The Impact of Cultural Difference on Business in Walmart

The Impact of Cultural Difference on Business in WALMART

Contents
Introduction......................................................................................................................................1
Analysis...........................................................................................................................................1
Individualism & Collectivism..........................................................................................................1
Conclusion.......................................................................................................................................2
References........................................................................................................................................3
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Introduction
Globalization has been able to create a major achievement in the world, where there is a great
understanding of cultural differences which only helps in increasing the company success. The
globalization leads to increased diversity with market that provides the opportunity for the
business. The example of Walmart which is a largest retail chain details with the cultural
differences in the Asian market. It was been analyzed that the company cannot directly and
easily handle the transfer of corporate culture with the lower costs and a higher bulk model from
US to Germany.
Analysis
As per the analysis, the company growing international have been increasing with opening and
creating opportunities to create the sales and then promote the brand as well. The culture leads to
adding a dimension with making it difficult for the other countries. The culture is comprised of
the values and norms. The global environment requires a business to understand the cultural
forces that leads to shaping the relationship between company and its consumers. Hence, there
are different ranges of norms which are set for a particular business that require a need for
determining different value assumptions. Considering Hofstede research show on how the
national culture affect organization workforce, we see that there are cultural changes which play
an important role in company internationalization (Hofstede, 2011). The theory is based on
comparing companies like Wal-Mart which tries to impose the norms for the different foreign
markets. Hofstede looks for the sub-cultural and the regional differences, industry and the
organizational differences mainly.
Individualism & Collectivism
We see that the Americans are independent and self-determined when compared to Germany
people, where there are different workforce work in groups (Zaheer, Schomaker & Nachum,
2012). The cultural dimensions provide the means to construct the cultural clusters of countries
in the and across the countries. The clusters are for identifying the areas which require
development to reduce the problems. The examples are related to advertising the model of
making ads which are relative to certain dimensions set culturally (Tjosvold, 2017). The
collectivist cultures place the care for the group and the need for consensus. According to
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