Local Management Autonomy as a Mediator Between Cultural Distance and Product Innovation Speed: A Two-Country Analysis of Haier in Russia and Turkey
Abstract
foreign-owned enterprise (WPO). Based on the above research, cultural distance is not a direct determinant of innovation speed; rather, it is
mediated by the degree of local management autonomy. Subsidiaries have been given higher decision-making power in product adaptation,
supplier selection and R&D priorities to reduce innovation cycle time considerably, especially when the cultural distance is large. Haier Turkey has achieved a high-autonomy governance model and thus a relatively short average product innovation cycle of 5.2 months; Haier Russia's autonomy is relatively limited, with an average cycle of 10.8 months.
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DOI: http://dx.doi.org/10.70711/memf.v3i9.9873
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