Transcript What is Culture?

2
Cross-Cultural
Business
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Chapter Objectives
• Describe culture and explain the significance of both national
culture and subcultures
• Identify the components of culture and describe their impact
on international business
• Describe cultural change and explain how companies and
culture affect each other
• Explain how the physical environment and technology
influence culture
• Describe two frameworks used to classify cultures and explain
their practical use
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Haribo
• Problem: Not serving $2 billion subculture
• Culprit: Pork-based gelatin in the candies
• Solution: New bacteria-based compound
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What is Culture?
Set of values, beliefs, rules, and institutions held by
a specific group of people
Ethnocentricity
Cultural literacy
Belief that one’s own
ethnic group or culture
is superior to that of
others
Detailed knowledge of a
culture that enables a
person to function
happily and effectively
within it
X
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Culture Matters:
Creating a Global Mindset
Cultural
Adaptability
Bridging
the Gap
Building
Global Mentality
Flexibility
Is Key
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National Culture
Nation states build museums and monuments to
preserve the legacies of important events and people
Filmmaking
and
Broadcasting
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Guggenheim
and
Hong Kong Disney
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Subculture
People who share a unique way of life within a larger
culture (language, race, lifestyle, attitudes, etc.)
EXAMPLES
Goth, Punk, Emo
China’s Dialects
Groups in U.S.
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Discussion Question
Why should
business people
try to avoid
ethnocentricity
and develop
cultural literacy?
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Answer to Discussion Question
Ethnocentricity distorts our
view of other cultures and
causes us to overlook
important human and
environmental differences
among cultures.
Cultural literacy improves the
ability of managers to manage
employees, develop and
market products, and conduct
negotiations in local markets.
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Components of Culture
Physical
environments
Education
Aesthetics
Culture
Personal
communication
Values &
attitudes
Manners &
customs
Social structure
Religion
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Aesthetics
Music
Painting
Dance
Drama
Architecture
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Values and Attitudes
Values
Ideas, beliefs, and
customs to which people
are emotionally attached
• Freedom
• Responsibility
• Honesty
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Attitudes
Positive or negative
evaluations, feelings, and
tendencies people hold
toward objects or concepts
• Time
• Work
• Cultural change
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Cultural Diffusion
Spread of cultural traits across cultures
causes much cultural change
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Manners and Customs
Manners
Customs
Appropriate behavior,
speech, and dressing
in general
Traditional ways or
behavior in specific
circumstances
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Customs
Folk
Popular
Gift Giving
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Discussion Question
Customs differ from
_______ in that they
define appropriate ways
or behaviors in specific
situations.
a. Values
b. Attitudes
c. Manners
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Answer to Discussion Question
Customs differ from
_______ in that they
define appropriate ways
or behaviors in specific
situations.
a. Values
b. Attitudes
c. Manners
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Manager’s Briefcase:
A Globetrotter’s Guide to Meetings
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
Familiarity

Personal Space

Religious Values

Business Cards

Comedy

Body Language
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Social Structure
Social group
Two or more people who identify and
interact with each other
Social stratification
Process of ranking people into social layers
Social mobility
Ease of moving up or down a culture's
"social ladder"
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World Religions
Christianity
Islam
Hinduism
Buddhism
Origin of
Human Values
Confucianism
Judaism
Shinto
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Modernization and
Traditional Beliefs
Does globalization endanger traditional
beliefs, such as living a life void of
materialistic ambitions?
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Language Blunders
 Japanese knife manufacturer labeled its exports to the United States
with “Caution: Blade extremely sharp! Keep out of children.”
 English sign in a Moscow hotel read, “You are welcome to visit the
cemetery where famous Russians are buried daily, except Thursday.”
 Sign for non-Japanese-speaking guests in a Tokyo hotel read, “You
are respectfully requested to take advantage of the chambermaids.”
 Sign in English at Copenhagen ticket office read, “We take your bags
and send them in all directions.”
 Braniff Airlines’ English-language slogan “Fly in Leather” was
translated into “Fly Naked” in Spanish.
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Global Sustainability:
Speaking in Fewer Tongues
• Many endangered languages
• Yet English, Mandarin, and
Spanish are expanding
• Lost languages means lost
knowledge
• Linguists are recording most
threatened languages
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Lingua Franca
¿Hola?
Guten Tag?
Ni Hao?
Bonjour?
Hello??
Hello!!!
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Mixed Signals
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Discussion Question
How does an
understanding of the
spoken, written, and
body language in a
market abroad
contribute to
business success?
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Answer to Discussion Question
Knowledge of a culture’s
spoken, written, and
body language gives
international managers
insight into why people
think and act the way
they do.
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Education
Cultures pass on traditions, customs, and values
through schooling, parenting, group memberships, etc.
Education level
Well-educated attract high-paying jobs, while poorly educated
attract low-paying manufacturing jobs
Brain drain
Departure of highly educated people from one profession,
geographic region or nation to another
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Problem of Illiteracy
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Physical and Material Culture
These influence a culture’s development and pace of change
Topography
Physical features characterizing the surface of a geographic region
Climate
Weather conditions of a geographic region
Material Culture
Technology used to manufacture goods and provide services
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Kluckhohn-Strodtbeck Framework
Relation to nature
Material or spiritual
Time orientation
Responsibility to others
Trust and control
View of personal space
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Hofstede Framework
Individualism
vs. collectivism
Power
distance
Uncertainty
avoidance
Masculinity
vs. femininity
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Long-term
orientation
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Power Distance &
Individualism vs. Collectivism
Source: Geert Hofstede, “The Cultural Relativity of Organizational Practices and Theories,” Journal of International Business Studies, Fall 1983, p. 82.
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Power Distance &
Uncertainty Avoidance
Source: Geert Hofstede, “The Cultural Relativity of Organizational Practices and Theories,” Journal of International Business Studies, Fall 1983, p. 84.
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Discussion Question
Cultures with small
____________ tend to
display greater equality
and a more equal
distribution of rewards.
a. Individualism
b. Power distance
c. Uncertainty avoidance
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Answer to Discussion Question
Cultures with small
____________ tend to
display greater equality
and a more equal
distribution of rewards.
a. Individualism
b. Power distance
c. Uncertainty avoidance
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