MODULE 4 Cultural Systems PDF

E3 MODULE 4 CULTURAL SYSTEMS https://th.bing.com/th/id/OIP.U_LuPLEhq0BrsxZ9DpsumwHaFO?pid=ImgDet&rs=1 INTLBT – International Business and Trade...

E3 MODULE 4 CULTURAL SYSTEMS https://th.bing.com/th/id/OIP.U_LuPLEhq0BrsxZ9DpsumwHaFO?pid=ImgDet&rs=1 INTLBT – International Business and Trade 65 | P a g e LEARNING OBJECTIVES At the end of this module, the students are expected to: 1. define culture; 2. discuss the different components of culture; 3. explain the implications of culture on business operations; and 4. discuss cultural differences among countries. INTRODUCTION In this module, we will explore culture and how it impacts global business efforts. https://4.bp.blogspot.com/-nNFrAIX2XeU/UBCx04iAk0I/AAAAAAAAARk/PURjUG7F-p4/s1600/cultural+2.jpg https://th.bing.com/th/id/OIP.YMoj7GTyJw0VHQh_p9z5XQHaD4?pid=ImgDet&rs=1 I. TARGETED COURSE LEARNING OUTCOME CLO2. Describe the managerial skills required to deal with sociocultural, natural, economic, labor and political forces that influence the success of any international business. II. ASSESSMENT 1. Self-assessment 2. Assignments 3. Case Study III. TEACHING-LEARNING ACTIVITIES ENGAGE – Brainstorming 1. What is culture? 2. How does culture affect the decisions of people? Of business organizations? Answer the questions and be ready with your answers on our next meeting. There will be a class discussion. EXPLORE – Web Quest Watch this video: Cultural Difference in Business: https://www.youtube.com/watch?v=VMwjscSCcf0 ASSIGNMENT #1: Answer the questions after watching the video and submit your answers on the next meeting. An activity sheet is provided at the end of the module. (20pts) 66 | P a g e 1) Discuss 3 things that you have learned about Chinese culture? 2) Why is relationship important to the Chinese? Explain your answer. EXPLAIN – Readings Introduction to Culture https://th.bing.com/th/id/OIP.kY096X-oDvwUVbjY14kb7QHaEo?pid=ImgDet&rs=1 Understanding what we mean by culture and what the components of culture are will help us better interpret the impact on business at both the macro and micro levels. Confucius said about cultural crossings: “Human beings draw close to one another by their common nature, but habits and customs keep them apart.” Culture is a set of customs, traditions, values, beliefs, language, and practices that people share in common and that define them as a group or society. Culture also includes the material objects and works of art that are part of this group identity. Culture is learned by socialization and depends on human ability (en.wikipedia.org) The simplest way to think about culture is to think about the distinction between nature (our biology and genetics) and nurture (our environment and surroundings that also shape our identities). Because of our biology and genetics, we have a particular form and specific abilities. But our biological nature does not exclusively determine who we are. For that, we need culture. Culture is the non-biological or social aspects of human life. Anything that is learned or made by humans is part of the culture. Culture encompasses objects and symbols, the meanings given to those objects and symbols, and the norms, values, and beliefs that pervade social life. https://media.istockphoto.com/photos/your-culture-is-your-brand-sign-picture-id687810740?k=6&m=687810740&s=170667a&w=0&h=wRozB5_h6v6nUIQ3X-Mlma7TCzd4dVj_hokO52s2i2Q= Take the case of going to work on public transportation. Many behaviors will be the same whether people are commuting in Dublin, Cairo, Mumbai, or San Francisco, but significant differences also arise between cultures. Typically, a passenger will find a marked bus stop or station, wait for his bus or train, pay an agent before or after boarding, and quietly take a seat if one is available. But when boarding a bus in Cairo, passengers might have to run because buses there often do not come to a complete stop to take on patrons. Dublin bus riders would be expected to 67 | P a g e extend an arm to indicate that they want the bus to stop for them. And when boarding a commuter train in Mumbai, passengers must squeeze into overstuffed cars amid a lot of pushing and shoving on the crowded platforms. That kind of behavior would be considered the height of rudeness in the United States, but in Mumbai, it reflects the daily challenges of getting around on a train system taxed to capacity. In this example of commuting, culture consists of both intangible things like beliefs and thoughts (expectations about personal space, for example) and tangible things (bus stops, trains, and seating capacity). Values and Beliefs The first and most crucial elements of culture we will discuss are its values and beliefs. Values are a culture’s standard for discerning what is reasonable and just in society. Values are deeply embedded and critical for transmitting and teaching a culture’s beliefs. Beliefs are the tenets or convictions that people hold to be true. Individuals in a society have specific beliefs but share collective values. To illustrate the difference, Americans commonly believe in the American Dream—that anyone who works hard enough will be successful and wealthy. Underlying this belief is the American value that wealth is good and important. Values help shape a society by suggesting what is good and bad, beautiful and ugly, to be sought or avoided. Consider the value that the United States places upon youth. Children represent innocence and purity, while an adult who is youthful in appearance signifies sexual vitality. Shaped by this value, individuals spend millions of dollars yearly on cosmetic products and surgeries to look young and beautiful. The United States also has an individualistic culture, meaning people value individuality and independence. In contrast, many other cultures are collectivist, meaning the welfare of the group and group relationships is a primary value. 68 | P a g e Norms, Mores and Folkways The examples from the previous section have described how people are expected to behave in certain situations—for example, when buying food or boarding a bus. These examples describe the visible and invisible rules of conduct through which societies are structured, or what sociologists call norms. Norms define how to behave in accordance with what a society has defined as good, right, and important, and most members of the society adhere to them. Formal norms are established, written rules. They are behaviors worked out and agreed upon in order to suit and serve the most people. Laws are formal norms, but so are employee manuals, college entrance exam requirements, and “no running” signs at swimming pools. Formal norms are the most specific and clearly stated of the various types of norms, and they are the most strictly enforced. But even formal norms are enforced to varying degrees and are reflected in cultural values. There are plenty of formal norms, but the list of informal norms—casual behaviors generally and widely conformed to—is longer. People learn informal norms by observation, imitation, and general socialization. Some informal norms are taught directly—“Kiss your Aunt Edna” or “Use your napkin”—while others are learned by observation, including observations of the consequences when someone else violates a norm. But although informal norms define personal interactions, they also extend into other systems. In the