1. The Meanings and Dimensions of Culture and Managing Across Culture Mike, Roy, and Tianfan

2. What is Culture? An acquired knowledge that people use to interpret experiences and generate social behavior Forms Values Creates attitudes Influences behaviors 6 Characteristics of Culture Learned Shared Transgenerational Symbolic Patterned Adaptive

3. Hofstede’s Model of Culture The explicit artifacts and products of the society The norms and values that guide the society The implicit, basic assumptions that guide people’s behavior

4. How do you Shake Hands? American Style Asian Style European Style

5. Discussion Question In what ways can measuring attitudes about the following help differentiate between cultures such as the U.S., Germany, and Japan? Centralized vs. Decentralized Decision Making Safety vs. Risk Individual vs. Group rewards High vs. Low Organizational Loyalty Cooperation vs. Competition

6. Dimensions of Culture Hofstede Power Distance Uncertainty Avoidance Individualism Masculinity Time Trompenaar Universialism vs. Particularism Individualism vs. Communitarianism Neutral vs. Emotional Specific vs. Diffuse Achievement vs. Ascription Time

7. Time and Environment

8. Discussion Question In what way is time a cultural factor? In what way is the need to control the environment a cultural factor?

9. Priorities of Cultural Values Table 4-1 Priorities of Cultural Values: United States, Japan, and Arab Countries United States Japan Arab Countries Freedom Independence Self-reliance Equality Individualism Competition Efficiency Time Directness Openness Belonging Group harmony Collectiveness Age/seniority Group consensus Cooperation Quality Patience Indirectness Go-between Family security Family harmony Parental guidance Age Authority Compromise Devotion Patience Indirectness Hospitality Note: “1” represents the most important cultural value, “10” the least. Adapted from Table 4-1: Priorities of Cultural Values: United States, Japan, and Arab Countries

10. Discussion Question Looking at the lists of these values for their respective countries what kind of managing styles would managers from these countries have and why?

11. Priorities of Cultural Values Table 4-1 Priorities of Cultural Values: United States, Japan, and Arab Countries United States Japan Arab Countries Freedom Independence Self-reliance Equality Individualism Competition Efficiency Time Directness Openness Belonging Group harmony Collectiveness Age/seniority Group consensus Cooperation Quality Patience Indirectness Go-between Family security Family harmony Parental guidance Age Authority Compromise Devotion Patience Indirectness Hospitality Note: “1” represents the most important cultural value, “10” the least. Adapted from Table 4-1: Priorities of Cultural Values: United States, Japan, and Arab Countries

12. Parochialism The tendency to view the world through one’s own eyes and perspective.

14. Simplification The process of exhibiting the same orientation toward different cultural groups.

16. Discussion Question In what way are parochialism and simplification barriers to effective cross-cultural management?

17. Case Study Beijing, here we come!

18. Doing Business in China Technical competence Time concept and reluctance GUANXI! “who you know>what you know”! Very Important! #1 Priority=Personal well-being: think of Chinese negotiators as humans first

20. About the Case A Canadian toy company wants to invest in the PRC 5 year contract and the PRC will take control of the plant after 5 years This would allow for maximized profit They were formerly contracted to a Taiwanese company which is becoming more expensive They must renew before the end of 60 days The contract there will be extended another 24 months if renewed

21. Discussion What is the likelihood that the Canadians will be able to reach an agreement with the mainland Chinese and not have to go back to their Taiwanese supplier? Are the Canadians making a strategically wise decision in letting the Chinese from the PRC handle the manufacturing, or should they insist on getting more actively involved in the production process? What specific cultural suggestions would you make to the Canadians regarding how to do business with the mainland Chinese?

22. So what about this… As people engage in more international travel and become more familiar with other countries, will cultural differences decline as a roadblock to international understanding, or will they continue to be a major barrier? What are potential benefits of cultural differences within the globalized business world?