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1、,The Meanings and Dimensions of Culture,chapter four,McGraw-Hill/Irwin,Copyright 2009 by The McGraw-Hill Companies, Inc. All Rights Reserved.,Chapter Objectives,DEFINE the term culture, and discuss some of the comparative ways of differentiating cultures. DESCRIBE the concept of cultural values, and
2、 relate some of the international differences, similarities, and changes occurring in terms of both work and managerial values. IDENTIFY the major dimensions of culture relevant to work settings, and discuss their effects on behavior in an international environment. DISCUSS the value of country clus
3、ter analysis and relational orientations in developing effective international management practices.,The Nature of Culture,Culture defined: Acquired knowledge that people use to interpret experience and generate social behavior. This knowledge forms values, creates attitudes, and influences behavior
4、.,Characteristics of Culture,Learned Shared Trans-generational Symbolic Patterned Adaptive,Priorities of Cultural Values,How Culture Affects Managerial Approaches,Centralized vs. Decentralized Decision Making: In some societies, top managers make all important organizational decisions. In others, th
5、ese decisions are diffused throughout the enterprise, and middle- and lower-level managers actively participate in, and make, key decisions.,How Culture Affects Managerial Approaches,Safety vs. Risk: In some societies, organizational decision makers are risk averse and have great difficulty with con
6、ditions of uncertainty. In others, risk taking is encouraged, and decision making under uncertainty is common.,How Culture Affects Managerial Approaches,Individual vs. Group Rewards: In some countries, personnel who do outstanding work are given individual rewards in the form of bonuses and commissi
7、ons. In others, cultural norms require group rewards, and individual rewards are frowned upon.,How Culture Affects Managerial Approaches,Informal Procedures vs. Formal Procedures: In some societies, much is accomplished through informal means. In others, formal procedures are set forth and followed
8、rigidly.,How Culture Affects Managerial Approaches,High Organizational Loyalty vs. Low Organizational Loyalty In some societies, people identify very strongly with their organization or employer. In others, people identify with their occupational group, such as engineer or mechanic.,How Culture Affe
9、cts Managerial Approaches,Cooperation vs. Competition Some societies encourage cooperation between their people. Others encourage competition between their people.,How Culture Affects Managerial Approaches,Short-term vs. Long-term Horizons Some culture focus most heavily on short-term horizons, such
10、 as short-range goals of profit and efficiency. Others are more interested in long-range goals, such as market share and technologic developments.,How Culture Affects Managerial Approaches,Stability vs. Innovation The culture of some countries encourages stability and resistance to change. The cultu
11、re of others puts high value on innovation and change.,A Model of Culture,Business Customs in South Africa,Arrange meeting before discussing business over phone. Make appointments as far in advance as possible. Maintain eye contact, shake hands, provide business card Maintain a win-win situation Kee
12、p presentations short,Values in Culture,Values Learned from culture in which individual is reared Differences in cultural values may result in varying management practices Basic convictions that people have about Right and wrong Good and bad Important and unimportant,Values in Culture,Values in Cult
13、ure,Hofstedes Cultural Dimensions,Power distance Uncertainty avoidance Individualism/collectivism Masculinity/femininity,Hofstedes Cultural Dimensions,Power distance: Less powerful members accept that power is distributed unequally High power distance countries: people blindly obey superiors; centra
14、lized, tall structures (e.g., Mexico, South Korea, India) Low power distance countries: flatter, decentralized structures, smaller ratio of supervisor to employee (e.g., Austria, Finland, Ireland),Hofstedes Cultural Dimensions,Uncertainty avoidance: people feel threatened by ambiguous situations; cr
15、eate beliefs/institutions to avoid such situations High uncertainty avoidance countries: high need for security, strong belief in experts and their knowledge; structure organizational activities, more written rules, less managerial risk taking (e.g., Germany, Japan, Spain) Low uncertainty avoidance
16、countries: people more willing to accept risks of the unknown, less structured organizational activities, fewer written rules, more managerial risk taking, higher employee turnover, more ambitious employees (e.g., Denmark and Great Britain),Hofstedes Cultural Dimensions,Individualism: People look af
17、ter selves and immediate family only High individualism countries: wealthier, protestant work ethic, greater individual initiative, promotions based on market value (e.g., U.S., Canada, Sweden) High collectivism countries: poorer, less support of Protestant work ethic, less individual initiative, pr
