Cross cultural management 3rd chapter 3 (14) business cultures in the western world

Slide 3.1 Chapter Business cultures in the Western world Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3.2 Concept 3.1 : European cultures • Europe’s identity never clearly established culturally, politically or geographically • a much more united Europe existed in the Middle Ages • Most recent development: – creation of the European union (EU): • common economic, socio-cultural and political bodies • Council of Europe: – aims to promote fundamental values, e.g human rights • Clear cultural differences in Europe still survive Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3.3 The European Union Figure 3.1 The European Union Source: The European Commission © Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3.4 Western Europe • Greece – Not possible to talk about Europe without mentioning Greece • Latin Europe – Influence of Roman Empire – Highly developed bureaucracies – ‘Rule-bending’ through family and personal relationships – Latin European cluster characterised as being ‘low in humane orientation practices’ (House et al 2004) Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3.5 Western Europe (Continued) • Nordic Europe – Viking heritage: • self-sufficiency, fairness, egalitarianism and democracy – Face up to authority, question it and expect to be consulted – Differences between the Scandinavian countries on a socio-economic level • Germanic Europe – Longer term perspective when managing uncertainty – Assertive behaviour, explicit communication – Emphasis on results rather than relationships Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3.6 Western Europe (Continued) • Great Britain – United Kingdom of Great Britain: • England, Wales, Scotland and Northern Ireland – Common history with Europe and relationship with EU – Anglo-Saxon style of management: • Pragmatic (practical) and relaxed approach – Organisation: • a market in which people negotiate what has to be done – Individualistic: • individual in selection procedure Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3.7 Eastern Europe • Emergent economies – Economies of the Eastern and Central European countries – Russia and Turkey, have some similarities with other countries around the world – ‘emerging markets’.: – Poland, Czech Republic, Hungary and Romania: • East and Central Europe – Transition from bureaucratic, centralised economy to market-oriented economies with more democratic features Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3.8 Eastern Europe (Continued) • Russia, a BRIC country – European emergent market – one of the BRIC countries – largest of the former Soviet Union republic – ‘Blat’, a Soviet form of social networking – still flourishes to help cope with uncertainties of new society Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3.9 Eastern Europe (Continued) • Turkey – straddles the border between Europe and Asia – Candidate for membership of EU, but its right to be a member disputed: – Turkey seen by some as not being European culturally, socially or geographically But what does ‘European’ mean? – Others see Turkey as European through its influential role in Europe over four centuries Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3.10 Concept 3.2 American and Australasian cultures • We move from the ‘European Old World’ to the ‘New World’ • Areas where immigrants from European peoples set up home and business • Concept examines: – Anglo-Saxon approach to business – The strong values of the Latin Europe as reflected in Latin America Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3.11 United States of America – Originally 13 British colonies which would become the USA – Constitution based on the principle of equality – Many immigrants adopted the Protestant work ethic – Indicator of success for US businesses is the ‘bottomline’ – Difference between British and American businesses: - the way they look at the future • The ‘new’ immigrants – Latin American and Asian immigrants – Recent immigrants (Mexican) are still undergoing the process of assimilation Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3.12 Canada • Canadians – More a ‘mosaic’ (variety) than a ‘melting-pot’ society – Respect for cultural diversity and cultural pluralism – Canadian style of management contrasts to that of the USA: • less formalised • less driven by individual goals • more aware of society as a whole Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3.13 Australia and New Zealand • Australians and New Zealanders – Increasing cultural diversity, despite Anglo-Saxon foundations – Business culture remains Anglo-Saxon in nature, but more collaborative, distrust of authority Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3.14 Latin America • Despite differences between countries of Central and South America, cultural values are shared: – Strong belief in Catholic religion • reflecting importance of families and distinct male/female roles • values implanted by immigrants from Iberian peninsula – Role of ‘patron’: • authoritarian behaviour expected and respect shown • Rise of middle class in Brazil is shared with other BRICS countries Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 ... Price, Understanding Cross- Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3. 3 The European Union Figure 3. 1 The European Union Source: The European... Understanding Cross- Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3. 13 Australia and New Zealand • Australians and New Zealanders – Increasing cultural. .. results rather than relationships Browaeys and Price, Understanding Cross- Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015 Slide 3. 6 Western Europe (Continued)