the role of culture in international management.ppt

8/10/2019 The Role of Culture in International Management.ppt

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The Role of Culture in

International Management

HA 390 Module 2


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Culture

Helps us organize our world

Shared values, understandings, assumptions

and goals (values, beliefs, norms)

Learned from earlier generation

Imposed by present members of society


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Principles for Studying Other Cultures

Individuals may not conform

Differences may not be culturally based

Understand your own culture first

Continuums

Few fall at the extremes, most are somewhere

in the middle


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Stereotyping/ Sociotyping

Mental files

Natural

Useful

Can be misused


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Ethnocentrism

Belief that one's cultural values,

beliefs and norms are better than

those of another culture are


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Principles Summary

4 Principles for studying culturesIndividuals may not conform

Differences may not be culturally based

Understand self firstContinuums

Stereotyping

Natural, potentially useful or harmfulmental files

Ethnocentrism

Belief that ones own culture is best


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Team Work

Find several examples that demonstratehow culture affects managementfunctions such as planning, organizing,directing and controlling

Find examples of how culture affectsmanagement style

Find several examples of how businesspractices differ across cultures

Prepare to present findings to class


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Country Profile


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Cultural Characteristics

Understand the ways culture can

differ

Understand ourselves

Understand others

Value different points of view

Develop shared values, beliefs and

norms


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What do you think?

Are subordinates the same kind of people asmanagement?

Should the boss know all the answers?

Is it ok for the boss to have privileges such asdrinking coffee on the job that the front lineworkers do not have?

Is it ok to call the boss by his/her first name?

Which type of boss do you think is best - one thatis autocratic, persuasive or paternalistic, or

democratic?


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Power Distance

High Power Distance

Order of inequality

Special privileges Subordinates are

different from

superiors

Boss should know all

Low Power Distance

Minimize inequalities

Equal rights Subordinates and

superiors are equals

Ok for boss to asksubordinates for

answers


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Power Distance Comparisons

81

61

54

49

40 3835

28

0

10

20

30

40

50

60

70

80

90

Mexico

Taiwan

Japan

SouthAfrica

USA

Netherlands

G

reatBritan

Ireland

High LowAverage = 51


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High Power Distance Employee

Expectations

Wrong to disagree with the boss

Paternalistic (father-like)management style

Boss should know all the answers

Boss should have more privileges


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What do you think?

Do you think it is ok for employees to disagree and even arguewith their boss?

Do you think time has a monetary value or it is something that justexists?

Do you prefer a boss who lays out the rules clearly andspecifically to you in written format or do you prefer one that onlysets out basic rules and assumes you will perform appropriately?Why?

If you needed a marketing plan, would you hire a hospitalitymarketing specialist, a general marketing specialist or would you

do it yourself? How do you react when your boss tells you s/he is going to make

changes in the way things are done?


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Uncertainty Avoidance

High

Avoid risks

Dissonance is

dangerous

Time is money

Need written rules

and regulations Believe in experts

Low

Willing to take risks

Accept disagreements

Time is free

Prefer common sense

to rules

Logic and common

sense better than expertopinions


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112

92

82

69

5349 46

3529

0

20

40

60

80

100

120

Greece

Japan

Mex

ico

Ta

iwan

Net

her

lan

ds

Sou

thAfrica

USA

Grea

tBri

tain

Hong

Kong

Uncertainty AvoidanceAverage=64

High avoidance of risk Willing to take risks


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Individualism Collectivism

Responsible for selfand immediate family

Identity based on theindividual

Autonomy, variety,pleasure andindividual financialsecurity

Individual decisions

Extended families,loyalty, protection

Identity in the

social system Expertise, order,

duty, securityprovided by the in-

group

Group decisions


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Individualistic CollectiveAverage =51

89

80

46

30

25

17

91

0

10

20

30

40

50

60

70

80

90

100

USA

GreatBritain

Netherlands

Japan

Mexico

HongKong

Taiwan


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Collective

Individualistic


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Affect of High Uncertainty

Avoidance on Employees Career stability

Rules, regulations, direction

Consistency

Avoid conflict/disagreement

Resist change

Fear of failure May appear less ambitious

Stable employees


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1. Do you live to work or work to live?

