Premium Essay

Cultural Influence on Companies

In: Business and Management

Submitted By olenai
Words 3521
Pages 15
Culture has a major influence on international and local businesses. Firms today have to deal with the reality of cultural diversity not just on the international business scene but also within their organizations. Understanding this diversity and successfully interpreting it helps to realize and take advantage of the opportunities provided by globalization. Analyzing the cultures of triumphing companies and countries helps to compare, contrast and learn from their path to glory. Based on these facts, this research paper will study three different successful electronics companies from three different countries/cultures. These are Apple Inc. of USA, Samsung Electronics of South Korea and Sony Corporation of Japan. Apple and Sony Corporation are both involved in many types of business activities and Samsung Electronics is part of a larger multinational conglomerate (Samsung group) which comprises numerous affiliated international businesses. However due to size and commonality of products, this research will focus on their electronics business with specific attention to Mobile devices (Smartphone and mobile computing devices). This research paper will briefly touch up on the activities of the three companies and how cultures of their respective countries influence their corporate culture, management style and overall business activities. The purpose of such research is to analyze the corporate culture of each company in relation to their respective country of origin and present a comparative conclusion of each company’s culture in contrast of one another. The findings of the research will have informative and comparative significance for individuals interested in cultural effects on managing businesses internationally or locally.

Samsung Electronics
Corporate Background
Samsung Electronics was established in 1969, thirty one years after its parent...

Similar Documents

Premium Essay

Cultural Influence on Companies

...Attention : Officer-In-Charge                  Immigration & Checkpoints Authority                  ICA Building, 10 Kallang Road, Singapore 208718 Date : 11 Apr 2013 RE: APPEAL FOR A STUDENT’S PASS APPLICATION Dear Officer, The applicant, VUONG QUOC HUNG (Passport No. B6157188, FIN: G1257881X), had submitted a student pass application for a Kindergarten course at the School LEARNING VISION@WORK PTE LTD (GENTLE ROAD) (Ref No. V/STP/201453/2013, Application ID: KID-2013-APP-000000496). I am very sorry to receive the rejection for his Student’s Pass application dated 11 March 2013and would like to appeal for a reconsideration. Mr VUONG QUOC HUNG is my 3 year old son. I , DO THUY LINH ,am his mother and is holding student pass FIN No G1141246M. I am currently pursuing a Master course in the East Asia Institute of Management. His older sister, Ms VUONG GIA HAN, FIN No G1159574Q is already in the Kindergarten course at the same school, LEARNING VISION@WORK PTE LTD (GENTLE ROAD). We really wish to apply for my son, VUONG QUOC HUNG, to study in Singapore to enjoy the excellent educational system in Singapore and have the opportunity for my family to stay together. Our financial status in Vietnam is secure and sufficient to sponsor his education. During the course of his education, we will be staying at my mother’s residence which is: 02 LINCOLN ROAD, #26-01, PARK INFINIA, S(308342). Informatively, his uncle, Mr TRINH QUANG THANG, NRIC S8063639C, is also staying in......

Words: 285 - Pages: 2

Premium Essay

Business Ethics

...Project Paper The Role of Cultural Values in Business Ethics: the case of ICT companies Muhammad Fikri Bin Ahmad (1022133) ( Mohamad Amali Bin Maulan (1013901) (Email: Muhammad Muslim Bin Samsudin(1012545) (Email: Tengku Muhammad Ihsan bin Tengku Hishamuddin (1027923) (Email: MGT 3020 Business Ethics Section 1 IIUM Gombak 15th June 2011 The Role of Cultural Values in Business Ethics: the case of ICT companies Tengku Muhammad Ihsan Bin Tengku Hishamuddin, Mohamad Amali bin Maulan, Muhammad Muslim Bin Samsudin, Muhammad Fikri Bin Ahmad Kuliyyah of Economics And Management Sciences, International Islamic University Malaysia, Gombak, Malaysia. ABSTRACT Purpose-This paper aims to obtain views in ICT company regarding the role of cultural values in company performance in terms of customer satisfaction, skills in solving problems and capability in adopting new technologies and its influence to people behavior in terms of innovativeness and motivation. This paper also contributes to the discussion of cultural values in business ethics. Methodology-Data are collected through one on one interviewing process with 15 managers. Findings-The two main findings are firstly identified the moderating effects association between cultures in Malaysia with ICT company performance in terms of profit, customer satisfaction and capability in solving problems and......

