Unit 39 - International Business

It is very important to study the different elements of culture of the country. When consider China and India, being large countries, the cultural diversity is higher and varies with the geographical areas. In some cultures, the value systems and ethics will be critically affected on the business. Some businesses are almost impossible to start in some regions due to cultural factors such as religion and value systems. Particularly, in Chinese culture, collectivism plays a major role in decision making. Therefore, a thorough knowledge about the culture is necessary before going to start a business.

(4) Cultural and social environment, consumers’ behaviour and life style that have effect on business.

I have chosen and researched two businesses, one local and one international. I have found out their aims, objectives, competitors, purpose and whether they are ethical or not. I have used online sources for research which are included in my bibliography as the internet has provided me with the research I required. One of my businesses is a local business, and the other is a national business. However, they are both nearby. Firstly, I chose Sainsbury’s. This is a local business which is found everywhere across the UK, including my local area. Secondly, I chose Museum of London Docklands as my national

H. Describe how are other critical issues (which you listed in B) perceived by each key player from their cultural perspective (explain using appropriate cultural dimensions):

6. Describe the way in which cultural differences can act to impede communication between business people of different nationality.

Making business abroad can be risky, but it can also be profitable for a company as well; thus the necessity to study in deep the country where the company will bring the business to. International companies are faced with many cultural challenges, when doing business across and inside of different borders. Identifying the significant cultural issues involved when evaluating the attractiveness of a particular location as a place for doing business can be crucial for a business. Aspects to consider when studying culture in a new place

3. What specific factors should the company take into account when integrating the different cultures, who should be responsible for the integration process, when and how should the integration process take place and how should its success or failure be evaluated?

     Cultures are varying among different parts of the globe. People with different cultures have different characteristics and viewpoints on the subjects due to diverse understanding and method of learning. During the past few decades, the international trade grows in a very rapid rate due to the advantages that it provides; “increased sales, operational efficiencies, exposure to new technologies and broader consumer choices” (Heslin). Therefore, when considering the culture aspect to current business world, it is crucial for business to understand the culture aspect because of the tremendous growth of international business as well as utilize the international market to its maximum

Cultural differences between countries have strong effects on individual personality and behavior, as well as on organizational culture (Hofstede 2001). These differences can be a significant barrier for an international business leader. Failure to understand and adapt to these differences may

In this assignment, we aim to investigate in which extent an organisation must appreciate cultural differences before entering a market.

2. When a company grows in size and makes the decision to expand internationally, it is vital for its image among current and future customers to complete projects effectively and on time. Furthermore, it is also likely that such an expansion would entail the representation of more than one culture among the workforce. Indeed, while many employees will be relocated from the home country, a further proportion will be hired from the host country. To facilitate the relations and

Whenever a company is entering a new market it has to take into consideration the cultural differences between countries. Based on the case study analysis, the difference between the two countries in terms of eating out habits and eating preferences seem not to be understood by the Denver headquarter. Denver headquarter believes that it can enforce the same business model applied in the U.S to its stores in China, regardless of local preference. In addition, Foster seems to lack knowledge about the Chinese culture because she was not familiar with the market in China, as she had no experience working internationally. There was a lack of cross-cultural communication between Chen and Foster; even though, Chen had experienced both cultures while studying abroad in the U.S.

3) Advise managers from each culture how they could be more successful managing in the other culture.

When operating internationally a company will face many challenges. One of the main challenges they face is the cultural differences among different nations. Even domestic businesses, with such a diverse workforce, have to deal with cultural differences. So what are the principal areas of cultural differences? Not just language, but values, dress, manners, views, and other factors are all principal area of cultural differences in business, and can manifest at all levels of business. In this paper I will go over the importance of understanding these principal areas.

Q2.3: FOR THE CHOSEN ENTERPRISE, DEFINE CULTURAL FACTORS THAT AFFECT THE MARKETING OF its PRODUCTS AND OUTCOMES.