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International Business > chapter 4 > Flashcards

chapter 4 Flashcards

1
Q

what is cross cultural literacy

A

refers to understanding how fultural differences across and within countries can affect how business should be practiced

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2
Q

what is culture

A

A system of values and norms shared among a group of people and that when taken together constitute a design for living.

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3
Q

what are values

A

-ideas about what a group believes to be good, right, and desirable.
-Provide the context within which a society’s norms are established and justified.
-They are invested with emotional significance.
-Reflected in the economic systems of a society.

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4
Q

what are norms

A

Social rules and guidelines that prescribe appropriate behavior in particular situations.

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5
Q

what is a society

A

A group of people sharing a common set of values and norms.

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6
Q

what are folkways

A

-Reflected in the economic systems of a society.
-appropriate dress code, good social manners, attitude toward time.-
Include rituals and symbolic behavior.

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7
Q

what are mores

A

-Mores are norms seen as central to functioning of society.
Example: laws against theft. Drinking in Saudi Arabia (prison?) Have greater moral significance than other norms.

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8
Q

what are the 6 determinants of culture

A

-religion
-political philosophy
-economic philosophy
-education
language
societal culture

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9
Q

how do the determinants of culture effect culture

A

they form the values and norms of a culture over time

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10
Q

what is social structure

A

refers to basic social organization of a soceity

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11
Q

what are the 2 dimensions that help explain differences across cultures

A
  • ## the degree to which the basic unit of social organization is the individual, as opposed to the groupThe degree to which a society is stratified into classes or castes.
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12
Q

what is the basic building block of social organization in western societies

A

the individual, emphasis if on individual achievements

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13
Q

what is the primary unit of organization in non Western countries

A

the group, the importance is placed on group membership and identification

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14
Q

what is social stratification

A

social strata are hierarchical social categories often based on family background, occupation, and income.

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15
Q

what are the 4 basic principles of social structure

A

-its a trait of society
-carries over into next generation
-is generally universal but varies
-involves not just inequality but also beliefs

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16
Q

what is social mobility

A

extent to which individuals can move out of the strata that they were born into, varies among societies

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17
Q

what is a caste system

A

Caste system is a closed system where social position is determined by family and change is usually not possible

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18
Q

what is a class system

A

system of social position that is less rigid than the caste system, and can be changed through achievement and luck

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19
Q

what is the significance of social stratification

A

can affect business operations
-Class consciousness is a tendency for individuals to perceive themselves in terms of their class background.
-Makes it difficult to establish a competitive advantage in a global economy.

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20
Q

what are the impacts of class clashes (4)

A

mutual antagonism and lack of respect
difficult to cooperate
workplace disputes
increase in operations cost

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21
Q

what is religion

A

A system of shared beliefs and rituals concerned with the realm of the
sacred.

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22
Q

what is an ethical system

A

A set of moral principles, or values, that are used to guide and shape
behavior.

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23
Q

most ethical systems are the product of which 2 religions

A
  • Christian ethics
  • Islamic ethics
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24
Q

what are the 4 dominant religions today

A
  • Christianity.
  • Islam.
  • Hinduism.
  • Buddhism.
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25
Q

what are the econonmic implications of christianity

A

Sociologists argue that Protestant branch has the most important economic implications.
Max Weber, Protestant ethics, and the spirit of capitalism.

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26
Q

what makes protestants the branch that has the most important economic implications

A

business leaders and owners of capital are the overwhelmingly protestant

27
Q

what did max weber the sociologist say about protestant and why is that the case

A

-strong relationship between the protestantism and emergence of capitalism
-protestants have a hard working attitude, they focus on wealth creation, and theres an emphasis of individual religious freedom

28
Q

what are the islamic beliefs that effect business

A

pro free enterprise
-profit cannot be made through exploitation
-islam, capitalism and globalization can coexist

29
Q

what are hinduisms fundamental beliefs

A

A moral force in society requires the
acceptance of certain responsibilities, called dharma.
Rebirth into a different body, called reincarnation.
The spiritual progression of each person’s soul, called karma.
Achieving a complete spiritual perfection, called nirvana.

30
Q

what is karma in hinduism and buddhism

A

-The force generated by a person’s actions held in Hinduism and Buddhism to perpetuate transmigration and in its ethical consequences to determine the nature of the person’s next existence
-The universal causal law by which good or bad actions determine the future modes of an individual’s existence.

31
Q

what are the economic implications of hinduism

A

Max Weber: Hindus are valued by their spiritual rather than material achievements.
* Material and physical self-denial do not go hand in hand with capitalism.

32
Q

what is buddhism

A

Stresses spiritual growth and the afterlife, rather than involvement in this world.

