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BUSM 380

by: Hali Nepsha

BUSM 380 BUSM 380

Hali Nepsha

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These notes cover class discussion of culture and international business. What is culture, values and norms. It covers hofstede's studies. Social structure, and stratification and hit a little on M...
International Business
Dr. Charles A. Rarick
Class Notes
International, business
25 ?




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This 2 page Class Notes was uploaded by Hali Nepsha on Monday October 3, 2016. The Class Notes belongs to BUSM 380 at Purdue University Calumet taught by Dr. Charles A. Rarick in Fall 2016. Since its upload, it has received 5 views. For similar materials see International Business in Business at Purdue University Calumet.

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Date Created: 10/03/16
BUSM 380 notes Tue. Aug 30, 2016 Culture & International Bus.  Understand diff. val. Sys. / practices What is Culture?  A system of values and norms shared among a group of people and, when taken together, constitute a design for living.  “The collective programming of the mind.”-Gerrt Hofstede Norms &Values • Norms: – Social rules and guidelines that prescribe appropriate behavior in particular situations. – Folkways: • Routine conventions of everyday life. – Mores: • Central to functioning of society and social life. (Mores serious than folkways) • Values: – Abstract ideas about what a group believes to be good, right, and desirable. – What a culture values Social Structure  Individualist vs collectivist Social Stratification  Caste: virtually no mobility  Class: some social mobility  Class consciousness: may play role in firm’s operations Religion • Shared beliefs and rituals concerned with the realm of the sacred. • Ethical Systems: – Moral principles or values used to guide and shape behavior. • Shapes attitudes toward work and entrepreneurship and can affect the cost of doing business. Max Weber  1904 - Protestantism and the Sprit of Capitalism  Protestant Work Ethic o Hard work o Thrift  Linkage between religion and economic development (max was the first to see) Influence of Religion  Values, motives, acceptance differences & change, ethical orientation, time orientation Hostede Model • Power Distance • Masculinity/femininity • Uncertainty avoidance • Collectivism/individualism Hofstede • Power Distance -Mexico is high/Israel is low (those w/power use it/ accept of power differences) • Collectivism- China is high/USA is low (group v. individual) • UA -Japan is high/Denmark is low (willingness to take risk/accept change) • Masculinity- Mexico is high/Sweden is low (achievement, human development, aggressiveness) Confucian Dynamism • Additional dimension • Hofstede/Bond • Asian Values • Important dimensions include status, face saving, respect for tradition, reciprocity • Long-term time orientation (LTO) Context (high context vs low context)  High Context the context in which the communication occurs is just as important as the message (China)  Low Context words of speaker and written messages are critical (USA) Time Orientation • Monochronic a culture which prefers to do one thing at a time (USA) • Polychronic a culture which prefers to do multiple tasks at one time (Arab) Ecological Fallacy • Assuming that everyone in a particular culture possesses the same characteristics. • Cultures often have subcultures which are quite different. • People still are individuals and are unique. • Cultural models tend to look at common characteristics which may not be true of all. Self-reference criterion: measuring the cultural aspect of others against our own.


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