Words: 6332 - Pages: 26

Premium Essay

Human and Cultural Variable in Organzaition

...HUMAN AND CULTURAL VARIABLES IN GLOBAL ORGANIZATION. This episode is one of the many other similar ones which underscore the HR Challenges in preparing people for Cross Cultural working. Organizational culture is one of the latest concepts in the fields of management and Organizational Theory. Culture which is popularly called as "Shared values and Beliefs" fulfills important functions. 1. It conveys the sense of identity for organizational members. 2. It enhances social system ability. 3. It facilitates the generation of commitment to some thing larger than self. 4. It serves as a sense of making device that can guide and shape behavior. As business become more globalize, developing and training people across cultural boundaries is becoming increasingly important. Culture of the country is an important determinant of behavior of people, and not being sensitive to these differences can often result in misunderstanding and embarrassments and even in loss of efficiencies. For instance cultures differ widely in terms of concepts of time. Besides the obvious implications for punctuality, the difference also lies in how people from different cultures use their time. An understanding and sensitivity to such cultural differences in behavior and orientations is necessary perquisites to develop cross cultural competencies. The roots of cultural differences in the business practices lie much deeper. Business cultures in different countries are molded not just by the behavior......

Words: 938 - Pages: 4

Premium Essay

Culture and Business

...analyze the influence of culture in international business. The globalization of the world economy has intensified international relationships, increasing the importance of cultural dimension. The world is being affected by the globalization of the economy. This phenomenon is bringing movement of companies, assets, services, capital and people. Analyzing globalization this process is taking the world to major changes in the economic, technologic and social areas, which are having consequences in all organizations and societies that participate in this globalized market. It is a process that does not bring equal benefits to all participants. The globalization concentrates more of its actions in some sectors of economic activity and some regions and countries, rather than acting everywhere. With the world getting flatter doing business anywhere in the world is easier today, because of major changes in technology, global politics and expanded educational opportunities. But it is not only businesses that are affected. Governments, NGOs and society itself is changing at a fast pace. Nevertheless going forward can only happen if business managers understand these factors and, more importantly, the cultural factors that make business work because ultimately it is one person making a business with another person therefore personal exchange based on at least two cultures. One of the biggest challenges faced by organizations that operate in the international market is the......

Words: 4150 - Pages: 17

Free Essay

Environmental Paper

...years, and has expanded their business from domestic to global in just a few months. The company sells to countries all around the world and their products are well known in many countries. The first subject will cover information on environmental factors that affect global and domestic marketing decisions. The second subject will analyze the influence of global economic interdependence also the effect of trade practices and agreements. The third subject will cover the importance of demographics and physical infrastructure; also this section will analyze the influence of cultural differences. The fourth subject will cover the importance of social responsibility and ethics versus legal obligations. The fifth subject will analyze the effect of political systems and the influence of international relations; also the Foreign Corrupt Practices Act of 1977 will be analyzed, also the influence of local, national, and international legislation will be analyzed. The final subject will cover the effect of technology. Environmental Factors Every company has environmental factors that affect their global and domestic decision making. The Apple store has three environmental factors that affect their global and domestic decision making. The first environmental factor is technological, the second is competitive, and the third is social. The three factors are important and can be maintained so the company can gain success. The first factor technological factors affect decision......

Words: 1184 - Pages: 5

Free Essay

Toast Box

...Toast Box is a company related to Bread Talk which sells Singapore style of breakfast like kaya butter toast and traditional Nanyang coffee. This company was established in December as a food stall unit of Food Republic Wisma Atria in Singapore. After that, Toast Box has fast expanded with more than 30 stores to provide the best service and products to their customers. Now, this Singapore local company has been well received in other places, expanding its foothold in Malaysia, Thailand, Philippines, Hong Kong and China. As we known, environment forces can affect companies’ ability to serve its customers. Environment can be divided into two parts: macroenvironment and microenvironment. The two parts have its different effects. Toast Box, one of the most popular Singapore style breakfast sellers, also affected by macro environment and microenvironment. As for macro environment, in my opinion, cultural will be the most important part of macro environment to affect Toast Box efficiently. It is often said that when a place start to have their own breakfast “culture ", there will no longer be a sleazy city. Several years ago, many hainanese worked on British ships as cooking helpers. When they arrived in the British colonies now constituting Singapore and Malaysia, they started selling the foods which they prepared for the British, including coffee and French toast, to the local populations. They replaced the Western jams by the British with native coconut jams. This native......

