ABSTRACT
The transmission of organizational culture from the headquarters to the overseas subsidiaries can form an international strategy to create unique organizational resources and the mechanism of managing overseas subsidiaries of the multinational companies. The control of subsidiaries through organizational culture means transmission of the parent organizational culture as a part of the strategic planning process of the multinational company so as to mold the foreign employees psychologically to carry forward the original organizational purpose of the parent company. Entrepreneurship requires innovative activity, and strategic management requires stability. The analysis of Japanese culture and organizations by outsiders so far suffers from a number of defects. The similarity of organizational culture creates a similar attachment for the employees in the subsidiaries as in the home operations of the Japanese multinational companies. An organization with informal cultural control relies on an implicit organization-wide culture within the organization for the control of the members of that organization.
