Chapter III

REPORTERS:
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LUZARA, JINKISS B.
JUMAO-AS, MA. JOELA SHERYL
BOO, JEANE MAE
 LEARNING
OUTCOMES
At the end of the discussion, you are expected to:

Understand Culture and its kinds

Know the key methods used to describe cultures
and its determinants
Understand how culture impacts local business
practices
Understand the Global Business Ethics
Acquire tips for Entrepreneurial
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 WHAT IS
CULTURE?
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We will talk about this first.

 Refers to HOW and WHY we THINK and FUNCTION.
It is the beliefs, values, mind-sets and practices of a group of
people.
CROSS CULTURAL UNDERSTANDING
Requires that we reorient our mind-sets and our
expectations, in order to interpret gestures, attitudes
and statements of other people.
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 FACTORS THAT
CONSTITUTES CULTURE:
MANNERS
MIND-SETS
RITUALS Is defined as
LAWS something that we
IDEAS offer over something
LANGUAGE else-whether it’s a
behavior or tangible
CULTURAL AWARENESS item.
refers to having an
understanding of another culture’s
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values and perspectives.

 WHAT KINDS OF CULTURE
ARE THERE?
EACH PERSON BELONGS TO SEVERAL CULTURE

NATIONAL RELIGION ETHNIC GROUP SOCIAL CLASS

GENERATION WORKPLACE
ORGANIZATIONS
NATIONALITIES Organizational Culture
Define as how people dresses, how they perceive
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SUBCULTURES
and value employees or how they make decisions.
 There are two key methods used to describe and analyze cultures:
Geert Hofstede - who focuses on the five key dimensions that
01 interpret behaviors, values, and attitudes: power distance,
individualism, masculinity, uncertainty avoidance, and long-term
orientation.

Edward T. Hall - who focuses on the three main categories for

02 how communications and interactions between cultures differ:
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high context versus low context communication, space, and

attitude towards time.
 01 A. POWER DISTANCE Refers to how openly a society or culture
accepts or does not accept differences between people, as in
hierarchies in the workplace, in politics, and so on.
B. INDIVIDUALISM Refers to people's tendency to take care of
themselves and their immediate circle of family and friends,
perhaps at the expense of the overall society.
C. MASCULINITY Refers to how society views trait that are
considered masculine or feminine.
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 D. UNCERTAINTY AVOIDANCE Refers to how much
uncertainty a society or culture is willing to accept
E. LONG-TERM ORIENTATION Refers to whether a
culture has a long-term or short-term orientation the
effort to understand the difference in thinking between
the East and the West
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 01 HIGH AND LOW CONTEXT
In High context cultures, communication is largely implicit.
In Low context cultures, message is communicated almost
entirely by the words and needs to be explicit
SPACE
Hall was concerned about space and it's relationships. He called
the study proxemics.
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 Time
Monochronic Time
* Means on doing one thing at a time.
Polychronic Time
* human interaction is valued over time and material
things, leading to a lesser concerns for getting things done
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 Even in today’s global world, there are wide cultural differences, and these
differences influence how people do business. Culture impacts many things in
business, including:
•The pace of business;
•Business protocol (how to physically and verbally meet and interact);
•Decision making and negotiating;
•Managing employees and projects;
•Propensity for risk taking; and
A
•Marketing, sales, and distribution.
The influence of cultural factors on business is extensive. Culture impacts how employees
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are best managed based on their values and priorities. It also impacts the
functional areas of marketing, sales, and distribution.
 GLOBAL
BUSINESS
ETHICS
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 A branch of philosophy that seeks to
address questions about morality—that
is, about concepts such as good and
bad, right and wrong, justice, and
virtue.
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investigates where our ethical principles

come from and what they mean.

arriving at moral standards that regulates

right and wrong conduct

examining specific controversial issues.

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 ● MANAGEMENT PRACTICES
refers to the working methods and innovations that
managers use to improve the effectiveness of work
systems.
● CORRUPTION
giving or obtaining advantage through means which
are illegitimate, immoral, and/or inconsistent with one’s
duty or the rights of others.
● CORPORATE SOCIAL RESPONSIBILITY
refers to practices and policies undertaken by
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corporations that are intended to have a positive

influence on the world.
 Influenced by values, social programming, and
experiences a person has absorbed since
childhood.

International companies operate in multiple

countries need a standard set of global operating
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guidelines.
 TIPS IN YOUR
ENTREPRENEURIAL
WALKABOUT
TOOLKIT
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 1.Emphasis on networking or relationships.
2.Even if you have been invited to bid on a contract, you are
still trying to sell your company and yourself.
3.Make sure you understand how your overseas associates
think about time and deadlines.
4.You need to understand the predominant corporate
culture of the country you are dealing with—particularly
when dealing with vendors and external partners.
5.Understand how you can build trust with potential partners
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6.How do people communicate?

 7. Focus on communications of all types and learn to find ways
around cultural obstacles.
8. There are no clear playbooks for operating in every culture
around the world.
9. Make sure in any interaction that you have a decision maker on
the other end.
10. When negotiating with people from a different culture, try to
understand your counterpart’s position and objectives
11. Even in today’s wired world, don’t assume that everyone in
every country is as reliant on the Internet and e-mail as you are.
12. As with any business transaction, use legal documents to
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document relationships and expectations.

 https://2012books.lardbucket.org/pdfs/challenges-and-
opportunities-in-international-business.pdf

https://www.google.com/amp/s/slideplayer.com/amp/1460003
5/

https://www.coursehero.com/file/p2imcmnm/What-are-the-
key-methods-used-to-describe-cultures-What-are-the-
additional/

https://saylordotorg.github.io/text_international-business/s07-
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03-understanding-how-culture-impa.html
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Thank you!
Do you have any questions?
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