International Busi

Sixteenth Edition, Global Edition

Chapter 2
Culture
 Learning Objectives
2-1 Explain why culture, especially national culture,
is important in IB, but tricky to assess
2-2 Grasp the major causes of national cultural
formation and change
2-3 Discuss major behavioral factors influencing
countries’ business practices
2-4 Recognize the complexities of cross-cultural
communications
2-5 Analyze guidelines for cultural adjustment

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 Globalization and IB
Objective 2-1
• What is Culture?
• Bicultural and/or Multicultural
• Relevant Groups/Dissimilar Groups

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 Cultural Factors and the
Objective 2-1
FIGURE 2.1 Cultural Factors Affecting IB Operations

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 Using Cultural Refer
Objective 2-1
• Cultural reference points
– Culture can be useful reference point
– However, culture reference points may not
always be accurate

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 Cultural Collision
Objective 2-1
• What is cultural collision?
• Deal-focus culture (DF)
• Relationship-focus culture (RF)

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 Cultural Awareness
Objective 2-1
• Shortcomings in cultural research
• Dangers in cultural awareness research
– Comparing countries by what people say
– Variations within countries
– Outdated research

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 Influences on Cultura
Objective 2-2
• Sources of Change
– Choice
– Imposition

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 Diffusers and Stabilizers of Cu

Objective 2-2
• Language
• Insert Map 2.2

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 Diffusers and Stabilizers of Cult

Objective 2-2
• Religion
• Insert Map 2.3

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 Behavioral Practices Affecting Busine

Objective 2-3
• Social stratification
– Group Memberships
– Examples

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 Behavioral Practices Affecting Busine

Objective 2-3
• Work motivation
– Levels of materialism
– Trade off between productivity and leisure time
– Success and reward
– Masculinity-femininity index

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 Behavioral Practices Affe
Relationship Preferences
Objective 2-3
• Relationship preferences
– Power Distance
– Individualism vs. Collectivism

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 Behavioral Practices Affec
Risk Taking Behaviors
Objective 2-3
• Risk taking behaviors
– Uncertainty avoidance
– Trust
– Future orientation
– Fatalism

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 Behavioral Practices A
Objective 2-3 Business
• Information and Task processing
– Perception of cues
– Low and high context cultures
– Monochromic and polychromic
– Whole vs. the Parts
– Idealism vs. Pragmatic

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 Challenges Communicat
Cultures
Objective 2-4
• Translation of written and spoken language
• Silent language
– Colors
– Distance
– Time
– Body language
– Prestige

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 Guidelines for Cultural
Objective 2-5
• Degrees of adjustment
– Host society acceptance
– Degree of cultural differences
– Ability to adjust
– Company and Management orientations

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 Strategies for Institut
Objective 2-5
• Approaches to successful changes:
– Value systems
– Resistance
– Participation
– Reward sharing
– Opinion leadership
– Bicultural
– Timing
– Learning abroad

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