1. Cross-Cultural Business

2. © Prentice Hall, 2006International Business 3e Chapter 2 - 2 Chapter Preview Define culture and list its components Discuss attitudes toward time, work and cultural change Describe the roles of religion and communication in a society Discuss how physical environment affects culture Describe two frameworks for classifying cultures

3. © Prentice Hall, 2006International Business 3e Chapter 2 - 3 What is Culture? What is Culture? Set of values, beliefs, rules and institutions held by a specific group of people Ethnocentricity –Belief that one’s own ethnic group or culture is superior to that of others Cultural literacy –Detailed knowledge of a culture that enables a person to function effectively within it

4. © Prentice Hall, 2006International Business 3e Chapter 2 - 4 Nations and Culture National culture –Nation states build museums and monuments to preserve the legacies of important events and people Subculture –Group of people that share a unique way of life within a larger culture (language, race, lifestyle, attitudes, etc.)

5. © Prentice Hall, 2006International Business 3e Chapter 2 - 5 Components of Culture –Aesthetics –Values & attitudes –Manners & customs –Social structure –Religion –Personal communication –Education –Physical environments

6. © Prentice Hall, 2006International Business 3e Chapter 2 - 6 Aesthetics Music Painting Dance Drama Architecture

7. © Prentice Hall, 2006International Business 3e Chapter 2 - 7 Values and Attitudes Values –The Ideas, beliefs and customs to which people are emotionally attached Freedom Responsibility Honesty Attitudes –Positive or negative evaluations, feelings and tendencies people hold toward objects or concepts Time Work Cultural change

8. © Prentice Hall, 2006International Business 3e Chapter 2 - 8 Manners and Customs Manners –Appropriate behavior, speech and dressing in general Customs –Traditional ways or behavior in specific circumstances

9. © Prentice Hall, 2006International Business 3e Chapter 2 - 9 Social Structure Social structure –Culture’s groups, institutions, social positions and resource distribution Social stratification –Process of ranking people into social layers Social mobility –Ease of moving up or down a culture's "social ladder"

10. © Prentice Hall, 2006International Business 3e Chapter 2 - 10 World Religions Origin of Human Values -Christianity -Islam -Hinduism -Buddhism -Confucianism -Judaism -Shinto

11. © Prentice Hall, 2006International Business 3e Chapter 2 - 11 Language Blunders Braniff Airlines’ English-language slogan “Fly in Leather” was translated into “Fly Naked” in Spanish. Sign in English on a Majorcan storefront read, “English well- talking” and “Here speeching American.” Sign for non-Japanese-speaking guests in a Tokyo hotel read, “You are respectfully requested to take advantage of the chambermaids.” English sign in a Moscow hotel read, “If this is your first visit to the USSR, you are welcome to it.” Japanese knife manufacturer labeled its exports to the United States with “Caution: Blade extremely sharp! Keep out of children.”

12. © Prentice Hall, 2006International Business 3e Chapter 2 - 12 Education Cultures pass on traditions, customs, and values through schooling, parenting, group memberships, etc. Education level –Well-educated attract high-paying jobs, while poorly educated attract low-paying manufacturing jobs Brain drain –Departure of highly educated people from one profession, geographic region or nation to another

13. © Prentice Hall, 2006International Business 3e Chapter 2 - 13 These influence a culture’s development and pace of change Topography –Physical features characterizing the surface of a geographic region Climate –Weather conditions of a geographic region Material Culture –Technology used to manufacture goods and provide services Physical and Material Culture

14. © Prentice Hall, 2006International Business 3e Chapter 2 - 14 Kluckhohn-Strodtbeck Framework Relation to nature Material or spiritual Time orientation Responsibility to others Trust and control View of personal space

15. © Prentice Hall, 2006International Business 3e Chapter 2 - 15 Hofstede Framework Individualism vs. collectivism Power distance Uncertainty avoidance Achievement vs. nurturing