Cross-Cultural Management: Concepts, Models, and Impact on Organizational Culture and Leadership

This report explores cross-cultural management, including concepts and models like Hofstede's cultural dimensions theory and Trompenaars's dimensions. It analyzes the impact of organizational culture on management and leadership, and the issues and conflicts between India and China. The report also provides recommendations for HR strategies to improve cross-cultural communication and negotiation.

Cross-cultural
Management

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................3
Concepts, Models or Theories................................................................................................3
Management issues and conflicts between India and China..................................................6
The impact of organisational culture on management and other business functions.............7
The effect of culture on leadership.........................................................................................7
The impact on the approach to cross-cultural negotiation......................................................8
CONCLUSION AND RECOMMENDATIONS............................................................................8
REFERENCES..............................................................................................................................10
Books and Journals:..............................................................................................................10

INTRODUCTION
Cross-cultural management refers as the concept of management in a cross-cultural
context. It involves the study of the impact of societal culture on business managers, along with
management practices and the study of the cultural orientations of business members and
individual managers. It helps company to deal with diverse people coming from diverse cultural
backgrounds. It is the need that has emerged due to the diversity at workplace. It is necessary
because today's the present companies are going international and managers have to deal with
individuals whose culture is wholly different from the ones that of the host country. The
following report is based upon Apple Inc. which is an American global organisation in
technological sector (Adolfo, 2019). It has headquarters in Cupertino, California, United States.
It has specializations in consumer electronics, online and software services. As of 2022, this
organisation has been known as the world's galactic technology organisation by its revenue. The
following report will determine the diverse levels of culture with the help of different models or
concepts. In this report, the two cultures have been compared that is China and India. Later on,
the management conflicts and issues have been analysed between those counties. Also, there are
some HR strategies which will be addressed in this report in order to know the cultural impact at
various levels. At the end, there are some recommendations have been in company's context.
TASK
Concepts, Models or Theories.
Hofstede's cultural dimensions theory is the framework that works for the organisations
to know the differences in culture cross-boundaries and to recognize the methods that a company
is done across various cultures. In addition to Apple, this model helps in identifying the
differences between different national cultures, the cultural dimensions as well as assess the
influence on a enterprise setting. It involves six categories that explain culture of India and
China:

 Power Distance index: This category shows the degree to which less powerful
individuals of community expect and accept that the power is allocated on unequal basis.
In Chinese culture, it has been seen that the power is distributed unequally and shows
high respect for top authorities and position. This culture accepts power differences and
reflect inequity (Ekmekci and Guney, 2021). On the other side, Indian culture promotes
more divisional and flat organisational structure in all employees are encouraged to give
opinions and participate in the decision-making process. Hence, it emphasis on
distribution of power equally.
 Individualism vs. collectivism: In Chinese work culture, it has been seen that this
country give importance on the well-being and goals of the team, rather than person's
self-image. They tend to work as a group and take responsibility as “we” on emphasis.
Whereas, India is more focuses on the attainments of personal aspirations and more
determine their own image. Hence, they take responsibility of their own work only, more
emphasis on “I”in their work and jobs (Ibnu and Solida, 2021).
 Uncertainty avoidance index: From the assignment 1, it has been seen that China is the
country where employees are passionate about their work, encourage to risk-taking as
well as high tolerance for uncertainty. Also, this culture is appreciating the diverse

background person and open to accept them. While, India defines the culture which has
low tolerance for uncertainty, take minimum risks in their working, low ambiguity. Also,
it seen that the new person in the business does not normally accepted with open mind
and also imposed several rules and regulations against them which determines high
uncertainty avoidance.
 Masculinity vs. Femininity: Masculinity dimension is involved in China as they are
open and encourage diverse people in the business, also do not discriminate employees
on the basis of gender, race or religion (Kong and et.al., 2019). They more focused on
building and developing wealth around the people. India is more emphasised in
femininity in which they highly discriminate people on the basis of different gender,
roles, caste, values, beliefs and much more. Indian culture more concerned with the
quality of life, caring for the weak people, more preference for cooperation among
employees.
 Long-term orientation vs. short-term orientation: It can be seen from the graph that
Chinese culture is more focused on the long term orientation and future success. This
country tend to be modest, pragmatic and more thrifty. Chinese employers emphasised on
education and qualification of their workers and employees so that long term
performance can be improved and future goals can be realised. Whereas, Indian culture is
more concentrate on the near future, and covers small steps towards success and goals.
They pay more focus on the present situations to get results and plans accordingly.
 Indulgence vs. restraint: Chinese culture shows restraints in their culture in which
society is having more control and involves rigid behaviour in working. Chinese
employees are not allowed to create jokes and are more engaged in formal surroundings.
On the other side, India has culture where people can talk open and has freedom to
speech (Opuszynski and Shireman, 2019). They are more focus on personal joy, fun and
happiness. Indian employers are motivated to take participate in debate and in meetings
or any kind of decision-making process. They are indulged with more flexible work
environment.

