sphere of pop culture in india
TRANSCRIPT
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CULTURE AND COMMUNICATIONASSIGNMENT
NACHIKET MUJUMDAR20130120120
MUDRA INSTITUTE OF COMMUNICATIONS, AHMEDABAD
MARCH 9, 2014
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PART A
Pick any two acquisitions and demonstrate if they have succeeded or failed. You can use
financial metrics, but the key is to show how intercultural communication played a role in
the acquisitions success or failure.
Prior to its acquisition by Tata Steel in 2006, one of the worlds most geographically diversified steel
producers, with operations in 26 countries and commercial offices in over 35 countries, Corus was
Europes second largest steel producer. Tata Steel and Corus merged in 2006. Apart from the financi al
and business considerations, what made this a successful merger was the focus on intercultural issues and
communication from both sides. The Tata Steel Group counts unity and understanding as two of its core
values, part of which consists of respect to colleagues and creating relationships with tolerance and
mutual cooperation at their core. The Managing Director ensured that he met with the stakeholders, i.e.Corus management as well as employee Union members and kept the discussion channels open. Since
the two groups would have extremely different cultural outlooks, it was essential to find the optimum way
to communicate. Corus on its part also undertook concerted efforts for the same. The management
enlisted a communications consultancy firm to hold a programme whose core aims were as follows:
To increase understanding of India, particularly Tata Steels locations
To raise awareness of Indian cultural values and working styles
To provide advice, tips and practical strategies on how best to develop working relationships with Indian
counterparts
Training was also provided to Indian counterparts working in the UK.
To understand the new bosses better, Corus felt it necessary to learn more about the context and
background to India, including religion, geography and politics; understanding of underlying attitudes,
values and behaviours; insights into working practices, structure, hierarchy and etiquette in Indian
organizations; an initial understanding of Tata Steel and its brand values etc. Tata Steel also had
experience with working with different cultures throughout its lifetime and always believed in
understanding the other culture and being open to learning from it, rather than applying its values and
vision in a generalized form. All these steps before the merger went a long way in ensuring a smooth
trasition for Corus as it came under Tata. In fact, financial metrics show that profits increased manifold
since then to 2012. Tata Steel moved from the 56th to the 5th position on the list of steel producers
globally and its capacity rose almost seven fold to 28 million tonnes per annum.
Another merger that we can analyse in the same light is the 2007 merger between Indian aluminium giant
HIndalco and Novelis, the worlds largest producer of rolled aluminium and the largest re-cycler of
aluminium cans which has 12,500 employees in 11 countries. When Hindalco made this bid in 2007 this
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became the largest Indian investment in North America and the second-largest overseas investment by an
Indian company (behind the above mentionedTata Steel Europe's purchase of Corus two weeks earlier)
to this time.
When it comes to intercultural issues, Hindalco applies a different approach. The management allows the
acquired company acquire to run its own policies from before takeover for two to three years before
implementing Hindalcos own internal policies including human resource management. The idea is to
give a cool-off time and allow a company like Novelis to understand Hindalcos internal policies before itis fully implemented and integrated.
This gives a good opportunity and a buffer period in which any intercultural issues can be resolved and
effective communication channels can be forged.
Hindalco gives due importance to potential cultural conflicts and understands that cultural integration was
a key issue and a time consuming process. It integrates these thoughts into its value system itself by
stating clearly that the multidisciplinary, multi-lingual, multi-cultural workforce should be anchored with
a sense of ownership at the end of the day and this holds for both the indigenous employees as well as the
acquired foreign employees.
Even this merger was successful in business terms. It established Hindalco as a global, integrated
aluminium producer and benefitted it in terms of downstream businesses, increased capacity and quick
access to new technologies. Hindalcos stock price rose considerably after falling when the bid was
announced.
Many mergers or acquisitions fail if potential intercultural issues are not given due attention. Even in this
globalised world, cultural differences abound, very pronounced even in case of work and ethics.
From the analyses above, we can conclude that cultural integration does play a role in deciding the
success or failure of a merger or acquisition. Although this link cannot be defined quantitatively, the very
fact that these companies spent considerable resources on holistic cultural integration speaks volumes
about its importance.
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PART B
Bennetts DMIS is the best model to describe an individuals progress in her/his
intercultural sensitivity. Argue for or against the claim, with specific examples.
The Developmental Model of Intercultural Sensitivity or DMIS is the model devised by Milton J Bennett
to provide a framework for studying how different people handle intercultural differences and what
impacts cross cultural communication between individuals or entities. Bennett derived a scale on which to
place individuals according to what stage of intercultural sensitivity they have attained. The scale ranges
between ethnocentrism, where the people experience their culture as central to reality, and
ethnorelativism, where people accept that their beliefs and cultures are just a part of a large set of viable
alternatives.
