Social and cultural Environment - International Business - Manu Melwin Joymanumelwin
Ā
The socio-cultural fabric is an important environmental factor that should be analysed while formulating business strategies. The cost of ignoring the customs, traditions, taboos, tastes and preferences, etc., of people could be very high.
Social and cultural Environment - International Business - Manu Melwin Joymanumelwin
Ā
The socio-cultural fabric is an important environmental factor that should be analysed while formulating business strategies. The cost of ignoring the customs, traditions, taboos, tastes and preferences, etc., of people could be very high.
> To define globalization and international business and show how they affect each other
> To understand why companies engage in international business and why international business growth has accelerated
> To discuss globalizationās future and the major criticisms of globalization
> To become familiar with different ways in which a company can accomplish its global objectives
> To apply social science disciplines to understanding the differences between international and domestic business
> To define globalization and international business and show how they affect each other
international trade theory
,
why is free trade beneficial
,
what role does government have in trade
,
what is mercantilism
,
what is the heckscher-ohlin theory
,
how does the theory of absolute advantage work
,
is a current account deficit bad
,
what is smithās theory of absolute advantage
,
what is the balance of payments
,
what is new trade theory
,
what is ricardoās theory of comparative advantage
6. International Marketing, Market Selection, Modes of Entry in International...Charu Rastogi
Ā
This presentation defines international marketing, international marketing decisions, challenges of international marketing, and driving and restraining forces of international marketing. It goes on to discuss the process of market selection, firm related, market related and other factors effecting market selection. It also reflects on various modes of entry into foreign markets such as exporting (commercial strategy, commercial mode), foreign direct investment (industrial strategy, integrated modes) and associated or contractual modes (contractual strategy, competitive alliances). The presentation closes with a case study on the experience of Proctor and Gamble (P&G) in various international markets like Japan, China and India.
International Marketing Management - IntroductionSOMASUNDARAM T
Ā
Definition; scope and challenges; difference between international marketing and domestic marketing; the dynamic environment of international trade; transition from domestic to international markets orientation of management and companies; international marketing environment.
Presentation on international business( differences in culture)Md. Sourav Hossain
Ā
This assignment will help every student for making their assignment and presentation better and effective. From it every student will understand the cultural differences in the world.
What is the cultural environment?
A deliberately vague and broad term to describe the affectual, felt, and emotional makeup of particular spaces created by physical, social, and/or cultural environments and presence/absence of other humans and/or nonhumans. From: International Encyclopedia of Human Geography (Second Edition), 2020. Elements are - language, social norms, religion, ethics, socio economics, mores, traditions, societal regulations, nationalism, aesthetics, material culture, attitudes, values, social organisation. How does culture affect environment?
Research suggests that perceived group values impact an individual's behaviour towards the environment. In cultures that have a strong collectivistic orientation, the perception of either strong egoistic or biospheric group values can lead to pro-environmental benefits or mitigate environmental harms.
> To define globalization and international business and show how they affect each other
> To understand why companies engage in international business and why international business growth has accelerated
> To discuss globalizationās future and the major criticisms of globalization
> To become familiar with different ways in which a company can accomplish its global objectives
> To apply social science disciplines to understanding the differences between international and domestic business
> To define globalization and international business and show how they affect each other
international trade theory
,
why is free trade beneficial
,
what role does government have in trade
,
what is mercantilism
,
what is the heckscher-ohlin theory
,
how does the theory of absolute advantage work
,
is a current account deficit bad
,
what is smithās theory of absolute advantage
,
what is the balance of payments
,
what is new trade theory
,
what is ricardoās theory of comparative advantage
6. International Marketing, Market Selection, Modes of Entry in International...Charu Rastogi
Ā
This presentation defines international marketing, international marketing decisions, challenges of international marketing, and driving and restraining forces of international marketing. It goes on to discuss the process of market selection, firm related, market related and other factors effecting market selection. It also reflects on various modes of entry into foreign markets such as exporting (commercial strategy, commercial mode), foreign direct investment (industrial strategy, integrated modes) and associated or contractual modes (contractual strategy, competitive alliances). The presentation closes with a case study on the experience of Proctor and Gamble (P&G) in various international markets like Japan, China and India.
