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Corporate Culture and Its Effects on Organizational Performance: Multi-Group Analysis Evidence from Developing Countries

Salah H. Ghumiem, Nahg A. M. Alawi, Abd Al-Aziz Al-Refaei, Khairi A. R. Masaud

2023European Journal of Business Management and Research30 citationsDOIOpen Access PDF

Abstract

Corporate culture is one of the most critical intangible resources that substantially affect the overall organizational performance in developing countries. Hence, this study focused on developing countries' energy sectors to evaluate corporate culture's influence on performance. A quantitative research approach was used in this study to achieve the set goals. The study population comprised 408 employees of General Electric Company of Libya (GECOL) who were sampled during the data collection stage of this study. Structural Equation Modelling (SEM) was used to evaluate the impact of organizational culture on performance. The study’s outcome evidenced a significant positive impact of culture on corporate performance; this effect was more significant for administrative employees than technical employees. This study offers some recommendations for the direction of future research, as well as criticism of its limitations.

Topics & Concepts

Organizational cultureBusinessDeveloping countryAffect (linguistics)Structural equation modelingCriticismData collectionOrganizational performancePopulationKnowledge managementMarketingPublic relationsPsychologyEconomicsPolitical scienceEconomic growthSociologySocial scienceComputer scienceLawDemographyMachine learningCommunicationOrganizational and Employee PerformanceSupply Chain Resilience and Risk ManagementBusiness and Economic Development