Intercultural Business Management: Cultural Dimensions and Strategies for Managing Cross Cultural Situations

Intercultural Business
Management
1

TABLE OF CONTENT
.........................................................................................................................................................2
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Different cultural dimensions of regularity and variability to know the impacts of culture on
international market.....................................................................................................................3
Strategies used in international business in managing cross cultural situations in the workplace
......................................................................................................................................................4
CONCLUSION................................................................................................................................6
2

INTRODUCTION
Intercultural management is all about a combination of skills and knowledge that are
essential for businesses and people for dealing with national as well as regional cultures and
differences between cultures. This study is going to show about intercultural management with
the help of cultural dimensions. The main aim of implementing Hofstede’s cultural dimensions
in this study is to know some positive and negative impacts of cultures on international market. It
will also show some other strategies that help out organizations to manage cross cultural
situations in the workplace and take all competitive advantages. Individualism and collectivism
is the main topic and concept which will show their impacts on motivation and the way the
company work.
MAIN BODY
Different cultural dimensions of regularity and variability to know the impacts of culture on
international market
Globalization is the main factors that putting pressure on several businesses to enter in the
new and international market. According to Jason and et.al., (2018) main reason and driver of
globalization is competition among businesses and advanced technology. For being in the
competition and for taking competitive advantages, businesses want to attract international
customers and that is the reason they want to enter in international market. The cultural
dimension of globalization' explores the intensification and expansion of cultural flows across
the globe. It also refers to the exchange and share of ideas and values around the world in the
way of extending social relations.
Dimensions of cultural variability a concept that can be defined as a dominant values,
beliefs and ethics that are being shared by an identifiable group of people. With the help of
Hofstede’s cultural dimensions, organizations and humans can learn how to organize their
behaviours in relation to the environment. Santos, Varnum and Grossmann, (2017) stated that
cultural differences and different needs of people have great impacts on international market.
The main topic and dimension among all dimensions of Hofstede’s culture dimension is
individualism and collectivism. All dimensions are described as follows:
Power distance Index: It refers to the degree in which inequality exists on the basis of
power. High and low distance index decides the type of society nature in the context of equality
3