UNIT 4, MANAGING ACROSS CULTURE LEARNING OBJECTIVES ‘After you have read and studied this unit, you should be able to ‘+ Explain the importance of cultural differences for people working across cultures. ‘= Discuss the conflict between globalization and localization ee eee «Explain the concepts of high-context culture, low-context culture, and power distance. KEY TERMS localization is a combination of the words “globalization” and “localization.” The term is used to describe a product or service that is developed and distributed globally but is also adjusted to accommodate the user or consumer in a local market. Culture is defined as the complex system of values, traits, morals, and customs shared bya society. Context refers to the stimuli, environment, or ambience Surrounding an event. The Lewis Model was developed by linguist and leading cross-cultural specialist Richard D. Lewis. The mode! divides humans into 3 clear categories, based not on rationality or religion but on BEHAVIOUR, namely, Linear-active, Multi-active and Reactive. High-context culture is a cutture by which the rules of communication are primarily and dominantly transmitted through the use of contextual elements. These include ‘specific forms of body language, the social or familial status of an individual, and the tone of voice employed during speech. High-context cultures usually do not have rules that are explicitly written or stated. Low-context culture refers to a culture whereby most communications take place ‘through verbal language and rules are directly written out or stated for all to view. Power distance is the distribution of power among individuals wit well unequal levels of power are accepted by those with less power. culture and how rrr Scanned with CamScannerLEAD-IN 1. What is culture? Choose the four factors that you think are the most important in creating a culture. Give your réasons. climate istorical events: language architecture behaviour and attitudes institutions religion social customs and traditions cuisine geography ceremonies and festivals arts 2. Why is cultural awareness important for businesspeople? Give examples. 3. To what extent s the culture of your country similar enough to those of neighboring Countries? Do they have very different attitudes to work, hierarchy, organization? If so, ‘what are these differences? READING 1 Managing across cultures Richard Lewis is well known in the field of cross-cultural communication and the author of When Cultures Collide: Managing Successfully Across Cultures and The Cultural Imperative: Global Trends in the 2Ist Century. Read about his model of three types of cultures, and answer the questions. cone set of corporate objectives, goals, policies, practices, products and services. But local differences - cultura habits, beliefs and principles specific to each country or market - often make this impossible. The conflict between globalization and localization has led tothe invention ofthe word “localization”. Companies that want to be successful in foreign markets have to be aware ofthe local cultural characteristies that affect the way business is done. Richard Lewis has classified different cultures according to three “poles” representing diferent types of behavior. Businesspeople in'linear-active cultures such as Britain, the USA and Germany are generally organized and rational, try to act logically rather than emotionally, plan in advance, and like to do one thing at atime. They believe in respecting rules, regulations and contracts, and so are what the Dutch theorist Fons Trompenaars calls ‘universalist’ - they think rules apply to everybody. They are not afraid of confrontation but will compromise when necessary to achieve a deal. They are essentially individualist. "Multi-active cultures’ in Souther Europe, Latin America and Aftica attach more importance to feelings, emotions and intuition, and relationships and connections. People like to do many things atthe same time; they are flexible, good at changing plans and happy to improvise. They believe in social or company hierarchy, and respect status. They are essentially collectivist, and also what ‘Trompenaars calls “partcularst”- they that personal relationships and friendships should take precedence over rules and regul: Scanned with CamScannerPeople in reactive cultures in Asia refer to listen to and establish the ‘other's position, and then react to it ‘They try to avoid confrontation, and don't want to ‘lose face' or cause someone else to, They rarely interrupt speakers and often avoid eye contact. ‘They try to formulate approaches which suit both parties. Other countries have eultures which show combined characteristics of two of these poles, and can be represented along the sides of a triangle Comprehension aS eee Why is it important for companies to be aware of local cultures? What are the differences between individualist and collectivists? Who is more likely to think: “'l let them speak firs." Who is more likely to say, about other people: “They can't be trusted because they wil always help their fiends or family” - universalist or paricuarsts? 