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© 2002 Thomson Learning, Inc.
CHAPTER 2CHAPTER 2
CULTURE AND INTERNATIONAL CULTURE AND INTERNATIONAL BUSINESS BUSINESS
Text by Profs. M. Czinkota, I. Ronkainen, Text by Profs. M. Czinkota, I. Ronkainen, and M. Moffettand M. MoffettMultimedia Presentation byMultimedia Presentation byProf. Milton PressleyProf. Milton PressleyThe University of New OrleansThe University of New Orleans
[email protected]@uno.edu
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• To define and demonstrate the effect of culture’s To define and demonstrate the effect of culture’s various dimensions on international businessvarious dimensions on international business
• To examine ways in which cultural knowledge To examine ways in which cultural knowledge can be acquired and individuals and can be acquired and individuals and organizations prepared for cross-cultural organizations prepared for cross-cultural interactioninteraction
• To illustrate ways in which cultural risk poses a To illustrate ways in which cultural risk poses a challenge to the effective conduct of business challenge to the effective conduct of business communications and transactionscommunications and transactions
• To suggest ways in which international To suggest ways in which international businesses act as change agents in the diverse businesses act as change agents in the diverse cultural environments in which they operatecultural environments in which they operate
LEARNING OBJECTIVESLEARNING OBJECTIVESLEARNING OBJECTIVESLEARNING OBJECTIVES
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U.S. and Them: Perceptions U.S. and Them: Perceptions of American Managersof American ManagersU.S. and Them: Perceptions U.S. and Them: Perceptions of American Managersof American Managers• Different cultures share basic
concepts . . . But view them from different angles and perspectives• They thus behave in ways that may
seem irrational or even inappropriate
• Cultural Risk
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Culture DefinedCulture DefinedCulture DefinedCulture Defined• AcculturationAcculturation• High-Context CulturesHigh-Context Cultures• Low-Context CulturesLow-Context Cultures• Change AgentChange Agent
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The Elements of CultureThe Elements of CultureThe Elements of CultureThe Elements of Culture• Cultural UniversalsCultural Universals
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© 2002 Thomson Learning, Inc.
© 2002 Thomson Learning, Inc.
The Elements of CultureThe Elements of CultureThe Elements of CultureThe Elements of Culture• LanguageLanguage
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Figure 2.1a – Example of Ads That Transferred PoorlyFigure 2.1a – Example of Ads That Transferred PoorlyFigure 2.1a – Example of Ads That Transferred PoorlyFigure 2.1a – Example of Ads That Transferred Poorly
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The Elements of CultureThe Elements of CultureThe Elements of CultureThe Elements of Culture• BacktranslationBacktranslation
• Nonverbal LanguageNonverbal Language• ReligionReligion
• ChristianityChristianity• IslamIslam• HinduismHinduism• BuddhismBuddhism• ConfucianismConfucianism
• Values and AttitudesValues and Attitudes
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© 2002 Thomson Learning, Inc.
The Elements of CultureThe Elements of CultureThe Elements of CultureThe Elements of Culture• Manners and CustomsManners and Customs
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© 2002 Thomson Learning, Inc.
The Elements of CultureThe Elements of CultureThe Elements of CultureThe Elements of Culture• Focus GroupsFocus Groups
• Material ElementsMaterial Elements• Economic InfrastructureEconomic Infrastructure• Social InfrastructureSocial Infrastructure• Financial Infrastructure Financial Infrastructure • Marketing InfrastructureMarketing Infrastructure• Cultural ConvergenceCultural Convergence
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The Elements of CultureThe Elements of CultureThe Elements of CultureThe Elements of Culture• AestheticsAesthetics• EducationEducation• Social InstitutionsSocial Institutions
• Social StratificationSocial Stratification• Reference GroupsReference Groups
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Sources of Cultural KnowledgeSources of Cultural KnowledgeSources of Cultural KnowledgeSources of Cultural Knowledge• Experiential KnowledgeExperiential Knowledge
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© 2002 Thomson Learning, Inc.
© 2002 Thomson Learning, Inc.
© 2002 Thomson Learning, Inc.
Sources of Cultural KnowledgeSources of Cultural KnowledgeSources of Cultural KnowledgeSources of Cultural Knowledge• Interpretive KnowledgeInterpretive Knowledge
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Cultural AnalysisCultural AnalysisCultural AnalysisCultural Analysis• Checklists and Models Checklists and Models
Showing Pertinent Variables Showing Pertinent Variables and Their Interactionand Their Interaction
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Figure 2.2 A Model of Cross-Cultural BehaviorFigure 2.2 A Model of Cross-Cultural Behavior
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Figure 2.3 Culture Dimension Scores for Twelve Countries (0 = low; 100 = high)
Figure 2.3 Culture Dimension Scores for Twelve Countries (0 = low; 100 = high)
© 2002 Thomson Learning, Inc.
© 2002 Thomson Learning, Inc.
Cultural AnalysisCultural AnalysisCultural AnalysisCultural Analysis• Self-Reference CriterionSelf-Reference Criterion• EthnocentrismEthnocentrism
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The Training ChallengeThe Training ChallengeThe Training ChallengeThe Training Challenge• Objective of formal training Objective of formal training
programs is to foster four programs is to foster four critical characteristics:critical characteristics:• PreparednessPreparedness• SensitivitySensitivity• PatiencePatience• FlexibilityFlexibility
• Summary of the programs is Summary of the programs is provided on the next slideprovided on the next slide
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Figure 2.4 Cross – Cultural Training MethodsFigure 2.4 Cross – Cultural Training Methods
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The Training ChallengeThe Training ChallengeThe Training ChallengeThe Training Challenge• Area StudiesArea Studies• Cultural AssimilatorCultural Assimilator• Sensitivity TrainingSensitivity Training• Field ExperienceField Experience
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