Cultural Dimensions in Business Quiz

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Questions and Answers

What are considered as key elements of culture?

Language, religion, values, attitudes and opinions

Why is understanding cultural differences important for international business?

To manage them effectively

What is the concept of cultural risk related to?

International business

What is the Ethno approach related to?

Management styles Signup and view all the answers

What is the primary focus of Hofstede's Dimensions of National Culture?

Cultural values and their impact on behavior Signup and view all the answers

What is the significance of Trompenaars' dimensions of culture?

Understanding cultural diversity in business Signup and view all the answers

What is cultural risk defined as?

A situation or event in which a cultural misunderstanding puts some human value/activity at stake Signup and view all the answers

What is the primary difference between high context and low context cultures in business relationships?

High context cultures prefer to build business relationships slowly, while low context cultures prefer to get down to business quickly Signup and view all the answers

What is the primary advantage of a polycentric approach in international business?

Flexibility and adaptability to local differences Signup and view all the answers

What does ethnocentrism entail?

The belief that one's own race, religion, or group is superior to another Signup and view all the answers

What is the main characteristic of geocentrism in business?

Understanding a business or market without regard to country boundaries Signup and view all the answers

What is the primary way to minimize cultural risk in international business?

Developing cross-cultural skills Signup and view all the answers

What is culture primarily passed on through?

Learning Signup and view all the answers

What is the color red symbolize in various cultures?

Different things Signup and view all the answers

What is considered critical to international management and a key factor in the 'liability of foreignness' for multinational corporations?

Culture Signup and view all the answers

What is essential for organizations to understand in order to be effective with potential customers and employees?

Values and behaviors Signup and view all the answers

What do factors shaping cultures include, according to the text?

Shared history and national identity Signup and view all the answers

What is the role of management in relation to national culture, as mentioned in the text?

Understand and use it Signup and view all the answers

What is the basis of Hofstede's Dimensions of Culture?

A study of 100,000+ IBM employees Signup and view all the answers

Which dimension of culture measures the acceptance of hierarchical differences in society?

Power Distance (PD) Signup and view all the answers

What does the Uncertainty Avoidance (UA) dimension express?

The extent to which a society tolerates uncertainty and ambiguity Signup and view all the answers

What does the Individualism/Collectivism (IC) dimension measure?

The extent to which the self or group is the center point of identification for a person Signup and view all the answers

What does the Masculinity/Femininity dimension measure?

The emphasis on traditional masculine values in a society Signup and view all the answers

What does the Long Term Orientation (LTO) dimension measure?

Cultural attitudes towards time, societal change, and planning horizon Signup and view all the answers

Which cultural dimension prioritizes laws, rules, and obligations over relationships?

Universalism-oriented cultures Signup and view all the answers

In which type of culture are personal freedom and achievement prioritized over the group?

Individualism-oriented cultures Signup and view all the answers

Which cultural dimension emphasizes controlling emotions and workplace behavior?

Specific-oriented cultures Signup and view all the answers

Which type of culture bases status on social position and age?

Ascription-oriented cultures Signup and view all the answers

Which cultural dimension views time linearly and focuses on separating activities?

Sequential cultures Signup and view all the answers

Which cultural dimension focuses on controlling the environment and impacting work and relationships?

Internal direction-oriented cultures Signup and view all the answers

Study Notes

Cultural Dimensions and Implications for Business

Hofstede's cultural dimensions highlight differences in indulgence and restraint across countries, with implications for reward systems and motivation.
Criticisms of Hofstede's model include reliance on a single company's data, time-dependent results, self-report data, and a Western bias in the interpretation of certain items.
Trompenaars' relational dimensions offer practical advice for multinational companies (MNCs) on doing business in various countries, with a focus on relative rather than absolute categories.
Universalism-oriented cultures prioritize laws, rules, and obligations over relationships, while particularism-oriented cultures prioritize situational rules and relationships.
Neutral-oriented cultures emphasize controlling emotions, while emotional-based cultures value expressing emotions openly, with implications for workplace behavior.
Individualism-oriented cultures prioritize personal freedom and achievement, while communitarianism-oriented cultures prioritize the group over the individual, affecting attitudes toward success and blame.
Specific-oriented cultures separate work and personal lives, while diffuse-oriented cultures see an overlap between the two, impacting the importance of relationships in achieving business objectives.
Achievement-oriented cultures value performance and judge individuals based on their achievements, while ascription-oriented cultures base status on social position and age.
Sequential cultures view time linearly, with a focus on separating activities, while synchronic cultures juggle several events simultaneously, affecting approaches to tasks and time management.
Internal direction-oriented cultures focus on controlling the environment, while outward direction-oriented cultures prioritize harmony with nature and others, impacting work and relationships.
Each dimension has specific country examples to illustrate the differences in cultural orientations and their impact on business practices.
Understanding these cultural dimensions is crucial for MNCs to navigate diverse business environments and effectively manage international operations.

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