United States, there are informal norms regarding behavior at fast-food restaurants. Customers line up to order their food and leave when they are done. They don’t sit down at a table with strangers, sing loudly as they prepare their condiments, or nap in a booth. Most people don’t commit even benign breaches of informal norms. Informal norms dictate appropriate behaviors without the need for written rules. Norms may be further classified as either mores or folkways. Mores (mor-ays) are norms that embody a group's moral views and principles. Violating them can have serious consequences. Laws or other formal norms legally protect the strongest mores. In the United States, for instance, murder is considered immoral and punishable by law (a formal norm). But more often, mores are judged and guarded by public sentiment (an informal norm). People who violate mores are seen as shameful. They can even be shunned or banned from some groups. The mores of the U.S. school system require that a student’s writing be in the student’s own words or use special forms (such as 69 | P a g e quotation marks and a whole system of citation) for crediting other writers. Writing another person’s words as if they are one’s own has a name—plagiarism. The consequences for violating this norm are severe and usually result in expulsion. Unlike mores, folkways are norms without any moral underpinnings. Instead, folkways direct appropriate behavior in the day-to-day practices and expressions of culture. They indicate whether to shake hands or kiss on the cheek when greeting another person. They specify whether to wear a tie and blazer or a T-shirt and sandals to an event. In Canada, women can smile and say hello to men on the street. In Egypt, that’s not acceptable. In regions in the southern United States, bumping into an acquaintance means stopping to chat. It’s considered rude not to, no matter how busy one is. In other regions, people guard their privacy and value time efficiency. A simple nod of the head is enough. Other accepted folkways in the United States may include holding the door open for a stranger or giving someone a gift on their birthday. The rules regarding these folkways may change from culture to culture. Symbols and Language Humans, consciously and subconsciously, are always striving to make sense of their surrounding world. Symbols—such as gestures, signs, objects, signals, and words—help people understand that world. They provide clues to understanding experiences by conveying recognizable meanings that are shared by societies. The world is filled with symbols. Sports uniforms, company logos, and traffic signs are symbols. In some cultures, a gold ring is a symbol of marriage. Some symbols are highly functional; stop signs, for instance, provide useful instruction. As physical objects, they belong to material culture, but because they function as symbols, they also convey nonmaterial cultural meanings. Some symbols are valuable only in what they represent. Trophies, blue ribbons, or gold medals, for example, serve no other purpose than to represent accomplishments. But many objects have both material and nonmaterial symbolic value. A police officer’s badge and uniform are symbols of authority and law enforcement. The sight of an officer in uniform or a squad car triggers reassurance in some citizens, and annoyance, fear, or anger in others. It’s easy to take symbols for granted. Few people challenge or even think about stick figure signs on the doors of public bathrooms. But those figures are more than just symbols that tell men and women which bathrooms to use. They also uphold the value, in the United States, that public restrooms should be gender exclusive. Even though stalls are relatively private, most places don’t offer unisex bathrooms. 70 | P a g e For additional learning, watch this video: https://www.youtube.com/watch?v=kGrVhM_Gi8k&t=24s (Symbols, Values and Norms). Guide questions for the video: 1) What are the two types of culture? 2) Identify and explain the three main elements of the 2nd type of culture. Subculture and Counterculture A subculture is just what it sounds like—a smaller cultural group within a larger culture; people of a subculture are part of the larger culture but also share a specific identity within a smaller group. Thousands of subcultures exist within an existing culture. Ethnic and racial groups share the language, food, and customs of their heritage. Other subcultures are united by shared experiences. Biker culture revolves around a dedication to motorcycles. Some subcultures are formed by members who possess traits or preferences that differ from the majority of a society’s population. The body modification community embraces aesthetic additions to the human body, such as tattoos, piercings, and certain forms of plastic surgery. Sociologists distinguish subcultures from countercultures, which are a type of subculture that rejects the larger culture’s norms and values. In contrast to subcultures, which operate relatively smoothly within the larger society, countercultures might actively defy larger society by developing their own set of rules and norms to live by, sometimes even creating communities that operate outside of and apart from the larger society. It is this oppositional, perhaps even antagonistic position that mainly distinguishes a counterculture from a subculture. Source: socialsci.libretexts.org/Courses/Lumen_Learning/Introduction_to_Sociology_(Lumen)/07%3A_Module_ 71 | P a g e https://media.gettyimages.com/id/1136743091/photo/young-woman-from-hamer-using-smart-phone-omo-valley-ethiopia- africa.jpg?s=1024x1024&w=gi&k=20&c=hI_GtMZHmIUtO6aV5zbc3UdZDxxEVJvwV6eHIj0N-yM= https://playingwithlearning.weebly.com/uploads/1/7/8/7/17871715/6350636_orig.jpg https://scienceforwork.com/wp-content/uploads/2015/12/cultural-diversity-2.jpg How Cultural Differences Impact International Business As companies continue to expand across borders and the global marketplace becomes increasingly more accessible for small and large businesses alike, there are ever more opportunities to work internationally. Multinational and cross-cultural teams are likewise becoming ever more common, meaning businesses can benefit from an increasingly diverse knowledge base and new, insightful approaches to business problems. However, along with the benefits of insight and expertise, global organizations also face potential stumbling blocks when it comes to culture and international business. While there are several ways to define culture, it is a set of common and accepted norms shared by a society. But in an international business context, what is common and accepted for a professional from one country, could be very different for a colleague from overseas. Recognizing and understanding how culture affects international business in three core areas: communication, etiquette, and organizational hierarchy, can help you to avoid misunderstandings with colleagues and clients from abroad and excel in a globalized business environment. 