International Marketing Management - IntroductionSOMASUNDARAM T
Ā
Definition; scope and challenges; difference between international marketing and domestic marketing; the dynamic environment of international trade; transition from domestic to international markets orientation of management and companies; international marketing environment.
Presentation on international business( differences in culture)Md. Sourav Hossain
Ā
This assignment will help every student for making their assignment and presentation better and effective. From it every student will understand the cultural differences in the world.
What is the cultural environment?
A deliberately vague and broad term to describe the affectual, felt, and emotional makeup of particular spaces created by physical, social, and/or cultural environments and presence/absence of other humans and/or nonhumans. From: International Encyclopedia of Human Geography (Second Edition), 2020. Elements are - language, social norms, religion, ethics, socio economics, mores, traditions, societal regulations, nationalism, aesthetics, material culture, attitudes, values, social organisation. How does culture affect environment?
Research suggests that perceived group values impact an individual's behaviour towards the environment. In cultures that have a strong collectivistic orientation, the perception of either strong egoistic or biospheric group values can lead to pro-environmental benefits or mitigate environmental harms.
Running head: SPANISH LANGUAGE 3
Spanish Language
Studentās name:
Institutionās name:
Spanish speakers all over the world tend to observe some formalities in their treatment with each other. Spanish language emphasis the importance of respect of cultures of Spanish speaking countries in the following ways; firstly, Spanish language normally provides forms and non formal address. However, despite the fact that native Spanish speakers have their formal means of communication and treating each other, they give room for other Spanish speaking countries to have freedom to practice what they feel is good for them. They highly esteem the great value and appearance of other people with a sense of honor, dignity and pride. This way, they regard the tradition of other people whether in terms of social life and work very important and unique. It is said that Spaniards normally tend to be more relaxed and flexible where they prefer to wear formally in social gathering which may be contrary to other Spanish speakers (Noble and LaCasa, 2000). Therefore, they extend their respect for other Spanish speakers through accepting their practice whether in formal or informal settings.
The respect for other Spanish speakers in other countries is also emphasized through rituals and region which of course varies from one region to another. Despite the fact that most Spaniards are Roman Catholics, they highly esteem other dominations. This is because of the understanding that churches play an important role in influencing family life and community affairs. Most importantly, churches help to give meaning to every culture in the world. Therefore, celebration also varies (Noble and LaCasa, 2000). For instance, in Spain, each local community has to celebrate its patron saintās day as it is regarded as a very important occasion. However, this may be not the case in other Spanish speakers in other countries. The respect of other Spanish speakers can also be associated with the fact that Hispanic countries celebrate popular holidays internationally such as Christmas, Easter among others. This helps to bring together with other members in other countries. They also help in the learning process to ensure that the language is widely accepted and used freely.
Reference
Noble, J. and LaCasa, J. (2000). The Hispanic way: Aspects of behavior, attitudes, and customs
of the Spanish-speaking world. Chicago, Ill. Passport Books.
In relation to assignment 1, there has been a query from a student for further clarity.
The first cultural problem you face is understanding what I a foreigner want you to write about!
What am I looking for? Is it different to what you think? Is it too vague? Will I fail you? Please do not worry!
Singaporeans like strong and specific guidelines but many cultures, particularly other English speaking cultures, operate with few guidelines. Thus, there is no right or wrong way .
A detailed description about Culture, its characteristics, elements with proper example. it's gonna help you in your global marketing and business environment. understanding the culture
What are the main advantages of using HR recruiter services.pdfHumanResourceDimensi1
Ā
HR recruiter services offer top talents to companies according to their specific needs. They handle all recruitment tasks from job posting to onboarding and help companies concentrate on their business growth. With their expertise and years of experience, they streamline the hiring process and save time and resources for the company.
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
Digital Transformation and IT Strategy Toolkit and TemplatesAurelien Domont, MBA
Ā
This Digital Transformation and IT Strategy Toolkit was created by ex-McKinsey, Deloitte and BCG Management Consultants, after more than 5,000 hours of work. It is considered the world's best & most comprehensive Digital Transformation and IT Strategy Toolkit. It includes all the Frameworks, Best Practices & Templates required to successfully undertake the Digital Transformation of your organization and define a robust IT Strategy.
