International Management: Cultural Differences and Expatriate Success Factors

This report from Desklib explores the challenges of international expansion for Accenture in Germany, Brazil, and Japan. It discusses the impact of cultural differences on organizational culture and the need for businesses to adjust their practices accordingly. The report also examines the factors that contribute to expatriate failure and success, including candidate selection, support structures, training, and communication. Course code and college/university are not mentioned.

International
Management
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Contents
INTRODUCTION...........................................................................................................................3
Part 1................................................................................................................................................3
Task 1a.............................................................................................................................................3
Task 1b...........................................................................................................................................13
Reflection.............................................................................................................................13
Part 2..............................................................................................................................................14
Critical discussion of expatriate failure and success factors................................................14
Factors which contribute to globalized economy.................................................................18
CON CLUSION.............................................................................................................................19
 REFRENCES.......................................................................................................................20
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INTRODUCTION
International expansion of businesses is repentant on the ability to effectively handle cultural
differences and utilize company resources to adapt to changing cultural environments across
international boundaries. The company on which this report is based is the United Kingdom
multinational consultancy business Accenture which has operations in various countries across
the globe. The company was founded in 1989 and primarily offers consultancy and information
technology services to consumers. This report looks at the challenge is related to international
expansion in Germany Brazil and Japan. In addition to this, expatriate failure is critically
discussed in this report along with success factors for expatriates and the concept of culture
shock for expatriates.
Part 1
Task 1a
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The issues due to differences in organizational culture of headquarter go outlet and international
outlet is described in this present along with its implication.
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One of the primary factors which affects and influences organization culture of a specific
organization is the national culture of the region where the organization is located. In addition to
this the culture of headquarter region also affects organizational culture of international outlets as
the focus of the company is on cultivating the same corporate environment in different
international regions. The workplace culture of Accenture outlets in Germany is affected by
company culture of UK and regional cultural aspects of different countries where the company is
located such as Germany, Brazil and Japan.
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Power Distance Index
This element of the cultural dimension theory looks level of tolerance of a society towards
imbalances in power and presence of strict hierarchies. Cultures with high power our distance
index respect institutions and tolerate differences in power and inequality in the society
while cultures with low power distance index value egalitarian environment.
Individualism vs Collectivism
United Kingdom and Germany favor individualism as the focus is on growth of individual
citizen without affiliation to a larger cultural element or subset of the society.
The focus of our culture towards individual freedom on developing a collective consciousness in
this society is determined in this part of the cultural dimensions theory. In Individualistic cultures
and societies, primary focus is on the individual and individual success while collectivist cultures
and societies art pendant on social interactions and a part of a cohesive collective group.
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Masculinity vs Femininity
The difference between masculine and feminine cultures is that masculine cultures thrive to
become more successful and successes related to gaining the best life and winning position in
different scenarios while feminine cultures focus on caring and nurturing.
Uncertainty Avoidance Index
Germany has high uncertainty avoidance index which is comparatively lower to that of Brazil
and Japan which is compensated for by strongly relying on expertise and deductive approaches.
UK the lowest uncertainty avoidance index out of all the countries mention which means that
there are not too many rules and detailed planning is not preferred.
This part of the cultural dimensions theory looks at response of a culture towards ambiguity and
unknown elements of the future. If a culture is centered around controlling the future the
uncertainty avoidance index is high while cultures with low in certainty index accept the
ambiguous and unknown aspects of life.
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Long-term Orientation vs Short Term Orientation
UK and Brazil have intermediate scores on orientation which shows that there is space for both
pragmatic and normative cultures in these countries.
The way in which a culture in society deals with history and barriers of the future can be
identified with the help of long term or short term orientation.
Indulgence vs Restraint
It can be determined that Japanese and Brazilian cultures involve rules which restrained actions
on individual desires and disapprove gratification. Germany as intermediate score and space for
both some level of indulgence and some level of restraint towards acting on personal desires. UK
as high level of intelligence which means that do you focus on leisure activities and gratification
of desires in the society.
The ability to act on desires of individuals can we determined with the help of this part of the
culture is dimensional theory.
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Power Distance Index
On the other hand, the company needs to create a more structured and hierarchical foot place
attitude and accommodate a high power distance index of these societies.
Individualism vs Collectivism
This means that Accenture needs to create a since off integration and interdependence in regional
outlets of Brazil and Japan so that employees feel connection towards a cohesive structure of the
company. Similarly there is a difference between high individualism of United Kingdom and
comparatively lower individualism in Germany which means that there is a requirement for
cohesive community to offer collectivist identity in the German outlets of Accenture when
compared to United Kingdom outlets.
