Many authors have speculated that the study of organizational culture achieved prominence in the late 1970s and 1980s, primarily driven by falling performance levels of big business in United States and Europe and by the Japanese management methods and practices that were gaining popularity (Pettigrew, 2000). The literature on organizational culture indicates that most successful companies (those with sustained profitability and above-normal financial returns) have a major distinguishing feature that is their most important competitive advantage their organizational culture (Cameron and Quinn, 1999). Cameron and Quinn indicate that an organization s culture is sometimes created by its founder (e.g., Walt Disney). It may emerge over time, as the organization faces challenges and obstacles (e.g., Coca-Cola) or may be developed consciously by the management team, such as the case of General Electric and its former chief executive officer (CEO), Jack Welch. Eisner emphasizes that the vision and culture of an organization sets the tone for much of what occurs within the organization, influencing most strategic activities (Eisner, 2000).

Kotter and Heskett, after conducting four cultural studies, concluded that the culture of the company has a powerful effect on the performance and long-term effectiveness of the organization. They summarize the power of culture as, We encounter organizational cultures all the time . . . when the cultures are our own, they often go unnoticed until we try to implement a new strategy or program which is incompatible with their central norms and values. Then we observe, first hand, the power of culture .