Chapter 6 MANAGING ACROSS CULTURES

1. Chapter 6 MANAGING ACROSS CULTURES

2. Strategies for Managing Across Cultures • Globalization -the production and distribution of products and services of a homogeneous type and quality on a worldwide basis • National responsiveness-the need to understand the different consumer tastes in segmented regional markets

3. Globalization Vs. National Responsiveness Matrix National Responsiveness High Low High globalization Mixed Low Mixed National Responsiveness Globalization

4. Parochialism and Simplification • Parochialism- the tendency to view the world through one’s eyes and perspectives • Simplification-the process of exhibiting the same orientation toward different cultural groups

5. High Context long lasting relationships implicit communication loyalty to people of authority spoken agreements outsiders do not gain entry easily JAPAN Low Context relationships are short in duration explicit communication authority is diffused written agreements ousiders are encouraged to join inner circle U.S. High Vs. Low Context Cultures

6. General Similarities Across Cultures • Managerial behaviors in Russia • communication • HRM • traditional management • networking • Application of O.B. Mod. in Russia • Organizational commitment in Korea

7. General Differences Across Cultures • HRM activities • labor laws • wages • vacation time • maternity leave • compensation • group Vs. individual incentives

8. Doing Business in China • Emphasis on trust and mutual connections • Meetings start with small talk • Host indicates when meetings begin and end • Slow in forming a an action plan, but stick with decisions once made • Reciprocity is important • Negotiations are often carried out through intermediaries to reduce the risk of losing face

9. Doing Business in India • Punctuality is important • No personal questions • Titles are important • No public displays of affection • Beckoning done with the palm turned down • When eating or accepting things, use the right hand- the left is considered unclean • The namastegesture can be used to greet people • Bargaining for goods and services is common

10. Doing Business in Russia • Build personal relationships with partners • Use local consultants • Consider business ethics • Be patient • Stress exclusivity • Face to face communication is expected • Keep financial information personal • Research the company • Stress mutual gain • Clarify terminology

11. Doing Business in France • Use a quick hand shake with some pressure in the grip • Punctuality is extremely important • During a meal, small talk is acceptable, but personal questions and the subject of money are never brought up • Great importance is placed on neatness and taste

12. Doing Business in Arab Countries • Never display feelings of superiority • Do not take credit for joint efforts • Efforts to sidestep red tape can be regarded as disrespect for legal and government institutions • Connections are extremely important • Patience is critical to business transactions