Impact of Culture on International Business : Assignment
Added on 2020-12-30
7 Pages2640 Words171 Views
HOW CULTURE INFLUENCE THEBUSINESS
HOW CULTURE INFLUENCE THE BUSINESSIn each and every business, communication is one of the primary concerns. This mainlyencompasses verbal as well as non-verbal communication. Because of the rising globalization,businesses are creating more international workforce. Pertaining to this, it is becoming anecessity of the businesses to study cultural development. Research in relation with the area ofinter-cultural dimension is becoming more needful (Martin, 2002). In every culture, the style ofcommunication is different because varied cultural values impact the behavior of individual.Thus, it is quite obvious that there will be cross-cultural problems amid different groups ofculture. People within an organization interact with each other and interpret words as well asaction in their own understandings and assumed that these are shared when in reality they arenot. Accordingly, it can be attributed that every individual takes his own culture as the standardwhich leads to various problems related to communication. It is important on the part ofmanagers of the companies to aware about the differences in culture as what is acceptable andcommon in one culture may not be acceptable or offended in culture of another nation andcompany. As a manager it is important to know the differences so that he can adapt to that.Therefore, the present essay will have a closer look at how culture influence the business.Further, it will analyze how cultural dimensions influence the communication in business. Inaddition, the research essay will also analyze the relationship between organization culture andbusiness ethics so as to determine the key elements of successful businesses (Cameron andQuinn, 2011). Due to rise in globalization, the interaction amid the firm which is from different culturalbackground is booming. Consequently, culture which is manifest in behavioral norms, humannature and hidden assumptions has profound impact on the business of both domestic andinternational market. In such a situation, in order to deal with the foreign partners moreeffectively as well as to enter into the new market successfully, the exploration of the exoticculture and there influence on the business is necessary. In a lay man language, culture involvesreligion, education, symbol, economic systems, political system, social institutions and language.So, when it is talked about the influence of culture on business, these aspects should beconsidered, specifically the influence of language, religion, social institutions and history whichdepicts habits, beliefs and attitude of the society. Analyzing these aspects will greatly help ingaining understanding about the influence of culture on business (Martins, 2000).1
To initiate with, language is being regarded as the most vital factor that influences bothdomestic as well as international business. This is because language is the critical medium forpartners in business in order to communicate with one another as well as to understand the ideasand values (Adeniji, Osibanjo and Abiodun, 2013). Rising and frequent global trade hasincreased the exchange of languages and is impacting the international trade. There are manytaboo words ad idioms in every language, which are likely to cause problems. For example, thereare some numbers which are treated differently in diverse areas like number ‘3’, which enjoyspraise as well as abuse alike. For example, in Monaco and Hong Kong, people like this numberbecause of the belief that it will bring prosperity (Ricardo and Wade, 2001). On the other hand, itis considered as ominous in European nations. Thus, it can be said that, while carry out businessand interacting with the international partners, code-switching is very important. Let’sunderstand this situation by taking the example of Microsoft Word. It is simply software at thefirst glance. But the languages available in the Word are part of Microsoft marketing discourse.It also makes statements in regards with the ways brands want to perceive. As a part oflocalization strategy, word offers wide range of English from Australia to Zimbabwe. Further, italso provides a comprehensive option of language in Irish-English. Here, Microsoft is consideredas a good model of code-mixing, which offers convenient to customers and expands thecustomer base and attain global reputation (Hofstede, 2001). Secondly, the role of religious factor in both domestic and international business can’t beignored, especially in the states which are being ruled by religious authorities. These religionlaws set down fundamental principle and beliefs which controls the life as well as behavior of itsadherents. The business can be impacted by religious belief mainly in two ways. Firstly, sharingthe beliefs which are common often implies sharing similar values. For example, a businesspartner of same religion will help in enhancing the trust amid them and will increase the tradevolume more than the partners of different religion. Secondly, each and every religion has itsown ethical perspectives in relation with the activity of trading (Parker, 2000). The influence ofreligion can be indicated on the material life of the people as well as on their attitude ofpurchasing and utilizing the services and goods. Furthermore, religious traditions also prohibitsthe consumption of specific products and services like in Islam, eating pork is prohibited.Similarly, in Hindu tradition consumption of beef is banned (Ojo, 2003). Thus, when themultinational companies like McDonald steps towards the Muslim nations, they alter their menu2
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