18、omotions based on seniority (e.g., Indonesia, Pakistan),Hofstedes Cultural Dimensions,Masculinity: dominant social values are success, money, and things High masculine countries: stress earnings, recognition, advancement, challenge, wealth; high job stress (e.g., Germanic countries) High feminine co
19、untries: emphasize caring for others and quality of life; cooperation, friendly atmosphere., employment security, group decision making; low job stress (e.g., Norway),Trompenaars Cultural Dimensions,Universalism vs. Particularism Universalism: ideas/practices can be applied everywhere High universal
20、ism countries: formal rules, close adhere to business contracts (e.g., Canada, U.S., Netherlands, Hong Kong) Particularism: circumstances dictate how ideas/practices apply; high particularism countries often modify contracts (e.g., China, South Korea),Trompenaars Cultural Dimensions,Individualism vs
21、. Communitarianism Individualism: people as individuals Countries with high individualism: stress personal and individual matters; assume great personal responsibility (e.g., Canada, Thailand, U.S., Japan) Communitarianism: people regard selves as part of group Value group-related issues; committee
22、decisions; joint responsibility (e.g., Malaysia, Korea),Trompenaars Cultural Dimensions,Neutral vs. Emotional Neutral: culture in which emotions not shown High neutral countries, people act stoically and maintain composure (e.g., Japan and U.K.) Emotional: Emotions are expressed openly and naturally
23、 High emotion cultures: people smile a lot, talk loudly, greet each other with enthusiasm (e.g., Mexico, Netherlands, Switzerland),Trompenaars Cultural Dimensions,Specific vs. Diffuse Specific: large public space shared with others and small private space guarded closely High specific cultures: peop
24、le open, extroverted; strong separation work and personal life (e.g., Austria, U.K., U.S.) Diffuse: public and private spaces similar size, public space guarded because shared with private space; people indirect and introverted, work/private life closely linked (e.g., Venezuela, China, Spain),Trompe
25、naars Cultural Dimensions,Achievement vs. Ascription Achievement culture: status based on how well perform functions (Austria, Switzerland, U.S.) Ascription culture: status based on who or what person is (e.g., Venezuela, China, Indonesia),Trompenaars Cultural Dimensions,Time Sequential: only one ac
26、tivity at a time; appointments kept strictly, follow plans as laid out (U.S.) Synchronous: multi-task, appointments are approximate, schedules subordinate to relationships (e.g., France, Mexico) Present vs. Future: Future more important (Italy, U.S., Germany) Present more important (Venezuela, Indon
27、esia All 3 time periods equally important (France, Belgium,Trompenaars Cultural Dimensions,The Environment Inner-directed: people believe in control of outcomes (U.S., Switzerland, Greece, Japan) Outer-directed: people believe in letting things take own course (China, many other Asian countries),Int
28、egrating Culture and Management: The GLOBE Project,GLOBE: Global Leadership and Organizational Behavior Effectiveness. Project extends and integrates previous analyses of cultural attributes and variables. Evaluates nine different cultural attributes using middle managers from 951 organizations in 6
29、2 countries. Multi-cultural team of 170 scholars from around the world worked together to survey 17,000 managers in 3 industries: financial services, food processing, and telecommunications. Covered every major geographic region of the world.,The GLOBE Project,The 9 Dimensions of the GLOBE Project:
30、Uncertainty avoidance Power distance Collectivism I: Social collectivism Collectivism II: In-group collectivism Gender egalitarianism Assertiveness Future orientation Performance orientation Humane orientation,GLOBE Results,Corresponds generally with those of Hofstede and Trompenaars. Different from
31、 Hofstede in that many more researchers with varied perspectives were involved (vs. Hofstede workng alone); studied many companies vs. Hofstedes IBM. GLOBE provides a current comprehensive overview of general stereotypes that can be further analyzed for greater insight.,GLOBE Project,GLOBE Analysis,
32、Managing Across Cultures,chapter five,McGraw-Hill/Irwin,Copyright 2009 by The McGraw-Hill Companies, Inc. All Rights Reserved.,Chapter Objectives,The specific objectives of this chapter are: EXAMINE the strategic dispositions that characterize responses to different cultures. DISCUSS cross-cultural
33、differences and similarities. REVIEW cultural differences in select countries and regions, and note some of the important strategic guidelines for doing business in each.,Strategic Predispositions,Four distinct predispositions toward doing things in a particular way: Ethnocentric Polycentric Regio-c
