Chapter 3 Flashcards
Informal institutions
Institution represented by cultures, ethics, and norms
Ethnocentrism
A self-centered mentality by a group of people who perceive their own culture, ethics, and norms as natural, rational, and morally right
Culture
The collective programming of the mind that distinguishes the members of one group or category of people from another
(includes language, religion, social structure, and education)
Lingua franca
A global business language
Social structure
The way a society broadly organizes its members
Social stratification
The hierarchical arrangement of individuals into social categories (strata) such as classes, castes, and divisions within a society
Social mobility
The degree to which members from a lower social category can rise to a higher status
Context
The underlying background upon which social interaction takes place
Low-context culture
A culture in which communication is usually taken at face value without much reliance on unspoken context
High-context culture
A culture in which communication relies a lot on the underlying unspoken context, which is as important as the words used
Cluster
Countries that share similar cultures
Civilization
The highest cultural grouping of people and the broadest level of cultural identity people have
Power distance
The extent to which less powerful members within a culture expect and accept that power is distributed unequally
Individualism
The idea that an individual’s identity is fundamentally their own
Collectivism
The idea that an individual’s identity is fundamentally tied to the identity of their collective group
Masculinity
A relatively strong form of societal-level gender role differentiation whereby men tend to have occupations that reward assertiveness and women tend to work in caring professions
Femininity
A relatively weak form of societal-level gender role differentiation whereby more women occupy positions that reward assertiveness and more men work in caring professions
Uncertainty avoidance
The extent to which members in a culture accept or avoid ambiguous situations and uncertainty
Long-term orientation
Dimension of how much emphasis is placed on perseverance and savings for future betterment
Ethics
The principles, standards, and norms of conduct that govern individual and firm behavior
Code of conduct (code of ethics)
A set of guidelines for making ethical decisions
Ethical relativism
A perspective that suggests that all ethical standards are relative
Ethical imperialism
A perspective that suggests that “there is one set of Ethics (with a capital E) and we have it
Corruption
The abuse of public power for private benefits, usually in the form of bribery
Foreign Corrupt Practices Act (FCPA)
A US law enacted in 1977 that bans bribery of foreign officials
Extraterritoriality
The reach of one country’s laws to other countries
In-group
Individuals and firms regarded as a part of “us”
Out-group
Individuals and firms not regarded as a part of “us”
Cultural distance
The difference between two cultures along identifiable dimensions (such as individualism)
Institutional distance
The extent of similarity or dissimilarity between the regulator, normative, and cognitive institutions of two countries
Cultural intelligence
An individual’s ability to understand and adjust to new cultures
