Description
This is a presentation describes about importance of cultural sensitivity for global business, what are cross cultural differences.
MANAGING ACROSS CULTURES
Cross-cultural ManagementDefinition
Cross Cultural Management is the effective interaction and understanding of people who represent different cultures
Importance of cultural sensitivity for global business
To communicate effectively with customers, suppliers, foreign employees, business partners etc. ? Predict trends in social behaviour likely to affect foreign operations ? Predict Impact of cultural differences on advertisements and promotion
?
Importance of cultural sensitivity for global business
Understand ethical standards and social responsibility ? Conduct efficient meetings ? Conduct negotiations ? Understand how people interpret market research and other information
?
Strategic Pre-dispositions
Ethnocentric- values and interests of the parent company guides strategic decisions ? Polycentric – strategic decisions are tailored to suit the culture of the host country
?
Strategic Pre-dispositions
Regiocentric- firm tries to blend its own interests with those of its subsidiaries on a regional basis ? Geocentric- integrates a global system approach to decision making
?
Cross cultural differences
Time ? Patterns of thought ? Personal space ? Family roles and relationships ? Language
?
Personal achievement ? Competitiveness and individuality ? Social behaviour ? Establishment of relationships ? Religion
?
Assignment
?
Doing Business in USA
Think……
Chinese culture believes in restraint , hence the Chinese are slow to accept new products. They hardly change their brands and even feel reluctant to try something new. In this market situation suppose you have been deputed to develop the market for your cosmetic products. What would be your strategy?
Doing business in Russia
?
?
? ? ? ? ?
Build personal relationships with partners Use local consultants Consider business ethics (e.g., gifts) Be patient Stress exclusivity Personal relations are important Keep financial information personal
?
?
?
?
Research the company Stress mutual gain Compromising or settling things quickly is seen as sign of weakness Written contracts are not as binding as for Westerners
doc_882217711.pptx
This is a presentation describes about importance of cultural sensitivity for global business, what are cross cultural differences.
MANAGING ACROSS CULTURES
Cross-cultural ManagementDefinition
Cross Cultural Management is the effective interaction and understanding of people who represent different cultures
Importance of cultural sensitivity for global business
To communicate effectively with customers, suppliers, foreign employees, business partners etc. ? Predict trends in social behaviour likely to affect foreign operations ? Predict Impact of cultural differences on advertisements and promotion
?
Importance of cultural sensitivity for global business
Understand ethical standards and social responsibility ? Conduct efficient meetings ? Conduct negotiations ? Understand how people interpret market research and other information
?
Strategic Pre-dispositions
Ethnocentric- values and interests of the parent company guides strategic decisions ? Polycentric – strategic decisions are tailored to suit the culture of the host country
?
Strategic Pre-dispositions
Regiocentric- firm tries to blend its own interests with those of its subsidiaries on a regional basis ? Geocentric- integrates a global system approach to decision making
?
Cross cultural differences
Time ? Patterns of thought ? Personal space ? Family roles and relationships ? Language
?
Personal achievement ? Competitiveness and individuality ? Social behaviour ? Establishment of relationships ? Religion
?
Assignment
?
Doing Business in USA
Think……
Chinese culture believes in restraint , hence the Chinese are slow to accept new products. They hardly change their brands and even feel reluctant to try something new. In this market situation suppose you have been deputed to develop the market for your cosmetic products. What would be your strategy?
Doing business in Russia
?
?
? ? ? ? ?
Build personal relationships with partners Use local consultants Consider business ethics (e.g., gifts) Be patient Stress exclusivity Personal relations are important Keep financial information personal
?
?
?
?
Research the company Stress mutual gain Compromising or settling things quickly is seen as sign of weakness Written contracts are not as binding as for Westerners
doc_882217711.pptx