2. What are your feelings about who should do what at

home? How do you view the responsible of each

spouse for taking care of the children?

3. Do you feel a sense of responsibility to help when yousee a homeless person begging? What is your

philosophy on giving to the poor?

4. Would you take your family out of a home and

community they love where they are surrounded by

friends and family for a new position that offers you aconsiderably higher salary?

5. How would you rank yourself on the

masculine/feminine continuum?

6. How do your feelings contrast with others you know?

What do you think?


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Masculine/Feminine

Masculine

Material success

Ambition,assertive

Competitive

Live to work

Women arenurturers

Achievement

Feminine

Quality of life

Relationships Concern for weak

Work to live

Men & Women

nurture Disapprove of high

achievers


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95

6966

63 6257

45

14

5

0

10

20

30

40

50

60

70

80

90

100

Japan

Mexico

GreatBritain

SouthAfrica

USA

HongKong

Taiwan

Netherlands

Sweden

Masculine FeminineAverage = 51


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Particularistic Universalistic Focus more on

relationships than rules

Legal contracts easily

modified

Changing mutualities

honored

Reality is relative to

participant Relationships evolve

Focus on rules rather

than relationships

Legal contracts should

be honored

Word and legal

contracts honored

One reality, one truth

A deal is a deal


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Percent who prefer universalistic

system

93

90

88

68

64

37

USA

UKNetherl

ands

Japa

nMexicoSouthKorea


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Team Discussion

How would the expectations of

employees from a particularistic

culture differ from those of auniversalistic culture?

Which system do you prefer? Why?

What is the value of each of thesesystems?


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What do you think?

1. Do you think Americans respected John Kennedy,

Jr. because of what he accomplished or because of

his family?

2. Do you think many people voted for our current

president because of his father?

3. Would you have the same level of respect as a

hospitality manager as a relative of Bill Marriottor Roy Crock would?

4. What difference do you think the school you

attended make in your career after you have been

working in the field at least five years?


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Achievement Ascription

Respected for what

you do

Respect of superior

based on performance

Limited use of titles

Senior managers vary

in age and gender,

qualified byachievements

Respected for whoyou are

Respect for

superior seen ascommitment to theorganization

Extensive use oftitles

Senior managersare male, middle-aged, qualified by

background (whothey are)

R t d d f il b k d


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Ascription Achievement

58

79

81

81

87

89

Hong Kong

Japan

China

Mexico

USA

UK

Respect depends on family background

Percent who disagree


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What do you think?

1. Do you believe you can control your lifeor do you believe you have to accept theways things are?

2. Is your life pre-destined?

3. Do you have a fate over which you havelittle or no control?

4. How do other people you know differ intheir believes about controlling fate ordestiny?


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Locus of Control

Internal

Belief in ones abilityto control fate

Respect for conflictand resistance

Focus on self rather

than others Discomfort with lack

of control

External

Belief that somethingoutside oneself is incontrol

Harmony andresponsiveness

Focus on other Comfortable with

changes


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Control Fate:Percent who believe

they are captains of their fate

Venezuela

Japan

Hong Kong

S Korea Netherlands UKUSA

0%

10%20%

30%

40%

50%

60%

70%

80%

90%


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Neutral/Affective

Neutral

Hide feelings

Tension accidentallyrevealed

Admire poise

Avoid hugs, broad

smiles and broadgestures

Monotone

Affective

Openly revealemotions

Expressive

Animated expressions

Touching, and broad

gestures admired Expression and

emotion


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Diffuse (High context)

/Specific (low context)Diffuse (high context)

Indirect

Evasive, tactful,

ambiguous Context more important

than words

Highly situational

morality Prefer neutral

expressiveness

Report conclusions at end

Specific (low context)

Direct, to the point

Precise, blu8nt

Words more importantthan context

Consistent moralstands regardless of

circumstances Prefer animated

expression

Report conclusionsand important pointsfirst


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Cultural Dimensions Summary

Achievement/Ascriptionrespect for what

you do or respect for who you are

Locus of ControlI am in control of mydestiny versus outside forces are in control

Neutral/Affectivehide versus display

emotions

Diffuse/Specific (high/low context)indirect

versus direct communication

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