Unit 2 Flashcards
How can Canada improve its productivity?
Increasing investment in machinery
Attracting more foreign investment
Expanding Canadian investment in foreign countries
Increasing spending on science and technology
Increasing post-secondary funding
What are the 5 reasons that Canada is attractive to foreign investment?
Supportive business environment
Gateway to the world (geographically and economically)
Infrastructure advantage (transportation, sea ports and air)
Great place to live and attracts great employees
Cultural diversity
How has technology influenced culture?
Ideas and culture spreads quickly around the planet.
People in other countries have access to cultures that are very different from their own.
Linked by social media people are deeply engaged and have a broader understanding of cultures than ever before.
What is cultural intelligence and why is it important?
Cultural intelligence is the capability to adapt, relate and work effectively across various cultures. It is important so companies can succeed by adapting to a countries cultural differences.
What is culture?
Knowledge, experience, beliefs values, attitudes, religion, arts, symbols and possessions acquired by a group of people over time. e.g ethnic food
What is counterculture?
A culture that has values and lifestyles that oppose mainstream values and attitudes e.g punk as a form of music
What is subculture?
A cultural group within a larger or predominant culture, distinguished by it from factors such as class, ethnic background, religion or lifestyle
What two things can happen when people enter a new region?
- If their values, habits and attitudes are similar they are assimilated into the existing culture easily
- If their culture is quite different, immigrants form their own subculture
What are some factors that affect doing business internationally?
Control of foreign operations
Extent of foreign operations
Number of foreign operations
Degree of cultural differences
Control of foreign operations
A company that has branches in other countries with locals managing them will need to spend less time learning about cultural differences as local employees will already have the knowledge
Extent of foreign operations
The extent of a businesses need to be aware of cultural differences depends on the depth and type of businesses e.g A Canadian business that strictly exports gold vs a retail brand
Number of foreign operations
The more operations a business has in a foreign market, the greater the need for cultural knowledge
Degree of cultural differences
If a business is dealing with foreign markets where the culture is similar, the less knowledge is needed
Business culture in Mexico
Develop personal connections hierarchy do not criticize others publicly Time is flexible Emotion is displayed Translator may be needed Formal educational titles are used People stand much closer Appearance matter Lunch is at 2 and can last 2 hours
Business culture in Brazil
Stand closer when speaking
Handshakes or kisses on cheek in informal setting
Corporate structure is complex so managers need to be clear
Relationships are key
Meetings are informal and don’t always follow an agenda
expensive gifts should be avoided
When meeting for the first time introductions are formal, full title used
Common to interrupt each other
Business culture in China
Personal relationships
Hierarchical
Avoid being direct, they don’t say no outright
Business cards exchanged at beginning, presented with two hands
many meetings before progress is made
Giving gifts is common, opened in private, wrap gifts
Do not openly disagree with people
Allow Chinese partners to leave first
Business culture in Japan
Informal gifts for visiting someones house, formal gifts for first meetings
don’t give extravagant gifts, only be unwrapped when invited to
belittle your gift when going to someone’s house not in a business setting
Business culture in India
Never touch someone’s head
Don’t call someone with your index finger
standing with hands on your hip can be interpreted as anger
don’t point feet at a person
Do not say thank you after a meal
Avoid saying no directly
Business culture in Saudi Arabia
all aspects revolve around Islam
hierarchy and nepotism is common
age is respected, make strong eye contact
Meetings can be loud, time is flexible, avoid touching others with the left hand
Decision maker remain silent during the meet with questions being asked by someone of lesser importance
What is Canada’s population comparable to?
Cultural mosaic
How much does Canada export of cultural products?
$18.7 B, Books and ideas, movies and TV, Music, Visual art, Theatre
What sector is most of Canada’s economy derived from?
Service sector
Why are Canada’s banks profitable compared to US and EU?
Canadas banking regulations
regulatory framework and their relatively risk-averse approach
Canada’s competitive advantage
agricultural production and mining activities
Capital markets
Division of a bank that buys and sells stocks, bonds, and commodities-big money
Commodity
a basic good used in commerce that is interchangeable with other goods of the same type
Competitive advantage
a product that a country or company is better at producing than its competitors
Cultural dimension
Extent to which cultural groups are found to differ
Cultural knowledge
Knowing the history, values, beliefs and behaviours of another ethnic group
Cultural norm
A value the society holds in common
Foreign investment
A company expands its business into a foreign country
Human development index
Measures development in health, education and standard of living
Monochronic
time is linear and sequential
Polychronic
Many things happening simultaneously
Productivity
Amount of output with respect to the amount of input
Rationalization
Includes any attempt to increase a company’s effectiveness or efficiency
Spatial preception
Individual comfort levels with personal space and physical contact
Telecommuting
The use of computers and other tech to work from one’s home for a company located anywhere in the world