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This PowerPoint presentation is only a small preview of our Toolkits. For more details, visit www.domontconsulting.com
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Tata Group Dials Taiwan for Its Chipmaking Ambition in Gujaratās DholeraAvirahi City Dholera
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The Tata Group, a titan of Indian industry, is making waves with its advanced talks with Taiwanese chipmakers Powerchip Semiconductor Manufacturing Corporation (PSMC) and UMC Group. The goal? Establishing a cutting-edge semiconductor fabrication unit (fab) in Dholera, Gujarat. This isnāt just any project; itās a potential game changer for Indiaās chipmaking aspirations and a boon for investors seeking promisingĀ residential projects in dholera sir.
Visit : https://www.avirahi.com/blog/tata-group-dials-taiwan-for-its-chipmaking-ambition-in-gujarats-dholera/
3.0 Project 2_ Developing My Brand Identity Kit.pptxtanyjahb
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A personal brand exploration presentation summarizes an individual's unique qualities and goals, covering strengths, values, passions, and target audience. It helps individuals understand what makes them stand out, their desired image, and how they aim to achieve it.
Unveiling the Secrets How Does Generative AI Work.pdfSam H
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At its core, generative artificial intelligence relies on the concept of generative models, which serve as engines that churn out entirely new data resembling their training data. It is like a sculptor who has studied so many forms found in nature and then uses this knowledge to create sculptures from his imagination that have never been seen before anywhere else. If taken to cyberspace, gans work almost the same way.
Memorandum Of Association Constitution of Company.pptseri bangash
Ā
www.seribangash.com
A Memorandum of Association (MOA) is a legal document that outlines the fundamental principles and objectives upon which a company operates. It serves as the company's charter or constitution and defines the scope of its activities. Here's a detailed note on the MOA:
Contents of Memorandum of Association:
Name Clause: This clause states the name of the company, which should end with words like "Limited" or "Ltd." for a public limited company and "Private Limited" or "Pvt. Ltd." for a private limited company.
https://seribangash.com/article-of-association-is-legal-doc-of-company/
Registered Office Clause: It specifies the location where the company's registered office is situated. This office is where all official communications and notices are sent.
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www.seribangash.com
Liability Clause: It outlines the extent of liability of the company's members. In the case of companies limited by shares, the liability of members is limited to the amount unpaid on their shares. For companies limited by guarantee, members' liability is limited to the amount they undertake to contribute if the company is wound up.
https://seribangash.com/promotors-is-person-conceived-formation-company/
Capital Clause: This clause specifies the authorized capital of the company, i.e., the maximum amount of share capital the company is authorized to issue. It also mentions the division of this capital into shares and their respective nominal value.
Association Clause: It simply states that the subscribers wish to form a company and agree to become members of it, in accordance with the terms of the MOA.
Importance of Memorandum of Association:
Legal Requirement: The MOA is a legal requirement for the formation of a company. It must be filed with the Registrar of Companies during the incorporation process.
Constitutional Document: It serves as the company's constitutional document, defining its scope, powers, and limitations.
Protection of Members: It protects the interests of the company's members by clearly defining the objectives and limiting their liability.
External Communication: It provides clarity to external parties, such as investors, creditors, and regulatory authorities, regarding the company's objectives and powers.
https://seribangash.com/difference-public-and-private-company-law/
Binding Authority: The company and its members are bound by the provisions of the MOA. Any action taken beyond its scope may be considered ultra vires (beyond the powers) of the company and therefore void.
Amendment of MOA:
While the MOA lays down the company's fundamental principles, it is not entirely immutable. It can be amended, but only under specific circumstances and in compliance with legal procedures. Amendments typically require shareholder
Personal Brand Statement:
As an Army veteran dedicated to lifelong learning, I bring a disciplined, strategic mindset to my pursuits. I am constantly expanding my knowledge to innovate and lead effectively. My journey is driven by a commitment to excellence, and to make a meaningful impact in the world.
