International

Business,
8th Edition
Griffin & Pustay

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-1

Culture eats strategy for breakfast
- Drucker

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-2

Characteristics of Culture

Culture is the collection of values, beliefs,

behaviors, customs, and attitudes that
distinguish one society from another
Characteristics

Learned behavior
Of Culture

Interrelated

Adaptive

Shared

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-3

Elements of Culture

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-4

Elements of Culture:
Social Structure

Individuals, Families, and Groups

Defining family
Individuals role within groups
Importance of the individual relative to the
group
Social Stratification
Attributes
Highly stratified societies
Less stratified societies
Social mobility
Low social mobility
Socially mobile societies

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-5

Elements of Culture:
Language

Delineates cultural groups

Shapes ones perceptions of the world
Filters observations and perceptions
Provides important clues about the cultural
values of the society
Offers indications about the diversity of a
countrys population

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-6

Elements of Culture:
Language

Language as a Competitive Weapon

Linguistic legacy of colonialism
Predominant common language, or Lingua
Franca
English
Translation
Backtranslation
Words may have different meanings
Saying No

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-7

Elements of Culture:
Communication

Nonverbal
Communication
Facial Expressions
Hand Gestures
Intonation
Eye Contact
Body Positioning
Body Posture

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-8

Elements of Culture:
Communication

Gift-Giving and Hospitality

Important means of communication
Different gift giving etiquettes
Hospitality customs also differ
Communicating bad news

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-9

Elements of Culture:
Religion

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-10

Elements of Culture:
Religion

Shapes attitudes of Impact on

adherents international
Constraints the businesses
roles of individuals Legal system
in society Homogeneity of
religious beliefs
Affects consumer
buying behavior Tolerance

Affects seasonal
patterns of
consumption

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-11

Elements of Culture:
Values and Attitudes

Time
Age
Education
Status

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-12

Seeing the Forest, Not the Trees:
Halls Low-ContextHigh-Context Approach

Low-context
culture vs. High-
context culture
Words
Context
Cultural clues
Business behaviors

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-13

Seeing the Forest, Not the Trees:
The Cultural Cluster Approach

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-14

Seeing the Forest, Not the Trees:
The Cultural Cluster Approach

Internationalization strategies
Foreign Market Entry Methods

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-15

Seeing the Forest, Not the Trees:
Hofstedes Five Dimensions

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-16

Seeing the Forest, Not the Trees:
Social Orientation

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-17

Seeing the Forest, Not the Trees:
Power Orientation

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-18

Seeing the Forest, Not the Trees:
Power Orientation
Power Orientation
Extremes

Power Respect

Power Tolerance

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-19

Seeing the Forest, Not the Trees:
Uncertainty Orientation

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-20

Seeing the Forest, Not the Trees:
Goal Orientation

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-21

Seeing the Forest, Not the Trees:
Time Orientation

Time Orientation

Short-Term

Long-Term

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-22

International Management and Cultural
Differences: Understanding New Cultures

Self-reference
criterion Acculturation
Cross-cultural
literacy

COPYRIGHT 2015 PEARSON EDUCATION, INC. Chapter 4-23