An empirical survey methodology is applied to test the research model and hypotheses proposed in this study. Five out of ten hypotheses are validated in our research model with Path Analysis. The research result reveals that the structural dimension of a group¡¦s social capital has the most impact on its absorptive abilities. On the other hand, a firm¡¦s absorptive capability of knowledge is affected by the relational dimensions of group external social capital. Furthermore, the result validates that both absorptive capability and the performance of project and product exhibit significant path dependency. This result will be useful to both the academic and business particularly in its advocacy of the cultivation of the structural dimension of a group¡¦s social capital.