Cultural orientations and product innovation in the Ghanaian banking sector

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Date
2019-01-09
Authors
Jenkins Atarisigna Asaah
Shao Yunfei
Kwame Ansong Wadei
Kofi Frimpong Adasa Nkrumah
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Journal ISSN
Volume Title
Publisher
THE SERVICE INDUSTRIES JOURNAL
Abstract
The Ghanaian banking sector plays a major role in the socio economic development of the country. However, the banks are faced with many challenges which include growing customers’ demands, inadequate innovation practices and poor financial performance. With the advent of Information Communication Technologies (ICTs), there are calls for the banks to be more innovative. The paper explores the influence of organizational cultural orientations on product innovation. It also examines the moderating effect of extrinsic motivators on such relationships. Hypotheses were formulated and tested using data collected from the banking sector in Ghana. The findings are that innovate oriented and compete-oriented cultures have a direct positive influence on product innovation. Both Informational Extrinsic Motivators (IEMs) and Controlling Extrinsic Motivators (CEMs) moderate the relationship between innovate-oriented, compete oriented cultures and product innovation such that they diminish the positive relationship that exists between such variables. The paper offers theoretical contribution and managerial implications which are discussed.
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Citation
Asaah, J. A., Yunfei, S., Wadei, K. A., & Nkrumah, K. F. A. (2020). Cultural orientations and product innovation in the Ghanaian banking sector. The Service Industries Journal, 40(7-8), 518-541.