Study On The Relationship Between Cultural Differences And Organizational Learning In Joint Ventures

With the accelerating process of economic globalization, China, as GDP ranked second in the world, created an enormous magnetic field attracting more and more foreign enterprises to invest. China has surpassed the U.S. as the world’s first large country to attract investment. The development of joint ventures is accelerating the process of China’s modernization, in this process, organizational learning of enterprise will play the essential role. However, cultural differences between countries may hinder the organizational learning. Thus, Research on the relationship between cultural differences and organizational learning, and how to adjust this conflict has become a very important topic.More and more researchers found that in addition to funding, government attention and other factors, another important factor is the cultural differences which lead to failure of joint ventures. Culture is a collection of cognition, behavior, habits, etc. in the long-form. As a complex whole, it affects thinking and behavior of members of the country, which affects organizational learning of enterprise much. More and more studies show that organizational learning is one of the key factors that influence the success or failure an enterprise. Therefore, handling the relationship between cultural differences and organizational learning is extremely urgent for joint venture.In this paper, joint ventures as the main object of study, based on the comparison of cultural differences on the joint venture parties, researched on the relationship between cultural differences and organizational learning under different conditions. Hypotheses proposed to construct a theoretical model, clarified that strengthen of management and communication would deepen mutual understanding of bilateral cooperation. Deepen trust and eliminate misunderstanding. Enhancement of the absorption capacity benefits to both sides to accept a new culture, thereby promoting cultural integration between companies from different countries, weakening of cultural conflict, and improve organizational learning. In this paper, a method to verified multi-case study is used by analyzing 4 typical joint venture cases in 2 sectors, concluded effective measures that could be taken in organizational learning by joint ventures facing cultural differences. Hoping it could provide reference for more joint ventures.