How to Deal with Cultural Diversity in your Company

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Identify the 5 dimensions of cultural segmentation. CQ is identified as a way to ensure cultural diversity and mangerial excellence

Education Technology

Case study on International Joint Ventures

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Summary & Conclusion Application: Joint Venture Hofstede’s 5 Dimensions Improving Cultural Intelligence Cultural Intelligence Cultural Diversity

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1 MBA 670 Capsim: Strategic Decision Making Project 5 - Creating an International Business Plan Learning Topics 2 MBA 670: Strategic Decision Making Project 5 Learning Topics 1 Assess the Characteristics of MediCorp's Potential Customers in the Selected Country International Cultural Differences Communications, teamwork, organizational hierarchy, and positive attitudes toward management roles are essential in any organization. These are crucial in international business, as problems are often exacerbated by subtle cross-cultural differences. When defining roles in multinational teams whose members have diverse attitudes and expectations about organizational hierarchy, these cultural differences can present a challenge. Culture is a system of values and norms that is shared among a group of people. The ways people interact socially, their mutual expectations, and the values they share all have consequences for doing business and managing across cross-cultural boundaries. How a country's cultural differences relate to international business can be seen in the following examples: • In Japan, social hierarchy and respect for seniority are highly valued and are reflected at the workplace. Those in senior management positions command respect and expect a formality and deference from junior team members. • In Scandinavian countries, societal equality is emphasized. Workplaces therefore tend to have a comparatively flat organizational hierarchy. In turn, this organization can result in relatively informal communication and an emphasis on cooperation across the organization. • The way to address colleagues and business partners varies in different countries. While Americans and Canadians tend to use first names, in Asian countries such as South Korea, China, and Singapore, colleagues tend to use the formal address, Mr. or Ms. So do Germans and many Europeans. • The concept of punctuality also differs between cultures. Where an American may arrive at a meeting a few minutes early, an Indian or Mexican colleague may arrive well after the scheduled start time and still be considered on time. • Attitudes to work also differ. While some may consider working long hours a sign of commitment, others may view it as an encroachment on their personal time and a sacrifice of essential family time. • Greeting customs are highly culture- and situation-specific. In the United States and Canada, a simple handshake while looking a person in the eye is the norm. In Japan, bowing is the traditional greeting—the deeper the bow, the greater the respect shown. In India, you put hands together as in prayer and say "namaste." In Arab countries, men might hug and kiss each other (but not a woman) on the cheek. • In Latin America and the Middle East, the acceptable physical distance needed to respect someone's personal space is much shorter than what most Europeans and Americans feel comfor.

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Cross Cultural Communication with reference to India, Netherlands and New Zealand. What is culture ? I ceberg Theory Of Culture Cross Culture Communication Organizational Culture Brief Introduction of Countries India, Netherlands and New Zealand Fundamental Dimensions of Culture Trompenaars’ and Hampden-Turner’s 7 dimensions of culture Etiquette and Customs India Netherlands New Zealand Business Etiquette and Protocol India Netherlands New Zealand

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atify and describe the cult alue dimensions that help ural profile of a country iad affect organizational processes: power distance. quently arise out of garding time, change, material f fre- values and orientations re- ancertainty avoidance, individualism, and mascu- In his later research, Hofstede explored the encept of long-term versus short-term orientation . Managers can use research results and personal obser vations to develop a character sketch, or cultural profile, of a country. This profile can help managers anticipate how to motivate people and coordinate work processes in a particular international context. piscussion Questions What is meant by the culture of a society, and why is it im portant for international managers to understand it? Do you notice cultural differences among your classmates? How do e differences affect the class environment? How do they 3-3. Di Discuss how the Internet and culture interact. Which most affects the other, and how? Give some examples Discuss collectivism as it applies to the Japanese workplace. 3-4. affect your group projects? s does it affect? uss the types of operational conflicts that could occur in an international context because of different attitudes toward time, change, material factors, and individualism hat managerial functi Discuss the role of Islam in cross- cultural relations and business operations. 3-5. Give examples relative to specific countries. plication Exercises Develop a cultural profile for one of the countries in the fol- 37. In small groups of students, lowing list. Form small groups of students and compare your findings in class with those of another group preparing a profile for another country. Be sure to compare specific findings regarding religion, kinship, recreation, and other subsystems. What are the prevailing attitudes toward time, change, mate- ial factors, and individualism? nv A frican country ing the four dimensions of power distance, uncertaint ance, masculinity, and individualism for one of the countries in comparison to the United States. (Your inst assign the countries to avoid duplication.) Present yo to the class. Assume you are a U.S. manager of a subs foreign country and explain how differences on these are likely to affect your management tasks. What s you have for dealing with these differences in the w Solution Culture of a society means the way people do things living in a society. This varies from place to place to a large level. People living in a society will have different cultures, customs, behaviours, language which can become a barrier if not tackled in the right way. It is important for an international manager to understand it because of the trend of globalising the business in international market. When the business is expanded to different places problems are faced to understand the culture of that place and adjust to make variations according to the existing culture of the place. For example the most important cultural barrier c.

