| Summary: | Given the increasingly dynamic and complex situation of organizational environment, Chinese enterprises need not only exploitative learning to maintain its competitive edge, but also the explorative learning to strive for better future development. In other words, these two kinds of learning have to be combined in any successful enterprise. However, conflicts exist between the two in actual firm operations due to restrictions of resources and time. Thus, how to coordinate the two modes of learning has become a topic of paramount importance in organizational theories. Recently more and more scholars have inclined to embrace a dynamic and reciprocal view (i.e. organizational ambidexterity), as against the traditional view of conflict and opposition. Unfortunately, empirical research or case study of Chinese firms in this area is very scarce. As an attempt to fill in the above gap, this paper undertakes a longitudinal case study of the WD Company to carry out an in-depth analysis of its decision-making process in dealing with its organizational ambidexterity. Making use of the punctuated equilibrium model as its theoretical framework to describe the organizational evolution, this paper divides WD's development history into four periods: foundation, adjustment of industrial expansion, clarification of strategic orientation, and transformation of industrial upgrade. Based on this division, comparison is made between WD and its three rival enterprises in their different growing modes and organizational performance, and the organizational learning theories are applied to interpret the discrepancies. Finally, drawing on China's unique institutional system and cultural environment, the paper proposes a theoretical model for the evolution of enterprise competence. This case study, by providing a better understanding of the theory of organizational ambidexterity from the vantage point of internal operations, may contribute, in turn, to an improved understanding of the development of China's private enterprises. As its practical significance, this study may illuminate the private enterprises in their decision on development models, and help those enterprises like WD to tide through their organizational transformation.
|
|---|