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Innovation in multinational firms: Does cultural fit enhance performance?

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  • Björn Ambos

    (Vienna University of Economics and Business Administration)

  • Bodo B. Schlegelmilch

    (Vienna University of Economics and Business Administration)

Abstract

Abstract and Key Results Using a dataset of 139 R&D laboratories located in 21 countries, this study empirically tests whether a fit among R&D laboratory mission and national culture impacts R&D performance. Specifically, we assume that some cultures possess a natural advantage when it comes to capability augmenting tasks, while other cultures are better suited to host capability exploiting tasks. Where the mission of the laboratory is capability exploiting, our results support a positive effect of culture-mission alignment. However, no relationship between mission-culture alignment and performance can be found in case of capability augmenting laboratories.

Suggested Citation

  • Björn Ambos & Bodo B. Schlegelmilch, 2008. "Innovation in multinational firms: Does cultural fit enhance performance?," Management International Review, Springer, vol. 48(2), pages 189-206, April.
    • Handle: RePEc:spr:manint:v:48:y:2008:i:2:d:10.1007_s11575-008-0011-2
    DOI: 10.1007/s11575-008-0011-2
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    Cited by:

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    7. K. Sivakumar & Subroto Roy, 2019. "Global new product development: moderating role of national culture on the link between buyer–seller interactions and innovation outcomes," AMS Review, Springer;Academy of Marketing Science, vol. 9(3), pages 205-229, December.
    8. Tiwari, Rajnish & Herstatt, Cornelius, 2011. "Lead market factors for global innovation: Emerging evidence from India," Working Papers 61, Hamburg University of Technology (TUHH), Institute for Technology and Innovation Management.
    9. Buyukbalci, Pinar & Sanguineti, Francesca & Sacco, Federica, 2024. "Rejuvenating business models via startup collaborations: Evidence from the Turkish context," Journal of Business Research, Elsevier, vol. 174(C).
    10. Elizabeth A. Alexander, 2012. "The Effects of Legal, Normative, and Cultural-Cognitive Institutions on Innovation in Technology Alliances," Management International Review, Springer, vol. 52(6), pages 791-815, December.
    11. Rubino, Michele & Vitolla, Filippo & Raimo, Nicola & Garzoni, Antonello, 2019. "Cultura nazionale e livello di digitalizzazione delle imprese europee: evidenze empiriche," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, pages 581-593.
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    13. Edwards, Tony & Tempel, Anne, 2010. "Explaining variation in reverse diffusion of HR practices: Evidence from the German and British subsidiaries of American multinationals," Journal of World Business, Elsevier, vol. 45(1), pages 19-28, January.
    14. Isabel Gallego-Álvarez & María Consuelo Pucheta-Martínez, 2021. "Hofstede’s cultural dimensions and R&D intensity as an innovation strategy: a view from different institutional contexts," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 11(2), pages 191-220, June.
    15. Bradley L Kirkman & Kevin B Lowe & Cristina B Gibson, 2017. "A retrospective on Culture’s Consequences: The 35-year journey," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 48(1), pages 12-29, January.
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    18. Tiwari, Rajnish & Herstatt, Cornelius, 2012. "India - a lead market for frugal innovations? Extending the lead market theory to emerging economies," Working Papers 67, Hamburg University of Technology (TUHH), Institute for Technology and Innovation Management.

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