中欧社会论坛 - China Europa ForumOrganisational learning in the share capital―entrepreneurship―business performance equation: a case study of start-ups in Jiangsu and Guangdong
Jiang Chunyan and Zhao Shuming
From Guanli Shijie (Management World), Vol.10, 2006, pp 90-111
Two main methods exist in organisational learning: “exploration” and “exploitation”. They are very different from one another, rely on their own unique strategies, and do not affect business performance in the same way. Exploration learning improves performance through the creation of new products, which requires heavy short-term investment and has little impact on the company’s financial results during that period. Exploitation learning mainly consists of perfecting already existent products, which quickly and significantly improves business performance.