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Masculinity vs Femininity
The similar level of masculinity in Germany when compared to United Kingdom will provide
advantage in terms of incidence of United Kingdom corporate culture of a century on German
corporate culture of the company. Brazil has some more feminine culture in society when
compared to United Kingdom and the company needs to ensure that expatriate employees in
Brazil understand the nurturing environment of the country so that they are able to make
effective decisions to appeal to the workforce of Brazil.
Uncertainty Avoidance Index
The difference in UK and Japanese UAI means that the it is respective consulting company
needs to change the influence of United Kingdom corporate culture on Japan and focus on
creating more rules and regulations which are similar to the high uncertainty avoidance index of
Japanese culture and support long term planning. In Case of Germany and Brazil which also
have higher uncertainty avoidance index when compared to United Kingdom Accenture needs to
ensure that rules and regulations are in place to handle ambiguity of the future and expert advice
is taken to handle unknowable situations faced by the corporate.
Long-term Orientation vs Short Term Orientation Index
In I'm Patty into a knighted Kingdom both Germany and Japan have more preference towards
long term orientation while United Kingdom has more short-term orientation in its culture.
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Accenture needs to understand the implications of the opposite levels of long-term orientation in
United Kingdom and Germany and Japan. Accenture needs to increase investment in research
and development and prioritize growth in market share as it matches with the long-term
orientation of Japanese and German cultures. In Brazil Accenture needs to adopt similar
practices as in United Kingdom headquarters because the long-term orientation of United
Kingdom and Brazil is closer then compared to Germany or Japan.
Indulgence vs Restraint
As the level of intelligence is similar between United Kingdom and Brazil, I think it does not
need to change business practices and reward structures in Brazil outlets as the level of
intelligence and gratification is similar to United Kingdom culture. On the other hand, Germany
and Japan have more restrained cultures and Accenture needs to change reward and recognition
policies in order to accommodate the restraint culture of Japanese and German societies which
river restraining on actions through social norms over ratification and leisure time.
This theory can be used to determine the implication of cultural differences between countries
and businesses can take effective action towards changing cultural practices according to the
requirements of specific national culture entry where they are operating.
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Task 1b
Reflection
On the basis of the PowerPoint presentation I have been able to understand the cultural
differences between the corporate culture of Accenture in United Kingdom and the corporate
culture in international regions of Brazil Japan and Germany. I have understood from the
PowerPoint presentation that the company needs to make changes in its corporate culture in
order to function effectively in the different culture environments of Brazil Germany and Japan.
Addressing cultural differences is an important part of successful international expansion
(Dahms, 2019). The impacts of cultural issues on the corporate culture of essential in Brazil
Germany and Japan and its international functioning are included below:
 Adopting business model: one of the primary challenges which Accenture will face while
operating in the different culture environments of Japan Germany and Brazil is changing
the business model of the company to suit the new environment of Japan Germany and
Brazil. I have understood from the application of cultural dimensions theory that there is
a stark difference between cultures of United Kingdom and Japan Germany and Brazil
which will not only affect the employees of Accenture also the consumers of the
company. This means that it is important for essential to adopt the business model of the
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organization as per the unique cultural requirements of Japan Germany and Brazil. The
failure to adopt and change business model according to culture can negatively affect
survival of an organization (Crawshaw, Budhwar and Davis, 2020).
 Adjusting to cultural changes: The differences in United Kingdom culture and culture of
Brazil Japan and Germany in terms of individualism indulgence and uncertainty avoidance
affects basic practices of essential such as planning strategy for mission and organizational
structure. It is important for a multinational company to adjusts its business practices and
workplace environment as per changes in culture and employee expectations so that they are
able to create a satisfying workforce and gain the best results in the new international market.
The inability of essential to adjust to cultural changes can lead to failure of the company in
Japan Germany and Brazil.
 HRM in new cultural environment: The cultural changes across international borders
affects human resource management significantly (Ferraro, 2021). Accenture needs to
understand changes in with no exceptions and human resource management norms in this
specific country of Japan Germany in present in order to develop a talented workforce in the
country. I have understood that human resource management of a century in Japan Germany
and Brazil can be affected by differences in just wanted of employees to unequal power
structures and focus on detailed planning versus short term planning. Accenture needs to
change human resource management practices venting expatriates to countries such as Japan
and Brazil which have completely opposed it cultural environments and Germany which is
also different in terms of cultural elements in order to gain success.
