Cross Cultural Management Flashcards
Explain what cultural awareness is!
- being aware of cultural differences
–> is the first step towards a successful international business relationship
Describe 3 roles of Cultural differences within international business!
- contributes to the complexity of international business
- displays barriers to FDI and international trade
- arise in relations between domestic firms and foreign
stakeholders (ex. ThyssenKrupp & main stakeholder)
Name 5 functions of culture
- ) Orientation
- ) Motivation
- ) Order
- ) Identity
- ) Meaning & Signification
Name 5 different levels of culture
- ) Corporate Culture
- ) Gender Culture
- ) Country Culture
- ) Industry Culture
- ) Hierarchy Culture
What is the significance to culture and its persistence through generations?
- Culture can only be LEARNED by passing down from
one generation to the next - Culture can only be specific to GROUPS or
CATEGORIES
Name 7 elements of culture!
- ) Language
- ) Religion
- ) Values
- ) Customs
- ) Education
- ) Aesthetics
- ) Myths/Legends
Explain what part of culture affects the Reasons For specific Behaviour?
- Mental Culture
- -> Ex.: Norms/Values/Taboos
Explain what part of culture affects the actual Behaviour?
- Social Culture
- -> Ex.: Attitudes/Customs/Social Structure
Explain what part of culture is responsible for the Results Of Behaviour?
- Material Culture
- -> Ex.: Architecture/Clothes/Tools
Name all 5 of Hofstede’s cultural dimensions
- ) Power Distance
- ) Uncertainty Avoidance
- ) Masculinity
- ) Individualism vs. collectivism
- ) Short-term vs. Long-term orientation
Name 4 forms of organisational cultures and explain how they are affected by cultural dimensions of different countries?
- ) Well Oiled Machines (Germanic Organisations)
- rules are clear and at place
- little interference through management
- -> High UA/Low PD
- ) Village Market (Anglo-Saxon Organisations)
- no hierarchy or rules
- demand of situation determines outcome
- -> Low UA/Low PD
- ) Pyramid of People (French Organisations)
- strong hierarchies
- -> High UA/High PD
- strong hierarchies
- ) Family (Asian Organisations)
- owner/manager is grandfather
- highest respect to elderly
- -> Low UA/High PD
Name the 7 dimensions in Trompenaars’ cultural model
- ) Universalism vs. Particularism (rules)
- ) Individualism vs. Communitarianism
- ) Neutral vs. Affective (emotions)
- ) Specific vs. Diffuse (assignment of responsibilities)
- ) Achieved vs. Ascribed (status)
- ) Sequential vs. Synchronic (time)
- ) Internal vs. External (control)
What does the GLOBE study stand for?
G - Global L - Leadership & O - Organisational B - Behaviour E - Effectiveness
What are the 9 dimensions of the GLOBE study?
- ) Uncertainty Avoidance
- ) Power Distance
- ) Collectivism 1: Societal Collectivism
- ) Humane Orientation
- ) Gender Egalitarianism
- ) Assertiveness
- ) Future Orientation
- ) Collectivism 2: In-Group Collectivism
- ) Performance Orientation
In which countries are the levels of UA higher than they should be and in which countries are they lower than they should be?
Higher than necessary –> Western European Countries (Ex.: Germany, Switzerland, Austria)
Lower than necessary –> Eastern European, Asian & South American Countries (Ex.: Russia, India, Argentina)
What are the 4 dimensions that Gesteland’s model evolves around?
- ) Relationship focus vs. Deal focus
- ) Indirect vs. Direct language
- ) Formal vs. Informal business culture
- ) Monochronic vs. Polychronic time
Name 2 countries that represent each side of Gesteland’s first dimension and explain why!
Relationship focus –> JAPAN
- importance of personal relationship an face to face
communication
Deal focus –> USA
- focus on business straight away - impersonal and contract based approach
Name countries that use indirect or direct language and characterise them!
Indirect Language –> JAPAN
- high context culture - importance of symbolism and saving face
Direct Language –> USA
- low contect culture - clear and straight forward communication
Name countries that have formal/informal business cultures and characterise them!
Formal business culture –> Europe/Asia/Latin Am./Arab
- large importance of hierarchies - big PD
Informal business culture –> North America/ Scandinavia
- focus on equality - small PD
Name countries that follow monochronic time and countries that follow polychronic time
Monochronic –> Europe, North America
- focus on punctuality - time as commodity
Polychronic –> Latin America, Asia, Arab
- time is manipulatible - relationships more important than time
What are Gesteland’s 2 iron rules in international business
- ) Seller is expected to adapt to buyer
2. ) Visitor is expected to observe local customs
What are the 3 types of interpersonal communication in regards to Gesteland’s Nonverbal Business Behaviour?
1.) Verbal communication (spoken words & their meaning)
2.) Paraverbal language (meaning of spoken
volume/ silence / conversational overlap)
3.) Nonverbal communication (body language –>
symbols)
Characterise expressive cultures (Latin American) in regards to Gesteland’s Paraverbal Negotiating Behaviour!
- Verbal Volume
- -> raise of voice to emphasise point
- Silence
- -> feel uncomfortable with silence
- Conversation overlap
- -> interruptions normal part of conversations
Characterise reserved cultures (Germanic/East Asian) in regards to Gesteland’s Paraverbal Negotiating Behaviour!
- Verbal Volume
- -> soft & controlled tone
- -> loud voice - sign of anger
- Silence
- -> feel comfortable with silence
- -> feel no need for unnecessary babbling
- Conversation overlap
- -> Interruptions considered as being rude
What are the 4 key elements of Gesteland’s Nonverbal Negotiating Behaviour (include examples)?
1.) Proxemics (spatial behaviour)
- spatial distance in Arab/Latin Am. cultures smaller
than in Europe/North Am.
- ) Haptics (touch behaviour)
- different in all countries (handshaking customs vary)
3.) Oculesics (gazing behaviour)
- expressive cultures –> eye contact critical
- reserved cultures –> direct eye contact -> maybe
discomfort
4.) Kinesics (gestures/body movement)
- expressive cultures –> emphasis verbal message with
facial expression and bodily gestures
- reserved cultures –> poker face & little body
movement
