Organizational learning platforms for knowledge creation in international joint ventures: the mediating role of formal and informal communication

This study explores the path of new knowledge creation in international joint ventures (IJVs) by investigating the mediating role of formal and informal communication. The organizational learning platform, encompassing commitment, cultural difference, and cultural alignment, is analyzed as a key determinant of effective communication between IJV partners, ultimately leading to new knowledge creation. Based on survey data collected from 136 Korean parent firms of IJVs, we find that organizational learning platforms significantly influence formal and informal communication between IJV partners. Specifically, commitment to partners and cultural difference primarily promote formal communication, while cultural alignment positively affects both formal and informal communication. Moreover, our results highlight that formal communication has a stronger impact on IJV knowledge creation compared to informal communication. These findings hold valuable implications for managers of IJVs and parent firms, shedding light on the factors that contribute to new knowledge creation in IJVs. The study emphasizes the importance of nurturing an effective organizational learning platform and leveraging formal and informal communication strategies to facilitate knowledge creation in IJVs.