Chapter 3a Differences in Culture

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Unformatted text preview: 3-1Click to edit Master subtitle styleChapter 3Differences in Culture3-2IntroductionCross-cultural literacy(an understanding of how cultural differences across and within nations can affect the way in which business is practiced) is important to success in international businessThere may be a relationship between culture and the costs of doing business in a country or regionCulture is not static, and the actions of MNEs can contribute to cultural change3-3What is Culture?Question:What is culture?Cultureis a system of values(abstract ideas about what a group believes to be good, right, and desirable) and norms(the social rules and guidelines that prescribe appropriate behavior in particular situations) that are shared among a group of people and that when taken together constitute a design for living A societyis a group of people who share a common set of values and norms3-4Values and NormsValuesprovide the context within which a society’s norms are established and justifiedNormsare the social rules that govern the actions of people toward one another and can be further subdivided into folkways(the routine conventions of everyday life)mores(norms that are seen as central to the functioning of a society and to its social life) 3-5Culture, Society, and the Nation-StateA societycan be defined as a group of people that share a common set of values and normsThere is not a strict one-to-one correspondence between a society and a nation-stateNation- states are political creations that can contain a single culture or several culturesSome cultures embrace several nations3-6The Determinants of CultureThe values and norms of a culture are the evolutionary product of a number of factors at work in a society includingprevailing political and economic philosophiesa society’s social structurethe dominant religion, language, and education3-7The Determinants of CultureThe Determinants of Culture3-8Classroom Performance SystemAbstract ideas about what a society believes to be good right and desirable are calleda)Attitudesb)Normsc)Valuesd)Mores3-9Social StructureA society's social structure is its basic social organization Two dimensions to consider: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 castes3-10Individuals and GroupsA groupis an association of two or more individuals who have a shared sense of identity and who interact with each other in structured ways on the basis of a common set of expectations about each other’s behaviorGroups are common in many Asian societiesMany Western countries emphasize the individual3-11Individuals and GroupsIn societies where the individualis emphasizedindividual achievement and entrepreneurship are promotedbut, this can encourage job switching, competition between individuals in a company rather than team building, and a lack of loyalty to the firm...
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This note was uploaded on 09/23/2011 for the course ECON 101 taught by Professor Smith during the Spring '11 term at North Shore Community College.

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Chapter 3a Differences in Culture - 3-1Click to edit Master...

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