A strong organizational culture improves the firm's effectiveness, but only if the cultural values are aligned with its external environment.

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A strong organizational culture can help to improve the effectiveness of a firm, as it provides a shared set of values, beliefs, and norms that guide behavior and decision-making. However, for this to be effective, the cultural values must be aligned with the external environment - including factors such as industry trends, customer expectations, and regulatory requirements. If there is a mismatch between the culture and the external environment, the firm may struggle to adapt and compete effectively.

A Strong Organizational Culture Improves the Firm's Effectiveness, but Only