National and Organizational Cultural Congruence: Evidence from Taiwan and Canada

Abstract

National culture has been an integral facet of international management research for several decades. Although national culture has been studied intensively to elucidate how it impacts firm performance, previous research findings have been inconsistent. This study investigated the values congruence between national cultures and organizational cultures and then examined the relationship between cultural congruence and firm performance for a sample of 173 firms in Taiwan and 373 firms in Canada. The study findings indicate that national cultures influence the development of organizational culture orientations. Additionally, congruence between organizational culture orientations and societal cultural values is associated with enhanced organizational financial performance.