthcare institutions. In addition, the findings have practical implications, demonstrating that the free exchange of knowledge strengthens financial resources at multiple levels. The study therefore encourages healthcare managers to invest in policies that promote knowledge-sharing behaviors in order to enhance long-term financial success. Given the strategic importance of knowledge transfer freedom, it should be viewed as a value-enhancing approach and integrated into the overall business strategy.