Cross Cultural Configuration in International Business Organisation

12 Pages Posted: 28 Jul 2005

Date Written: February 22, 2005

Abstract

The paper would extensively deal with the critical issues which any organization will have to deal with while they plan to go global. The various permutations and combinations of different cultures which the firm would have to adopt to get on with its operations in different countries.

These critical issues would range from environmental differences like political, cultural, legal, economic, etc, diversity issues of workforce, corporate culture vs country-specific culture, business practices, product vs service company, cultural sensitivity of the management, business ethics, transcultural competence and many more such issues which need to be discussed for international business organizations.

Organizations will also have to consider cross cultural configuration for developing such systems and processes in place so as to facilitate the following: 1. Negotiations with various business partners and government bodies. 2. Long term strategic alliances with complementing and competing organizations. 3. Leveraging cultural differences and synergies. 4. Cultural preservation and appreciation. 5. Cultural revitalization.

Along with these the purpose of entering into international trade should not be forgotten. Hence the need to mould the marketing, human resource, finance, operations activities as per the requirements of the country's culture.

In explaining how global behemoths can bring about universal excellence, the author would refer to cross cultural studies done by Hofstede, Berry and Cox. The paper would conclude by analyzing emerging practices, trends and future scenario in managing cultural diversity to achieve cohesiveness by the global organizations.

Keywords: cultural issues, international business, intercultural management, workforce diversity, marketing, cross cultural negotiations, business ethics, customs

JEL Classification: F01

Suggested Citation

Chopra, Komal, Cross Cultural Configuration in International Business Organisation (February 22, 2005). Available at SSRN: https://ssrn.com/abstract=687625 or http://dx.doi.org/10.2139/ssrn.687625

Komal Chopra (Contact Author)

Amity Business School ( email )

Sec-125, E-1 Block, ASET
Noida - 201303 (U.P.), 201303
India

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