1. Communication Effective communication is essential to the success of any business venture, but it is particularly critical when there is a real risk of your message getting “lost in translation.” In many international companies, English is the de facto language of business. But more than just the language you speak, it’s how you convey your message that’s important. For instance, while the Finns may value directness and brevity, professionals from India can be more indirect and nuanced 72 | P a g e in their communication. Moreover, while fluent English might give you a professional boost globally, understanding the importance of subtle non-verbal communication between cultures can be equally crucial in international business. What might be commonplace in your culture — be it a firm handshake, making direct eye contact, or kiss on the cheek — could be unusual or even offensive to a foreign colleague or client. Where possible, do your research in advance of professional interactions with individuals from a different culture. Remember to be perceptive to body language, and when in doubt, ask. While navigating cross-cultural communication can be a challenge, approaching cultural differences with sensitivity, openness, and curiosity can help to put everyone at ease. 2. Workplace etiquette Different approaches to professional communication are just one of the innumerable differences in workplace norms from around the world. CT Business Travel has put together a useful infographic for a quick reference of cultural differences in business etiquette globally. For instance, the formality of address is a big consideration when dealing with colleagues and business partners from different countries. Do they prefer titles and surnames or is being on the first-name basis acceptable? While it can vary across organizations, Asian countries such as South Korea, China, and Singapore tend to use formal “Mr./Ms. Surname,” while Americans and Canadians tend to use first names. When in doubt, erring on the side of formality is generally safest. The concept of punctuality can also differ between cultures in an international business environment. Different ideas of what constitutes being “on time” can often lead to misunderstandings or negative cultural perceptions. For example, where an American may arrive at a meeting a few minutes early, an Italian or Mexican colleague may arrive several minutes — or more — after the scheduled start-time (and still be considered “on time”). Along with differences in etiquette, come differences in attitude, particularly towards things like workplace confrontation, rules and regulations, and assumed working hours. While some may consider working long hours a sign of commitment and achievement, others may consider these extra hours a demonstration of a lack of efficiency or the deprioritization of essential family or personal time. 3. Organizational hierarchy Organizational hierarchy and attitudes towards management roles can also vary widely between cultures. Whether or not those in junior or middle-management positions feel comfortable speaking up in meetings, questioning senior decisions, or expressing a differing opinion can be dictated by cultural norms. Often these attitudes can be a reflection of a country’s societal values or level of social equality. For instance, a country such as Japan, which traditionally values social hierarchy, relative status, and respect for seniority, brings this approach into the workplace. This hierarchy helps to define roles and responsibilities across the organization. This also means that those in senior management positions command respect and expect a certain level of formality and deference from junior team members. However, Scandinavian countries, such as Norway, which emphasize societal equality, tend to have a comparatively flat organizational hierarchy. In turn, this can mean relatively informal communication and an emphasis on cooperation across the organization. When defining roles in 73 | P a g e multinational teams with diverse attitudes and expectations of organizational hierarchy, it can be easy to see why these cultural differences can present a challenge. Source: pixelexecutive.com/how-cultural-differences-impact-international-business/ Cultural Differences in Business Communication Cultural Differences in Communication may cause several serious concerns that might affect your business and the working relationship. You’ll find hundreds of cultural differences in communication from country to country. Cultural diversity makes communication hard, and in business, it can be extremely delicate because people from different cultures might have diverse behaviors, language, signs, expressions, etc. All modern businesses need to be aware of these cultural differences in communication to build professional relationships. Understanding these different cultural barriers in communication is vital to business success because of the multicultural work environment. 1. Body Language and Space Body language and Space accounts for around 55% of communication. In situations where there is a language barrier, that percentage becomes even higher. That’s why it’s important to be aware of the type of body language you use in cross-cultural communications. If you get it wrong, you can end up unintentionally sending the wrong messages. In some cultures, eye contact is important, whereas in a few cultures eye contact is disrespectful. For example, in the US, it’s common decency to look someone in the eye when they’re talking to you. In Indonesia, the opposite is true. In fact, maintaining direct eye contact is seen as disrespectful. Certain hand gestures can be offensive in different countries, too. While a thumbs up or a victory sign may seem innocent to you, it can be extremely rude to others. This principle also applies to greetings. Not everyone likes to be greeted with a handshake. In some cultures, it’s completely inappropriate. For example, for Muslim women, shaking hands with the opposite sex is forbidden. In Sweden, a woman won a lawsuit against a company that discriminated against her for this reason. Be aware of how you take up space, too. In some cultures, it’s polite to leave a certain amount of distance between people, while in others this may make people uncomfortable. 2. Addressing People First impressions are everything, so it’s essential that you get things right from the first point of communication. That means addressing people in an appropriate manner. Find out whether it’s more acceptable to use someone’s first name, surname or title before reaching out to them. Some cultures do this more formally than others. For example, in Thailand, it’s common for workers to address their bosses as ‘father’ or ‘mother’ when business relations are particularly good. 3. Cultural and Language Barriers Effective communication can be difficult when parties don’t share a common language. As a 74 | P a g e result, companies often hire translators to mediate communications between the two to solve the language barriers. However, this doesn’t solve everything. When speaking to people across different cultures, you need to be aware of few words and phrases can’t be directly translated into other languages. It would be best if you were especially careful when using idioms in business communications. While their meanings may seem obvious to you, they can be entirely baffling for non-native speakers. In any case, it’s polite to try and learn at least a few words, like ‘hello’ and ‘thank you’ in the other party’s language. They’re bound to appreciate the effort. 