Value Performance: On the Relation Between Corporate Culture and Corporate Success

Abstract

In spite of a considerable body of literature, the relations between aspects of corporate culture and corporate success are not clear. This is due to the complexity and inconsistency concerning corporate culture and success. Most studies tend to focus on codified norms but less on implicit assumptions and values according to Schein (1990, 2009), and on positive but not negative cultural impacts. The research situation implies that managers do not pay enough attention to cultural issues. The success relation was investigated in an explorative study using a weighted sample of 2,873 persons from 46 German companies who participated in an online questionnaire designed to cover all levels of corporate culture. The impact of explorative analyzed corporate culture's construct to success was assessed by correlations and regressions. Results indicate that corporate responsibility with respect to external stakeholders as well as to employees, accompanied by participative leadership, are crucial cultural conditions for corporate success.