Kathmandu Ltd.: Comparing Cultures for International Business Strategy

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Added on  2021/02/19

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This report analyzes Kathmandu Ltd.'s potential expansion into Thailand and South Africa by examining cultural dimensions using Hofstede's model. The analysis focuses on masculinity and long-term orientation, comparing the cultural profiles of the two countries. South Africa is characterized as a masculine society, emphasizing assertiveness and competition, while Thailand is identified as a feminine society, prioritizing cooperation. Both countries exhibit a normative approach regarding long-term orientation. The report uses the insights to inform strategies for market entry and business operations, referencing academic sources to support the analysis. This assignment provides valuable insights for understanding the cross-cultural challenges and opportunities that Kathmandu Ltd. faces in its international expansion efforts.
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Cross Cultural
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It is essential for a country to analyse the differences between host and domestic country
in order to devise effective strategies which can reconcile them adequately (Olivier-Pijpers and
et. al., 2018). The present assignment is based upon KATHMANDU Ltd., which is an Australian
company, seeking to gain entry into Thailand and South Africa by opening up subsidiaries there.
In this regard, company is making use of two most important dimensions of Hostede’s cultural
model. This is a framework which is used to gain knowledge of the culture of a nation. Below
mentioned is the cultural insight of South Africa and Thailand on the basis of 2 important
factors.
MASCULINITY
A high score of Masculinity depicts that society is largely driven by rivalry,
accomplishment and success (Barbaranelli and et. al., 2019).
South Africa maintains a score of 63 in terms of this dimension and therefore can be said
to be a Masculine country. This implies that people in this country sustain so as to carry out
work, manager here is expected to be assertive as well as decisive, focus in this nation is upon
equity, rivalry and outcome and lastly issues are here solved by fighting them out (Hofstede's
Insight, 2019).
Thailand has a score of 34 is therefore regarded as a Feminine nation. Thailand maintains
the lowest score in terms of this dimension amidst the average of 53 of Asian nations and 50 of
countries across the globe (Hofstede's Insight, 2019). This implies that people of this nation are
less assertive as well as competitive. It reinstates more of conventional masculine and feminine
roles in population.
LONG TERM ORIENTATION
This is yet another significant dimension of Hofstede cultural model which provides a
description of the manner in which society maintains link with past when tackling issues of
future as well as present. The nation which has a low score upon this maintains a time-honoured
tradition and norm and thereby views societal changes with doubt. In contrast to this, the high
scorers take initiatives within modern academics as a manner to do preparation for context of
futuristic time (Hunter, 2018).
SA maintains a low score of 34 and 32 of Thailand. This implies that both the societies
maintain a normative approach (Hofstede's Insight, 2019). Personnel who are part of these
nations are stringent on establishment of absolute Truth. The people of such places are known to
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demonstrate high regard for traditional values and norms and stress upon achievement of rapid
outcomes .
Figure 1: HOFSTEDE INSIGHTS OF SOUTH AFRICA
Figure 2: HOFSTEDE INSGHTS OF THAILAND
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REFERENCES
Books and Journals
Hunter, M., 2018. What lies beneath organisational behaviour: the role of hidden and
unconscious processes at work(Doctoral dissertation, London Metropolitan University).
Barbaranelli, C., Paciello, M., Biagioli, V., Fida, R. and Tramontano, C., 2019. Positivity and
behaviour: the mediating role of self-efficacy in organisational and educational
settings. Journal of Happiness Studies, 20(3), pp.707-727.
Online
Hofstede's Insight. 2019. [Online]. Available
Through:<https://www.hofstede-insights.com/country/thailand/>.
Hofstede's Insight. 2019. [Online]. Available
Through:<https://www.hofstede-insights.com/country/south-africa/>.
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