Business Culture and Cross-Cultural Lecturer: Mai V.

Dũng (PHD
Communication– HSB3016 Student, MBA)
 Part Chapter Date 8:00 – 11:50

PART 1: CULTURE & Overview of Culture 26th April Theory Practice

BUSINESS CULTURE
Overview of Business Culture 28th April Theory Practice

PART 2: BUSINESS Business Philosophy & Business Ethics 4th May Theory Practice
CULTURE ELEMENTS
Entrepreneur Culture & Corporate Culture 10th May Theory Practice

Cultural Behavior 11th May Theory Practice

17th May Revision Mid term

PART 3: VIETNAMESE Vietnamese Business Culture before Renovation 18th May Theory Practice
BUSINESS CULTURE
Today Vietnamese Business Culture 31st May Theory Practice

PART 4: Overview of International Business Culture 1st June Theory Presentation

INTERNATIONAL
Multicultural marketing and negotiations 7th June Theory Presentation
BUSINESS CULTURE
Major International Business Culture – Presentation 8th June Revision Presentation
Revision
Part I:
Overview of
Culture and
Business
Culture

Chapter 3: Business
Philosophy & Business
Ethics
Content

Overview of Business Culture Elements

1) Business Philosophy
2) Business Ethics
3) Entrepreneurial Culture
4) Corporate Culture
5) Behavioral Culture
1. Business
Philosophy
(BP)
Definition
• Business philosophy consists of ideals,
mottos of action, value systems and
common goals of the enterprise to
guide business activities.
Duong L. et.al. (2011), Giao trinh van hoa kinh doanh, NXB Dai Hoc KTQD, p.72

• The business philosophy definition is the

set of principles and beliefs that a
company is working toward to achieve
success.
https://www.upcounsel.com/business-philosophy-definition
 How organizations express their Business Philosophy

Mission • Why do we exist? Who do we want to be?

• What do we do?
Sứ mệnh • What’s our duty?…

• What problem are we seeking to solve?

Vision • Where are we headed?
• If we achieved all strategic goals, what would
Tầm nhìn we look like 10 years from now?...

• What values are unique to our organization?

Value • What values should guide the operations of our
company?
Giá trị • What conduct should our employees uphold?

https://www.shrm.org/resourcesandtools/tools-and-samples/hr-qa/pages/isthereadifferencebetweenacompany%E2%80%99smission,visionandvaluestatements.aspx
 A mission statement is a concise explanation of the
organization's reason for existence. It describes the
organization's purpose and its overall intention. The mission
statement supports the vision and serves to communicate
purpose and direction to employees, customers, vendors and
other stakeholders.

Important elements Characteristics

Mission
statements
History Market focused

Core competencies Feasible

External environment Specific

https://www.shrm.org/resourcesandtools/tools-and-samples/hr-qa/pages/isthereadifferencebetweenacompany%E2%80%99smission,visionandvaluestatements.aspx
 A few examples of Mission statements
To accelerate the world's
transition to sustainable Spread ideas.
energy.
“Vinamilk cam kết mang đến
cho cộng đồng nguồn dinh
dưỡng và chất lượng cao cấp
hàng đầu bằng chính sự trân
trọng, tình yêu và trách
nhiệm cao của mình với cuộc
sống con người và xã hội”
 A vision statement looks forward and creates a mental image of the
ideal state that the organization wishes to achieve. It is inspirational
and aspirational and should challenge employees.

Vision Typical Transformable (into specific solutions)

characteri
statements stics Directional (for the business)

Priority order (what to focus)

Facilitating revision (for improvement)

https://www.shrm.org/resourcesandtools/tools-and-samples/hr-qa/pages/isthereadifferencebetweenacompany%E2%80%99smission,visionandvaluestatements.aspx
 A few examples of Vision statements

“Trở thành biểu tượng niềm tin “Bring inspiration and innovation
hàng đầu Việt Nam về sản phẩm “Our vision is to create a better to every athlete* in the world. (*If
dinh dưỡng và sức khỏe phục vụ everyday life for many people.” you have a body, you are an
cuộc sống con người” athlete.)”
 A values statement lists the core principles that guide and direct the
organization and its culture. In a values-led organization, the values
create a moral compass for the organization and its employees. It
guides decision-making and establishes a standard against which
actions can be assessed. These core values are an internalized
framework that is shared and acted on by leadership.