Part 2
Critical discussion of expatriate failure and success factors
The primary responsibilities of an expatriate include transfer of competence and knowledge
building network of the company in international territory acting as an agent of socialization and
agent of direct control for the company in international market and expanding boundaries of the
company two successful establishment in international market. It is important that
Accenture cultivates talented expatriates to send to Brazil Japan and Germany so that the
company is able to gain success in these markets and established global presence in the
consultancy industry. Accenture needs to look at the primary reasons for expatriate failure in
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order to ensure that the company does not move towards the same path and ensure success in
Germany Japan and Brazil. The reason for expatriate failure with your comment are provided
below:
Poor Candidate Selection
One of the primary reasons for expatriate failure is poor candidate selection. The Skills which are
essential for becoming a successful expatriate involve leadership skills extreme organization
skills emotional intelligence cultural adaptability proficiency in various languages flexibility
leadership along with patience (Machlis, Tichnell and Eidsvik, 2019). These skills help employ
manage the different culture environment in an international market and support attainment of
business objectives in the new market while also ensuring alignment with core values of the
company. Many times businesses are not able to find highly skilled and experienced candidates
for working at the role of expatriate of the company in an international market where they
possess each essential skill needed to become a successful expatriate. Accenture needs to ensure
that the selected expatriate has all the skills necessary for becoming successful and is also
previously experienced in working as an expatriate for multinational consultancy organization.
Lack of Support Structure
Businesses are required to provide comprehensive support structure to expatriates working in
international regions in order to attain success in business objectives in the company for that
specific international market (Ganne, 2018). The and previous to induce in external environment
of the specific country along with the disconnection of expatriates with their home environment
can increase their stress it can lead to ineffective decision making and failure of the company in
the international region. It is significant to offer expatriates a comprehensive support structure so
that they are able to build social connections outside of work organizing services and daily work
life and negotiate with the new working environment. Accenture need to invest in building a
support structure for the expatriate before sending new expatriates in Japan Germany or Brazil so
that they are able to make effective decisions by being continuously connected with the
company.
Ineffective Training
Expatriate training refers to the preparation of an expatriate 2 create a healthy work life balance
in an international environment and comply with changes in legislative environment of the
country ensure lawful and successful expansion of their company in the country. This includes
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basic training regarding the assignments in activities of the expatriate in the international region
along with language skills necessary to communicate with their colleagues and navigate in the
international territory knowledge of cultural and societal norms in the foreign country and basic
knowledge of the infrastructure and living environment of the country so that they are able to
create a stressless life outside of work. Accenture needs to invest time labor and financial the
source is in effective expatriate training so that the possibility of success in Germany Japan and
Brazil increases.
Ineffective Communication
Businesses are required to develop a plan for structured communication with expatriates so that
they are aware of changes in strategic plans of the company and are able to inform the company
about the macro and micro environmental changes in the foreign region (Blonigen and Wilson
2018). This will promote direct dialogue between expatriate in the company in the headquarter
so that they are able to determine the most suitable path of action and effectively execute
strategies for the success of the company. Accenture needs to utilize their information and
communication technologies trends when working with expatriates in Brazil Germany and Japan
so that they can be communicated with in a simple manner end face challenges in collaboration
with the headquarter.
The concept of culture shock is commonly associated with expatriates and is referred to as one of
the primary reasons for failure of expatriates. The definition of culture shock is the situation
which occurs when a candidate is not fully prepared for the new culture the international market
offers which includes language barriers changes in legislation customs or an unfamiliar climate
and daily routine. The primary reasons for culture shock are insufficient information in drastic
changes in the cultural norms of the society which induce stress for the expatriate (Andelekke
and Gichuru, 2021). Cultural shock not only affects the individual expatriate but also their family
members as they are not able to adapt to the and unfamiliar environment and form a
satisfying life in the foreign region. It is essential that Accenture prepares their employees for
cultural shock to a great extent when going to Brazil Germany and Japan as these countries have
different language cultural norms and workplace etiquettes which can create homesickness for
employees and lead to cultural shock.
Factors which Maximize expatriate success
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Selective hiring: This success factor for increasing success of expatriate revolves around
ensuring that the right candidate is hired for the role of expatriate to a specific foreign region.
Elements such as interest of the expatriate in the culture of the country and exploring this
specific foreign region along with there are ability to adapt to different cultures and perform
effectively in a new environment play an important role in success of the expatriate and also help
them easily manage the stress associated with moving to a new country. It Is important that
Accenture makes investment in effectively evaluating each candidate for sending expatriate to
Germany Japan and Brazil so that they are able to gain the most successful results in each
country.
Family inclusion: Sending the family of an expatriate along with the expatriate can act as a firm
support structure for the expatriate (Akoto, 2021). Families of expatriates help them adjust to
their new life and it plays a critical role and their ability to create a work life balance if they have
the support and presence of their family in the new international region. The absent of family can
create loneliness and increase stress for the expatriate if the results are not according to the plan
in the international region. Often expatriates are reluctant to share personal concerns with their
employer in case it is seen as a weakness and the presence of the family can help the expatriate
resolve personal issues effectively. Accenture needs to invest in sending family of a next patriot
to the international region so that they are able to gain the support needed for completing
successful operations in Germany Japan and Brazil.
