International Business Ch2

International Business

Sixteenth Edition, Global Edition

Chapter 2

Culture

Learning Objectives

2-1 Explain why culture, especially national culture,

is important in IB, but tricky to assess

2-2 Grasp the major causes of national cultural

formation and change

2-3 Discuss major behavioral factors influencing

countries’ business practices

2-4 Recognize the complexities of cross-cultural

communications

2-5 Analyze guidelines for cultural adjustment

Globalization and IB

Objective 2-1

•What is Culture?

– refers to the learned norms based on values,

attitudes, and beliefs of a group of people

– Culture is an integral part of a nation’s operating

environment

–every business function is subject to potential

cultural differences

Globalization and IB

•Bicultural and/or Multicultural

•Relevant Groups/Dissimilar Groups

•Objective 2-1

Cultural Factors and the IB Environment

Objective 2-1

FIGURE 2.1 Cultural Factors Affecting IB Operations

Using Cultural Reference Points

Objective 2-1

•Cultural reference points

–Culture can be useful reference point

–However, culture reference points may not

always be accurate

Cultural Collision

Objective 2-1

•What is cultural collision?

–can be led(lead to?) when a company implements

practices that are less effective or when