34、entric Geocentric,Strategic Predispositions,Ethnocentric predisposition A nationalistic philosophy of management whereby the values and interests of the parent company guide strategic decisions.,Strategic Predispositions,Polycentric predisposition A philosophy of management whereby strategic decisio
35、ns are tailored to suit the cultures of the countries where the MNC operates.,Strategic Predispositions,Regio-centric predisposition A philosophy of management whereby the firm tries to blend its own interests with those of its subsidiaries on a regional basis.,Strategic Predispositions,Geocentric p
36、redisposition A philosophy of management whereby the company tries to integrate a global systems approach to decision making.,Orientation of an MNC,Cross-Cultural Differences and Similarities,Parochialism and Simplification Parochialism: view world through own eyes and perspectives Simplification: e
37、xhibit same orientation toward different cultural groups,Cross-Cultural Differences and Similarities,Similarities across cultures: Not possible to do business same way in every global location Procedures and strategies that work well at home cant be adopted overseas without modifications Some simila
38、rities have been found Russia and U.S. (for example) Traditional management Communication Human resources Networking activities OB Mod,Cross-Cultural Differences and Similarities,Differences across cultures Far more differences than similarities found in cross-cultural research Wages, compensation,
39、pay equity, maternity leave Importance of criteria used in evaluation of employees,Cultural Clusters,International Human Resource Management,Cultural Differences in Selected Countries and Regions,Doing Business in China The Chinese place values and principles above money and expediency. Business mee
40、tings typically start with pleasantries such as tea and general conversation about the guests trip to the country, local accommodations, and family. The Chinese host will give the appropriate indication for when a meeting is to begin and when the meeting is over. Once the Chinese decide who and what
41、 is best, they tend to stick with these decisions. Although slow in formulating a plan of action, once they get started, they make fairly good progress.,Cultural Differences in Selected Countries and Regions: China,In negotiations, reciprocity is important. If the Chinese give concessions, they expe
42、ct some in return. Because negotiating can involve a loss of face, it is common to find Chinese carrying out the whole process through intermediaries. During negotiations, it is important not to show excessive emotion of any kind. Anger or frustration is viewed as antisocial and unseemly. Negotiatio
43、ns should be viewed with a long-term perspective. Those who will do best are the ones who realize they are investing in a long-term relationship.,Cultural Differences in Selected Countries and Regions,Doing Business in Russia Build personal relationships with partners. When there are contract disput
44、es, there is little protection for the aggrieved party because of the time and effort needed to legally enforce the agreement. Use local consultants. Because the rules of business have changed so much in recent years, it pays to have a local Russian consultant working with the company. Ethical behav
45、ior in the United States is not always the same as in Russia. For example, it is traditional in Russia to give gifts to those with whom one wants to transact business. Be patient. In order to get something done in Russia, it often takes months of waiting.,Cultural Differences in Selected Countries a
46、nd Regions: Russia,Russians like exclusive arrangements and often negotiate with just one firm at a time. Russians like to do business face-to-face. So when they receive letters or faxes, they often put them on their desk but do not respond to them. Keep financial information personal. Russians wait
47、 until they know their partner well enough to feel comfortable before sharing financial data. Research the company. In dealing effectively with Russian partners, it is helpful to get information about this company, its management hierarchy, and how it typically does business.,Cultural Differences in
48、 Selected Countries and Regions: Russia,Stress mutual gain. The Western idea of “winwin” in negotiations also works well in Russia. Clarify terminology. The language of business is just getting transplanted in Russia so double-check and make sure that the other party clearly understands the proposal
49、, knows what is expected and when, and is agreeable to the deal. Be careful about compromising or settling things too quickly because this is often seen as a sign of weakness. Russians view contracts as binding only if they continue to be mutually beneficial, so continually show them the benefits associated with sticking to the deal.,Cultural Differences in Selected Countries and Regions,Doing business in India It is important to be on time for meetings. Personal questions should not be asked unless the other individual is a friend or close ass