Chapter 3

Question 1

Title of Chapter 3

Answer 1

Emphasizing Informal Institutions: Cultures, Ethics, and Norms

Question 2

informal institution

Answer 2

Institutions represented by cultures, ethics, and norms

Question 3

ethnocentrism

Answer 3

A self-centered mentality by a group of people who perceive their own culture, ethics, and norms as natural, rational, and morally right

Question 4

culture

Answer 4

The collective programming of the mind that distinguishes the members of one group or category of people from another

Question 5

lingua franca

Answer 5

The dominance of one language as a global business language

Question 6

context

Answer 6

The underlying background upon which interaction takes place

Question 7

low-context culture

Answer 7

A culture in which communication is usually taken at face value without much reliance on unspoken context

Question 8

high-context culture

Answer 8

A culture in which communication relies a lot on the underlying unspoken context, which is as important as the words used

Question 9

cluster

Answer 9

Countries that share similar cultures together

Question 10

civilization

Answer 10

The highest cultural grouping of people and the broadest level of cultural identity people have

Question 11

power distance

Answer 11

The extent to which less powerful members within a country expect and accept that power is distributed unequally

Question 12

individualism

Answer 12

The perspective that the identity of an individual is fundamentally his or her own

Question 13

collectivism

Answer 13

The idea that the identity of an individual is primarily based on the identity of his or her collective group

Question 14

masculinity

Answer 14

A relatively strong form of societal-level sex-role differentiation whereby men tend to have occupations that reward assertiveness and women tend to work in caring professions

Question 15

femininity

Answer 15

A relatively weak form of societal-level sex-role differentiation whereby more women occupy positions that reward assertiveness and more men work in caring professions

Question 16

uncertainty avoidance

Answer 16

The extent to which members in different cultures accept ambiguous situations and tolerate uncertainty

Question 17

long-term orientation

Answer 17

A perspective that emphasizes perseverance and savings for future betterment

Question 18

ethics

Answer 18

The principles, standards, and norms of conduct governing individual and firm behavior

Question 19

code of conduct

Answer 19

A set of guidelines for making ethical decisions

Question 20

ethical relativism

Answer 20

A perspective that suggests that all ethical standards are relative

Question 21

ethical imperialism

Answer 21

The absolute belief that “there is only one set of Ethics (with the capital E), and we have it”

Question 22

corruption

Answer 22

The abuse of public power for private benefits, usually in the form of bribery

Question 23

Foreign Corrupt Practices Act (FCPA)

Answer 23

A US law enacted in 1977 that bans bribery to foreign officials

Question 24

norms

Answer 24

The prevailing practices of relevant players that affect the focal individuals and firms

Question 25

in-group

Answer 25

Individuals and firms regarded as part of “us”

Question 26

out-group

Answer 26

Individuals and firms not regarded as part of “us”

Question 27

cultural intelligence

Answer 27

An individual’s ability to understand and adjust to new cultures

Question 28

Social stratification

Answer 28

The hierarchical arrangement of individuals into social categories (strata) such as classes, castes, and divisions within a society

Question 29

Social mobility

Answer 29

The degree to which members from a lower social category can rise to a higher status

Question 30

Social structure

Answer 30

The way a society broadly organizes its members