Cross Cultural Comparison and Challenges Faced by Burlington Industries
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This essay discusses cross cultural comparison using Hofstede theoretical framework, challenges faced by Burlington Industries while managing new teams of employees, and suggestions for overcoming challenges. It also discusses how parent company can manage international project effectively.
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Table of Contents INTRODUCTION.........................................................................................................................3 MAIN BODY..................................................................................................................................3 Hofstede theoretical framework - Cross cultural comparison between 2 countries....................3 Main challenges faced when managing new teams of employees..............................................5 Suggestions for overcoming challenges using relevant theory....................................................6 Discuss how parent company can manage international project effectively (focus on expatriate selection, training and rewards)...................................................................................................6 CONCLUSION..............................................................................................................................6 REFERENCES AND BIBLIOGRAPHY....................................................................................8
INTRODUCTION Understanding, appreciating, and effectively engaging with world perspectives, beliefs, behaviours, communication styles, cultures, and practices that are different from one's own is referred to as cross cultural awareness. It is the understanding of own culture and is the foundation of communication. Cultural awareness helps in enhancing relationship skills through which different values and beliefs can be understood (Browaeys and Price, 2019). Burlington Industries is American fabric manufacturing company which was founded in 1923 in North Carolina, U.S. the brand was started by J. Spencer Love and the parent company is International Textile Group. This essay will define cross cultural comparison with the help of Hofstede theoretical framework. This study will also outline challenges which will be faced by them while managing a new team of workforce. The report will also list some recommendations which can be helpful for overcoming such concerns. Lastly, the report will define how parent company operating in USA can effectively manage their international project in Bulgaria. MAIN BODY Hofstede theoretical framework - Cross cultural comparison between 2 countries Hofstede Cultural Dimensions Framework Hofstede Cultural Dimensions Theory was proposed by Geert Hofstede in 1980. This framework supports in analyzing the differences in culture across countries and differentiation in ways that business is done across different cultures. This model is helpful in understanding the cultural differences among countries. This theory is used for cross-cultural communication. There are several dimensions which are identified with the help of the framework, some of the dimension which will be discussed are listed below: Masculinity vs. Femininity- In this dimension, masculinity refers to preference in society for achievement of heroism, assertiveness and material rewards for success. This dimension is majorly viewed as taboo in highly masculine societies (Dillette and et.al, 2017). In feminine societies, they share modest and caring views equally with men. It can be observed that in more masculine societies, women are more emphatic and competitive but less than men. This can also be helpful in recognizing male and female values.
Individualism vs. Collectivism- This dimension values the degree which societies are integrated into groups and dependence on groups. Individualism highlights greater importance is focused on achieving personal objectives. Therefore, the self-image in this dimension is classified as “I”. Collectivism focuses on greater importance is placed in goals and well-being of the group. The person’s self-image in this dimension is classified as “We”. Power Distance Index- This dimension considers the extent to which inequality and power are endured. In this dimension, power and inequality are analyzed from the viewpoint of followers which is lower level (Gupta and Bhaskar, 2016). Through high power distance index indicates that culture accepts inequity and power differences, encourages bureaucracy and outlines high respect for rank and authority. Whereas, low power distance index highlights culture encourages organizational structures which are flatandfeaturedecentralizeddecision-makingresponsibility,participativestyleof management, place emphasis on power distribution. Short-term vs. Long Term orientation- Short term orientation emphasis on near future which included short term success and places stronger emphasis on present than the future. This focuses on quick results and respect for tradition. Whereas, long term orientation which focuses on future and lead to delay in short term objective in order to accomplish long term objectives (Karandashev, 2019). This section of this dimension focuses on preservance, long term growth and persistence. Restraintvs.indulgence-Restraintdimensiondefinethatsocietysuppresses gratification of needs and regulates through social norms. Whereas, indulgence showcase the society which allows relatively free gratification related to have fun in life. Cross cultural comparison between USA and Bulgaria From the cross-cultural comparison with the help of Hofstede cultural dimensions between Burlington Industries operating in USA and Bulgaria has been discussed underneath: The diagram mentioned below defines Bulgaria and USA cultural difference: Bulgaria USA
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It can be observed that power distance in Bulgaria of Burlington Industries in comparison to the parent company operating in USA is high which defines that the employees working in remote location are more focused for rank and authority (Kasemsap, 2015). Moreover, the employees working with Burlington industries in Bulgaria has defined incline in long term orientation and avoidance of uncertainty in comparison with the parent company operating in USA. Therefore, individualism, masculinity and indulgence are some of the dimensions which are higher in comparison to Burlington Industries operating in Bulgaria. Therefore, the culture difference in USA and Bulgaria has created a positive as well as negative impact on the individuality, team work, performance and interest of employees. Main challenges faced when managing new teams of employees Some of the challenges which has been faced by Burlington Industries while managing new team of employees in Bulgaria are explained below: Linguistic barriers- This is one of the major challenges which has been faced by Burlington Industries as this creates barrier in communicating and understanding the opinions of others (Kim and Stepchenkova, 2017). Due to language gaps, this has been one of the challenge for organization to create two-way communication as this also lead to delay in achievement of organizational objectives. Culture shock-This has been one of the primary challenges of managing expatriates. This has been a barrier where Burlington Industries faced issues while adjusting in new culture, working environment, social structure. Expatriation costs- This has been one of the challenges which has been faced as opening a new store in Bulgaria and shifting employees to the new location requires high cost an
investment which can affect the financial position and finances of the organization. While managing expatriates on international assignment, this can be challenging and expensive. Suggestions for overcoming challenges using relevant theory Some of the suggestions which will be helpful for Burlington Industries to resolve and manage their challenges which has been faced by them while operating in Bulgaria are mentioned below: Use of common language and training-In case of Burlington Industries, the company hire employees who can speak in local language which has been common in several countries to find a common ground. This will be helpful for creating effective interaction and through sharing all required in formation (Prest, 2020). This barrier can also be managed by offering training to international employees which will be helpful in completing all work effectively and in timely manner. Understand culture of expatriate employees-by understanding the culture, values and beliefs of expatriate employees, it will be helpful for dealing with culture shock by easily identifying such concerns and forming strategies for resolving such issues. In case pf Burlington Industries, with the help of offering information regarding the country, their culture, other facilities and creating a link between the current employee as a point of reference will be helpful for expats to create more informed commitments. Mutual contract for foreign employees- in order to protect the investment, Burlington Industries must create a contract which must be signed by international employees after reading and understanding all terms and conditions (Rodrigues and Parr, 2019). This will be helpful in meeting the amount of investment which has been made and contribute in business growth. This will also create an opportunity for Expats to reach at global level and resolve issues, encourage staff and manage cross culture competence. Discuss how parent company can manage international project effectively (focus on expatriate selection, training and rewards) When collaborating on international projects, companies put a priority on knowledge acquisition and global leadership development. Burlington Industries employees working in the United States must be sent to foreign assignments for one of two reasons: to generate and transfer knowledge, or to improve their global leadership qualities, or both.