Management issues and conflicts between India and China.
Cross-cultural defines the interaction with people of diverse cultural, age, ethnic and class
backgrounds. This is the form of global communication which shows how individuals of diverse
culture or background communicate as well as socialise or interact with each other in various
ways among themselves (Schermerhorn Jr and Bachrach, 2020). In addition to Apple, it can be
said that cross-cultural management faces many issues which are mentioned below:
 Troubles with accents and fluency: English is the common language which is used
world-wide, but the accents and fluency can be different due the origin of the individual
using it. Communication can be hard in global setting as accentuated words as well as
speech make it tough for the people to comprehend the member properly. In context to
Apple, people speaking with an accent provides an idea to other people that the
individual is not a native communicator, which could lead the undervaluation or
competence, discrimination and low opportunities as well. Both India and China workers
and employees must communicate in the language which can be understood by both side
employees. English is the universal language which is not their prior language. Instead of
being mum, keep their views and opinions toward themselves only, the organisation is
anticipated them a agile vocalization language course. As per the dimension of high and
low context in Hall's model, it can be said that India has the high-context culture where
rules, regulations and policies are basically clear to employees and do not need to be
expressed by language (Thanetsunthorn and Wuthisatian, 2019). On the other side, China
is low context culture where information are expressed in written communication in the
forms of texts, emails, online messaging and much more, so that the issue of accent or
fluency can be erased.
 Direct and indirect communication: With the help of Trompenaars's dimensions, it can
be said that direct communication is taken place in Indian culture where employees are
encouraged to speak up and gives credit for their being upfront and honest. Indirect
communication happens in Chinese work culture where messages or information passed
on via excuses or hidden emotions, rather being direct. Hence, Indian culture is a neutral
culture where emotions are emphasised and expressed openly, but, it is opposite in China
where people are not allowed to have open talks.

 Conflicting norms for decision-making: In China, high power work culture was
identified due to which employees only comprehended the authorities of managers to
make business choices in businesses. Also, in China, the top management takes decisions
and employees only follows their top authorities. Whereas, in India, employees are
granted with power in which they are involved in the decision-making process.
Employees can put their beliefs, values, behavioural patterns, attitudes in front of their
peers and seniors (Wang, Shi and Zhang, 2020). Hence, India has low power distance.
 Differing attitude towards hierarchy and authority: India scored low on the power
distance dimension and it is integrated with the most individualistic country. In China, it
is the place no importance is given on rights in all sections of society and government.
Chinese employees must be relied on their seniors' instructions and employees can
tolerate the inequalities. On the other side, India has a great deal of formality. Also,
employees are willing to accept uneven rights.
The impact of organisational culture on management and other business functions.
Organisational culture has a significant impact on the business performance and
productivity. In China, this work culture is more emphasised on the successful work with the
employees, that means their planning is to make money for the business while indulging
guidance and order to the employees so that they work as per the actions determined by the
seniors (Zhang and et.al., 2019). On the other hand, as the Indian culture is tend to be more
informal work culture it build relationships and more focus on the value of their employees,
rather than just make money for the business.
The effect of culture on leadership
Chinese leaders put more significance on productivity and they possibly hire someone for
the work who has right skills and competencies. The accountability is provided to the persons
and to the whole team, therefore, it is less aggravated to improve the whole coexistence of the
performance. Chinese leaders and managers tend to take their business decisions and determines
how successful their business can be. Indian leaders may provide responsibilities and duties by
seeing the relationship with their employees and not by their skills. They also tend to be more
friendly with their employees in order raise their individual productivity rather than overall
productivity of business.

The impact on the approach to cross-cultural negotiation.
Cross-cultural communication supports in analysing diverse behaviour of people in
companies all over the world, and its exhibits how they can work together other members such as
clients, suppliers, employees coming from various culture. Low versus high context
communication determines the level of communication both direct or indirect for it its internal
negotiation. High-context cultures such as India show their message in perspective or
background of the negotiation as well as considers very small information. While, China as low-
context cultures, information is send with accurate and strong form. Cross-cultural competence
defines the negotiator abilities to adapt to the certain style of communication of other party. The
booming working of the parties in global negotiations fits the demands of successful cross-
boundaries communication (Zhang and et.al., 2021). Hence, negotiation in cross-culture is when
the negotiation parties are not come from the similar culture, and do the share the similar way of
feeling, thinking and behaviour.
CONCLUSION AND RECOMMENDATIONS
It has been concluded that understanding cross culture helps the management to know the
culture which involves different backgrounds, behaviours, languages and much more of the
people. Global companies faces several issues related with the management of cross-culture as
their business is expanded all over the world they face issues such as conflicting norms in
decision-making, accent and fluency, direct and indirect communication. It is also seen that HR
strategies have been impacted by cross-culture activities such as it affects leadership,
organisational culture, negotiation and much more.
The recommendation is to hire a communication coach that could help in getting
understand the people who have different values, beliefs and culture used in a particular country.
Also, organisation can offer language courses for the non-native communicators so that their
language skills can be improved. On the other side, equality has its own importance in business
so it should be promoted within team so every person can show their viewpoints or ideas. It will
also help in enhancing the overall productivity. Lastly, it is also suggested that in order to
success in the negotiations, it is essential to adapt to the culture of other party an ensure they are
on the common table. This could help in positive outcomes, simultaneously, provide successful
negotiation.

REFERENCES
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Ekmekci, O.T. and Guney, S., 2021. Destructive Leadership from a Cross-Cultural Perspective:
Is There a Convergence or Divergence?. In Destructive Leadership and Management
Hypocrisy. Emerald Publishing Limited.
Ibnu, I.N. and Solida, A., 2021. Predictors of hospital patient safety culture outcomes in Jambi
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Kong, L.N. and et.al., 2019. Attitudes towards patient safety culture among postgraduate nursing
students in China: A cross-sectional study. Nurse Education in Practice, 38, pp.1-6.
Opuszynski, K. and Shireman, J.V., 2019. HERBIVOROUS FISHES: Culture and Use for Weed
Management: Culture and Use for Weed Management. CRC Press.
Schermerhorn Jr, J.R. and Bachrach, D.G., 2020. Exploring management. John Wiley & Sons.
Thanetsunthorn, N. and Wuthisatian, R., 2019. Understanding trust across cultures: an empirical
investigation. Review of International Business and Strategy.
Wang, Y., Shi, G. and Zhang, X., 2020, May. Information Exchange in Public-Culture Service
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Zhang, X. and et.al., 2021. Overlearning is as ineffective as underlearning? A cross-culture study
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