Pre-departure training: The concept of pre-departure training includes comprehensive training
provided to the candidate and the family so that they are able to adjust and change with the
different business environment off international region. The basic activities included in
predeparture training a cultural awareness training information about their host countries such as
infrastructure facilities educational prospects, training about the language so that they are able to
communicate with the locals, informing them of the basic expectations about their role so that
they are able to make effective decisions and communicating with them while they are abroad so
that they are connected with their home country and do not feel loneliness (Akman, Karaman and
Kuzey, 2020). Accenture Is required to provide each expatriate and their family satisfactory pre
departure training so that they were able to change their lifestyles accordingly with the changing
cultural and business environment of Japan Germany and Brazil.
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Long term plan: the final element of success factor for expatriate involves creating a long term
plan for return of expatriates so that they have complete information about the future of their role
in the international region and when they will be able to return to their home country. rate of
turnover is high for expatriates as they have to wait too long for a permanent position when they
return and that they are not able to build skills while working in an international region. If the
expatriate is informed about their future and the benefits they will gain from successfully
operating in the international region they will be more inclined towards working in the
international region and put more effort in achieving targets and objectives of the company in the
international region. Accenture needs to invest in building a long term plan for each expatriate to
which they agree with those so that they are able to focus on their operations in Brazil Japan and
Germany with security around their future with the company.
Factors which contribute to globalized economy
The global economy includes the interconnected framework of economic activities which
I conducted between different countries and international territories. It includes international
trade and facilitate economic growth of regions and countries on an international scale. The main
characteristics of a global economy are globalization international trade international finance and
global investment (Ahmedov, 2020). Globalization has facilitated free flow of information
ideas, international trade supports economic relations between countries and international
finance along with global investment is required for completing business activities on an
international scale.
One of the primary factors which contribute your globalized economy is the ability of
international businesses to invest in businesses and business opportunities in other countries. The
formation of trade blocks to support free trade is one of the primary promoters of international
investment. If countries become more welcoming of international investment in foreign direct
investment the creation of globalized economy is possible and accelerates international trade and
business practices. Reduction first complicated laws and Practices which lead to reduction in
ease of doing business in a specific country are one of the primary problems of international
business which reduce globalized economy. Simplification of legislative requirements on the
other hand helps international businesses whether small or big make investment in other
countries and support a globalized economy (Ahn, 2020).
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CON CLUSION
From the above report it is determined that Expatriates play an important role in international
expansion of the company and the changes in the culture environment of a company introduce
various challenges which can lead to failure of an organization in the international region. There
are various factors which can cause failure of an expatriate in an international region such as
language barriers and inability to adjust to changing culture environment. Ineffective
communication and lack of support structure are one of the primary causes which lead to
expatriates underperforming in international regions. It is important that businesses provide
expatriate support presidents of their family and long term plan so that they are able to focus on
their activities and deliver timely and successful results for the company. Globalized economy is
dependent on various factors such as globalization and international investment.
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 REFRENCES
Books and Journals
Crawshaw, J., Budhwar, P. and Davis, A. eds., 2020. Human resource management: Strategic
and international perspectives. Sage.
Dahms, S., 2019. The influence of competences and institutions on the international market
orientation in foreign-owned subsidiaries. European Journal of International
Management, 13(3), pp.354-380.
Ferraro, G.P., 2021. The cultural dimension of international business. Prentice Hall.
Machlis, G.E., Tichnell, D.L. and Eidsvik, H.K., 2019. The state of the world's parks: An
international assessment for resource management, policy, and research. Routledge.
Ahmedov, I., 2020. The Impact Of Digital Economy On International Trade. European Journal
of Business and Management Research, 5(4).
Ahn, J., 2020. A theory of domestic and international trade finance. Emerald Publishing Limited.
Akman, E., Karaman, A. S. and Kuzey, C., 2020. Visa trial of international trade: evidence from
support vector machines and neural networks. Journal of Management Analytics, 7(2).
pp.231-252.
Akoto, W., 2021. International trade and cyber conflict: Decomposing the effect of trade on
state-sponsored cyber attacks. Journal of Peace Research, p.0022343320964549.
Andelekke, J. and Gichuru, M., 2021. Review International Trade Includes Business Strategy
and the Role of International Organizations. Journal Dimensie Management and Public
Sector, 2(2). pp.1-8.
Blonigen, B. A. and Wilson, W. W. eds., 2018. Handbook of International Trade and
Transportation. Edward Elgar Publishing.
Ganne, E., 2018. Can Blockchain revolutionize international trade?. Geneva: World Trade
Organization.
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