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7/31/2019 The Cultural Environment Facing Business
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The Cultural Environment FacingBusiness
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Chapter Objectives
To understand methods for learning about
cultural environments
To analyze the major causes of cultural
difference and change
To discuss behavioral factors influencing
countries business practices
To understand cultural guidelines for
companies that operate internationally
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The People Factor
Culture refers to learned norms based on
the values, attitudes, and beliefs of a
group of people
Cultural diversity
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How Cultures Form and Change
Cultural values set early in life
Changes occur from:
Choice Imposition
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Language as a Cultural Stabilizer
When people from different areas speak the samelanguage, culture spreads more easily
Among nations that share a same language, commerceis easier
Isolation from other groups, especially because oflanguage, tends to stabilize cultures.
Some countries see language as being so important thatthey regulate the inclusion of foreign words and/ormandate the use of the countrys official language forbusiness purposes.
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Religion as a Cultural Stabilizer
Centuries of profound religious influence
continue to play a major role in shaping
cultural values
Many religions influence specific beliefs
that may affect business
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Issues in Social Stratification
Performance orientation of the society
Open vs. Closed society
Attitude towards gender
Attitude towards age
Importance of family group
Prestige of occupation
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Issues in Work Motivation
Materialism and Motivation
Expectation of Success and Reward
Assertiveness: The MasculinityFemininityIndex
Hierarchies of Needs
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Factors Affecting Information andTask Processing
Perception of cues
Obtaining Information: Low-Context versus
High-Context Cultures
Information Processing
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Factors Affecting Risk-takingBehavior
Uncertainty avoidance
Trust
Future orientation Fatalism
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Factors Affecting theCommunication Process
Spoken and Written language
Silent language:
color associations
conversational distance
perception of time and punctuality
body language and gestures
prestige
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Dealing with Cultural Differences
Accommodation
Cultural distance
Culture shock
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Factors Affecting Strategies forInstituting Cultural Change
Value systems
Cost/benefits of change
Resistance to too much change Participation
Reward sharing
Opinion leadership Timing
Learning abroad
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