Jonsson, A., & Vahlne, J. E. (2023) Flashcards
Complexity offering opportunity: Mutual learning between Zhejiang Geely Holding Group and Volvo Cars in the post‐acquisition process.
Explain ‘Learn how to learn’
In the article, “learning how to learn” refers to Zhejiang Geely Holding (ZGH) acquiring Volvo Car Group (VCG) not just for knowledge, but to understand and develop the process of continuous learning itself. Instead of just absorbing existing expertise, ZGH aimed to build dynamic capabilities by actively engaging in mutual learning, adapting to complexity, and improving their ability to acquire and apply knowledge over time.
In simple terms: It’s not just about gaining knowledge, but about mastering the process of learning itself to stay competitive in a complex global industry.
How does ZGH view complexity in global business?
Unlike Western firms that see complexity as a risk to control, ZGH sees complexity as an opportunity for learning and innovation.
What theoretical model does the article build on?
The Uppsala Model, which explains internationalization as a gradual learning process where firms develop knowledge and adapt their strategies over time.
What are the three types of organizational learning framework mentioned in the article?
1️⃣ Single-loop learning – Fixing problems within existing norms.
2️⃣ Double-loop learning – Questioning and changing norms.
3️⃣ Deutero-loop learning – Learning how to learn and improve learning processes.
What is the significance of ‘light- touch integration in the ZGH-VCG case?
Instead of heavy control, ZGH trusted VCG and allowed it to operate independently, encouraging collaboration rather than forced integration.
3 core components of dynamic capabilities
- Sensing Opportunities
- Seizing resources
- Transforming organizational capabilities
What is the key philosophical difference in how ZGH views complexity?
Complexity is not a barrier to be controlled, but a gateway to innovation and organizational growth.
Exploration and Exploitation
Exploration: Seeking new knowledge and opportunities
Exploitation: Refining existing competencies and capabilities