Management Styles And Business Systems

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Management Styles And Business Systems

  1. 1. Culture, Management style, and Business system Chapter 5
  2. 2. Agenda/Topics To Be Covered <ul><li>Required adaptation </li></ul><ul><li>The impact of American culture on management style </li></ul><ul><li>Management styles around the world </li></ul><ul><li>Gender bias in International Business </li></ul><ul><li>Business ethics </li></ul><ul><li>Culture’s influence on strategic thinking </li></ul><ul><li>A synthesis, relationship-oriented versus information-oriented cultures </li></ul>
  3. 3. Culture? What is it? How does it affects you?
  4. 4. <ul><li>Required adaptation </li></ul>Cultural exclusives <ul><ul><li>Customs or behavior patterns exclusively for the locals and from which the foreigner is barred. </li></ul></ul>Cultural electives <ul><ul><li>Relates to areas of behavior or to customs that cultural aliens may wish to conform to or to participate in but that are not required. </li></ul></ul>Cultural imperatives <ul><ul><li>Customs and expectations that must be met and conformed or be avoided if relationship are to be successful. </li></ul></ul>Degree of adaptation <ul><ul><li>-A need to understand a counterparts custom </li></ul></ul>
  5. 5. 2. The impact of American culture on management style Independent enterprise as the instrument of social action Wide sharing in decision making Decision based on objective analysis “ master of destiny” viewpoint Personnel selection and reward based on merit
  6. 6. 3. Management styles around the world
  7. 7. <ul><li>Authority and decision making </li></ul><ul><li>Authority and decision making </li></ul><ul><li>Management objectives and aspirations </li></ul><ul><ul><ul><li>Security and mobility </li></ul></ul></ul><ul><ul><ul><li>Personal life </li></ul></ul></ul><ul><ul><ul><li>Affiliation and social acceptance </li></ul></ul></ul><ul><ul><ul><li>Power and achievement </li></ul></ul></ul>
  8. 8. <ul><li>Communication styles </li></ul><ul><ul><li>Face-to-face communication </li></ul></ul><ul><ul><li>Internet communications </li></ul></ul>
  9. 9. <ul><li>Formality and tempo </li></ul><ul><li>P-time versus M-time </li></ul><ul><ul><li>-polychronic time and </li></ul></ul><ul><ul><li>monochronic time </li></ul></ul><ul><li>Negotiations emphasis </li></ul>
  10. 10. <ul><li>It is true that in many cultures – Asian, Middle Eastern, and Latin America – women are not typically found in upper levels of management and men and women are treated very differently. </li></ul>4. Gender bias in International Business
  11. 11. 5. Business ethics <ul><li>The western focus on bribery </li></ul><ul><ul><li>Bribery: variations on a theme </li></ul></ul><ul><ul><li>Bribery and extortion </li></ul></ul><ul><ul><li>Subornation and lubrication </li></ul></ul><ul><ul><li>Agent’s fees </li></ul></ul>Corruption
  12. 12. 5. Business ethics: ethically and socially responsible decisions Utilitarian ethics Rights of parties Justice or fairness
  13. 13. 6. Culture’s influence on strategic thinking <ul><li>How culture influences manager’s thinking about business strategy? </li></ul>
  14. 14. 7. A synthesis, relationship-oriented versus information-oriented culture <ul><li>What is &quot;Culture&quot;? </li></ul><ul><li>Culture is the acquired knowledge people use to interpret experience and generate behavior. </li></ul>
  15. 15. High and Low Context <ul><li>&quot;high context&quot; and &quot;low context&quot; (popularized by Edward Hall) are used to describe broad-brush cultural differences between societies. </li></ul>
  16. 16. Low context refers to: <ul><li>societies where people tend to </li></ul><ul><li>have many connections but of </li></ul><ul><li>shorter duration or for some specific </li></ul><ul><li>reason </li></ul><ul><li>Example: large US airports, a chain </li></ul><ul><li>supermarket, a cafeteria, a convenience store, </li></ul><ul><li>sports where rules are clearly laid out, a motel. </li></ul>
  17. 17. Low context <ul><li>Rule oriented, people play by external rules </li></ul><ul><li>More knowledge is codified, public, external, and accessible. </li></ul><ul><li>Sequencing, separation--of time, of space, of activities, of relationships </li></ul><ul><li>More interpersonal connections of shorter duration </li></ul><ul><li>Knowledge is more often transferable </li></ul><ul><li>Task-centered. Decisions and activities focus around what needs to be done, division of responsibilities. </li></ul>
  18. 18. High context refers to: <ul><li>societies or groups where people have close connections over a long period of time </li></ul><ul><li>Examples: </li></ul><ul><li>Small religious congregations, a party with friends, family gatherings, expensive gourmet restaurants and neighborhood restaurants with a regular clientele, undergraduate on-campus friendships, regular pick-up games, hosting a friend in your home overnight. </li></ul>
  19. 19. High context <ul><li>Less verbally explicit communication, less written/formal information </li></ul><ul><li>More internalized understandings of what is communicated </li></ul><ul><li>Multiple cross-cutting ties and intersections with others </li></ul><ul><li>Long term relationships </li></ul><ul><li>Strong boundaries- who is accepted as belonging vs. who is considered an &quot;outsider&quot; </li></ul><ul><li>Knowledge is situational, relational. </li></ul><ul><li>Decisions and activities focus around personal face-to-face relationships, often around a central person who has authority. </li></ul>
  20. 20. Entering High and Low Context Situations?
  21. 21. THANK YOU..
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