Intercultural Competence in Business

Intercultural competence
in Business

Table of Contents
INTRODUCTION...........................................................................................................................3
CASE STUDY 2..............................................................................................................................3
Where did Stefan go wrong?.......................................................................................................3
How could you help Stefan to understand cross-culture problem..............................................4
Use intercultural theories to explain and support discussion......................................................6
Advice to Stefan..........................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................8
Hofstede's Cultural Dimensions .2019. [Online]. Available
Through:<https://www.mindtools.com/pages/article/newLDR_66.htm>.......................................9

INTRODUCTION
Intercultural competence is a crucial skill that is required in the global workplace where
employees from different cultures, beliefs, values and assumptions work together. It helps in
analysing the expectations of people belonging to different cultures so that they can be motivated
to perform their tasks efficiently which will help in increasing their productivity. This will help
in increasing the profitability of the company and also better coordination and integration among
all the workers so that a friendly work environment can be created (Beugelsdijk, Maseland and
Van Hoorn, 2015). In this report case study 2 is discussed regarding the issues faced by Stefan
Philips in an overseas assignment in Saudi Arab due to intercultural differences. Also
intercultural theories and frameworks will be discussed to understand different interpersonal
interactions in different situations.
CASE STUDY 2
Where did Stefan go wrong?
Different national cultures comprises of different cultural value systems, beliefs and
assumptions which affects the behaviour of persons in the organisations. Variety of cultures in an
organisation can increase the potential of conflicts due to differences in their thought process and
the ability to perceive things differently by people belonging to different cultures. Stefan Philips
was a manager in a large U.S. Airline and lacked cross-cultural competence which led to his
getting frustrated by the end of first week when he was transferred to Saudi Arab for an oversea
assignment. He was unable to understand the perception levels, value and beliefs of Arab people
who are generally God fearing and are superstitious about everything. It is a belief that prevails
in Arab that if something does not happen in the planned manner or the results are not achieved
as desired then it is because God did not want that thing to happen. They say 'Inshallah' which
means 'If God wills it' for anything that went wrong or did not go the way it was planned. Stefan
on the other hand belonged to a culture where people put their efforts so that desired results are