Value Typical Principles

characteri
statements stics Loyalty and commitment

Expected behavior

Style of communication…

https://www.shrm.org/resourcesandtools/tools-and-samples/hr-qa/pages/isthereadifferencebetweenacompany%E2%80%99smission,visionandvaluestatements.aspx

A few examples
of Values
statements
- CHÍNH TRỰC: Liêm chính, Trung thực trong
ứng xử và trong tất cả các giao dịch.
- TÔN TRỌNG:Tôn trọng bản thân, Tôn trọng
đồng nghiệp, Tôn trọng Công ty, Tôn trọng
đối tác, Hợp tác trong sự tôn trọng.
- CÔNG BẰNG: Công bằng với nhân viên,
khách hàng, nhà cung cấp và các bên liên
quan khác.
- ĐẠO ĐỨC: Tôn trọng các tiêu chuẩn đã
được thiết lập và hành động một cách
đạo đức.
- TUÂN THỦ: Tuân thủ Luật pháp, Bộ Quy Tắc
Ứng Xử và các quy chế, chính sách, quy định
của Công ty.
- Togetherness: Togetherness is at the heart of the IKEA culture. We are strongest
when we trust each other, pull in the same direction and have fun together.
- Caring for people and planet: We want to be a force for positive change. We
have the possibility to make a significant and lasting impact — today and for the
generations to come.
- Cost-consciousness: As many people as possible should be able to afford a
beautiful and functional home. We constantly challenge ourselves and others to
make more from less without compromising on quality.
- Simplicity: A simple, straightforward and down-to-earth way of being is part of
our Smålandic heritage. It is about being ourselves and staying close to reality.
We are informal, pragmatic and see bureaucracy as our biggest enemy.
- Renew and improve: We are constantly looking for new and better ways
forward. Whatever we are doing today, we can do better tomorrow. Finding
solutions to almost impossible challenges is part of our success and a source of
inspiration to move on to the next challenge.
- Different with a meaning: We are not like other companies and we don’t want
to be. We like to question existing solutions, think in unconventional ways,
experiment and dare to make mistakes - always for a good reason.
- Give and take responsibility: We believe in empowering people. Giving and
taking responsibility are ways to grow and develop as individuals. Trusting each
other, being positive and forward-looking inspires everyone to contribute to
development.
- Lead by example: We see leadership as an action, not a position. We look for
people’s values before competence and experience. People who ‘walk the talk’
and lead by example. It is about being our best self and bringing out the best
What are your favorite
Mission, Vision, Core Values?
Building Business Philosophy
 • Legal
External • Economical
environment •…

Years of experience • Early vs growing stage

(Organization, • Time to create, develop,
announce, revise BP
leaders)
• Knowledge, experience,
Conditions Leaders’ capacity
ideas, passion
• Leadership,
communication, influence
Employees’
• Agreed and be involved
voluntary • Voluntary Implementation
acceptance
 A

Methods

- Step 1: top leaders discussed, - Step 1: top leaders discussed, team (A) assigned
- Step 2: Announce - Step 2: A interacts with other departments
- Step 3: A consolidates, proposes to top leaders
- Step 4: Top leaders conclude, announce
 How to
express it

https://www.youtube.com/watch?v=wZxhDqjDLzI&t=46s https://www.youtube.com/watch?v=dL1_5INa4PY
Roles of
Business
Philosophy
Core of Business Culture
• To unify the action of employees
into a general picture of objective
and values.
• Part of the Organizational Culture
Tool for orientation and
basis for strategic
management
• Set an agreement regarding the
Objective of the Organization
• Guideline for doing business
according to the Organization
Culture
• Stay focused.
Means to educate, develop
human resources and
create a unique working
style of the enterprise
• Integration of new members
• Self development toward a
direction
• Conflict & harassment reduction
2. Business Ethics
Definitions

