INTERNATIONAL BUSINESS

Presentation on Cultural Globalization in the context of International Business

Submitted To Prof. Payal Srivastav

Submitted By Nosheen Anjum, Piyusha Huddar, Saijeeth Vasudevan Sanjay Singh Thakur

INTERNATIONAL BUSINESS
International Business conducts business transactions all over the world. These transactions include the transfer of goods, services, technology, managerial knowledge, and capital to other countries. International business involves exports and imports. International Business is also known, called or referred as a Global Business or an International Marketing. a. Exporting goods and services. b. Giving license to produce goods in the host country. c. Starting a joint venture with a company. d. Opening a branch for producing & distributing goods in the host country. e. Providing managerial services to companies in the host country.

FEATURES OF INTERNATIONAL BUSINESS

CULTURE
Culture is a word for people's 'way of life', meaning the way they do things. Different groups of people may have different cultures. A culture is passed on to the next generation by learning. Culture is seen in people's writing, religion, music, clothes, cooking, and in what they do. Cultures are what make countries unique. Each country has different cultural activities and cultural rituals. Culture is also the beliefs and values of the people in that culture. Culture also includes the way people think about and understand the world and their own lives. Companies can have a separate culture. Japanese manufacturing companies often have a different culture to Western companies.

GLOBALIZATION
Globalization is a process of interaction and integration among the people, companies, and governments of different nations, a process driven by international trade and investment and aided by information technology.
Traditional factors for globalization was factor of production, but it was seen in the modern world that economic, cultures and social factors also have a strong influence on globalization. The globalization appears when the companies, the regions, the nations and the continents are in the permanent competition in the attraction of investments.

GLOBALIZATION
Globalization is both economically and culturally, a development opportunity, but at the same time and an opportunity for standardization. Globalization is a process that is exclusively interested in the civilization of a community

ANALYSIS OF CULTURE -GLOBALIZATION ON THE BASIS OF FOLLOWING ASSUMPTIONS

Globalization - Cultural heterogenization Globalization - Cultural homogenization Globalization - Cultural hybridization

GLOBALIZATION - CULTURAL HETEROGENIZATION

Cultural heterogenization or multicultural society, which means region culture was widely disseminated and accepted by other societies and cultures and meanwhile enhance the cultural diversity in local society. It could be resulted that richer countries gives incentive to poorer countries to protect their natural environments as well as to adopt more sustainable practices.

GLOBALIZATION - CULTURAL HOMOGENIZATION

Cultural homogenization is an aspect of cultural globalization. listed as one of its main characteristics, and refers to the reduction in cultural diversity through the popularization and diffusion of a wide array of cultural symbols.

It is the process by which local cultures are transformed or absorbed by a dominant outside culture. Cultural homogenization in theory could lead to the development of a single global culture and elimination of all other, local cultures.

GLOBALIZATION - CULTURAL HOMOGENIZATION

Cultural homogenization can impact national identity and culture. The term is usually used in the context of Western culture dominating and destroying other cultures. The process of cultural homogenization in the context of the domination of the Western (American) is also known as Americanization an criticized as a form of cultural imperialism Americanization is a term for the influence the United States has on the culture of other countries, such as their popular culture, cuisine, technology, business practices, or political techniques.

GLOBALIZATION - CULTURAL HYBRIDIZATION

The term cultural hybridization stands for the process by which cultures around the world adopt a certain degree of homogenized global culture while clinging to aspects of their own traditional culture. The result is a mixture, or hybrid. Think of dialects and how some African countries speak French and mixed it in with their language, creating something new. Another example could be taking pop music from the USA and creating something new from it in Korea with their own twist to it.

RELATION OF CULTURE WITH GLOBALIZATION

Economics and politics are two legitimate areas of culture. All these cultural elements influence themselves as well as others, while influencing the culture as a whole. Some companies have to adapt to the local culture of the nation for surviving in the market of that nation. E.g. McDonald, Dominos. The companies need to be GLOCAL. Not all necessarily. E.g. Coca Cola.

RELATION OF CULTURE WITH GLOBALIZATION

In the current stage of development, companies are increasingly global, while the consumer remains local, this distinguish the consumers in the international market.

Globalization-cultural connection also allows for an accepted subject to the concept of "global culture". It means that the culture of the world is created through a growing interconnection of different cultures, and cultural development.
The company who wants to operate the business at the overseas market have to understand the culture at the local market to become successful.

CONCLUSION
Local culture penetration by global culture, the global business environment is different depending on the type of response of the receiving area of culture. There were three main types of reaction: passive, participative or conflict. Usually only a limited penetration of the new culture within the target culture. This involved a process of negotiation with limited results in the area of assimilation of new values. After literature analysis it was seen that globalization does not invalidate the national or local identity.