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The Long March to an Innovative Culture: Development of Corporate Cultures in China from the 1990s Until Today

In: Handbook of Chinese Management

Author

Listed:
  • Stefan Schilcher

    (IMC FH Krems University of Applied Sciences)

  • Helmut Kasper

    (Vienna University of Economics and Business)

Abstract

While companies in China are becoming increasingly innovative, they still have not reached their full potential. Organizational culture is widely regarded as a key to innovationInnovation success. Therefore, this chapter provides a literature review based on several empirical studies on organizational culture conducted between 1996 and 2013 in Chinese companies. This approach helps to develop a better understanding of development tendencies in Chinese companies and to identify organizational cultural traits which boost innovationInnovation or hinder creativity. The results indicate that Chinese companies have started to embrace a rational strategic- and goal-orientated market approach which positively enhanced their innovationInnovation capability by learning from competitors and conducting external information research. However, creating change, organizational learning, and a strong customer focus are considered to be of less importance by many companies, which may reduce the innovationInnovation capability significantly. Furthermore, Chinese national culture traits such as social harmony and face may lead to the avoidance of productive task conflicts and hence reduce the creativity of employees. Additionally, Chinese cultural traits such as hierarchy and bureaucracy can be major barriers for divergent thinking and experiments.

Suggested Citation

  • Stefan Schilcher & Helmut Kasper, 2023. "The Long March to an Innovative Culture: Development of Corporate Cultures in China from the 1990s Until Today," Springer Books, in: Check-Teck Foo (ed.), Handbook of Chinese Management, chapter 20, pages 275-287, Springer.
    • Handle: RePEc:spr:sprchp:978-981-10-2459-7_47
    DOI: 10.1007/978-981-10-2459-7_47
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