“Business ethics is a set of principles and standards

“Ethics is a set of principles, rules and social that regulate, evaluate, guide and control the
standards to regulate and evaluate human behavior of business entities.”
behavior towards themselves and in relation to
Duong L.. et.al. (2011), Giao trinh van hoa kinh doanh, NXB Dai Hoc KTQD, p.106
others and to society.”
Duong L. et.al. (2011), Giao trinh van hoa kinh doanh, NXB Dai Hoc KTQD, p.103
Business ethics is a “form of applied ethics or
professional ethics that examines the ethical principles
and moral or ethical problems which arise in a
business environment”
“A set of principles of right conducts”
The American Heritage Dictionary Wlodzimierz, S. and Szántó, R. (2018) Corporate Social Responsibility
and Business Ethics in Controversial Sectors: Analysis of Research
Results. Journal of Entrepreneurship, Management and Innovation, 14,
111-126.
https://doi.org/10.7341/20181435
Some important
principles and
standards of
Business Ethics
 Business Ethics and
Corporate Social
Responsibility (CSR)

• What is CSR?
Corporate Social Responsibility (CSR) is
a self-regulating business model that
helps a company be socially
accountable—to itself, its stakeholders,
and the public. By practicing corporate
social responsibility, also “… the concept that an enterprise is accountable for its impact
called corporate citizenship, companies on all relevant stakeholders. It is the continuing commitment
can be conscious of the kind of impact by business to behave fairly and responsibly and contribute to
they are having on all aspects of economic development while improving the quality of life of
society, including economic, social, and the work force and their families as well as of the local
environmental. community and society at large…” - The European Union -
https://www.investopedia.com/terms/c/corp-social-responsibility.asp
Pyramid of CSR

Humanistic
responsibility

Ethical
responsibility

Legal
responsibility Archie B. Carroll
Professor emeritus of management in the
Economic Terry College of Business, University of
responsibility Georgia, Athens, Georgia, United States of
America
 To be a good corporate citizen: A strong desire to build a
better society, to improve quality of life
CSR Aspects - specific donation,
- investment to improve quality of life.

To be ethical
- To do what is right, just and fair.
Humanistic
- To avoid wrong doings
responsibility
- To avoid harm to the society.
Ethical To obey the law
responsibility
- Business Law,
Legal - Labor Law,
responsibility - Environment Law...

Economic Be profitable
responsibility - Employees: job creation, opportunities to grow, benefits…
- Consumers: product and service, quality, safety, fair price…
- Shareholders: retain and develop the assets assigned
FPT xây trường nuôi dạy 1.000 em
nhỏ mồ côi do Covid-19

• https://vnexpress.net/fpt-xay-truong-nuoi-day-1-000-em-nho-mo-
coi-do-covid-19-4357626.html
• https://24hmoney.vn/news/lo-dien-ngan-hang-lien-quan-vu-nhan-
vien-cong-ty-luat-khung-bo-con-no-c26a1817148.html
Is a legal
decision always
an ethical
decision?
Business Ethics in Hiring Example 1
Business Ethics in Hiring Example 2
Business Ethics in Hiring Example 3
Good news
• Your company is making a lot of profit
or bad the last 3 months.
news?
Good news or
bad news?
• Your company is
making a lot of
profit the last 3
months.
• We have managed
to increase our price
to the people that
are socially isolated.
 Regulating business owners'
behaviors

Employees commitment
Business
Ethics’ Roles Customers’ satisfaction
in Business
Management Profitability

National economic stability

 Business Functions

How to HR Marketing

express - Discrimination, privacy

- Unfair Evaluation
- False advertisement
- Comparative advertisement

Business - Exploitation, abuse

- Security, safety…
- Discrimination
- Using content of the others…

Ethics and
what to Board of
Management

avoid?
Sales
Accounting & Finance
- Price dumping, undervaluing
- Hidden or unofficial cost
competitors’ products or service
- Fake invoices
- Overpromising
Business Ethics in Global
Business