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READING SUMMARY · Division of labour destroys intellectual, social and martial virtues unless government takes pains to prevent it, whereas in barbarous societies those virtues are kept alive by constant necessity. The education of the common people requires attention from the state more than that of people of rank and fortune, whose parents can look after their interests and who spend their lives in varied occupations chiefly intellectual, unlike the children of the poor. The state can encourage or insist on the general acquirement of reading, writing and arithmetic, by establishing parish schools, giving prizes, and requiring men to pass an examination before setting up in trade. In this way the Greeks and Romans maintained a martial spirit. Martial spirit in the people would diminish both the necessary size and the danger of a standing army. · The Greek and Roman institutions were more effectual than modern militias, which only include a small portion of the people. It is the duty of government to prevent the growth of cowardice, gross ignorance and stupidity. · High earning of labour are an advantage to the society. Poverty doesn’t prevent births, but is unfavourable to the rearing of children, and so restrains, while the liberal reward of labour encourages it as the wear and tear of the free man must be paid for just like that of the slave, though not so extravagantly. · High wages increase population. The progressive state is the best for the labouring poor. · High wages encourage industry. The opinion that cheap years encourage idleness is erroneous. Wages are high in cheap years, and low in dear years, so that masters commend dear years. · Writers who begin by including lands, houses and consumable goods in wealth often forget them later. Wealth being supposed to consist in gold and silver, political economy endeavored to diminish imports and encourage exports, by restraints upon importation and encouragements to exportation, which restraints and encouragements will be considered in the next 6 chapters. · High duties and prohibitions giving a monopoly to a particular home industry are very common. They encourage the particular industry, but neither increase general industry nor give it the best direction. The number of persons employed cannot exceed a certain proportion to the capital of the society, and every man’s interest leads him to seek that employment of capital which is most advantageous to the society. · (1) He tries to employ it as near home as possible. (2) He endeavors to produce the greatest possible value. He can judge of this much better than the statesman. · High duties and prohibitions direct people to employ capital in producing at home what they could buy cheaper from abroad. It is as foolish for a nation as for an individual to make what can be bought cheaper. Sometimes by such regulations a manufacture may be established earlier than it would otherwise have been but this would make capital accumulate sl ...

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6/8/20, 1:47 PMCulture Page 1 of 4https://edugen.wileyplus.com/edugen/courses/crs12056/ebook/c08/…OTc4MTExOTI0NDgzN2MwOF81XzAueGZvcm0.enc?course=crs12056&id=ref Print this page 8.4 Building Cultural Intelligence LEARNING OBJECTIVE Discuss how to adapt to different cultures. Managing cultural differences in the workplace is key to a company's survival, but it is also key to an individual's ability to contribute to society. To operate effectively in a global world requires the use of cultural intelligence, or the knowledge to function effectively across cultural contexts. Cultural intelligence is measured by a person's cultural intelligence quotient (CQ). A person with high CQ can differentiate features of a behavior that relate to culture, features that are universal, and features that are specific to an individual. For example, if you attended a meeting in Finland and your Finnish colleague didn't do a lot of talking but then summarized what you said, would that be a common cultural communication pattern found among Finns or is it unique to that individual? If it is not unique to the individual but is a behavior common in Finnish culture, then it can give you a clue about how you might want to structure your own conversations with other Finnish colleagues. Take, for example, a U.S. manager who was serving on a design team that included two German engineers. As other team members offered ideas, the two Germans shot the ideas down—even describing them as not applicable or too immature. After a fair amount of interaction with these engineers, the U.S. manager concluded that Germans, in general, were rude and aggressive people. Had she possessed a higher level of cultural intelligence, however, the U.S. manager might have realized that she was conflating the merit of ideas and the merit of the people offering them—two factors the Germans were able to make a sharp distinction between. Many managers would probably empathize with the team members whose ideas were being criticized and propose a new style of discussion for the team that would protect people's feelings while allowing for candor. However, without being able to distinguish how much of the engineers' behavior was culturally determined and how much was unique to them as individuals, the manager couldn't know how to influence their actions or how easy or difficult it might be to do so. Assessing Cultural Intelligence Cultural intelligence is rooted in research across many different countries and profoundly affects the way businesses work and the success of cross-border leadership. Three factors determine a person's level of CQ. It's not enough to be good at just one or two—all three are necessary to effectively and appropriately adjust behaviors in a foreign culture. These three factors, which we discuss next, are cognitive CQ, behavioral CQ, and motivational CQ. Cognitive CQ . Cognitive CQ is our level of understanding about how cultures are similar and different. Most corporate t.

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