The Impact of Cultural Considerations on global business practice

Question 1

The impact of cultural considerations on global business practise,including :

Answer 1

• levels of education
• customs
• holidays and celebrations
• religious beliefs
• business etiquette
• communication protocols

Question 2

Define Cultural Considerations

Answer 2

The Key factors related to cultural,religious ,ethnic and language differences between stakeholders that businesses** must be aware of and respond to in order to be successful**

Question 3

Define culture

Answer 3

The ideas,customs and social behaviour of a particular person or society

Question 4

Businesses must consider the ways in which a deep and genuine cultural understanding of key stakeholders (like employees, suppliers and customers) can impact what ?

Answer 4

the business’ efficiency, revenue, market share and productivity
Cultural understanding must be conveyed on a personal and a business level, to benefit from diversity and** avoid challenges and barriers to communication and collaboration.**

Question 5

what is culture in a business context

Answer 5

what behaviour is common and accepted professionally in one location, compared to another.

Question 6

Strong and positive cultural understanding in a market lead to what?

Answer 6

strengthened business relationships and **more effective marketing strategies, thereby raising revenue and brand loyalty. **

Question 7

Key ideas when considering culture in a diverse business environment

Answer 7

An understanding of the way:

• that management styles differ between cultures.
• That communication styles and workplace etiquette differs between cultures.
• that attitudes towards work and business differs between cultures.
• that gender roles are understood differently between cultures.

Question 8

Define Levels of education

Answer 8

the amount and degree of formal schooling that a person, or a population, has received.

Question 9

Impact on consumers by Level of education in countries with formal education.

Answer 9

• The average level of education in a population can** impact the products and services demanded in a region**.Countries who are considered to have a high level of formal education, such as Australia , are expected to purchase products that enhance their lives.
• They are also expected to have generally higher levels of disposable income, related to the higher paying jobs that relate to their advanced levels of education has provided

Question 10

Impact on consumers in countries with low level formal education due to** Level of education. **

Answer 10

Countries such as South sudan and Mali are expected to have **little disposable income and purchase mainly products that meet their basic needs (food, clothing). They are also expected to have generally lower paying jobs that relate to their low levels of education, and limited job options in their home countries. **

Question 11

customs

Answer 11

widely accepted ways of doing things in a culture or population.

Question 12

Impact on Employees and businesses:by Level of Education 1

Answer 12

where education levels are lower, there are often lower proportions of high skilled workers
L.O.E has an impact on earning capacity and disposable income of the employees

Question 13

Impact on Employees and businesses:by Level of Education 2

Answer 13

lower educated population wages attend tend to be lower and unskilled labour is more abundant. While this can decrease the cost of employment and wages for the business, it can also create challenges in filling high-level positions in management and those roles that require specific skills such as engineering or medicine. Alternatively, in economies with a more highly educated population, availability of unskilled labour can be limited while availability of skill labour can be abundant but wages are kept high due to protect employee protection. These economies are more likely to import unskilled labour from less economically developed countries and continue to be challenged by the expense of hiring skilled labour in a developed economy.

Question 14

LINK TO QUESTIONS IN DOING THIS TOPIC

Answer 14

level of education is intrinsically linked with job opportunities and standards of living
A business must be conscious of the level of education in the economy in which they are operating whether that be foreign or domestic. A business must be sensitive to the needs and expectation of the employees within these economies, and take proactive steps to mitigate challenges that may arise from differing education levels, particularly between entities controlled by the same organisation

Question 15

why should Businesses be aware of accepted Customs that are observed by employees,clients and suppliers.

Answer 15

Being aware of and acknowledging Customs ensures that stakeholders feel seen and heard by business,enhancing corporation and engagement.

Question 16

By Observing and being sensitive to the customs of your employees,a business is able to engage with them which can lead to…..?

Benefits of acknoweldging employee customs

Answer 16

• Higher staff retention
• greater job satisfaction
• higher product quality
• Increased Revenue
• increased brand loyalty
• encourage purchase

Question 17

Examples of customs to use in exam or test questions number 1

Answer 17

employee Meal Provisions: A business that is aware of this custom will be able to adequately acknowledge and address this expectation, ensuring that employees feel that they are being granted provisions they feel entitled to.

Question 18

Cultural Considerations: customs

Answer 18

• What customs are relevant in the country that the business is operating in?
• How did these customers differ from those in the businesses domestic market?
• What provisions and other special considerations could be adapted to be more sensitive to the local customs?