8. Who is more likely to say: “Oh, you cant trust them; they wouldn't even help a friend"? READING 2 Understanding Culture and Communication Even when communicators share the same culture, comprehending the verbal and nonverbal ‘meanings of a message can be difficult. When different cultures come together, special sensitivity and skills are necessary. Global business, communication technologies, and social media span the ‘world, reducing distances. Culture may be defined as the complex system of values, traits, morals, and customs shared by a society. Culture is a powerful operating force that molds the way we think, behave, and ‘communicate. High and Low Context Context is probably the most important cultural dimension and also the most difficult to define. In ‘a model developed by cultural anthropologist Edward T. Hall, context refers to the stimuli, environment, or ambience surrounding an event. Hall arranged cultures on a continuum, from low Communicators in low-context cultures (such as those in North America, Scandinavia, and Germany) depend little on the context of a situation and shared experience to convey their ‘meaning. They assume that messages must be explicit, and listeners rely exclusively on the written or spoken word. Low-context cultures tend to be linear, analytical, and action oriented. Business ‘communicators stress clearly articulated messages that they consider to be objective, professional, and efficient. Words are taken literally. Communicators in high-context cultures (such as those in China, Japan, and Middle Eastern Countries) assume that the listener does not need much background information. High-context cultures are more likely to be intuitive and contemplative. Communicators in these cultures pay attention to more than the spoken or written word. They emphasize interpersonal relationships, ‘nonverbal expression, physical settings, and social context. For example, Japanese communicators Scanned with CamScanner‘might say yes when they really mean no. From the context of the situation, the Japanese speaker ‘would indicate whether yes really meant yes or wheter it meant no. The context, tone, time taken ‘to answer, facial expression, and body cues would convey the meaning of yes. Thus, in high- ‘context cultures, communication cues tend to be transmitted by posture, voice inflection, gestures, and facial expression. Power Distance ‘One important element of culture is power distance, which was first introduced by influential social psychologist Geert Hofstede. The Power Distance Index measures how people in different societies cope with inequality- in other words, how they relate to more powerful individuals. In high-power distance countries, subordinates expect formal hierarchies and embrace relatively authoritarian, paternalistic power relationships. In low- power-distance cultures, however, subordinates consider themselves as equals of their supervisors. They confidently voice opinions and participate in decision making. Relationships between high-powered individuals and people with litle power tend to be more democratic, egalitarian, and informal. As you have probably ‘guessed, in most Wester cultures, people are more relaxed about social status and the appearance of power. Deference is not genergally paid to individuals merely because oftheir wealth, position, iority, or age. In many Asian cultures, however, these charaterstics are important. A strict top seni down management structure allows for faster decision making, but it also prevents subordinates from speaking up due to fear or resignation, researchers say. Employee silence can be costly. For example, it has been blamed for such disasters as the Sanlu milk poweder scandal in China and the Fukushima nuclear power plant explosion in Japan, Comprehension 1. What is culture? What factors are likely to be governed by cultures? 2. What is context? 3, What are some of the most striking features of communication in low-context cultures? ‘4. What factors are more important than linguistic inputs in high-context culture when it comes to communication? ‘5. How are communication cues conveyed in high-context cultures? 6. What does Power Distance Index measure? 7. How do subordinates in low-context cultures and high-context cultures treat their supervisors? 8, What are the disadvantage and advantage of top-down management structure? Decide if the following statements are TRUE or FALSE? Scanned with CamScanner1. The Power Distance Inde i id thetrnabenm Dit Indes meer tho gap between peoples hgh powered positions and 2. In high-power- distance cultures, the low-ranking people tend to pay more respect and show ‘obedience to their supervisors. 3.1n low-power- distance countries, it is inappropriate forthe subordinates to voice their ‘objection to their managers. 4, Workers in high-power- distance cultures are more empowered than their counterparts in the low- power- distance cultures. 5, Decisions ean be made faster when the subordinates are involved in the decision-making process, 6. Worker silence is considered a good sign since fewer conflicts occur in work CASE STUDY 1 ‘You work in a multinational organization. You have been given the responsibility of mentoring two American colleagues who are coming to work in your office. You have been asked to help them settle in to their new workplace by preparing ‘a short document outlining the general practices they can expect to find when they are living and working in your country. ‘The document could include information about working practices in your office, as well as practical information about your city or country, including advice about transport, and conventions such as tipping in taxis and restaurants. In groups discuss what should go in this document and then present