**2. Promoting innovation through the culture**

entrepreneurship initiatives successful? Why the success formulas do not apply equally in all

The term "innovation" means the development of anything new from its initial idea to becom-

However, in a global market and according to some authors [1, 2], it is possible to identify three distinct types of economic environment in relation to the level of competitiveness between organizations: markets "blue ocean," "red ocean," and "purple ocean." Using a metaphor from thermodynamics field, an analogy might be established between the phase diagram (showing the conditions necessary for the existence of the various states: solid, liquid, and gaseous as a function of the pressure and temperature conditions) and the possible admissible levels of entrepreneurial culture associated with each market to not jeopardize the survival of an organization depending on the value of the opportunities and threats, as illustrated in **Figure 1**.

The markets called "blue ocean," stable environment, correspond to the solid phase where the number of competitors is reduced and, in some situations, could be null. In this favorable environment, which is characterized by the ease of accessing many opportunities in contrast to the reduced number of threats, the development of an innovation culture is not a concern of top management which leads to the proliferation of a conservative culture that acts as a

As opposed to the "blue ocean" market, we have the markets called "red ocean," context of crisis, which corresponds to the "gaseous" state where the level of competition is extremely high. In this adverse context, the opportunities are scarce and the threats abound. In this context, the role of the entrepreneur in launching new businesses from inside the company is crucial. This phenomenon is called "corporate entrepreneurship" and differs from "entrepreneurship." "Entrepreneurship" refers to new businesses created from the root or developed

As an intermediate state, between the "blue ocean" market and the "red ocean" market, there are markets "purple ocean," unstable context, that corresponds to the liquid state. This market is characterized by the fact that coexists with two distinct situations: business opportunities where competition is virtually nonexistent or null and business opportunities where competition is fierce.

organizations? What does it mean by culture of innovation?

barrier to the promotion of innovation activities.

outside (or separate) from an existing business.

**Figure 1.** Diagram of phases versus diagram of market states.

ing viable in the marketplace.

72 Globalization

Globalization requires companies to create new products and businesses faster and better than their competitors. This calls for, on the one hand, highly efficient operating processes (although in themselves they do not ensure the competitiveness of companies) and, on the other hand, an organizational culture that allows the implementation of new operational methods.

Innovators (acting at product level) and entrepreneurs (acting at the level of the business) should have an organizational structure that favors innovation even without waiting for the verification of the appropriate culture. The innovation process itself is one of the best ways to perfect the company's innovation culture. The "organizational structure" consists of the modus operandi of the company based on operational configurations influenced by the organizational climate. The "operational configurations" translate cross-functional teams consisting of several knowledge specialists according to the specificity of the tasks. By "organizational climate," we mean working conditions that foster personal autonomy and responsibility by influencing individual motivation.

In the next steps, we first examine the culture of the company, then identify the characteristics of the innovation culture, and finally see how the culture of support for corporate entrepreneurship is developed.
