Presented by:Narendra kirar

Meaning The word ethnocentrism derives from the Greek

word "ethnos", meaning “nation” or “people,” and the English word center or centrism. A common phrase set for ethnocentrism is “tunnel vision.” In this context, ethnocentrism is the view that a particular ethnic group’s system of beliefs and values is morally superior to all others

The term was coined by American Yale professor, William Graham Sumner

Sumner defined ethnocentrism as:

What is Ethnocentrism?

"[The] view of things in which one´s group is the center of everything, and others are scaled and rated with reference to it. Each group nourishes its own pride and vanity, boasts itself superior, exalts its own divinities and looks with contempt on outsiders."

Ethnocentrism is a very “Anything you can do, we can do it better” point of view concerning ethnicity.

An individual with an ethnocentric view:○ Identifies strongly with in-group ethnicity, culture, etc.○ Feels proud, vain, superior about in-group○ Views economic, political, social events from the point of

their in-group○ Defines their culture elements as ‘correct’ & ‘natural’○ Thinks in-group norms are universal

○ Rejects out-group ethnicities, cultures, etc.○ Feels like other ethnicities & cultures are inferior○ Xenophobia: a fear or hatred of persons of a different

race, or different ethnic or national origin○ Defines other culture’s elements as ‘incorrect’ &

‘unnatural’

Characteristics of Ethnocentrism

American Exceptionalism: perception that US differs from other developed nations because of its unique origins, national credo, historical evolution, & distinctive political & religious institutions; belief that US is hope for humanity; moral superiority

Eurocentrism: emphasis on European culture & western world at the expense of other cultures; other cultures are inferior or even denied their existence as truly human

Types of Ethnocentrism

Ethnocentrism occurs frequently here at homeExamples: Capitalism vs. Communism: for years, the US

has fought to end communism because they believe capitalism trumps all

Driving: Ethnocentric Americans say that driving on the left side of the road is the ‘wrong side’ & that the right side is the ‘correct side’

American Ethnocentrism

More examples..

Legal Age of Alcohol Consumption: the US has a higher drinking age of most other countries & does not emulate other countries by lowering the legal age because they think it is the best age for a person to be able to start consuming alcohol

American Ethnocentrism

Introduction Founder : Sam Walton Origin: U.S. When started : 1962 Business Title: World's Biggest Retailer Slogan: “Always Low Price Always” “Save Money, Live Better”

Wal-Mart An Overview

In 1945 Sam Walton opened the first franchise in U.S. by the name Walton.

These were small chains that were very successful. In November of 1962 Wal-Mart was opened. Wasn’t until mid 1970’s that Wal-Mart began to grow. 1972 –listed on NYSE 2003 Wal-Mart topped Fortune 500 and voted most

admired company in U.S.

MARGIN

Fear of Wal-MartNO,NO

WAL –Mart is not invincibleLast year it has to fled from Germany and South Korea

In Germany it lost $863 million (rs.4056 cr.)and sold all its 85 stores to Metro.

In South korea –

Had to sell all 16 stores.

MARGIN

India is not America….

India is one country, but a hundred different markets.

28 States, 7 Union Territories, 14 different official languages, hundreds of dialects, multiple ethnicities, cultures and habits….

Geographical challenges :

India has 3 times more people then America

Population density 11 times that of America.

How wallmart is an ethnocentric company

Organizations that portray ethnocentrism usually identify themselves with the nationality of the owner. For example, Wal-Mart is seen as an American company because its headquarters are located in America. The crucial critical concept of ethnocentrism in international organizations is the current policy that recruits from the home country are hired, and trained for key executive position in the organization. The ethnocentric attitude is a centralized approach. With the centralized approach, the training originates at the headquarters and than corporate trainers travel to the subsidiaries, and often adapt to local situations.

How ethnocentrism affected wallmart entering in foreign markets

Wal-Mart made many mistakes when they expanded into Germany. Their primary mistake was falling into an ethnocentric view and assuming their formula for success would automatically succeed in all other nations. By not properly researching the German culture Wal-Mart failed to realize that selling in bulk and at a low price was not what the German people were used to. Also Wal-Mart failed to give the German managers the courtesy of speaking to them in German while in Germany. Lastly Wal-Mart was not prepared to deal with the German government and the price restraints that they placed on certain goods. When looking at the results of Wal-Mart's expansion into Germany the term disastrous comes to mind and it will be interesting to see how Wal-Mart proceeds into other countries in the future.