Corruption Hiring Discrimination Against Black

Americans Hasn’t Declined in 25 Years
https://hbr.org/2017/10/hiring-discrimination-against-black-
americans-hasnt-declined-in-25-years

Racism
https://www.transparency.org/en/cpi/2020/index/nzl

Human rights
Harmful products
Yêu cầu báo cáo Thủ tướng vụ mì Hảo Hảo
Copy rights bị Ireland thu hồi vì chứa chất cấm
https://nld.com.vn/kinh-te/yeu-cau-bao-cao-thu-tuong-vu-mi-hao-hao-bi-
ireland-thu-hoi-vi-chua-chat-cam-20210830220505202.htm
 Trudeau fined $100 over gift of
sunglasses
• Fine: $100
• Reason: failing to declare a gift
worth more than $200 within 30
days of accepting it

https://www.cbc.ca/news/politics/trudeau-fine-sunglasses-pei-1.4718338
Some anti
corruption laws
• Luật phòng chống tham nhũng,
có hiệu lực từ ngày 01/7/2019 –
Việt Nam.
• Foreign Corrupt Practices Act of
1977, USA.
• Bribery Act 2010 - UK
Racism and religious discrimination
Business Ethics in Global
Business - Recommendation

• Know the laws

• Pledge to follow international business
guidelines
• Develop a unified strategy
• Communicate clearly and understand
the differences
• Put the company guidelines into practice
• Assess and acknowledge differences.

https://www.americanexpress.com/en-us/business/trends-and-insights/articles/6-tips-to-navigate-the-ethics-of-global-business/
 • Soborno • Under the table money
• Mordida • Kickback
• Embarrarse • Bribe
• Cohecho • Grease payment
• Lubrication payment
• Coima
• https://www.youtube.com/watch?v=zjeYNw0vSoQ
Break time
A manufacturing company provides jobs for
many people in a small town where employment
Mini Case study
is not easy to find. The company has stayed in
the town even though it could find cheaper
workers elsewhere, because workers are loyal to
the company due to the jobs it provides. Over
the years, the company has developed a
reputation in the town for taking care of its
employees and being a responsible corporate
citizen.

The manufacturing process used by the company

produces a by-product that for years has flown
into the town river. The by-product has been
considered harmless but some people who live
near the river have reported illnesses. The by-
product does not currently violate any anti-
pollution laws.

What are the issues of integrity, ethics and law

posed in the case study? What options does the
company have, and what should it do and
why? (to be presented briefly on 1st April)
https://www.unodc.org/e4j/en/integrity-ethics/module-12/exercises/case-studies.html
 1. Analyze the role of business philosophy in the development of a
company. Why does business philosophy play an important role
in a company's culture? How important is the business
philosophy in the strategic management of the company? Take a

Group 2.
Vietnamese company for example.
Discuss the business philosophy of a Vietnamese company that
you know? In your opinion, does business philosophy in

discussion 3.
Vietnam today reduce corruption in the economy?
What is business ethics? Why is business ethics important for
managers? Discuss the opinion: “The company always acts
ethically regardless of the economic cost”.
4. What are the differences between ethical and legal behavior
regulation? What are the differences between business ethics
and social responsibility? Describe the relationship between
business ethics and social responsibility and economic
performance.
 BMW Ice-cream incident:

Group - https://www.news.com.au/technology/motoring/on-the-road/china-
erupts-over-ice-cream-incident-at-shanghai-auto-show/news-
story/7e01b9171128e65e4eaedc650f1fa383

discussion - https://edition.cnn.com/2023/04/21/cars/china-bmw-mini-ice-cream-
backlash-intl-hnk/index.html
Chủ tiệm nói gì khi nhân viên đưa một tay, 'ném' hàng xuống đất?
- https://baomoi.com/chu-tiem-noi-gi-khi-nhan-vien-dua-mot-tay-nem-
hang-xuong-dat/c/45713490.epi
 Reading
- Giáo trình văn hóa kinh doanh
(Page 167-261)