VAT Registration Outlined In UAE: Benefits and Requirementsuae taxgpt
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Vat Registration is a legal obligation for businesses meeting the threshold requirement, helping companies avoid fines and ramifications. Contact now!
https://viralsocialtrends.com/vat-registration-outlined-in-uae/
Premium MEAN Stack Development Solutions for Modern BusinessesSynapseIndia
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Stay ahead of the curve with our premium MEAN Stack Development Solutions. Our expert developers utilize MongoDB, Express.js, AngularJS, and Node.js to create modern and responsive web applications. Trust us for cutting-edge solutions that drive your business growth and success.
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RMD24 | Retail media: hoe zet je dit in als je geen AH of Unilever bent? Heid...BBPMedia1
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Grote partijen zijn al een tijdje onderweg met retail media. Ondertussen worden in dit domein ook de kansen zichtbaar voor andere spelers in de markt. Maar met die kansen ontstaan ook vragen: Zelf retail media worden of erop adverteren? In welke fase van de funnel past het en hoe integreer je het in een mediaplan? Wat is nu precies het verschil met marketplaces en Programmatic ads? In dit half uur beslechten we de dilemma's en krijg je antwoorden op wanneer het voor jou tijd is om de volgende stap te zetten.
The world of search engine optimization (SEO) is buzzing with discussions after Google confirmed that around 2,500 leaked internal documents related to its Search feature are indeed authentic. The revelation has sparked significant concerns within the SEO community. The leaked documents were initially reported by SEO experts Rand Fishkin and Mike King, igniting widespread analysis and discourse. For More Info:- https://news.arihantwebtech.com/search-disrupted-googles-leaked-documents-rock-the-seo-world/
3. Learning Objectives
ļ®
To understand the significance of culture in
international business decisions
ļ®
To elucidate the concept of culture and its
constituents
ļ®
To explain comparisons of cross-cultural
behaviour
ļ®
To discuss cultural orientation in international
business
ļ®
To appreciate emic versus etic dilemma and its
operationalization
Chapter 7: International Cultural
Environment
4. Significance of Culture
A
firm
operating
internationally
comes
across a wide range of diverse cultural
environments, which significantly influence
international business decisions.
Managers
operating internationally need to appreciate
the differences among cultural behaviours of
their
business
partners
and
consumers
across various countries.
Chapter 7: International Cultural
Environment
5. Self Reference Criterion (SRC)
An unconscious reference to oneās own cultural
values, experiences, and knowledge as a basis
for decision-making. SRC significantly influences
ability of international managers to objectively
evaluate
environmental
factors
and
make
business decision.
Copyright @ Oxford University Press
International Business
R. M. Joshi
Chapter 7: International Cultural
Environment
6. Approach to Eliminate SRC
Step 1:Define the business problem or goal in
home-country traits, habits, or norms.
Step 2:Define the business problem or goal in
foreign
country cultural traits, habits, or
norms. Make no value judgments.
Step 3:Isolate the SRC influence in the problem
and examine it carefully to see how it
complicates the problem.
Step 4:Redefine the problem without the SRC
influence and solve for the optimum business
goal situation.
Copyright @ Oxford University Press
International Business
R. M. Joshi
Chapter 7: International Cultural
Environment
7. The Concept of Culture
Culture is the way of life of people, including
their attitudes, values, beliefs, arts, sciences,
modes of perception, and habits of thought and
activity. Cultiral differences across the countries
significantly influence business decisions.
Copyright @ Oxford University Press
International Business
R. M. Joshi
Chapter 7: International Cultural
Environment
8. Constituents of Culture
A variety of learned traits that influence human
behaviour can contribute to the culture of a social
group, the major constituents, include:
ā¢ value system
ā¢ norms
ā¢ aesthetics
ā¢ customs and traditions
ā¢ language
ā¢ religion
Copyright @ Oxford University Press
International Business
R. M. Joshi
Chapter 7: International Cultural
Environment
10. Value System
Shared assumptions of a group about how
things ought to be or abstract ideas about
what
a group believes to be good,
desirable, or right.
Copyright @ Oxford University Press
International Business
R. M. Joshi
Chapter 7: International Cultural
Environment
11. Value system
ļ®
ļ®
Value systems vary among managers
across different countries :
Eg. US managers : high achievement
orientation vs Japanese managers
how have a growth and size
orientation vs Indian Managers who
have moralistic orientation.