Words: 1383 - Pages: 6

Premium Essay

Cross Cultural Communication

...School of Business and Engineering Rufei He & Jianchao Liu (2010) Barriers of Cross Cultural Communication in Multinational Firms --- A Case Study of Swedish Company and its Subsidiary in China Abstract In times of rapid growth, both in terms of economic development and globalization, an increasing number of firms extend their businesses abroad. A subsequent challenge of this development is the managerial implications of cross-cultural management. This study employs a qualitative approach in a single case study of Swedish company and its subsidiary in China. After reviewing the previous studies, the authors summarize the differences of management style, staff behaviors and communication system in different culture context and find the barriers of cross cultural communication in multinational firms. The findings of this study indicate that the barriers of communication come from the national culture’s influence on the work place and behaviors of people with different identity. Moreover, culture also influences people’s way of thinking and behaving and result in different understandings toward vision and purposes of firms. Key words: cross cultural, communication, multinational firms, management style, staff behavior Prelude It is 9:00 a.m. on Monday in Sweden. The Technical product manager of company X sent an email about the new design of the product to its subsidiary company in China. He would like to have a production ready model of the new design by Friday......

Words: 11977 - Pages: 48

Free Essay

Cultural Distance and Expatriate Job Satisfaction

...homepage: Cultural distance and expatriate job satisfaction Fabian Jintae Froese a,∗ , Vesa Peltokorpi b,1 a b Korea University Business School, Anam-dong, Seongbuk-Gu, Seoul, 136-701, Republic of Korea HEC School of Management, Paris, 78351 Jouy en Josas, France a r t i c l e i n f o a b s t r a c t Despite its strong impact in domestic settings on job performance, organizational commitment, stress, and turnover intentions, job satisfaction has received little attention in the literature on expatriates. This paper analyzes the predictors of job satisfaction that may arise in an expatriate context. Drawing on the cultural distance perspective, we propose that the national cultural distance, supervisor’s nationality, host-country language proficiency, expatriate type, and company nationality are important determinants of expatriate job satisfaction. Survey results from 148 expatriates in Japan demonstrate that national cultural distance, supervisor’s nationality, and expatriate type have a statistically significant influence on expatriate job satisfaction. Theoretical and practical implications are provided. © 2010 Elsevier Ltd. All rights reserved. Article history: Accepted 25 October 2010 Keywords: Expatriates Job satisfaction Cultural distance Japan In an increasingly globalized world, an important component of international human resource management in multinational companies (MNCs) is the expatriation of employees to......

Words: 6050 - Pages: 25

Premium Essay

Global Business Plan business opportunities from above in terms of: (a) a specific product or service, including customer benefits; and (b) a potential market-a country that would be appropriate for this business opportunity. 2. ABSOLUTE AND COMPARATIVE ADVANTAGES Analyze for the presence of an absolute or comparative advantage that might be related to a business opportunity in the country where the item will be produced or sold. Describe how this analysis might influence the success of your proposed business idea. (For example, the availability of natural resources can make a business opportunity cost efficient.) 3. BUSINESS OPPORTUNITY ANALYSIS Compare two or more proposed business opportunities based on factors such as foreign market potential, start-up costs, and foreign business risks. (For example, a proposal to construct new highways may be appropriate for a developing economy. However, the risks in this market are probably greater than in an industrialized nation.) 4. Research the international operations of a company doing business in several countries. Obtain information related to: (1) the products sold in various regions of the world; (2) current and planned business activities in specific regions of the world-Asia, Africa, Eastern Europe, Middle East, Latin America; (3) the company's strengths and weaknesses related to global business activities; (4) future actions that might be suggested for the company's international operations. 5. Identify an......