these ideas to the rest of the class. place. ‘CASE STUDY 2 {A group of managers is attending an informal briefing about the business culture of your country. Background You work for Better Business Communications, a company which prepares business people who are visiting your country for the first time. A group of top managers will shortly be visiting your country in order to decide on the location of an overseas subsidiary. During their visit, the managers will attend meetings with a number of business people, and be entertained at their homes or in restaurants. They also plan to do some social visits and excursions. You will run an informal business culture briefing for the management group, informing them Scanned with CamScanner‘ing their about aspects of business culture in your country and answering questions, Discuss what kind of topics you could include in yo business culture of your country. wur briefing about the ‘VOCABULARY Exercise 1. Read the following text and fill in the blank with a suitable word or phrase. dimensions _— distant low-power distance accessible hierarchical high-power distance forms of address remote Acompany’s culture depends to a large extent on the country it is based in. Geert Hofstede is a world-famous expert on cultural differences. Power- distance is one of the important cultural (1) that he identified. ‘Sweden is a(2) culture. Managers are (3) and approachable and there is a tradition of employees being involved in decision making as part of a team of equals - everyone’s opinion is treated equally. France is a (4) culture. Managers are usually more distant and remote. Employees may feel quite (5)__from their managers and show a lot of deference - respect - to them, following decisions but not participating in them, Now have a look at these organigrams: ra a) (el Ea] = A] wa Ew , with only three ‘This Swedish company is not very (6) management layers - different levels. Scanned with CamScanner aFrench compani: A panies the tet with more manage = eee far more hierarchical than Swedish ones, Deference and distance may be shown in language. Some languages have many (7)|______ that you use to indicate how familiar you are with someone. In English, whether first names or surnames are used can show distance. Exercise 2. Which word combination with “CULTURE” relates to each of the following? aay he way that companies in general behave, the way business is done, et. Ee ina particular place [company or ‘the way a particular company works and the things that its employees corporate believe are important Tong-hours_ | culture “where people are expected to work along time ‘each day ‘macho the values typically associated with men ~ strength, et. aes ‘then selling s seen as the most important thing in an organization, rather than other activities learning ‘when learning and innovation ae seen as important The men realy dominate inthis company they don't make life easy for women at all. All 1 they talk about i football. ‘They say that if you go home at 5.30, you can’t be doing your job properly. But'm going. 2 anyway. 3. {Were al encouraged goon coirsed and to keep upourspecilt kiowledge. “There was atime when managers could only wear white shirts in this particular company 4 © things are a bit les formal now. (2 expressions) 5 dbus rede oye barn. 6” Althe chief executives inthe company’ history have had a background in seling, | Exercise 3. Match the words in the box with the definitions below. collectivist compromise confrontation connections _ eye contact glocalization improvise interrupt intuition logic lose face status Scanned with CamScannerPane 4 sy Se ‘an invented word combining worldwide and regional concems ‘thought based on reason and judgement rather than feelings and emotions A face-to-face disagreement or argument reducing demands or changing opinions in order to agree ‘understanding or knowing without consciously using reason, people of influence or importance with whom you are associated ut having already planned it respect, prestige or importance given to someone believing that the group is more important than the individual 10. to be humiliated or disrespected in public 11. tocut to do something when necessary 10 someone else’s turn to speak 12, looking directly atthe people you are talking or listening to UNIT REVIEW 1. Why is it important for companies to be aware of local cultures? 2. Describe the characteristics of businesspeople from Mult Active cultures. 3. What is culture? What factors are likely to be governed by cultures? 4. What is context? ; 5. Describe the major features of low context and high-context cultures and give example of \ctive, Reactive, and, Linear- countries adopting low-context and high-context cultures. 6. What does Power Distance Index measure? 17. Indicate the differences in the relationship between subordinates and their supervisors in Iow-context cultures and high-context cultures. REFERENCES 1. Mackenzie, |., 2010, English for Business Studies, Cambridge University Press. 2. Borrington, K., Stimpson, P., 2018, Business Studies, Cambridge University Press. 3. Nickles, W.G., McHugh, J.M., McHugh, S.M., 2019, Understanding Business, Mc Graw Hill Education. 4, Mackenzie, |., 1997. Management and Marketing, Thomson. 5. Mascull, B., 2017, Business Vocabulary in Use Intermediate, Cambridge University Press. 6.Cotton, D., 2010, Market Leader Intermediate, Pearson Education Limited. Scanned with CamScanner