Copyright @ Oxford University Press
International Business
R. M. Joshi
Chapter 7: International Cultural
Environment
13. Norms
ļ®
ļ®
ļ®
ļ®
ļ®
For eg. In Japan, aggressive selling is not perceived
in the positive spirit.
Eg. Indian use hands or different types of spoons
for eating. Chinese and Japanese use chopsticks.
Europeans and American use forks and knives to cut
the food before eating.
Lessons: International managers need to know what
is acceptable , unacceptable in foreign culture. They
also need to know cultural tolerance to business
customs that may be grouped as :
Cultural Imperatives; Cultural Exclusives; Cultural
Adiaphora
14. ļ®
ļ®
ļ®
ļ®
ļ®
ļ®
ļ®
ļ®
Culture Imperatives
It refers to norms that must be followed / avoided in a foreign
country.
For Eg. Too much eye contact in Japan is considered to
completely offensive.
On the other hand in the Gulf , strong eye contact necessary
with an Arab, to establish trustworthiness.
Cultural Exclusives:
Social patterns which are considered appropriate for locals and
in which foreigners are expected not to participate.
Eg. Foreigners should stay away from discussions on local
country politics, social customs and practices.
Cultural Adiaphora : social customs in which a foreigner may
participate, so that the Intl. manager may decide whether to
participate or avoid. Eg. Bowing in Japanese culture is not
expected of foreigners, but such display may be appreciated .
15. Aesthetics
Ideas and perceptions that a cultural
group upholds in terms of beauty and
good taste.
music,
It includes areas related to
dance,
painting,
drama,
architecture, etc.
Copyright @ Oxford University Press
International Business
R. M. Joshi
Chapter 7: International Cultural
Environment
16. Aesthetics
ļ®
ļ®
ļ®
ļ®
ļ®
ļ®
Eg. Colours have different aesthetic value in
different cultures:
Africa : bright colours are favourites
Japan : pastel colours preferred as they express
harmony.
China : red is lucky colour but associated with
witchcraft in Africa.
America : blues and greys are perfect for official
environments. But blue is evil in Africa
Death colours : Black signifies death in America,
Europe; In India, Japan & other Asian countries it is
white, For Latin Americans Purple means death;
Dark red is the mourning colour in the Ivory Coast.
18. Traditions and Customs
ļ®
ļ®
ļ®
ļ®
ļ®
International managers need to know the customs and
traditions of the culture being dealt with:
Eg. Food Habits eg. Chocolate flavors preferred are
different in different cultures : Eg. Americans and
Germans prefer blends, French- Dark, Dutch āWhite.
Coffee brews: Nescafe manufactures200 different
varieties of coffee to suit local tastes.
The concept of Indian vegetarianism is very complex for
foreigners to understand. Vessels used for cooking both
should be different. KFC offers vegetarian dishes in its
Indian outlets. Pizza Hut offers Jain Pizza in India alone.
Lessons: companies need to modify products/services to
suit the local customs and traditions.
19. Manners and Customs...
ļ®
ļ®
ļ®
ļ®
ļ®
ļ®
ļ®
ļ®
Manners in gift giving:
A lot of preparation and sensitivity required while
giving gifts. What and when is important.
China : occasion : New Year
Preferred Gifts: Modest gifts such as coffee table,
books, ties, pens.
Japan: Oseibo( January 1)
Preferred Gifts : Brandy. Scotch, round fruits such
as melons
Manners and Customs in the Way Products are used
should also be considered
Example Orange juice:
Breakfast item in US, Refreshment in France
Moisturizers : After bath lotion in one, beauty
19
product in another.
20. Language
A systematic means of communicating ideas
or feelings by the use of conventionalized
signs, gestures, marks, or especially
articulate vocal sounds.
21. Language
The Four Roles of Language
Language aids in information gathering and
evaluation.
Language provides access to local society.
Language capability is increasingly
important in company communications.
Language provides more than the ability to
communicate because it extends beyond
mechanics to the interpretation of contexts
that may influence business operations.
