How can the link between corporate entrepreneurship and Organisational Receptivity for Change (ORC) affect departmental performance? -Evidence from a Chinese State-owned Enterprise.

Abstract

This thesis used PetroChina as a research context, applied Organisational Receptivity for Change (ORC) to investigate changes in Chinese state-owned enterprises (SOEs). Chinese SOEs were usually seen as rigid and bureaucratic, and so up to now few studies have been done into investigating corporate entrepreneurship (CE) of Chinese SOEs. However, the role of CE has become critical with the reform of Chinese SOEs. With the progress of ORC, researchers realised the role of creativity during the change process, which laid the foundation for exploring the relationship between ORC and CE. This study proposes linking the ORC theory and CE to investigate how they impact performance in Chinese SOEs. This study applies integrated institutional theory and a resource-based view (RBV),which effectively explains how ORC and corporate entrepreneurship impact organisational change through adapting the external environment and using internal unique resources to enhance competitive advantage. A quantitative method was applied in this research with the collection of multi-sourced primary data. The survey completed by individuals and aggregated to the departments. Data were collected from 109 departments from the six PetroChina Xinjiang Companies. This study examined the ORC factor’s influence on three dimensions of CE (innovation, venturing activities, and strategic renewal). Finally, the mediation effects of CE dimensions were tested on the link between ORC and performance. The research outcomes confirmed significant relationships between ORC and the three dimensions of CE. Moreover, innovation as a mediator affects the relationship between ORC and departmental performance. This study demonstrated the perspective that the future development of the ORC would focus on creativity in the change process. Moreover, this study is a successful attempt at using and developing the ORC theory in a new context, as well as providing a new perspective to research on Chinese SOEs.