Atthecompletionofexpatriateassignments,companiescarryoutascheduled repatriation procedure. Burlington Industries understood this and supported its returning workers by providing career guidance and allowing them to employ their overseas experience. Sending People to the Right Places for the Right Reasons- For as long as businesses have moved people abroad, many have done so for the wrong reasons—that is, for reasons that do not make sense in the long run (Shadiev, Hwang and Huang, 2015). Employees are moved abroad in the case of Burlington Industry to satisfy a critical business need: to compete with an opponent who is gaining market share. Burlington Industries expats must work hard to make friends with the locals in their new country by trying to interact and communicate with people, but those who succeed in their jobs are the ones who don't give up when their initial attempts fail or embarrass them. Flexibility in culture- As per Burlington Industries, expats who actively experiment with various cultures provide the most value to their business by remaining around for the long term and being responsive to particular market trends. Style of collective bargaining- There is a far larger chance of conflict than when expatriates are negotiating with foreigners. There are huge differences between the way negotiationsarehandledamongstcultures.Acollaborativenegotiatingstrategyis therefore important in foreign countries and can be substantial enough at home in the firm. Selection– The selection process can be led by defining an international assignment's purpose and objectives. Burlington Industries usually employs main factors for selecting people for international jobs with technical and employment skills. However, assessing global attitudes is equally critical for successful missions (Shadiev, Sun and Huang, 2019). This is especially true because international responsibilities are becoming more important components of leadership and personnel development. Improved self-awareness and cross-cultural understanding. Allows you to express your problems and problems in a secure environment. Helps to motivate Reduces stress by providing coping strategies.
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Assists you with settling into your new home. Reduces the chances of a relocation failure. CONCLUSION From the above report, it can be concluded that cross cultural awareness is the ability of workforce which supports in understanding, communicating and supports in effectively interact with people across different nations. It can be concluded that hiring expatriates bring opportunity for an organization to reach minds of people across nations and borders. Cross culture is the factor which can create positive as well as negative impact on the business. As cross culture is responsibleforcreatingpositiveimpact,thiscandriveinnovationandbringnumerous opportunities for organization to strengthen their roots in international markets and engage in activities through which they can sustain competitive within the industry for longer time span. It can be observed that there are various barriers which can be faced by an organization due to cultural differences or cross culture which is also responsible for adversely influencing the success and profitability of business.
REFERENCES AND BIBLIOGRAPHY Browaeys, M. J. and Price, R., 2019.Understanding cross-cultural management. Pearson UK. Dillette, A. K and et.al., 2017. Resident perceptions on cross-cultural understanding as an outcomeofvolunteertourismprograms:TheBahamianFamilyIsland perspective.Journal of Sustainable Tourism.25(9). pp.1222-1239. Gupta, S. and Bhaskar, A. U., 2016. Doing business in India: cross-cultural issues in managing human resources.Cross Cultural & Strategic Management. Karandashev,V.,2019.Cross-culturalperspectivesontheexperienceandexpressionof love(pp. 83-98). Cham: Springer International Publishing. Kasemsap, K., 2015. The roles of cross-cultural perspectives in global marketing. InAnalyzing the cultural diversity of consumers in the global marketplace(pp. 37-59). IGI Global. Kim, H. and Stepchenkova, S., 2017. Understanding destination personality through visitors' experience:Across-culturalperspective.JournalofDestinationMarketing& Management.6(4). pp.416-425. Prest, A., 2020. Cross-cultural understanding: The role of rural school–community music education partnerships.Research Studies in Music Education.42(2). pp.208-230. Rodrigues, H. and Parr, W. V., 2019. Contribution of cross-cultural studies to understanding wine appreciation: A review.Food research international.115. pp.251-258. Shadiev, R., Hwang, W. Y. and Huang, Y. M., 2015. A pilot study: Facilitating cross-cultural understandingwithproject-basedcollaborativelearninginanonline environment.Australasian Journal of Educational Technology.31(2). Shadiev, R., Sun, A. and Huang, Y. M., 2019. A study of the facilitation of cross‐cultural understanding and intercultural sensitivity using speech‐enabled language translation technology.British Journal of Educational Technology.50(3). pp.1415-1433.