21
22. Languages
Top Ten World Languages
Language
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
Chinese, Mandarin
Spanish
English
Bengali
Hindi
Portuguese
Russian
Japanese
German, Standard
Chinese, Wu
Population (in millions)
885
332
322
189
182
170
170
125
98
77
23. Language ā¦ some lessons for
managers
ļ®
ļ®
ļ®
Even though English is considered lingua-franca for non
English speaking countries, it fails to provide non-verbal
cues ā¦ for example:
Coca ā Cola was named Ke-kou-ke-la in China which
translates in Mandarin to āBite the wax tadpoleā.
Subsequently Coke found a close phonetic equivalent
Ko-kou-ko-Le which translates to āHappiness in the
mouthā after researching 40,000 Chinese characters.
The Swedish vacuum cleaner Manufacturer Electrolux
introduced the same print ad which was successful in
Britain in the US Market with the tag line ā Nothing sucks
like an Electroluxā. Later they found this to be a disaster
in the US because āsucksā in American means āreally
Badā. i.e. Electrolux is a āreally bad vacuum cleanerā
24. Religion
Religious beliefs significantly influence people
behaviour and business decision making.
Religion
elements:
ļ®
encompasses
three
distinct
ā¢Explanation: God seen as a āfirst causeā behind the creation of
the universe
ā¢A standard organization: Consisting of places of worships and
rituals
ā¢Moral rules of good behaviour : concerning principles of right
and wrong in human behaviour.
26. Religion : lessons for managers
Considerable influences international business
decisions.
For. Eg. Location of commerical buildings and office
interiors need to be as per Fen shui in China and
Vastu Shastra in India, as it concerns free flow of
cosmic energy and keeps evil spirits away.
Advertisements and corporate communications
must keep religious sentiments in mind. For eg.
Islam does not permit shaving. So Shaving
equipment makers like Gillette need to be
sensitive while advertising their product in Islamic
countries.
27. Comparison of Cross Cultural
Behavior
An
appreciation
facilitates
of
cultural
international
conceptualize
and
differences
managers
implement
to
business
strategies in view of cultural sensitivities in
various countries.
Copyright @ Oxford University Press
International Business
R. M. Joshi
Chapter 7: International Cultural
Environment
28. Hofstedeās Cultural Classification
Power distance
The extent to which less powerful members
of
an
institution
accept
that
power is
distributed unequally.
Copyright @ Oxford University Press
International Business
R. M. Joshi
Chapter 7: International Cultural
Environment
29. High Power Distance Countries
ā¢High social inequalities tolerated with
differences in power and income distribution
ā¢Organizational structures are hierarchical
based an inequality among superiors and
subordinates
ā¢Decision making is centralized
ā¢Juniors blindly follow the orders of their
superiors
For
instance,
Malaysia,
countries, India etc.
Copyright @ Oxford University Press
International Business
R. M. Joshi
Mexico,
Arab
Chapter 7: International Cultural
Environment
30. Low Power Distance Countries
ļ®
Superiors and subordinates consider each
other equal
ļ®
Organizations are relatively flatter
ļ®
Decision making is decentralized
For instance, Austria, Sweden, Great Britain,
the US etc.
Lessons: In view of the power distance, the international
manager has to asses the organizational dynamics, identify
the key decision makers and accordingly formulate their
business strategy for different countries.
31. Individualism vs. Collectivism
Individualism:
The tendency of people to look after themselves and their
immediate family.
ļ®
Strong work ethics
ļ®
Promotions based on merit
ļ®
Involvement of employees
in the organization is
calculative.
ļ®
Ability to be independent of others is considered to be
the
key
criterion
for
success
in
individualistic
societies.
Countries with high individualism include, the US, Great
Britain, France, South Africa etc
32. Collectivism:
The tendency of people to belong to groups and to
look after each other in exchange for loyalty. In such
cultures, interest of groups have precedence over
individual interest .
For
instance,
Guatemala,
Pakistan,
Singapore,
Malaysia etc.
Lessons: International Business strategy is greatly
influenced by individualism vs. collectivism in terms of
decision making and market communication. For a
product to be successful. In collective societies, it
should
have
group
individualistic societies.
acceptability
unlike
in
the
33. Masculinity vs. femininity
In masculine societies, the dominant values emphasize
on work goals, such as earnings, advancement, success,
and material belongings. e.g. Japan, Switzerland, Great
Britain, the US etc.
