Examining the effect of organizational DNA on strategic inertia: an evidence from the Egyptian textiles and garments companies

Abstract EN

This paper investigates the antecedents of strategic inertia in the Egyptian textile and garments industry.

Despite the importance of flexibility in this dynamic industry, empirical evidence points out the high levels of inertia.

Based on organizational ecology and institutional inertia theories, this paper argues that the nature of decision rights, information, motivators, and organizational structure significantly affects strategic inertia.

The study also compares Egyptian public and private textile and garments manufacturers' DNA influence on strategic inertia.

Self-administered surveys and various statistical tools were used to test the research hypotheses empirically.

The results show a significant negative effect of the organizational DNA genes and cognitive, socio-cognitive, and behavioral inertia, except for the significant positive effect of information on cognitive inertia.

It is suggested that future research investigates several factors that may mediate or moderate this relationship.

Finally, practical implications for senior managers and the human resource management staff are discussed at the end of the paper.