Why one would call it the best model for analyzing intercultural interactions is because the model clearlydefines six distinct stages so as to cover an extremely wide spectrum of variations in attitudes and
behaviours. It then allows one to classify the subjects accordingly and use the guidelines of the model to
bring in effect changes in the same.
Let us first detail the six stages through examples.
The first stage, Denial, is the inability to recognize or acknowledge cultural difference. On the surface, a
person might observe that he never experiences culture shock or he may maintain that as long as his
language is being used, he has no problem. Denial is of two types- isolation, where the individual doesnt
construct any other categories to notice or interpret cultural differences; and separation which involvesignoring differences and simply constructing another undifferentiated category apart from the own
culture. Thus another way a Denial worldview shows up is as an inability and disinterest in differentiating
national cultures. For example, a lot of Europeans simply club oriental people as Asians and south Asians
as Pakis.
The second stage, defense, involves acknowledgement of differences, which is a development from the
previous stage. However this stage usually involves a negative view of other cultures, while placing ones
own culture at the apex of cultural evolution. For example, many Indians feel that Western culture is an
attack on their own values. Thus Defense stage maybe expressed through establishing superiority of ones
own culture. Another aspect of defense is denigration of other cultures. This may be observed when an
Indian calls westerners a bad influence or a European refers to Italians as dirty. Thus negative
stereotyping is a prevalent in this stage. Reversal is another form of defense. This is when another culture
is seen as superior while maligning ones own. Why reversal falls under this category is due to
maintenance of strongly dualistic thinking. How it is a development from the previous stage is the fact
that the undifferentiated categories formed during denial are hardened without proper integration. The
person saying he has no problem as long as his language is being used would now say, it would be so
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much better if people from other cultures could talk just the way he does. If reversal is dominant, a person
might be embarrassed by his culture and wishes to instead become part of the culture he sees as superior.
The third stage, minimization, occurs when a person tries to avoid conflict or cognitive dissonance by
believing that differences among cultures can be overridden by the fact that all humans are inherently the
same. A person in this stage would try to play down differences. This stage shows movement from the
previous stage, in that it accepts the differences at some level, but instead of accepting it, he relegates it to
being a minor issue. Instead he focuses on commonalities like physiological similarity or beliefs such askilling being bad. Continuing our example of language, now the individual might say that even though the
mode and context might differ, the basic idea and need of communication is the same.
The fourth stage Acceptance, is when there is recognition and appreciation of cultural differences.
Individuals accept other cultures as viable alternatives for people to exist in. One form is behavioral
Relativism where the individual is able to analyze complex interaction in culture-contrasting terms.
Another is Value Relativism where the individual accepts that values, beliefs etc exist in cultural context
and hence may differ accordingly. As an example, the individuals in this stage may make statements
about more cultural differences being better for business as diverse people bring different perspectives to
succeed.
The fifth stage, Adaptation, is a further evolution towards ethnorelativism. Here the entity learns
communication skills to be able to interact more effectively. One of the aspects here is empathy, that is to
continuously shift perspective to adapt and act according to another culture in different situations.
Pluralism is the other, where different world views are completely internalized and individuals can
seamlessly shift frames of reference. Thus a person can hold his own values and opinions and also be able
to behave according to the culture he is interacting with. This may mean he would be able to show traits
like compassion, aggressiveness or humility depending on whether he is dealing with, say, Asians,
Americans or the Japanese.
The sixth stage, Integration, is defined as the internalization of bicultural or multicultural frames of
reference. Thus the individual is able to evaluate phenomenon through multiple frames of reference, an
ability known as contextual evaluation. Another aspect is constructive marginality in which one accepts
his identity as not belonging to one particular culture. A drawback of this is confusion and identity crisis.
I would like to concur with the statement that DMIS is the best model to explain intercultural sensitivity
on two premises. One, it helps understand an individuals level of sensitivity and hence suggests ways to
upgrade to another level through tasks which can mitigate the factors ruling that stage. Secondly, it helps
organizations to be more successful in their endeavours because if they employ such a model, they can atleast be assured of not hurting cultural sentiments or bringing ideas which through a culture clash set the
stage for business failure. To explain better, let us take the example of food chains. When multinational
food giants set up shop in new geographies, they tweak their menus accordingly to be accepted. Similarly
in case of mergers and acquisitions also, an organization needs to engage with people at advanced stages
in the model so that they can identify with entities in the new cultures and be able to communicate
effectively with them to mitigate their concerns and interpret similarities to build successful relationships.