In feminine societies the dominant values are
achievement of personal goals, such as quality of life,
caring for others, friendly atmosphere, getting along
with boss and others.
e.g. Sweden, Norway, Denmark, Thailand etc.
India falls in between.
Summarily, in masculine societies, people ālive to workā,
whereas in feminine societies peopleā work to liveā.
34. Uncertainty avoidance
The extent to which people feel threatened by
ambiguous situations.
In high uncertainty avoidance societies there is lack
of tolerance for ambiguity and the need for formal
rules. For instance, Greece, Portugal, Japan, France
are the most uncertainty avoidance countries.
Low
uncertainty
avoidance
countries
Singapore, Denmark, India, the US etc.
include
36. Universalism vs. Particularism
ļ®
Universalism: The belief that ideas and practices
can be defined and applied everywhere without
modification
e.g. the US, Australia, Germany, Sweden etc.
ļ®
Particularism:
The
belief
that
unique
circumstances and relationships, rather than
abstract rules are more important considerations
that determine how ideas and practices should be
applied
e.g. Venezuela, the US, Indonesia, China etc.
Copyright @ Oxford University Press
International Business
R. M. Joshi
Chapter 7: International Cultural
Environment
37. Individualism vs.
Communitarianism
Individualism: people regarding themselves as individuals.
For instance
the US, Czechoslovakia, Argentina, the CIS,
Mexico, and the UK .
Societies with high individualism make frequent references to āIā
and āmeā. And achievement and responsibility are personal.
Communitarianism: people regarding themselves as part of a
group.
For instance, Singapore, Thailand, Japan, and Indonesia.
In collectivist societies āweā is used more frequently than āIā and
achievement is considered group achievement.
38. Neutral vs. Affective
Neutral Cultures: Cultures in which people tend to hold back
their emotions and try not to exhibit their feelings.
For instance, Japan, the UK, Singapore, Australia, etc.
Will consider anger, delight or intensity in the workplace as
āunprofessionalā
Affective Cultures: Cultures where emotions are expressed
openly.
For instance, Mexico, Netherlands, Switzerland, China, Brazil,
etc.
Will consider holding back of emotions by colleagues to signify
āemotionally deadā or a āmask of deceitā.
39. Specific vs. Diffused
The relative size of āPublic space and Private space ā and
the degree to which individuals feed comfortable sharing it
with others differ considerably across societies .
Specific Cultures: Cultures in which individuals tend to have a
large public space which is readily shared, and a smaller private
space.
For instance, Australia, the UK, the USA and Switzerland.
Diffused Cultures: Culture in which public and private space are
more or less similar
and public space is guarded more
carefully.
For instance, Venezuela, China and Spain
40. Achievement vs. Ascription
Achievement Cultures: Culture in which status is
accorded to high achievers and high performers.
For instance Austria, the USA, Switzerland, the UK,
Sweden and Mexico etc.
Ascription Cultures: Culture in which status is
accorded to those who ānaturallyā evoke admiration
from others such as elderly, seniors, highly
qualified and skilled people.
For instance,
Venezuela, Indonesia, China, the
CIS, and Singapore etc.
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R. M. Joshi
Chapter 7: International Cultural
Environment
42. High Context vs. Low Context
High Context Cultures: Culture in which high
significance is given to implicit communications,
such as non-verbal and subtle situational cues.
For instance,
countries.
China,
Korea,
Japan
and
Arab
Low Context Cultures: Cultures in which
communication is more explicit with heavy reliance
on words to convey the meanings.
For instance, Germany, Switzerland, Scandinavia,
North America and Britain.
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International Business
R. M. Joshi
Chapter 7: International Cultural
Environment
43. Homophilous vs. Heterophilous
Homophilous Cultures: Cultures where
people
share
beliefs,
speak
the
same
language, and practice the same religion.
For instance, Japan, Korea and Scandinavian
countries.
Heterophilous Cultures: Countries that
have a fair amount of differentiation in
languages, beliefs, and religions followed.
