How does culture impact on international business?
- Definition of keywords
- The role of culture
- The characteristics of culture
- Levels of culture
- The work of Hofstede
- Cultural dimensions
- Influences of these dimensions on organizations
- Notes on the dimensions of Hofstede
- Management styles
- Human motivation
- The organization of businesses worldwide
- Distinguish and analyze organizations through culture
- Critics of the works of Hofstede
Today companies are faced with the reality of cultural diversity, not only on the international trade arena but also within their organizations. As such, if you really want to make use of the increasing opportunities and benefits that the global economy offers, they must ensure that their employees have sufficient intercultural competence. (EDU)
In what way culture influences does business internationally?
We see the impact of culture on international business in two major parties. In the first part we explain the culture by defining keywords of the problem. Then we explain the role of culture, its characteristics and levels. In a second part we will analyze the work of Hofstede on culture by a summary of the cultural dimensions that he can draw their influences on organizations. We will issue some notes on its dimensions and we will endeavor to explain the management styles and ensuing human motivation. We will then be able to distinguish and analyze organizations through culture, and conclude with a critique of Hofstede's study.
[...] So we know that culture has an influence on trade between countries. Culture plays a vital role in companies locally and internationally. International trade request be knowledgeable about the local markets of the world. Companies are forced to adapt to cultural differences of countries to trade. Whether it is the language of the body or mouth, the notion of time (time difference) or social conditions, values, beliefs, and companies should know all these factors to enter the markets. Hofstede's research helped establish a base of the role that culture plays in the world regarding international trade. [...]
[...] For an organization to function properly only if its members share the same value (such as corporate culture, for example). For multinational organizations, if members do not belong to the culture of the leader, they need to acquire what is called a bicultural which will be limited to the field of work. In the case of international organizations like the European Union, it is difficult to obtain a dominant culture. How to properly operate its organizations is to create a form of sub-culture based on trade rather than national identity. [...]
[...] Thus culture is inspiring because it gives information on the reactions of individuals faced with change. This latter feature is particularly important in the context of marketing. (Harrison) Levels of culture: National / Regional: The one that stops at the border of a nation, akin to own a company (eg the French nation). This is the level of culture the most basic and most primary. National culture includes values, myths, ideas shared by a society. (culture.entreprise) At the company level: Corporate culture is defined by all the rules of an organization, how the business will solve a problem. [...]