4. Conflict in Workplace Dealing with conflict can be a complex and delicate issue in any case if you’re dealing with people from different cultures. When you add language or cultural barriers, they become even more difficult. It’s important to be aware of how different cultures respond to these types of situations. For example, in many Western cultures, it’s common to approach someone directly about a problem or disagreement you may have with them. However, Asian cultures can be very different. In Thai, Japanese and Chinese business meetings, many subordinates wouldn’t dream of disagreeing with their superior. This is because it would cause their boss to lose face. This concept may be new to some, but in Asia, it’s an underlying thread across all communications. In these settings, if someone disagrees with you or is unhappy with your performance. You might not hear about it directly from them. To avoid causing either of you to lose face, they might talk about it with your boss, instead. 5. Gift Giving In some business relationships, it’s common to give gifts. For example, when you’re visiting a customer or supplier abroad, you might want to bring them a token from your country, or something to thank them for hosting you. Before you do so, it’s crucial that you read up on the local etiquette with regards to gift giving. Certain gifts may be inappropriate in some cultures. In others, the act of giving a gift at all may be a complete no-no. Do your research to avoid committing any social faux-pas. Gift-giving etiquette is always complicated if you are dealing with customer, supplier or business people all over the Globe. For instance, in China, you’re likely to be asked what kind of gift you’d like before receiving one. In Japan, you can expect your gift to be reused once or twice before it’s accepted. In Saudi Arabia, expensive gifts are common, but elsewhere, they may be viewed as a form of bribery. Once you’ve given or received a gift, what do you do next? This is another important step to think about. In some cultures, you’re expected to open it right away, in the presence of the person who gave it to you. In others, it’s polite to take it home and open it in private. 6. Table Manners If you find yourself having a meal as part of your business meeting, you’ll have to be aware of the local dining etiquette for eating, too. Do you eat with hands or with utensils? Do you have your own individual dish or do you share lots of smaller ones with the rest of the table? In some countries, it’s polite to finish everything on your plate. However, in others, this means that you aren’t satisfied. Sometimes, it’s more polite to leave a little food behind. At the end 75 | P a g e of it all, who pays the bill? This one can be particularly tricky. These are all things that you’ll have to think about when you’re breaking bread with business partners. Source: itechdata.ai/cultural-differences-in-communication-know-the-facts/ 10 Cultural Differences and Facts That Make the World Interesting The world is big. Very big. It is full of a plethora of different people, places, and things. We tend to think of the world in segments: countries, people, languages, cities, etc. However, the world, when thought of as a whole, is a very interesting place in and of itself. Famous bowls in India are also regularly found in Mexico. The German Schnitzel is very similar to the Mexican milanesa. As different as cultures are, there are also a ton of similarities. Here are a few interesting facts that really help make our world a fun place to live. There are over 6,000 languages spoken in the world today, many of which are spoken by fewer than a few hundred people. The top 10 or 12 languages however make up the vast majority of all of the speakers in the world. Mexicans celebrate New Years Eve by eating 12 grapes at the stroke of midnight. This tradition is actually fairly common among Latin American countries and dates back to their ancestors. Puerto Ricans invented the Pina Colada - the delicious coconut-based drink. Sipping a Pina Colada on a beach in Puerto Rico is, in fact, very Rico. Dubai is home to the tallest building in the world - Burj Khalifa, which stands at a towering 2717 feet in height. Additionally, Dubai currently has plants to make a $120M Water Discus Hotel that will be the most luxurious, and biggest, underwater hotel in the world. French people have the longest life span for women, the third longest for men, and they have the fastest train in the world clocked at 357mph! If you feel the need for speed and the desire to live a long time, France may be your country. In Niger, Africa the fertility rate is 7.1 children per woman - the highest in the world. Africa has several problems, including their fertility situation, with many children not arriving to see their fifth birthday. Africa is home to anywhere from 800 to 1,500 of the worlds languages making it possibly the most linguistically diverse continent in the world. Spain has the lowest population density in all of Europe. It is five times larger than the UK in physical size yet has 33% fewer people. If you want to spread out, check out Spain. Spain had a three-year civil war that killed over 500,000 people. The United States spends three times more on their military than the next 3 countries combined. As we can see, there are vast and amazing differences stretching from South America to Africa and beyond. Without this diversity, the world would be a pretty boring place. Source: omniglot.com/language/articles/10culturaldifferences.htm ELABORATE – Localization Assignment #2: Identify and explain brieftly 3 cultures or subcultures which are unique in the province of Negros Occidental. (30pts) 76 | P a g e Submit your answers on our next meeting. An Activity Sheet is provided at the end of the module. EVALUATE – Case Study – Dunkin Brands – Making Local Global Read the case and answer the questions at the end of the case. High-tech and digital news may dominate our attention globally, but people still need to eat no matter where they go. Food is a key part of many cultures. It is part of our childhood bonds, creating warm memories of comfort food or favorite foods that continue to whet our appetites. So it’s no surprise that sugar and sweets are a key part of our food focus, no matter the culture. Two of the most visible American exports are the twin brands of Dunkin’ Donuts and Baskin-Robbins. Owned today by a consortium of private equity firms known as the Dunkin’ Brands, Dunkin’ Donuts and Baskin-Robbins have been sold globally for more than thirty-five years. Today, the firm has more than 14,800 points of distribution in forty-four countries with $6.9 billion in global sales. After an eleven-year hiatus, Dunkin’ Donuts returned to Russia in 2010 with the opening of twenty new stores. Under a new partnership, “the planned store openings come 11 years after Dunkin’ Donuts pulled out of Russia, following three years of losses exacerbated by a rogue franchisee who sold liquor and meat pies alongside coffee and crullers.” Each culture has different engrained habits, particularly in the choices of food and what foods are appropriate for what meals. The more globally aware businesses are mindful of these issues and monitor their overseas operations and partners. One of the key challenges for many companies operating globally with different resellers, franchisees, and wholly owned subsidiaries is the ability to control local operations. This wasn’t the first time that Dunkin’ had encountered