International business Dr Daniel Degravel presentation

This is the presentation slide about chapter 4 of the book "International management- Culture, strategy, and behaviour"- The Meanings and dimensions of Culture. it covers the nature of culture, culture diversity feature, the values of culture, and some theories about culture dimension of Hofstede and trompenaars.
For example, for the nature of culture:
Nature of culture
“Culture is the unique quality of humans which separates us from the lower animals.”

Culture is acquired knowledge people use to interpret experiences and generate social behavior. There are many definitions of culture, all scholars agree that culture has following characteristics

Firstly, Culture is not inherited or biologically based but acquired by learning and experience.

Secondly, culture is shared members of a group, organization, or society
Also , Culture is Transgenerational, it is passed down from one generation to the next.

About the symbolic characteristic Culture is based on the human capacity to symbolize or use one thing to represent another.

Patterned: Culture has an integrated structure; a change in one part will bring changes in another.

Adaptive: Culture is based on the human capacity to change or adapt, as opposed to the more genetically driven adaptive process of animals.
Example: In recent decades, there has been a trend towards integrating Western fashion elements into áo dài, creating a fusion style that appeals to contemporary tastes while preserving cultural roots.

Culture Diversity:
There are many ways of examining cultural differences and their impact on international management.



In overall terms, the cultural impact on international management is reflected by basic beliefs and behaviors. Here are some specific examples where the culture of a society can directly affect management approaches( cái này chắc t sẽ ném vào bảng)
Centralized vs decentralized decision-making. In some societies, top managers make all important organizational decisions. In others, these decisions are diffused throughout the enterprise, and middle- and lower-level managers actively participate in, and make, key decisions.

VD: In Japan, decision-making tends to be more centralized. Japanese companies often use a consensus-building process called "ringi," where lower-level managers submit proposals that travel up the hierarchy for approval. This ensures that top managers have the final say in important decisions.
In contrast, in the United States, decision-making is often decentralized. Companies encourage middle- and lower-level managers to make decisions and take initiative. For instance, companies like Google and 3M give their employees a significant amount of autonomy to pursue new projects and ideas.
Individual vs group rewards. In some countries, personnel who do outstanding work are given individual rewards in the form of bonuses and commissions. In others, cultural norms require group rewards, and individual rewards are frowned on.

1. THE MEANINGS
AND DIMENSIONS
Group 9
CHAPTER 4
International and
Comparative Management
OF CULTURE

2. The Nature of
Culture
Cultural Diversity Values in Culture
Integrating Culture
and Management: The
GLOBE Project
Table of Content

3. Nature of Culture
“Culture is the unique quality of humans
which separates us from the lower animals”

4. Nature of Culture
Adaptive
Learned Share
Transgene
-rational
SymbolicPatterned
Culture is acquired knowledge
people use to interpret
experiences and generate
social behavior

7. Centralized vs. Decentralized decision-making
Safety vs. Risk
Individual vs. Group rewards
Informal vs. Formal procedures
High vs. Low organizational loyalty
Cooperation vs. Competition
Short-term vs. Long-term horizon
Stability vs. Innovation
Specific examples where the culture of a society can
directly affect management approaches:

8. Culture Diversity
Centralized vs. Decentralized decision-making

9. Culture Diversity
Individual vs. Group rewards

10. Culture Diversity
Stability vs. Innovation

11. A Model of Culture
Innermost Circle: Deeply ingrained beliefs
and assumptions that individuals in a
society hold, often subconsciously
Middle Circle: Shared standards and
expectations that influence behavior and
social interactions
Outer Circle: Tangible and visible elements
of culture, such as language, symbols,
rituals, art of a society's way of life
Source: Trompenaars, Alfons, and Charles Hampden-Turner. Riding the Waves of Culture:
Understanding Diversity in Global Business. New York: McGraw-Hill, 1998.

12. Values in Culture
Values are basic convictions that
people have regarding what is
right and wrong, good and bad,
important or unimportant

13. Values in Culture
VALUE DIFFERENCES AND
SIMILARITIES ACROSS CULTURES
Highly pragmatic
High achievement and competence orientation
Profit maximization, organizational efficiency
and high productivity
Highly pragmatic
Strong emphasis on size and growth
High values on competence and achievement
Highly pragmatic
Highly individualistic
Strong achievement and competence
orientation
High moral orientation
High humanistic orientation
Low value on achievement, success,
competition and risk
High moral orientation
Highly individualistic
Strong focus on organization
compliance and competence

14. Values in Culture
VALUE DIFFERENCES AND
SIMILARITIES ACROSS CULTURES
Although values of successful managers within countries
often are similar, there are intercountry differences

15. Personal value systems are generally stable,
but managerial values are evolving
-George W. England-

16. Japanese managers
Japanese managers
in US environment
Lifetime employment
is highly valued
Not deemed crucial,
Job security remain important
Very important
Not emphasize obedience
and conformity
Support formal authority
Important
organizational values
Balanced group values with
individualism
Showed less support for
seniority-based rewards the
longer they stayed
Often reward based on
seniority, not merit
Very important
Deemed less important with
resistance increasing over time
Values in Transition
Group Orientation

17. Hofstede’s Culture
Dimensions
Indulgence
Masculinity vs
Femininity
Time
Orientation
Power
Distance
Individualism
vs Collectivism
Uncertainty
Avoidance
Cultural
Dimensions

18. Power Distance
The extent to which less powerful members of institutions and
organizations accept that power is distributed unequally

19. Uncertainty Avoidance
The extent to which the members of a culture feel threatened
by ambiguous and unknown situations

20. Individualism vs Collectivism

21. Masculinity vs Femininity
Masculinity vs. Femininity measures the distribution of emotional
roles between the genders