Question 19

acknowledging and even incorporating different cultural customs into business operations and procedures becomes an essential technique required for multinational corporations to….?

Answer 19

succeed in foreign markets

Question 20

Define Holidays and Celebrations in a business context

Answer 20

widely observed days of celebration or cultural significance that lead citizens to participate in particular activities or events.

Question 21

Cultural Considerations: Holidays and Celebrations(WHAT THINGS COULD BE MADE AS ACCOMODATION)

Answer 21

1. What celebrations are relevant in the country that the business is operating in?

2.How did these celebrations differ from those in the businesses domestic market?

3.What provisions and other special considerations could be adapted to be more sensitive to these diverse celebrations/events?

Question 22

It is Critical that businesses operating in a foreign market are aware of holidays and celebrations that are particularly relevant to that culture why?

Answer 22

businesses can form better relationships with stakeholders in that market and benefit from integration with key cultural celebrations**.

Link back to Benefits of cultural considerations

Question 23

Benefits of cultural considertions

Answer 23

1.strengthened business relationships
2. more effective marketing strategies,
3. thereby raising revenue and brand loyalty

Question 24

Tip and trick for the test on this topic

Answer 24

Businesses have to take Cultural consideration by
Being ‘‘sensitive to’’
or
‘‘Accommodation for ‘’
Taking a**dvantage of cultural difference **

Question 25

define religious beliefs

Answer 25

People’s faith in ideas related to divine powers and their influence on the destinty of humans

Question 26

religious beliefs are part of the foundation of a counrty’s what?

Answer 26

culture and religous values determine these beliefs
That is, the way people interact, lifestyles, preferences, wants and needs.

Question 27

How are businesses impacted by religion

Answer 27

• the marketing decisions a business makes,
• effects the number of sales a business, brand or product will achieve in a given market,
• effects what consumers spend money on. 

Question 28

Religious beliefs impact things like….

Answer 28

*Workpractices/customs/policies (the way things are done)

• Holiday entitlements 
• Clothing/uniforms/workwear 
• Observance of customs, work teams, facilities

Question 29

cultural considerations business should accomodate towards RELIGIOUS BELIEFS

Answer 29

• What religions are dominant in the country that the business is operating in?
• What are the needs and expectations of followers? (employee and customer)
• How do the underpinning religious values impact the way that money is spent in this market? (customers)

Question 30

Overall message for religious beliefs

Answer 30

They underpin the way majority of the world lives,interacts and makes decisions

Question 31

However,differing religious beliefs create the need to additional cultural considerations when operating in, or selling to, a foreign market that practices a different religion,why is this so?

Answer 31

Understanding the differing needs and expectations in the foreign markets that businesses operate in can help them to adapt their **strategies and policies to be more successful. **

 

Question 32

Define Business Etiqutte

Answer 32

The Customary code of polite behaviour in business relationships

commonly associated with ‘politeness’ and ‘rudeness’ and the behaviours that demonstration politeness in one place may differ greatly from another.

Question 33

what can a business gain when they observe Business etiquette when operating in foreign markets?

Answer 33

It will show that you respect others, and would like to develop trust and cooperation between your two businesses

Question 34

Cultural considerations :Business Etiquette

Answer 34

• What customs are considered polite in the market that the business is operating in?
• What behaviours are considered rude or inappropriate in the market that the business is operating in?
• How can a business find out about unspoken rules of etiquette in a business market?
• What provisions and other special considerations could be adapted to be more sensitive to differences in business etiquette?

Question 34

example in business etiquette

Answer 34

Canadians tend to be extremely punctual and adhere to time schedules. (Canada)

Question 35

Business etiqutte often refer to the expected ?

Answer 35

actions, behaviour and formalities in business to business (B2B) relationships, such as with a supplier or potential acquisition partner, and can go a long to securing a business’ success in this relationship.

Question 36

observing relevant business etiqutte can do what for business?

Answer 36

foster high levels of trust and cooperation, particularly in business relationships.

Question 37

Define Communication Protocols

Answer 37

Bothe the verbal and Non-verbal Ways people communicate in business

Question 38

similar to business etiqutee Communication protocols refer to the …..

Answer 38

polite, expected or acceptable ways of communicating to stakeholders, such as B2B partners, clients, employees, suppliers and customers.