Cultural Diversity and International Business - 2474 Words

CULTURAL DIVERSITY AND INTERNATIONAL BUSINESS What is International Business? International business is a term used to collectively describe all commercial transactions (private and governmental, sales, investments, logistics,and transportation) that take place between two or more nations. It consists of transactions that are devised and carried out across national borders to satisfy the objectives of individuals, companies, and organizations. Usually, private companies undertake such transactions for profit; governments undertake them for profit and for political reasons. It refers to all those business activities which involves cross border transactions of goods, services, resources between two or more nations. Transaction of economic†¦show more content†¦International businesses that are ill informed about the practices of another culture are unlikely to succeed in that culture. One way to develop cross-cultural literacy is to regularly rotate and transfer people internationally. Ethnocentrism One must also beware of ethnocentrism, or a belief in the superiority of one s own culture. Individuals who are ethnocentric frequently demonstrate disregard for other cultures. Culture and Competitive Advantage For the international business, the connection between culture and competitive advantage is important for two reasons. First, the connection suggests which countries are likely to produce the most viable competitors. Second, the connection between culture and competitive advantage has important implications for the choice of countries in which to locate production facilities and do business. THE ELEMENTS/DETERMINANTS OF CULTURE The values and norms of a culture do not emerge fully formed. They are the evolutionary product of a number of factors including prevailing political and economic philosophies, the social structure of a society, and the dominant religion, language, and education. 1) Social Structure A society s social structure refers to its basic social organization. Two dimensions stand out when explaining differences between cultures. The first is the degree to which the basic unit of social organization is the individual, as opposed toShow MoreRelatedCultural Environment Of International Business Essay1327 Words   |  6 Pages Cultural Environment of International Business Vanda Mallo Keiser University â€Æ' Abstract Understanding the management role relative to cultural influences is critical for today’s managers who want to interact proficiently across borders. One important concept which provides insight into the idea of intercultural aptitude is the notion of â€Å"mindfulness† or the ability to interact with others from different cultures. Managers must become more culturally sensitive since diversity in the workplaceRead MoreQuestions On International Human Resource Management Essay1716 Words   |  7 PagesSubmission of case study Please find completed case study on International Human Resource Management-Padi Cepat on the basis for your reading and action. Sign: Name: Patel Nimisha Paper Title International Human Resource Management Paper Code 95.892(B) Term 1 2015 LecturersRead MoreCase Study : International Human Resource Management Essay1448 Words   |  6 Pagesand baking products business. In this company have different technologies for marketing strategies. Judgment is needed to identify the growth of the company so they look after the PBIT. In the time of 1990s they provide expansion opportunities Malaysian company pedi-cepat planned export offices in India, Singapore and Japan bit it fails. After the crisis, they expanded to Europe and the Middle East. Expand to Oceana for the better growth. 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Managing global operations across diverse cultures and markets represents a big challenge and opportunity for companies. To compete in the global market and be successful, companies must learn the strategies, policies, norms and technology necessary to conduct international business. The opportunities for global expansion are numerousRead MoreEssay on International Expansion1026 Words   |  5 PagesMGMT415 Unit 1 Assignment International Expansion Many companies today want to expand their business to the international business, which can bring cost down and profits up. Taking a business internationally means knowing the rules and regulations of the countries you are entering. There can be many issues with going global which include cultural barriers, diversity issues, multicultural issues, political issues, and economical issues. It is very important to know how important expansionRead MoreSfsw680 Words   |  3 Pagesdispersion amp; cultural diversity As economic borders come down, cultural barriers will most likely go up and present new challenges and opportunities for business. As global restructuring takes place within the company, Koch leads a geographically dispersed project team (i.e. Germans and Chinese members ) to standardize its personnel selection methods in the APAC region for staffing 25 new middle management positions. The HR executive encounters problems when leading across cultural differencesRead MoreAnnotated Bibliography On Effects Of Diversity On Business And Communications Essay858 Words   |  4 PagesAnnotated Bibliography: Effects of diversity on business and communications Bilimoria, D. (2007). Handbook on women in business and management. Cheltenham, UK: Edward Elgar. This complete Handbook specifically presents commissioned unique essays on the communal roles and contexts women face in management and business, women’s role as leaders in management and business, procedures of the organization influencing women, work-life issues and particular career women’s issues in the fields. These essaysRead MoreStrategic Human Resource Management : A Deeper Understanding Of The Dominant And Minority Cultures Essay839 Words   |  4 PagesRomero, F., Gonzalo Sà ¡nchez, G. (2013). Workforce diversity in strategic human resource management models. Cross Cultural Management, 20(1), 39-49. doi: http://dx.doi.org/10.1108/13527601311296247 RQ How effective is workforce diversity without a deeper understanding of the dominant and minority cultures in human resource management? The article expounded on how strategic human resource management can get the most out of workforce diversity via the universalistic, contingent and configurationalRead MoreDiversity Within The Workplace And How Communication Is The Driving Force Behind It Essay1463 Words   |  6 PagesDiversity in the workplace and how communication is the driving force behind it. Workplace diversity can be described as â€Å"all the differences in age, gender, sexual orientation, education, cultural background, religion, and life experience† (Okora Washington, 2012, as cited in Mulkeen, 2008). Another functional definition of diversity is being cultural, racial, or sex-based. An organization’s definition and viewpoint concerning diversity guides the strength of its employees to connect and communicate