22. Time Orientation

23. Indulgence
This dimension refers to the degree of freedom
that societal norms give to individuals in fulfilling
their human desires
Indulgent societies allow more
freedom in enjoying life and having fun
Restraint societies suppress gratification
and adhere to strict social norms

24. Integrating Hofstede’s
Cultural Dimensions
Integrating Hofstede’s
Cultural Dimensions

25. Universalism
Individualism
Specific
Neutral
Achievement
Sequential time
Internal direction
Particularism
Communitarianism
Diffuse
Affective
Ascription
Synchronous time
External direction
Trompenaars’s Cultural Dimensions

26. Universalism Particularism
Business loyalty is based on general
standards
Business loyalty is based on personal
relationships
Detailed written legal contracts are very
important
Written contracts are less important;
mutual trust is more importanr
Universalism Particularism

27. The WSJ: “Volkswagen, Suzuki
Finally Split” (August 2015)
Volkswagen Group’s Approach:
Strong contractual term adherence
Insisted on written terms of agreement
Disputes with Suzuki:
Differing agreement interpretations
Suzuki tried to dissolve partnership

28. Individualism Communitarianism
Decisions made on the spot by
representatives
Decisions referred back to organization
Quicker decision-making Slow decision-making process
Assume personal responsibility Assume joint responsibility
The individual is compensated for high
performance
The group is compensated for high
performance
Individualism Communitarianism

29. Specific
Diffuse cultureSpecific culture
Personal and work life separate Personal and work life interconnected
Diffuse

30. Diffuse cultureSpecific culture
Use agendas
Stick to agendas
Objectives first, relationships later
Relationships built first
Prioritize social events
Expect a mix of situations
Specific Diffuse

31. Keep emotions in check
Read between the lines
Stay on topic in meetings
Neutral
Use emotion to
communicate
Share how you feel
Learn to diffuse high-
emotion situations
Affective
Neutral Affective

32. Ascription
Achievement
Status is accorded based on who
or what a person is
For example: status may be accorded on
the basis of age, gender, family, tribe,
ethnic group, etc
People are accorded status
based on how well they perform
their work and what they have
accomplished
For example: job, work performance,
education, etc

33. Differences
Achievement
Ascription
Respect for superiors depends on their
knowledge and skills
Knowledgeable technical advisors are
used in negotiations to convince
Respect for superiors depends on
employee commitment to the
organization
Hierarchically senior people are used in
negotiations to convince

34. Sequential time
Synchronous timeSequential time
Projects are completed in stages The past, present, and future is interwoven
Synchronous time

35. Internal direction
You control your environment to
achieve your goals
External direction
You must work within your environment
to achieve your goals
Internal direction External direction

36. Integrating Culture and
Management: The GLOBE Project
The GLOBE research
The GLOBE research program extends previous
analyses of cultural attributes and variables
Focuses on 9 cultural dimensions
Surveyed over 17,000 middle managers from 951
organizations in 62 countries

37. Integrating Culture and
Management: The GLOBE Project
The GLOBE research
Uncertainty avoidance1.
Power distance2.
Collectivism I (Social Collectivism)3.
Collectivism II (In-group Collectivism)4.
Gender Egalitarianism5.
Assertiveness6.
Future Orientation7.
Performance Orientation8.
Humane Orientation9.
The nine cultural dimensions are:
The GLOBE research program extends previous
analyses of cultural attributes and variables
Focuses on 9 cultural dimensions
Surveyed over 17,000 middle managers from 951
organizations in 62 countries

38. Uncertainty avoidance1.
Power distance2.
Collectivism I (Social Collectivism)3.
Collectivism II (In-group Collectivism)4.
Gender Egalitarianism5.
Assertiveness6.
Future Orientation7.
Performance Orientation8.
Humane Orientation9.
The nine cultural dimensions are:
Have origins in Hofstede’s cultural dimensions
Integrative and combine a number of
insights from previous studies

39. Provides a comprehensive overview
of general culture stereotypes
Managers evaluation:
+ Examined how managers behave and
how different cultures can yield
managers with similar perspectives
GLOBE ANALYSIS ADVANTAGES

40. Brazilian vs American managers:
Brazilians are more class/status
conscious, conflict-averse, group
oriented
Americans are more individualistic
and risk-taking
Both recognize the importance of
group communication, disregard of
different expectations and norms
GLOBE ANALYSIS ADVANTAGES

41. SUMMARY
Culture encompasses acquired
knowledge that guides social behavior
It is learned, shared, and symbolic
Includes dimensions like decision-
making styles, risk tolerance, and loyalty
Hofstede
Trompenaars
GLOBE Cultural Dimensions
Cultural Dimensions and
Global Business
Key Cultural Dimension
Models

42. References
https://www.verywellmind.com/hofstedes-cultural-dimensions-85839901.
https://www.mindtools.com/a1ecvyx/hofstedes-cultural-dimensions2.
https://www.business-to-you.com/hofstedes-cultural-dimensions/3.
https://expertprogrammanagement.com/2017/10/trompenaars-cultural-dimensions/ 4.
The WSJ, “Volkswagen, Suzuki Finally Split” (August 2015)5.
https://expertprogrammanagement.com/2017/10/trompenaars-cultural-dimensions/6.
https://openstax.org/books/principles-management/pages/6-3-the-globe-
framework
7.
https://youtu.be/3du_rZ0U90Q?si=5s5AR9nr1mdBkgTU8.
https://youtu.be/NFVMhfifZco?si=nLOGn3v6m6r_7lqZ9.

43. THANK YOU
Presentation by Group 9
FOR LISTENING