Using formal survey data from textile and leather product manufacturing firms in Ethiopia, we investigate how the current national cultural setup (power distance, collectivism, masculinity and uncertainty avoidance) is affecting organizational learning, orientation and product innovation performance. Further, we assess the moderating role of sector and ownership structure on the interrelationship. The result demonstrates that the current national culture setup is negatively affecting the learning and innovation activities of the firms in the country. It also shows that while sector type is neutral, ownership type significantly affects the interrelationship among culture, learning orientation and product innovation performance.
OPSOMMINGDeur die gebruik van peilingdata van tekstiel-en leerproduk vervaardigers in Etiopië word die invloed van die huidige nasionale kulturele milieu (dit sluit die afstand tot krag, kollektivisme, manlikheid en onsekerheidsvermyding) op die organisatoriese leer, oriëntasie en produkinnovasie bestudeer. Verder word die matigende rol van sektortipe en eienaarskapstruktuur op die onderlinge verhoudinge beoordeel. Die resultaat toon dat die huidige nasionale kulturele milieu die leer-en innovasieaktiwiteite negatief beïnvloed. Dit toon ook dat, terwyl die sektortipe nie 'n noemenswaardige invloed het nie, die eienaarskapstruktuur die onderlinge verhouding tussen kultuur, leeroriëntasie en produkinnovasie daadwerklik beïnvloed.
INTRODUCTIONIn this era of globalisation, a firm's profitability and survival in the international market is entirely dependent on continuous innovation [1]. In every economy, organisations are being forced -by intense competition, technological change, and much-reduced product lifecycles -to look for new and better ways of doing business. The generation and development of new marketable products has long been considered a key strategic advantage for an organisation's survival and its ability to outperform its competition. However, according to Martin de Castro [2], continuous innovation is impossible without a deliberate and continuous commitment to organisational learning. The effective generation, development, and commercialisation of new products is possible only if firms acquire, interpret and disseminate reliable customer, competitor and technology-related information.From the perspective of contingency theory, the role of socio-economic and socio-cultural factors in the business operations of organisations has attracted the attention of managers and academics [3]. Consequently, the role of a country's cultural factors in the learning and innovation activity of the manufacturing firms operating within it has been the focus of much research ([4, 5]). A national culture is a collective mindset that reflects the behaviour, attitudes and norms of a society and influences the perceptions, expectations, and motivation of its members [6,7].