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INTERNATIONAL
BUSINESS
A MANAGERIAL PERSPECTIVE
Chapter 4
The Role of Culture
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Prentice
Prentice
Hall ©Hall
2002©International
2002 International
Business
Business
3e 3e
Chapter Objectives
After studying this chapter you should be able to:
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E-Culture
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Culture
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Characteristics of Culture
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Elements of Culture
• Social structure
• Language
• Communication
• Religion
• Values and attitudes
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Social Structure
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Social Structure (cont.)
• Social mobility
– Social mobility tends to be higher in less
stratified societies. Social mobility (or lack
thereof) often affects individuals’ attitudes
and behaviors toward such factors as labor
relations, human capital formation, risk
taking, and entrepreneurship.
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Language
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World Languages
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Africa’s Colonial Heritage
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Language (cont.)
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Language (conc.)
• Translation
– Some linguistic differences may be overcome
through translation. Translators must be sensitive to
subtleties in the connotations of words and focus on
the translating of ideas, not the words themselves.
• Saying no
– In contract negotiations, Japanese businesspeople
often use yes to mean “Yes, I understand what is
being said.” Misunderstandings can be
compounded because directly uttering no is
considered very impolite in Japan.
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Communication
• Nonverbal communication
– Members of a society communicate with each
other using more than words. In fact, some
researchers believe 80 to 90 percent of all
information is transmitted among members of a
culture by means other than language.
• Gift giving and hospitality
– Gift giving and hospitality are important means
of communication in many business cultures.
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Religion
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Major World Religions
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Values and Attitudes
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Values and Attitudes (cont.)
• Age
– Youthfulness is considered a virtue in the
United States. However, in Asian and Arab
cultures, age is respected and a manager’s
stature is correlated with age.
• Education
– A country’s formal system of public and
private education is an important transmitter
and reflection of the cultural values of its
society.
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Values and Attitudes (conc.)
• Status
– In some societies, status is inherited as a
result of the wealth or rank of one’s
ancestors. In others, it is earned by the
individual through personal
accomplishments or professional
achievements.
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Hall’s Low Context-High
Context Approach
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The Cultural Cluster Approach
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A Synthesis of Country Clusters
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Hofstede’s Five Dimensions
• Social orientation
• Power orientation
• Uncertainty orientation
• Goal orientation
• Time orientation
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Social Orientation
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Power Orientation
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Goal Orientation
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Time Orientation
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Acculturation
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Chapter Review