Chapter 2 Cultural Awareness 51 o Almost everyone agrees that national cultures differ but they disagree on what the differences are o Daily routines rules codes of social relations language emotive expression and concepts of luck vary within each culture o Problem areas that can hinder managers cultural awareness are Subconscious reactions to circumstances The assumption that all societal subgroups are similar o Some cultural differences are fairly obvious others are not Behavioral Practice affecting Business 57 o Issues in social stratification Stratification dictates a persons class status and financial rewards within culture Individual qualifications and their limits In most societies individual achievements are important but this is not always the case Societies look at group affiliations differently causing certain businesses functions to be carried out differently o In japan generally more weight is placed on seniority for an employee position than companies in the US because japan stresses cooperation over competition in the workplace Group affiliations can be o Ascribed or acquired Ascribed determined by birth gender family age ethnic or national origin Acquired based on associations religion political affiliation o A reflection of class and status Ethnic and racial groups Gender based groups o In many parts of the world gender based barriers are being broken down Age based groups o Legal age to drink is 21 Family based groups o In some cultures the most important group membership is family specifically Latin culture o Family social status is based on the group rather than the individual Relationship Preference 64 o Power distance o Individualism vs collectivism There are national variations in the preference for autocratic or consultative management Employees preferences tend to differ in terms of interacting with bosses subordinates and peers from country to country High power distance People prefer little consultation between the two tiers and one of two management styles autocratic ruling with unlimited authority or paternalistic regulating conduct by supplying needs High individualism describes an employers preference to fulfill leisure time and improve skills outside the organization receive direct monetary compensation as opposed to fringe benefits engage in personal decision making and on the job challenges In countries with high individualism self actualization opportunity is a prime motivator because employees want challenges High collectivism typifies an employee s penchant for dependence on the organization through training satisfactory workplace conditions and good benefits In countries with high collectivism fulfilling security needs is a prime motivator In countries where uncertainty avoidance is high most employees prefer to follow set rules even if breaking them may be in the companies best interests They also tend to stay with current employers for a long time Superiors may need to be more precise in their directions to subordinates who typically don t want to be responsible for actions that counter the company s interests Denmark and the UK have low uncertainty avoidance Belgium and Portugal rate high o Uncertainty avoidance Obtaining information 66 Low context versus High context cultures o Low context cultures people generally regard as relevant only firsthand information that bears directly on the subject at hand The united states and most of northern Europe o High context cultures people tend to regard seemingly peripheral information as pertinent and to infer meanings fro things said either indirectly or casually Most countries in southern Europe o It helps managers to know whether cultures favor Focused or broad information Handling principles or small issues first Sequential or simultaneous handling of situations o When people form the two types of cultures have to deal with each other low context people may perceive high context people as inefficient in their use of time while the latter may perceive the former as overly aggressive Idealism vs Pragmatism 67 o Idealism some cultures prefer to establish overall principles before they try and resolve small issues Can affect business labor disputes tend to blur the focus on specific demands as workers tend to rely first on mass action such as strikes to publicize basic principles o Pragmatic cultures in which people focus more on details than on abstract principles The united states Can affect business labor negotiations tend to focus on well defined issues example hourly pay increases Silent Language 69 o Spoken and written language is not our only means of communicating we constantly exchange methods through a host of non verbal cues that form a silent language Colors For a product to succeed its colors must be consistent with the consumers frame of reference Colors invoke distinct associations in different countries such as being lucky unlucky o Ex yellow cabs in the US and black cabs in the Distance UK The accustomed distance people maintain during conversations Sense of appropriate distance Time and Punctuality US businesspeople usually arrive early for business appointments a few minutes late for dinner at someone s home and a bit later for large social gatherings In another country the concept of punctuality may be different Or kinesics the way people walk touch and move their Body Language bodies Prestige Relates to a persons status particularly in an organizational setting Degree of Cultural Differences 70 o Some countries are much like other countries usually because they share many characteristics such as language religion geographic location ethnicity and level of economic development o Cultural Distance using the cultural difference you can determine the cultural proximity between nations Ex UK is close to the US while china is culturally distant When a company moves into a culturally similar foreign country it should expect to encounter fewer cultural adjustments than when entering a dissimilar country Even among similar countries significant cultural differences could still affect business dealings Ex women s role in business in different Arab Countries o Hidden Cultural Attitudes Even if a home and host country have seemingly similar cultures people in the host country may reject the influx of foreign practices because they see them as additional steps that threaten their self identities There may be operating impediments that are not easily discerned by comparing countries on