"CULTURE & BUSINESS"

INTERNATIONAL BUSINESS AND TRADE

culture
A set of values, beliefs, rules, and

institutions held by a specific group

of people.
 rry chee
be
Headquartered

se
Straw

cake
in Canton,

Massachusetts

Dunkin Brands

Group, Inc. was an

American

Restaurant holding

company that run

three chains of fast

food restaurants.
ic
e c ea m
r
FOUNDER:

william rosenberg

It began in 1948, with a donut

and coffee restaurant in

Quincy, Massachusetts called "OPEN

KETTLE"
In 1950, it changed its name to

"DUNKIN DONUT"
 -FOUNDED IN 1925, IN GLENDALE, CALIFORNIA
-tHE LARGEST CHAIN OF ICE CREAM SPECIALTY SHOPS
Personality is a

person's identity and

unique physical,

mental, emotional

and social

characteristics.
So, what is culturE?

Culture is the beliefs, values, mindsets and

practices of a group of people.

It includes the behavior pattern and norms

of that group-the rules, the assumptions,

the perceptions, and the logic and

reasoning that are specific to a grop

It is also the collective programming of our

minds from birth.

- collective programming
distinguishes one group of
people from another.
Cross-cultural
communication
Allows people to avoid miscommunication and

misinterpretation, instead opening up the possibility of fruitful

relationships acriss previously daunting cultural barriers.

Understanding the "WHY" behind culture is essential

Values are the key building blocks of our cultural orientation

What kinds of culture

are there?
POLITICAL, ECONOMIC, AND SOCIAL
PHILOSOPHIES all impact the way peoples'

values are shaped.

Our cultural base of reference formed by our

education, religion, our social structure also

impacts business interactions in critical ways.

 Cultures that bases on

nationalities geographically different

regions:
Northeast
West
Boundaries have changed

throughout history,
South
Midwest

Geographic and political

boundaries include even regional

cultures within a nation as well as

among several neighboring

countries.
 SUBCULTURES organizations
Cultural patterns that set apart a
Every organizations has its own

segment of a society's
workplace culture, referred to as

population the organizational culture.

Many groups are defined by ethnicity,

An entreprenuerial culture in a company

gender, generation, religion or other

might imply that the company

characteristics with cultures that are

encourages people to think creatively

unique to them. and respond to new ideas fairly quickly

without a long internal approval

process.
The Key

Methods Used

to Describe

Cultures
Hofstede and Values
GEERT HOFSTEDE
somtimes called the father of modern cross-cultural

science and thinking, is a psychologist who focused on a

comparison of nations using a statistical analysis of two

unique databases

VALUE DIMENSIONS
Values, in this case, are broad preferences for one

state of affairs over others, and they are mostly

unconscious
FIVE KEY VALUE DIMENSIONS
POWER DISTANCE INDIVIDUALISM
How openly a society or
MASCULINITY People's tendency to take

culture accepts or does

care of themselves and their

How a society views traits

not accept differences

immediate circle of family

that are considered

between people,
and friends, perhaps at the

masculine or feminine.
hierarchies in workplace,
expense of the overall

in politics and so on. society

FIVE KEY VALUE DIMENSIONS
UNCERTAINTY
LONG-TERM
AVOIDANCE ORIENTATION
How much uncertainty a
Whether a culture has a long-term

society or culture is willing to

or short-term orientation
accept
The United States' Five Value Dimensions
Figure 3.1
 Edward T. Hall
EDWARD T. HALL

A respected anthropologist

and who is best noted for

three principal categories

HIGH AND LOW CONTEXT

that analyze and interpret

COMMUNICATION
on how culture differ:

In high-context cultures,

context, space and time.

the physical context of the

message carries a great deal

SPACE
of importance
In low-context cultures,
the study of physical space and

people verbally say exactly

people, called proxemics, one

what they mean. of Halls principal categories on

describing how cultures differ.

 Attitudes toward Time:
Polychronic vs Monochronic
POLYCHRONIC CULTURE MONOCHRONIC CULTURE

people can do several

people tend to do one

things at the same

task at a time
time
What else determines

a Culture?
mind-sets values
manners
religious

rituals laws
beliefs

arts ideas customs

language social
individual

identity
beliefs institutions
ceremonies
myths and

behaviors
legends
Ethnocentrism
The view that a persons own culture is

central and other culture are measured in

relation to it.
The challenge occurs when we feel that our

cultural habits, values, and perceptions are

superior to other people's values.

Communications
Verbal Language
Body Language
 Understanding How

Culture Impacts Local

Business Practices
International Business and Trade
chapter 3
Culture impacts business,

including:
The pace of
Business

business protocol

Decision
Managing

making and
employees and

negotiating projects

Marketing,

sales and

distribution
CULTURE
Defined as all the behavior,
ways of life, art, beliefs and

institutions of a population

that are passed down from

generation to generation.
you'll need to understand the following
Impacts on people

How people
how they view

communicate time and

deadlines

How they are likely

How people

to asks question or
respond to

highlight problems management and

authority

How people

respond to

management and

authority
SPOTLIGHT ON IMPACT OF CULTURE ON

BUSINESS IN LATIN AMERICA

The concept of
Old world manners
time is called "El

tiempo es como el

espacio" Overwhelmingly

Catholic
Often have

modern offices
Family as the most

and infrastructure
important social

unit
 Global Business
Ethics
The fied of ethics is 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. Ethics impacts many fields not just
business including medicine, government, and science.
IMPACT OF ETHICS ON GLOBAL
BUSINESS
Areas that are being impacted are:

Corporate Social
Ethics and
Responsibility
Management

Ethics and
Corruption
The role of ethics in
management practices,
particularly those practices
involving human resources and
employment, differ from
culture to culture and the way
people view the employee-
employeer relationship.
 ETHICS AND
CORRUPTION
Corruption is giving or obtaining advantage
through means which are immoral and
inconsistent with one's duty. Business ethics
note that the following culturally accepted norms
is not always the ethical choice.
C
COOR
RPPO
ORRA
ATTE
E SSOOC
CIIA
ALL
RRE
ESSP
POON
NSSI
IBBI
ILLI
ITTY
Y
CRS is defined as the corporate

conscience, citizenship, social

performance or sustainable

responsible business, and is a form of

corporate self-regulation integrated

into a business model.

TIPS FOR YOUR
ENTREPRENEURIAL
WALKOUT TOOLKIT
The following are some factors to take into consideration in
order to take to equip yourself for success and avoid some
cultural pitfalls;

1. One of the most important cultural factors in many

countries is the 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.
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 document
relationships and expectations.
 INTERNATIONAL BUSINESS
AND TRADE

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