Cultural diversity advantages and disadvantages
In the 21st century, work place diversity has become reality. With globalization taking place, diversification is the changing labor force in U.S. Increased emigration has mirrored into the workforce. According to Census Bureau data, immigrant workers made up 42 percent of the growth of the labor force in 2012 (Cohen, n.d). Managers now recognize that cultural diversity in the workplace is a challenge that must be addressed to lead an effective team. A culturally diverse workforce has many competitive advantages.
Frist, by capturing cultural diversity, the company will gain an added value and competitive advantage over companies that have ignored this challenge (Gwynne, 2009). People despite their cultural upbringing, feel valued. By tapping into the human value of each individual, managers will gain an increased commitment and productivity, strengthen work relationships and retain the best employees.
The second, benefit is business growth. Targeted audiences in a global market, come from multicultural backgrounds. Members with different multicultural background will bring ethnic authenticity (Gwynne, 2009). This means language skills, knowledge of business network and cultural sensitivity from their home countries. This is an added asset that the company can use to gain a competitive advantage into targeting a new audience.
A third advantage to a multicultural team is the potential to gain new a consumer base at home. A perfect example of this is Avon Company. Once an unprofitable company, Avon was able to turn business around by placing African-American and Hispanic managers in charge of marketing (Gwynne, 2009). People from culturally diverse backgrounds not only like to work for companies with a good reputation for managing diversity, they also prefer to buy from these organizations.
A final added