an overzealous local partner who tried to customize operations to meet local preferences and demands. In Indonesia in the 1990s, the company was surprised to find that local operators were sprinkling a mild, white cheese on a custard-filled donut. The company eventually approved the local customization since it was a huge success. Dunkin’ Donuts and Baskin-Robbins have not always been owned by the same firm. They eventually came under one entity in the late 1980s—an entity that sought to leverage the two brands. One of the overall strategies was to have the morning market covered by Dunkin’ Donuts and the afternoon-snack market covered by Baskin-Robbins. It is a strategy that worked well in the United States and was one the company employed as it started operating and expanding in different countries. The company was initially unprepared for the wide range of local cultural preferences and habits that would culturally impact its business. In Russia, Japan, China, and most of Asia, donuts, if they were known at all, were regarded more as a sweet type of bakery treat, like an eclair or cream puff. Locals primarily purchased and consumed them at shopping malls as an “impulse purchase” afternoon-snack item and not as a breakfast food. In fact, in China, there was no equivalent word for “donut” in Mandarin, and European-style baked pastries were not common outside the Shanghai and Hong Kong markets. To further complicate Dunkin’ Donuts’s entry into China, which took place initially in Beijing, the company name could not even be phonetically spelled in Chinese characters that made any sense, as Baskin- Robbins had been able to do in Taiwan. After extensive discussion and research, company executives decided that the best name and translation for Dunkin’ Donuts in China would read Sweet, Sweet Ring in Chinese characters. Local cultures also impacted flavors and preferences. For Baskin-Robbins, the flavor library 77 | P a g e is controlled in the United States, but local operators in each country have been the source of new flavor suggestions. In many cases, flavors that were customized for local cultures were added a decade later to the main menus in major markets, including the United States. Mango and green tea were early custom ice cream flavors in the 1990s for the Asian market. In Latin America, dulce de leche became a favorite flavor. Today, these flavors are staples of the North American flavor menu. One flavor suggestion from Southeast Asia never quite made it onto the menu. The durian fruit is a favorite in parts of Southeast Asia, but it has a strong, pungent odor. Baskin-Robbins management was concerned that the strong odor would overwhelm factory operations. (The odor of the durian fruit is so strong that the fruit is often banned in upscale hotels in several Asian countries.) While the durian never became a flavor, the company did concede to making ice cream flavored after the ube, a sweetened purple yam, for the Philippine market. It was already offered in Japan, and the company extended it to the Philippines. In Japan, sweet corn and red bean ice cream were approved for local sale and became hot sellers, but the two flavors never made it outside the country. When reviewing local suggestions, management conducts a market analysis to determine if the global market for the flavor is large enough to justify the investment in research and development and eventual production. In addition to the market analysis, the company always has to make sure they have access to sourcing quality flavors and fruit. Mango proved to be a challenge, as finding the correct fruit puree differed by country or culture. Samples from India, Hawaii, Pakistan, Mexico, the Philippines, and Puerto Rico were taste-tested in the mainland United States. It seems that the mango is culturally regarded as a national treasure in every country where it is grown, and every country thinks its mango is the best. Eventually the company settled on one particular flavor of mango. A challenging balance for Dunkin’ Brands is to enable local operators to customize flavors and food product offerings without diminishing the overall brand of the companies. Russians, for example, are largely unfamiliar with donuts, so Dunkin’ has created several items that specifically appeal to Russian flavor preferences for scalded cream and raspberry jam. In some markets, one of the company’s brands may establish a market presence first. In Russia, the overall “Dunkin’ Brands already ranks as a dessert purveyor. Its Baskin-Robbins ice-cream chain boasts 143 shops there, making it the No. 2 Western restaurant brand by number of stores behind the hamburger chain McDonald’s Corp.” The strength of the company’s ice cream brand is now enabling Dunkin’ Brands to promote the donut chain as well. O Instruction: After reading the case, VISIT the Dunkin’ Donuts website at https://dunkin.com.ph Go over and read the information provided in the “About Us” link. Answer the following questions in your own words and write your answers on the activity sheet provided at the end of the module. (50pts) Submit your answers next meeting. 1) What are some of the most interesting local adaptations Dunkin’ Donuts has made based on your research? 2) What cultural factors do you think Dunkin’ Donuts looked at when they made these adaptations? 3) Do you think Dunkin’ Brands should let local operators make their own decisions regarding flavors for ice creams, donuts, and other items to be sold in-country? 78 | P a g e 4) How would you recommend that the company’s global management assess the cultural differences in each market? 5) Should there be one global policy? References: en.wikipedia.org socialsci.libretexts.org/Courses/Lumen_Learning/Introduction_to_Sociology_(Lumen)/06%3A_Module_ pixelexecutive.com/how-cultural-differences-impact-international-business/ itechdata.ai/cultural-differences-in-communication-know-the-facts/ omniglot.com/language/articles/10culturaldifferences.htm https://dunkin.com.ph Videos: Cultural Difference in Business: www.youtube.com/watch?v=VMwjscSCcf0 https://www.youtube.com/watch?v=kGrVhM_Gi8k&t=24s Transcript of Videos 1) Cultural Difference in Business It all started in the year 2000 I was 17 years old and I walked with my backpack through unpaved alleys in the outskirts of Beijing. I saw men cycling. with entire closets and fridges on the back I saw little kids running around half naked playing football, while their parents were trying to sell mushrooms and spinach sitting on the ground. I saw a butcher behind his stand swatting flies that were trying to sit on his meat. Everybody was smiling, including this guy: literally sitting on his business, trying to sell second-hand computers. Why was I so touched by these Chinese people and their country? Was it the typical smile that covered up a road I didn't know yet? Or was it the energy I felt when walking through such streets? The only way to find out was to start learning Chinese and to start communicating with these people to learn more about their world because their world is so different from ours. I mean the way people behave, the way people interact. Take this for example: (Video) a subway station in China during rush hour. Which one of you has been on a subway in China before? 