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Culture, Management Style, and Business Systems

Question to be answered?

What is the influence of culture on international marketing?

Culture … 3 Perspectives National culture Sub-culture Corporate culture a distinct section of the community You are not born with a culture. it is learned. .

National Culture Sub Culture Corporate Culture .

tangible symbols of a culture. such as BOOST! or the Great Wall of China) .Culture includes all that we have learned in relation to: Values and norms Customs and traditions Beliefs and religions Rituals and Artifacts (i.e.

but is not required. Cultural Electives • Business customs and expectations that are OPTIONAL.3 Types of Customs 1. Cultural Imperatives • Business customs and expectations that MUST be met in order to conduct successful business transactions in other countries/cultures 2. • May help to establish rapport and respect .

Types of Customs 3. business practices where it is acceptable for the local to do so . Cultural Exclusives • Customs that are reserved exclusively for the locals. where foreign participation is EXCLUDED Example: – Foreign business people criticizing local politicians.

culture: .S.The Impact of American Culture on Management Style ―Master of destiny‖ viewpoint Reward based on merit Decisions based on objective analysis Wide sharing in decision making Never-ending quest for improvement Competition yielding efficiency Most widely accepted views regarding U.

) Allows executives at different levels to exercise authority over their own functions 3.S. The authoritative approach • Top level management decision making is usually found in smaller businesses • 2. The committee approach • Decisions are made by consensus or in a group (Japan) . The delegated approach • (U.Management Styles around the World Types of Decision Making Approaches 1.

Context over words: speaker’s tone of voice. Flowery language. gestures. preferring group harmony and consensus to individual achievement.High – Context Cultures! Middle East. and elaborate apologies are typical. posture—and even the person’s family history and status. Asia. Africa. and South America emphasize interpersonal relationships and trust.Communication Styles . facial expression. Collectivist culture. . humility. less governed by reason than by intuition or feelings.

. individualistic. And communicators are expected to be straightforward. they strive to use precise words and intend them to be taken literally. To be absolutely clear. Discussions end with actions Decisions are based on fact rather than intuition. and action-oriented. High-context business people may even distrust contracts and be offended by the lack of trust they suggest. linear. concise. . DIRECT Solving a problem means lining up the facts and evaluating one after another. and efficient in telling what action is expected.Low Context Culture        (North America and much of Western Europe) logical. Explicit contracts conclude negotiations.

. Great Britain . Information-Oriented Cultures Relationship Orientation Japan and other Asian countries Information Orientation U.S.Relationship-Oriented vs.

M-time • M-time (monochronic) – concentrate on one thing at a time • P-time (polychronic) – completion of a transaction is more important than sticking to a schedule .Importance of Communication when adapting to business customs Communication Translation and interpretation P-time vs.

Business Ethics Bribery & Extortion Bribery • Voluntary payment offered by individual(s) seeking an unlawful advantage – SEC regulates U.S. Companies domestically and internationally – ―Transparency International‖ – organization dedicated to curbing corruptions worldwide Extortion • Payments are extracted under duress by someone in an authoritative position (host country) .

or gifts… Foreign Corrupt Practices Act (FCPA) • Important act that prohibits U.S.Business Ethics Subordination & Lubrication Subordination • Involves giving large sums of money Lubrication • Involves giving small amounts of money. businesses from paying bribes openly or using middlemen or agents to bribe on behalf of the U. business .S.

icons or any non-verbal messages on their websites .Business Customs on the Internet Points to be aware of: A message on a company’s website is viewed as an ―extension‖ of that company Majority of websites are seen worldwide and translation can often convey incorrect meaning or offend other cultures • Approximately 78% of website is written in English Companies must pay attention to symbols.