COMM211 Chapter 3: Country Differences & Cultural Environment PDF

CHAPTER 3 COUNTRY DIFFERENCES: THE CULTURAL ENVIRONMENT Lecture 3 AGENDA What is culture? Determinants of culture: – Social structure – Language – Religion Implications for business BREAK Project workshop WHAT IS CULTURE? WHAT IS CULTURE? Culture can be defin...

CHAPTER 3 COUNTRY DIFFERENCES: THE CULTURAL ENVIRONMENT Lecture 3 AGENDA What is culture? Determinants of culture: – Social structure – Language – Religion Implications for business BREAK Project workshop WHAT IS CULTURE? WHAT IS CULTURE? Culture can be defined as the set of beliefs, values, customs, behaviors, and artifacts that characterize a group or society. It encompasses everything from language, religion, art, music, literature, cuisine, fashion, and social habits to the ways in which people communicate and interact with one another. Culture is often passed down from one generation to the next Culture is also constantly evolving and adapting to new circumstances, as people encounter and interact with other cultures. Culture ≠ Nation (a nation can have multiple cultures within it, and a single culture can be shared by people across different nations) VALUES AND NORMS Values: High-level principles, beliefs, and ideals that guide people's actions, decisions, and behaviors. They are deeply ingrained in a person's identity and are shaped by their upbringing, culture, and experiences – Examples of values: freedom, fairness, inclusion, compassion, respect, individualism, accountability, honesty. VALUES AND NORMS Norms: Unwritten, social rules and expectations that govern social behavior and interactions within a group or society. They are shared beliefs and expectations about what is considered appropriate and acceptable behavior in different situations. Some norms are explicit, such as laws and regulations, while others are implicit and communicated through nonverbal cues and socialization, such as folkways, mores and taboos. E.g., what are some norms of the Canadian culture? – Business: work-life balance, punctuality – Social: Apologies and politeness (a lot of “sorry”s), queuing, tipping – Lifestyle: Hockey; Appreciation of nature = outdoor activities, cottage life VALUES AND NORMS SOCIAL STRUCTURE Social Structure: how a society is organized. Social structure encompasses the various components and systems within a society that help define and maintain its organization and stability. These components can include institutions, roles, hierarchies, and groups, all of which play a crucial role in shaping cultural norms and values. 2 dimensions: – Individuals vs. groups – Social hierarchy or stratification SOCIAL STRUCTURE Individual vs Group: societies differ according to the degree to which the individual vs the group is viewed as the primary means of a social organization. Business behaviors that are common among individualistic societies: – Focus on individual work and competition (vs team work, knowledge sharing) – Compensation based on individual achievement (vs team goals) – Individual decision-making – Difficult to mobilize people for collective action (e.g., corporate social responsibility initiatives: giving back to community, green initiatives) – Career nomad (switch from company to company) – Limited socialization during business meetings (vs emphasis on relationship building) SOCIAL STRUCTURE Social stratification: hierarchical arrangement of individuals into social categories (based on factors such as family background, wealth, income, education, and occupation) This hierarchical structure results in the unequal distribution of resources, opportunities, and privileges among different segments of the population. People are born into a specific social stratum Societies differ with respect to the degree of social mobility and class consciousness VALUES AND NORMS LANGUAGE Spoken language Written language Visual language Unspoken language LANGUAGE Spoken language Written language “Turn It Loose” by Coors Light Visual language Unspoken language LANGUAGE Spoken language Written language “Every Car Has a High-Quality Body” by Ford Visual language Unspoken language LANGUAGE Spoken language Written language Visual language Unspoken language LANGUAGE Spoken language Written language Visual language Unspoken language LANGUAGE Spoken language Written language Visual language Unspoken language VALUES AND NORMS RELIGION Read pgs. 100-104: description of various religions around the world Religion: a system of beliefs, values, practices, and rituals that are centered around a higher power or spiritual force Provides people with moral guidance, and plays a significant role in influencing individuals’ and society’s behaviors. RELIGION Religion-related Implications for international business: Ethical considerations: Religion often shapes people's ethical values and moral beliefs, which can influence business decisions and practices Workforce management: Religion can also play a role in workforce management, particularly when it comes to issues like religious holidays and rituals (e.g., worship areas, dietary restriction, time off during holy days) Product and advertising: Religion can influence what types of products are acceptable and how products and services are advertised in a countries DESCRIBING CULUTRE How to measure the culture of a country? DESCRIBING CULUTRE Hofstede’s Cultural Dimensions Theory, developed by Dutch social psychologist Geert Hofstede to help understand and compare cultural differences between countries  DESCRIBING CULUTRE Hofstede’s Cultural Dimensions Theory, developed by Dutch social psychologist Geert Hofstede to help understand and compare cultural differences between countries https://geerthofstede.com/culture-geert-hofstede-gert-jan-hofstede/6d-model-of-national-culture/ DESCRIBING CULUTRE Tool to compare countries based on Hofstede’s cultural dimensions: https://www.theculturefactor.com/country-comparison-tool IMPLICATIONS FOR BUSINESS Cultural sensitivity, or cultural literacy refers to a set of skills that allows you to understand and learn about people whose cultural background is not the same as yours and accept that your culture is fundamentally no better than any other culture. VERSUS TED http Ethnocentrism: believing that your culture is superior than others. IMPLICATIONS FOR BUSINESS Cultural sensitivity, or cultural literacy refers to a set of skills that allows you to understand and learn about people whose cultural background is not the same as yours and accept that your culture is fundamentally no better than any other culture. How to acquire cultural sensitivity? TED http – Travel – explore and immerse yourself in the culture. – Consult or hire and native citizen to help you learn the culture and advise you on acceptable and inacceptable behaviors in the given culture. IMPLICATIONS FOR BUSINESS Cultural sensitivity, or cultural literacy refers to a set of skills that allows you to understand and learn about people whose cultural background is not the same as yours and accept that your culture is fundamentally no better than any other culture.  