For instance, India and China.
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Chapter 7: International Cultural
Environment
44. Relationship vs. Deal-focused
Relationship-focused Cultures: Cultures in
which strong orientation towards building
relationships and developing mutual trust.
For instance, India, Japan, China, Singapore,
Saudi Arabia, United Arab Emirates, Egypt,
Brazil, Mexico, and Russia.
Deal-focused
Cultures:
Task-oriented
cultures with openness to hold direct business
talks with strangers.
For
instance,
Britain,
USA,
Germany,
Denmark, Australia, Canada, Finland etc.
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Chapter 7: International Cultural
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45. Formal vs. informal cultures
Formal Cultures: Status differences are large and
valued and formality is used to show respect.
For instance, India, UAE, Egypt, Brazil, Russia,
Poland, Japan, China,, Singapore, France, Belgium,
Britain, Germany, Denmark, Finland etc.
Informal Cultures:
Status differences are not
valued and Informal behaviour is not considered
disrespectful. For instance, the USA, Canada, and
Australia etc.
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R. M. Joshi
Chapter 7: International Cultural
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46. Polychronic vs. Monochronic
Polychronic
Cultures:
Cultures
in
which
time
schedules and deadlines are flexible and relationships
take precedence. For instance,
India, Thailand,
Philippines, UAE, Egypt, Brazil, Russia etc.
Monochronic Cultures: Cultures with rigid time
schedules and deadlines with high emphasis on
punctuality. For instance,
Japan, China, Singapore,
Britain, USA, Canada, Australia, Germany, Denmark
etc.
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Chapter 7: International Cultural
Environment
47. Expressive vs. Reserved Cultures
Expressive cultures: people are more
expressive with direct eye contact.
For instance,
Russia, Poland, Romania,
USA, Australia, and Canada
Reserved cultures : people restrain their
facial expression and gesturing.
For instance,
India, Japan, China,
Singapore, Britain, Germany, Denmark,
Finland etc.
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International Business
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Chapter 7: International Cultural
Environment
48. Parochialism vs. Simplification
Parochialism: Belief that views the rest
of the world from oneās own cultural
perspective.
Simplification: Exhibiting same cultural
orientation
groups.
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towards
different
cultural
Chapter 7: International Cultural
Environment
49. EPRG Approach
Ethnocentric orientation
The belief which considers oneās own culture as
superior to others. The belief that the business
strategy which has worked in the home country
would also be suitable in alien cultures.
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International Business
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Chapter 7: International Cultural
Environment
50. Polycentric orientation
It is based on the belief that substantial
differences
exist
among
various
countries.
Therefore, a single business strategy cannot be
effective
across
the
world
and
customized
business strategies need to be adapted in
different countries.
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International Business
R. M. Joshi
Chapter 7: International Cultural
Environment
51. Regiocentric orientation
A firm treats the region as a uniform cultural
segment and adopts a similar business strategy
within the region but not across the region.
For example Mc Donaldās strategy is to not serve beef based
products
in India, but serves beef based products in other
countries. Also in the Middle East, it does not serve pork and all
meat based preparations are made out of halal process only .
52. Geocentric orientation
The approach considers the whole world a single
market and attempts to formulate integrated business
strategies. A geocentric firm attempts to identify
cultural similarities across countries and formulates a
globally uniform business strategy.
Examples: the Harry Potter series of books and films,
cartoon characters and their serials,
Jeans, T-shirts etcā¦
apparels like
53. Emic vs. Etic Dilemma
ļ®
ļ®
The Emic school holds that attitudes, interests,
and behaviour are unique to a culture and best
understood in their own terms. It emphasizes
studying the business research problem in each
countryās specific context and identifying and
understanding its unique facets.
The Etic school emphasizes identifying and
assessing universal attitudinal and behavioural
concepts
and
developing
āpan-culturalā
measures. Thus, etic is basically concerned with
measuring universal behavioural and attitudinal
traits.
54. Operationalisation of Emic and Etic
Emphasis is often placed an identifying
and
developing
constructs
that
are
feasible across countries and cultures,
while conducting cross country research.
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International Business
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Chapter 7: International Cultural
Environment