79 | P a g e Then, you definitely know that getting on the subway in China is not easy, but getting off a subway in China is nearly impossible. (Laughter) People just use their elbows to squeeze themselves away and don't give you any space to get out. So, looking at such examples in combination with the fact that Chinese don't really express their emotions as much as we do you might believe that Chinese are tough and cold-hearted people but in fact for Chinese, warm relations are very important. You might even say that Maslow has it wrong. Relations are not in the third level of human needs, they are really a necessity in life. And I believe that we, Westerners, that tend to point our fingers at what happens in China, I believe that we can even learn from the Chinese and how they deal with others; and if we project that on our own behaviour I think we can become better people. I even wish that every one of you has the opportunity to fly to China once in their life time, not just to climb the great wall but to really listen to the Chinese to what they have to say. Why is it that the relationship in China is so important? Still, nowadays, many Chinese are strongly influenced by the thoughts of a man named Confucius. His sayings are really like a Bible to the Chinese. I mean here, in the Western world, the Bible gains less and less support nowadays but in China his saying are alive and kicking. (Chinese) Yǒupéngzìyuǎnfānglái, bùyìlèhū (English) It's really a great pleasure to meet friends from afar. So Confucius' philosophy emphasizes personal and governmental morality, correctness of social relationships, just sincerity. He champions strong family loyalty, ancestor worship and respect for the elderly. So knowing this, you might understand why relationships are so important in China, and why you need to build relationships in order to become successful. Maybe some of you had that experience in China and then you might have heard of the word Guanxi Guanxi literally means connections or relationships but actually it's much more than that. Guanxi is like how things gets done in China. Yes, Chinese are hesitant to deal with people they have never met and there is a long phase of introduction needed but once you reach the phase of mutual trust, you will find that Chinese are extremely loyal and faithful. So, why is it that Guanxi is so different from how we know it. 80 | P a g e I mean there are many characteristics most of them strongly based on the philosophy of Confucius that cause these differences but there are three of them I would like to share with you tonight. In China, if you want to maintain your relationship there's one requirement referred to as reciprocal favor. "Rénqíng" in Chinese. If you ask someone for a favour, the favour needs to be returned, eventually. If you fail to repay, this is really seen as something unforgivable in China. So the more you ask from someone, the more you owe them and this is how Guanxi is like a never ending cycle of favours. Let me give you an example: I don't know about you, but I barely remember the names of the teachers in my primary school. My Chinese colleagues and friends however, they visit their teachers, for tea-- who are now in their 70s-- for tea every Sunday afternoon, every week, since they graduated. This is for them a way to repay for what they have once received years ago. I love this, I love how the Chinese have this long-term view. So, where does this need for balance come from? Think of concepts like Yin and Yang and Feng Shui. I mean retailers like IKEA might use such concepts for commercial purposes, but in China these are really important values in life. I once sat with a business partner in his office in Beijing and we were discussing a certain subject but I felt my words didn't really reach him. So he was just shuffling in his seat and at some point he interrupted me saying: "Valerie, I am sorry but do you mind swapping chairs, I am not comfortable sitting in this angle from the main entrance". So, in line with this culture, there's another concept that is very valuable that the Chinese refer to as "harmony". Hé. Harmony stresses the preference of the smooth running of a society or a group. So Chinese prefer to await the right moment instead of pushing through a certain request like we sometimes tend to do here. So when you don't notice it might come across as if Chinese are extremely lazy, waiting until the very last moment to fix things. But that's not the case. And if you bring your checklist and your deadlines to China and you think that's going to work, 81 | P a g e you'll have difficult times and believe me, I know. So in 2000, I was travelling through the countryside of China. and back then, people were quite shocked seeing a tall red head passing by. At some point, I even had to help a cycler get back on his feet after hitting a tree while looking at me. (Laughters) So I arrived in Tai Shan, a relatively small town in the South of China and there I met a girl or actually first I walked and I couldn't find a place to sleep so I was just wondering around and there I met a girl named Chen Wang and she asked me to be my friend and we just sat down the entire afternoon in a park learning each other's language. But as time passed by, I felt more and more uncomfortable by the fact that I still didn't have a place to sleep. So I shared my worry with my new friend, but she just waved aside my question. I tended to ask again and again, but I managed not to and just wait and see what would happen. So, after a while I just obediently followed her for a long walk and the two hour best drive over unpaved roads, sometimes stopped by 20 donkeys trying to cross the road. So, eventually, we arrived at a very out-dated school building. And on the third floor, there was a room, the size of my kitchen, filled with six bunk beds offering space for 12 girls to sleep, to live and to study. So I spent a few days and nights with my Chinese peers learning about their student lives and their environment and I tell you it was so much more interesting than a boring hotel. So, I really believe if we'd manage to sometimes put our impatience aside and really see and wait what would come across and if you are open to the approach of Chinese then much more beautiful things come to you. So, the last characteristic that is probably difficult for us to understand is the fact that for Chinese, for many Chinese, making a mistake in public is one of the most humiliating things in life. Face, reputation, "miànzi" in Chinese really determines your position in a social network. So face depends on how attractive you are, how many friends you have, the skills you have, the connections you have, how much money you have. Face can be earned but face can also be lost. So, in the day-to-day lives of Chinese face plays a crucial role. 82 | P a g e To give you an example, a Dutch client of us signed a contract with their Chinese local partner, Mr Fan, who's also a good friend of ours and every body was happy because of long negociations after a few days and then the Dutch client left to go back home. One day, after the Dutch client flew home, Mr Fan turned to us, his face in terror, "One of the investors has stepped out." And, of course, it would have meant a show stopper for the cooperation. But to be honest we were really happy that Mr Fan turned to us instead of directly contacting the Dutch client, because naturally the Dutch client would have become very angry, causing