Interpersonal communications Who is allowed to talk? When? Where? How do you greet? What physical contact is appropria Is bargaining on the table IMPLICATIONS FOR BUSINESS Cultural sensitivity, or cultural literacy refers to a set of skills that allows you to understand and learn about people whose cultural background is not the same as yours and accept that your culture is fundamentally no better than any other culture.  Hand gestures In United Arab Emirates: the left hand is considered unclean and used strictly for bodily hygiene. ALWAYS use your right hand to shake hands, eat, give business card, etc. In Japan, exchanging business cards is an important part of doing business, i.e., it’s a sacred act, so always offer your business card with both hands and accept a business card with both hands. IMPLICATIONS FOR BUSINESS Cultural sensitivity, or cultural literacy refers to a set of skills that allows you to understand and learn about people whose cultural background is not the same as yours and accept that your culture is fundamentally no better than any other culture.  Time management; Punctuality IMPLICATIONS FOR BUSINESS Cultural sensitivity, or cultural literacy refers to a set of skills that allows you to understand and learn about people whose cultural background is not the same as yours and accept that your culture is fundamentally no better than any other culture.  Dress code In US and UK: a little less conservative, but still formal business attire, which typically requires men to wear suits and dress shoes (with tie being optional), and women to wear suits, skirts or dresses, and dress shoes. IMPLICATIONS FOR BUSINESS Cultural sensitivity, or cultural literacy refers to a set of skills that allows you to understand and learn about people whose cultural background is not the same as yours and accept that your culture is fundamentally no better than any other culture.  Dress code In Japan: conservative and formal, with men typically wearing dark suits and ties, and women wearing conservative dresses or suits. IMPLICATIONS FOR BUSINESS Cultural sensitivity, or cultural literacy refers to a set of skills that allows you to understand and learn about people whose cultural background is not the same as yours and accept that your culture is fundamentally no better than any other culture.  Dress code In Middle Eastern countries: very conservative. Men should wear dark suit and tie, with dress shoes. While women are expected to dress conservatively and cover their heads and bodies (long sleeves and skirts or pants to cover the knees). IMPLICATIONS FOR BUSINESS Cultural sensitivity, or cultural literacy refers to a set of skills that allows you to understand and learn about people whose cultural background is not the same as yours and accept that your culture is fundamentally no better than any other culture.  Socializing and Networking / Dinner Etiquette https://youtu.be/bdeFdFEbuqk IMPLICATIONS FOR BUSINESS Cultural sensitivity, or cultural literacy refers to a set of skills that allows you to understand and learn about people whose cultural background is not the same as yours and accept that your culture is fundamentally no better than any other culture.  Socializing and Networking / Dinner Etiquette Eating with your hands is the norm in some countries of Southeast Asia like Malaysia, Indonesia, Sri Lanka and India. IMPLICATIONS FOR BUSINESS Cultural sensitivity, or cultural literacy refers to a set of skills that allows you to understand and learn about people whose cultural background is not the same as yours and accept that your culture is fundamentally no better than any other culture.  Socializing and Networking / Dinner Etiquette Always leave food on your plate in China. Finishing your plate when dining at someone's home in China suggests the food wasn't filling enough, and that your host was skimping on the portion size. (saving face) The opposite is true in India or Japan. Leaving food on plate is disrespectful. IMPLICATIONS FOR BUSINESS Cultural sensitivity, or cultural literacy refers to a set of skills that allows you to understand and learn about people whose cultural background is not the same as yours and accept that your culture is fundamentally no better than any other culture.  Socializing and Networking / Dinner Etiquette Drinking https://www.youtube.com/watch?v=I18bGzBTnPM Franc e Japan IMPLICATIONS FOR BUSINESS Culture and Business Ethics: ethical (not legal) principles and values that guide the behavior of individuals and organizations in the business world. Business ethics is concerned with issues such as honesty, integrity, responsibility, fairness, respect, and accountability in the context of business dealings.  Gift Giving CULTURAL CHANGE How does globalization impact culture? Increased cultural awareness: Globalization has also led to increased awareness and appreciation of cultural differences. Cultural fusion: Globalization has facilitated the spread of multiple cultures’ ideologies, customs, and practices across national borders. – Westernization: Globalization has been criticized for promoting Western cultural values and practices at the expense of local cultures. Cultural resistance: Some groups have responded to globalization by resisting cultural homogenization and asserting their cultural identity.