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Cultural Differences In International Business

Customer Description:

There is no point in an international business worrying about cultural differences because in the modern world all national cultures are becoming similar. Evaluate and discuss this statement.

Paper Body:

The thesis that business constructed on national specifity has not success seems quite neoglobalistic. And the absolutely rational ideas contained in the neoglobal concept, here are lead up to nonsense.

On the one hand, there is a number factors worrying about national specifity in business organizing of that region where it realized. To global factors refers a dominating religion, historic and cultural basis, which are very different, in comparing not only to some civilizations (European, Latin American, African, Middle Eastern, Asian, North American and others), but also to countries or groups of states belongs to same civilization.

These global factors determines the features of interpersonal relations hierarchy both in household activities and in manufacturing process. These factors determines also the rules of collective relationships constructing, women's social role, ethical norms features, aesthetic preferences, and, finally, of social oriented values character. Concerning to scale of values that is representative for any society, it important to emphasize, that worrying about the features mostly in marketing policy realization and in management approaches is absolutely necessary.

Therefore, the account of national specifity in business organization is especially necessary on following problems:
staff management; a classical example are principles of Japanese management (firm is second house of the worker, on all life hiring system , the level of payment is put in direct relation to work experience etc.); its known that attempts to apply these principles in Europe or North America were unsuccessful (at least, on a comparison with efficiency of these approaches in Japan); On the other hand, in Southern Korea the Japanese experience has received broad application because of similar social and cultural conditions.

Account of educational level, job's qualified resources availability, standard of living and wages; on the one hands just because in Southeast Asia countries (Southern Korea, Taiwan, Singapore, Thailand) there are enough qualified and disciplined workers in the field of radio electronics, and on the other hand, average wages are much lower than in West European countries and U.S.A., here are located the main capacities of factories on production of inventory materials and assembly of computer engineering and audio-video equipment.

Marketing policy; its quite difficult to imaging that movies of nude girl, advertising perfect shampoo produced in U.S.A. will reach it purpose, for example, in Iran, where according to the law, woman owes to wear chadra outdoors, or ,for example, an antisunburn cream manufacturer hardly much will earn in case of delivering in countries of Tropic Africa. Above mentioned examples, certainly, are grotesques, but it reflects the essence of problem, as a whole.

Organization of business and state mutual relations; it is necessary to take into account essential distinctions in legislative basis, taxation system and, generally, traditions of mutual relations of government bodies, officers and private business; For example, such traditions in countries of Western Europe and USA with high developed market economy and in countries of former socialist camp are essentially differ.
strategic planning of business; For example, disregarding of macroeconomic parameters of that state, where is planned to conduct business (evaluation of home market volume under the appropriate nomenclature of the goods or services etc.), so the perspectives can call very large fears.

On the other hand, it is impossible will not agree with taking place of obvious tendency to economy globalization and erasing differences in economics of the world. The huge role in this process is played a superfast informatization of all economic activity aspects in our society. Due to growth of a web Internet, rough development of telecommunication systems of various countries economy it becomes more and more closely connected among themselves and more and more similar. However, nevertheless, until in business organization on the Earth will not necessities take into account the national specifity of a human civilization on a planet it is necessary to pass still considerable historical path...