Mr Fan to lose his face, ruining the long-term relationship. Now we had the opportunity to together find a solution, close the gap by finding another investor and doing this, we saved Mr Fan's face and the business of our client. So, also here, I feel that if we managed to look at a certain situation from different angles, I believe it would positively benefit our business accomplishments. So, I have a picture this picture, largely projected on my wall in our office in Amsterdam because this man reminds me of the first time I set foot on Chinese soil and he reminds me of all the lessons that I have learnt over the years. To have a long-term view, to be patient, to be open and to be a good listener. So, I hope tonight I inspired you to also consider your own approach and I welcome you to fly with me to China to learn from the Chinese. (Applause) English 2) Symbols, Values and Norms You’re about to cross a street. What do you do? If there are no cars coming, do you stay at the crosswalk, waiting for the light to change? Or do you just go for it? Do you look left first before you cross, or do you look right? Or maybe you just dart across the street, shouting, ‘Hey I’m walking here!’ 83 | P a g e No matter what you do in this situation, what you do is going to depend on culture. Now you may be thinking, how can something like crossing the street be a cultural phenomenon? Isn’t culture, like, opera and galas and fancy art openings with tiny hor d’oeuvres? Or maybe you think culture is bigger than all that, that culture is your heritage, traditions that have been passed down for generations, like Quinceañeras, Bar Mitzvahs, or Sweet Sixteen parties. The fact is, all of these things – street-crossing, fine arts, and traditional rites of passage – they are all part of culture. [Theme Music] Culture is the way that non-material objects – like thoughts, action, language, and values – come together with material objects to form a way of life. Culture So you can basically break culture down into two main components: things and ideas. When you’re crossing the road, you can see markers of your culture in the things around you – the street signs, the width of the road, the speed and style of the cars. This is material culture, the culture of things. Books, buildings, food, clothing, transportation. It can be everything from iconic monuments like the Statue of Liberty to something as simple as a crosswalk sign that counts down how many seconds you have to cross the street. But a lot of the culture that’s packed into crossing the street is non-material, too. We interpret the color red to mean stop – because our culture has assigned red as a symbol for stop and green for go. And if you grew up in a country where cars drive on the right side of the road, your parents probably taught you to look left first before crossing. This is non-material culture, the culture of ideas. It’s made up of the intangible creations of human society – values, symbols, customs, ideals. Instead of the Statue of Liberty, it’s the idea of liberty and what it means to be free. For our purposes as sociologists, we’ll mainly be focusing on this second type of culture and its three main elements: symbols, values and beliefs, and norms. Symbols Symbols include anything that carries a specific meaning that’s recognized by people who share a culture. Like a stop sign. Or a gesture. If I do this [holds up one hand, palm out, then just 1 finger], you probably know that I mean: hold on a sec. Non-verbal gestures like this are a form of language, which is itself a symbolic system that people within a culture can use to communicate. Language is more than just the words you speak or write – and it’s not just a matter of English or French or Arabic. The type of language you use in one cultural setting may be entirely different than what you’d use in another. Take how you talk to people online. New linguistic styles have sprung up that convey meaning to other people online, because internet culture. See, there’s one right there! If you’re internet fluent, me saying ‘because’ and then a noun makes perfect sense, as a way of glossing over a complicated explanation. 84 | P a g e But if you’re not familiar with that particular language, it just seems like bad grammar. Whether it’s written, spoken or non-verbal, language allows us to share the things that make up our culture, a process known as cultural transmission. And one view of language is that it not only lets us communicate with each other, but that it also affects how people within a culture see the world around them. This theory, known as the Sapir-Whorf hypothesis, argues that a person’s thoughts and actions are influenced by the cultural lens created by the language they speak. Let’s go to the Thought Bubble to see an example of the Sapir-Whorf hypothesis in action. What gender is the moon? For English speakers, this question might just conjure images of the man in the moon, but in many languages, nouns have genders. And in some languages, the moon is feminine, like the Spanish ‘la luna’. But in others, the moon is masculine, like the German ‘der mond.’ And this affects how Spanish and German people perceive the moon! In one study, Spanish and German people were asked to rate objects – which were gendered in their language – with reference to certain traits. Like, is the moon beautiful? Is the moon rugged? Is the moon forceful? The study found that for those whose language used a masculine article, objects were more strongly associated with stereotypically masculine traits, like forcefulness. Another study found that when a name was assigned to an object, and the name matched the gender of the word for it, it was easier for people to remember the name. Like, “Maria Moon” tended to be remembered more readily by Spanish-speakers than by German speakers. Thanks, Thought Bubble. Now, I should mention that the Sapir-Whorf hypothesis is one that researchers are divided on. The SapirWhorf Hypothesis Benjamin Lee Whorf – the American linguist who helped shape this theory – did his original research on indigenous languages like Hopi and Inuit. And since then, anthropologists have argued that some of his findings don’t hold up. For example, Whorf famously claimed that because the Hopi language describes time differently, the Hopi people think of time differently. But anthropological evidence about the Hopi people suggests otherwise. And Whorf’s study led to a strange, and false, stereotype that Hopi people, quote, “have no sense of time.” Sociology is an evolving field, and academic disagreements like this are just one reason that we study language and how it shapes our society. But if language helps us communicate, shape, and pass on culture, the next element of culture is what helps us organize culture into moral categories. Values are the cultural standards that people use to decide what’s good or bad, what’s right or wrong. They serve as the ideals and guidelines that we live by. Beliefs Beliefs, by contrast, are more explicit than values – beliefs are specific ideas about what people think is true about the world. So for example, an American value is democracy, while a common belief is that a good political system is one where everyone has the opportunity to vote. Different cultures have different values, and these values can help explain why we see different social structures around the world. 