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Santos, Joseph Nicole Z.

BMG 223 – 1T
TTH 3-4:30pm

Date required: August 27, 2015
Date submitted: September 01, 2015
Assignment #1 - Finals

DIFFERENTIATE CULTURES ACROSS COUNTRIES
Increasingly, managers must deal with multiple ethnic groups with very different cultures.
Thanks to globalization, you are likely to work with Japanese, French, Chinese, German and all
sorts of other nationalities. It is important to recognize that people from different cultures have
are different in a variety of ways, including

different ways of looking at things

different ways of dressing

different ways of expressing personality/goodness

These differences can cause problems interpreting what the other person is doing. Some simple
examples:

In the US, a firm, short handshake indicates self-confidence and (heterosexual)
masculinity. A limp handshake by a man can be interpreted (usually wrongly) as a sign of
homosexuality or wimpiness. But in most parts of Africa, a limp handshake is the correct
way to do it. Furthermore, it is common in Africa for the handshake to last several
minutes, while in the US a handshake that is even a few seconds too long is interpreted as
familiarity, warmth and possibly sexual attraction.

In Britain, men do not look at women on the streets. The French do. Recently, a French
public figure mentioned in a speech that the Brits are all gay -- the evidence was their
lack of overt interest in women.

IMPLICATIONS TO INTERNATIONAL TRADE
Interactions between types can be problematic. German businessman cannot understand why the
person he is meeting is so interruptible by phone calls and people stopping by. Is it meant to
insult him? When do they get down to business?

Similarly, the American employee of a German company is disturbed by all the closed
doors -- it seems cold and unfriendly.

Future vs Present vs Past Orientation

They prefer short-term benefits. doing and controlling (as opposed to going with the flow. Well defined and enforced systems regarding property rights are essential. "International law" can be defined as rules and principles that states and nations consider binding upon themselves. The international business is also subject to political decrees made by governments both in "home" and "host" countries. rules of contract. Licensing also facilitates marketing agencies and producers by reducing transaction costs. This occurs when the criteria for licensing revolves around asset holdings. which is made up of a set of political. are examples of future-oriented societies. Japan and most spanish-speaking Latin American countries. Articulated ownership and rights to use. financial solvency and so on. allocating and enforcing property rights. The United States and. social and legal ground rules. IMPLICATIONS TO POLITICAL-LEGAL ENVIRONMENT PROCUREMENT. Pastoriented societies include China. and rules and conventions defining allowable and non-allowable forms of cooperation and competition (standards. fair trading etc). exchange and distribution and give rise to certain expectations and assurances about the actions of others. These measures may take the refusal to grant an export licence. letting things happen). They think they understand it and can shape it through their actions. They view management as a matter of planning. The host government may take measures like taxation. trade and alter assets is vital to market development. The second is the lack of an adequate international judicial and administrative framework or a body of law which would form the basis of a truly comprehensive international legal system. Britain. or withdrawal of export guarantee cover. Present-oriented societies include the rest of the spanish-speaking Latin American countries. and give order and stability to the means of doing business. increasingly. The most important rules in any system are those defining. . since this assigns to individuals the right to benefits and losses in production and marketing activities. These ground rules form the laws of all production. operating restrictions or expropriation. Performance standards are built in to maintain the licensing agreement. They see the past as passed and the future as uncertain.Past-oriented societies are concerned with traditional values and ways of doing things. They tend to be conservative in management and slow to change those things that are tied to the past. Future-oriented societies have a great deal of optimism about the future. The first is that "law" belongs to individual nations and international law only exists to the degree that individual nations are willing to relinquish their rights. ownership controls. Home governments can apply pressure not to deal with disapproved parties. Brazil. This raises two interesting characteristics of international law. All agricultural exports operate within an institutional environment. INVESTMENT The legal/political aspect is very important in global marketing.

trademarks. ii) Property rights . iii) Taxation .what taxation schemes will be faced abroad?iv) Recourse .possibility and length of action with the possibility of image damaging necessitating arbitration.Most implications in the legal/political environment centre around the following: i) "Institutional environment" . .patents.made up of political. social and legal ground rules within which the global marketer must operate.