33
Q

what are the economic implications of buddhism

A

Does not emphasize wealth creation.
* Economies in the Buddhist regions were dominantly localized.
* Does not support the caste system—individuals have some mobility and can work with individuals from different classes.
* Recent trends bring the “Zen” orientation from Buddhism into business in the Western world.

34
Q

what is confucianism

A

a religion mainly practiced in china, Korea, and Japan.
-Teaches the importance of attaining personal salvation
through right action.
-focuses on High morals, ethical conduct, and loyalty to others.

35
Q

what are the economic implications of confucianism

A

3 values of Confucianism—loyalty, reciprocal obligations, and honesty—may all lead to lowering the cost of doing business in Confucian societies.

Guanxi are relationship networks supported by reciprocal obligations

36
Q

how does language affect culture

A

structures the way we see the world
countries with multiple languages have multiple cultures

37
Q

what is the mother tongue of the largest number of people, and what is the most widely spoken language

A

mandarin, english

38
Q

what is unspoken language

A

non verbal communication like personal space

39
Q

how does education effect culture

A

socializes the young into the values and norms of a culture, and it creates a national competitive advantage through having a skilled and knowledgeable workforce

40
Q

what are hofstedes 6 dimensions of culture

A

-power distance index
-individualism vs collectivism
-masculinity vs femininity
-uncertainty avoidance index
-long term vs short term normative orientation
-indulgence vs restraint

41
Q

what does power distance refer to

A

refers to how a society deals with the fact that people are
unequal in physical and intellectual capabilities.

42
Q

what does individualism vs collectivism refer to

A

Individualism versus collectivism focuses on the relationship between
individuals and their fellows.

43
Q

what does uncertainty avoidance refer to

A

Uncertainty avoidance measures the extent to which different cultures socialize their members into accepting ambiguous situations and tolerating uncertainty.

44
Q

what does masculinity versus femininity refer to

A

Masculinity versus femininity looks at the relationship between gender and work roles.

45
Q

what does long term vs short term orientation refer to

A

refers to the extent to which a culture programs its citizens to accept delayed gratification of their material, social, and emotional needs.

46
Q

what does indulence vs restraint refer to

A

Indulgence refers to a society that allows relatively free gratification of basic and
natural human drives related to enjoying life and having fun.
Restraint refers to a society that suppresses gratification of needs and regulates it by means of strict social norms.

47
Q

western countries score what on (in hofstedes results)

A

high individualism and low on power distance

48
Q

latin american and asian countries emphasize

A

collectivism and score high on power distance.

49
Q

japan demonstrates strong (hofstede)

A

high uncertainty avoidance and high masculinity

50
Q

what are the criticisms of hofstedes results (30

A

Assumes a one-to-one correspondence between culture and the nation- state when many countries have more than one culture.
Research may be culturally bound. Research focused on a single industry.

51
Q

what does the GLOBAL leadership and organizational behaviour effectiveness say about culture and business

A

a leaders effectiveness if contextual, and its embedded in the societal and organizational norms, values, and beliefs of the people being led.

52
Q

the global leadership and organizational behavior effectiveness establish —–

A

-nine cultural dimensions

53
Q

what are the 9 cultural dimensions established by the globe

A

Power distance,
uncertainty avoidance,
humane orientation,
institutional collectivism,
in-group collectivism,
assertiveness,
gender egalitarianism,
future orientation, and
performance orientation.

54
Q

what did the world values survery do regarding culture and business

A

Explores people’s values and norms, how they change over time, and what impact they have in society and business.

55
Q

what dimensions were considered by the WVS (world values survey)

A

Support for democracy;
tolerance of foreigners and ethnic minorities;
support for gender equality;
the role of religion and changing levels of religiosity;
the impact of globalization;
attitudes toward the environment, work,
family,
politics,
national identity,
culture,
diversity, and
insecurity; and
subjective well-being.

56
Q

what factors have effected the changing of cultures

A

Economic advancement and globalization may be important factors.
Culture may change as a society becomes wealthier.

57
Q

what is ethnocentrism

A

Ethnocentrism is the belief in the superiority of one’s own ethnic group or culture.

58
Q

edward t hall says that

A

Edward T. Hall notes that cultural differences in attitude to time can cause myriad problems.

59
Q

how does culture affect competitive advantage

A

Values and norms influence costs of doing business and the costs of doing business influence ability to establish competitive advantage.

60
Q

what culture lowers the cost of doing business relative to western nations and why

A

Some say culture of modern Japan lowers the cost of doing business relative to Western nations.
-Honesty
-Loyalty
-Reciprocal obligations
-Group affiliations
Also, Japan less supportive of entrepreneurial activity.

61
Q

why is the connection between culture and competitive advantage important

A

-Suggests which countries are likely to produce the most viable competitors.

-Has important business implications for the choice of countries in which to locate production facilities and do business.

62
Q
A
63
Q
A

International Business (7 decks)

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