85 | P a g e Western countries like the United States tend to value individualism and stress the importance of each person’s own needs, whereas Eastern countries like China tend to value collectivism and stress the importance of groups over individuals. These different values are part of why you’re more likely to see young adults in the US living separately from their parents and more likely to see to multi-generational households in China. Cultural values and beliefs can also help form the guidelines for behavior within that culture. Norms These guidelines are what we call norms, or the rules and expectations that guide behavior within a society. So giving up your seat for an elderly person? Great. Picking your nose in public? Gross. These are two ways of talking about norms. A norm simply relates to what we think is “normal”, whether something is either culturally accepted, or not. And we have three main types of norms! The first are what we call folkways. Folkways are the informal little rules that kind of go without saying. It’s not illegal to violate a folkway, but if you do, there might be ramifications – or what we call negative sanctions. Like, if you walk onto an elevator and stand facing the back wall instead of the door. You won’t get in trouble, but other people are gonna give you some weird looks. And sometimes, breaking a folkway can be a good thing, and score you some positive sanctions from certain parts of society. Like, your mom might ground you for getting a lip ring, but your friends might think it’s really cool. Another type of norm are mores, which are more official than folkways and tend to be codified, or formalized, as the stated rules and laws of a society. When mores are broken, you almost always get a negative sanction – and they’re usually more severe than just strange looks. Standing backward in the elevator might make you the office weirdo, but you’ll probably get fired if you come into work topless, because there are strict rules about what kinds of clothing – or lack thereof – are appropriate for the workplace. Hawaiian shirts – probably not. No shirt? You’re fired. But mores aren’t universal. You may get fired for showing up without a shirt at work, but men can lay on the beach shirtless, or walk down the street with no problem. For women, these norms are different. In the United States, cultural norms about women’s bodies and sexuality mean that it’s illegal for women to go topless in public. But then in parts of Europe, social norms are more lax about nudity, and it’s not uncommon for women to also be shirtless at the beach. The last of type of norm is the most serious of the three: taboo. Taboos are the norms that are crucial to a society’s moral center, involving behaviors that are always negatively sanctioned. 86 | P a g e Taboo behaviors are never okay, no matter the circumstance, and they violate your very sense of decency. So, killing a person: taboo or not? Your first instinct might be to say, yes, killing is awful. But, while most cultures agree that life is sacred, and murder should be illegal, it’s not always considered wrong. Most societies say it’s okay to kill in times of war or in self defense. So what is a taboo? Cannibalism, incest, and child molestation are common examples of behavior we see as taboo. Yes, you can kill someone in self-defense, but if you pull a Hannibal Lector and eat that person, you’re going to jail, whether it started as self-defense or not. So don’t do that. Ever. Norms like these and many others help societies function well, but norms can also be a kind of constraint, a social control that holds people back. Some norms can be bad, like ones that encourage unhealthy behavior like smoking or binge drinking. But not all norms have clearly defined moral distinctions – like the way a culture’s emphasis on competition pushes people toward success, but also discourages cooperation. And that’s the tricky thing about culture. Most of the time you don’t notice the cultural forces that are shaping your thoughts and actions, because they just seem normal. That’s why sociologists study culture! We can’t notice whether our values and our norms are good or bad unless we step back and look at them with the analytical eye of a sociologist. Today we learned what culture is and the difference between material and non-material culture. We learned about three things that make up culture: symbols, values and beliefs, and norms. We looked at how language influences culture through the Sapir-Whorf hypothesis and discussed the three types of norms – folkways, mores, and taboos – which govern our daily life. Crash Course Sociology is filmed in the Dr. Cheryl C. Kinney Studio in Missoula, MT, and it's made with the help of all these nice people. Our Animation Team is Thought Cafe and Crash Course is made with Adobe Creative Cloud. If you'd like to keep Crash Course free for everyone, forever, you can support the series at Patreon, a crowdfunding platform that allows you to support the content you love. Speaking of Patreon, we'd like to thank all of our patrons in general, and we'd like to specifically thank our Headmaster of Learning David Cichowski. Thank you for your support. 87 | P a g e  Activity Sheet #1 Assignment #1 – Cultural Difference in Business Answer the questions after watching the video and submit your answers on the next meeting. (20pts) 1) Discuss 3 things that you have learned about Chinese culture? 2) Why is relationship important to the Chinese? Explain your answer. 88 | P a g e  Activity Sheet #2 Assignment #2 – Elaborate - Localization Identify and discuss 3 cultures or subcultures which are unique in the province of Negros Occidental. (30pts). Submit your answers on our next meeting. 89 | P a g e  Activity Sheet #3 Case Study – Dunkin Brands: Making Local Global Instruction: After reading the case, VISIT the Dunkin’ Donuts website at https://dunkin.com.ph Go over and read the information provided in the “About Us” link. Answer the following questions in your own words. (50pts) Submit your answers next meeting. 1) What are some of the most interesting local adaptations Dunkin’ Donuts has made based on your research? 2) What cultural factors do you think Dunkin’ Donuts looked at when they made these adaptations? 3) Do you think Dunkin’ Brands should let local operators make their own decisions regarding flavors for ice creams, donuts, and other items to be sold in-country? 4) How would you recommend that the company’s global management assess the cultural differences in each market? 5) Should there be one global policy? 90 | P a g e  User’s Feedback To the user: Please provide your comments, suggestions, and recommendations that would help improve this module. Your feedback is highly valued. 91 | P a g e We are done with module 4. Thank you for your participation. https://th.bing.com/th/id/R.a9e6a4314c9e67d0960150c485104e24?rik=KP6FYbXaaiq7Dg&riu=http%3a%2f%2fmedia.bizj.us%2fview%2fimg%2f10110236%2fhowtowhatiscorporateculture*1200x x2512-1413-0-272.jpg&ehk=Pktv6Bd%2fsNL6ubY9z5AlbkagpI6XXKdaDiDLRhOSJbw%3d&risl=&pid=ImgRaw&r=0 https://www.diversityintech.co.uk/wp-content/uploads/2018/12/1496626468Diversity_and_Inclusion.png https://www.champlain.ca/en/recreation-and-leisure/resources/Images/Art-and-culture-3jpg.jpg https://cdn.quotesgram.com/small/47/65/4665594-stephen.jpg = End of Module 4 = 92 | P a g e