Words: 3671 - Pages: 15

Premium Essay

Cultural Crossvergence

...Introduction Cross cultural studies has great impact especially to business managers. National culture or core culture that developed the individual before it is influenced by other factors in the environment and society is subject to change depending on how strong the influences would be. However for the individual to fit in, they have to embrace the new found culture or a new culture might have evolved combining the core values and the current society’s value. Literature Review In Kelley, MacNab and Worthle (2006) paper, they have studied that when two or more diverse cultures are combined together, depending on how strong the county’s core national culture, three things may occur – culture convergence, divergence or crossvergence. Their study of US, Hongkong and Taiwan for years had gave them results on how culture can change. Like for example is in terms of uncertainty avoidance and power distance between Hongkong and Taiwan. It was found that Hongkong increases its uncertainty avoidance than Taiwan and the reason for this could be because Hongkong was turn over from UK to China. US known to be the first individualist country from previous studies appears to becoming collectivist and the power distance increases from their study of US banking industry. This one has been attributed to the lay offs happened in banking industry when the study was conducted. The authors remarked that Culture can change due to influences like globalization, economic and technological......

Words: 931 - Pages: 4

Premium Essay

Consumer Traits and Behaviors

...Consumer Traits and Behavior Paper David Spears PSY/322 February 1, 2015 Dr. Steve Verrone Consumer Traits and Behavior Paper Psychological and social processes have an effect on the influence of the consumer. Some believe that the answer lies within the relationship between consumer traits and behaviors, and that these attributes are contributed to the consumer’s social and cultural setting. The goal of this paper is to analyze the question of why consumers view marketing messages differently, and to explain this reason by examining the effect that psychological and social processes have on consumer influence and the different traits and behaviors that consumers acquire through their social and cultural settings. Identify at least three psychological processes and three social processes that may influence consumer behavior. Marketer’s jobs are to understand the influences and buying methods of consumers to help enhance companies and their products. The first research process that marketers look into is psychological processes, in the process there are three main categories that are important to business’s these are the motivations of consumers, the perception of consumer’s and the belief and attitudes consumers have towards products and services. Motivation is important because this helps determine why the consumer is buying what they buy. A consumer’s motivation can be the need for a product, whether it is for a convenience of life style, prestige,......

Words: 2219 - Pages: 9

Premium Essay

Western Leadership Theory in Malaysian Organization

...Hospitality Industry, HTH 765 Introduction Malaysia is a developing country with variety of cultures. These cultures have a substantial influence on the people’s belief, attitude and behaviour. The world today is seeing more businesses going global to seize a wider market opportunities. Many companies from other countries have also been investing in Malaysia each day. However, the flowing entrees of these multinational companies do not diminish the Malaysians’ cultural values. Therefore, managers from the foreign or even local companies have to be able to adapt and operate effectively in different cultures. This assignment paper will discuss further about the leadership theory that has been developed by the westerns towards the people in Malaysia. The question is whether they can adopt the western leadership theory in Malaysian cultural values? Or is it possible to practise a one-size fits all theory? Background Culture is among the influences to the attitudes and behaviour of individuals. It is defined as a collective mental programming of the people in an environment. It evolves from an instinctive behaviour to learn. Patterns of this behaviour may be acquired and transmitted from one generation to another, and finally developed into a system of things and events (Hofstede, 1980). Leadership is seen as 'the ability to influence people and get them to do what the leader has envisioned' (Abdullah ,2003). An effective leadership theory which is practiced in one......

Words: 1118 - Pages: 5

Premium Essay

International Marketing

...Difficulty: Easy Type: Knowledge 3. (p. 5) Today, every American business is international. TRUE Difficulty: Moderate Type: Comprehension 4. (p. 5) One event that will influence the shape of international business as the future unfolds is the rapid growth of the World Trade Organization, NAFTA, and the European Union. TRUE Difficulty: Moderate Type: Comprehension 5. (p. 5) One event that will influence the shape of international business as the future unfolds is the unprecedented acceptance of communism and socialism in Latin America. FALSE Difficulty: Moderate Type: Comprehension 6. (p. 5) A trend that will impact international business in the future is a mandate to properly manage the resources and global environment. TRUE Difficulty: Moderate Type: Comprehension 7. (p. 5) Today, most business activities are local or regional in scope. FALSE Difficulty: Moderate Type: Knowledge 8. (p. 6, Crossing Borders 1.1) What do French farmers, Chinese fishermen, and Russian hackers have in common--they can all receive subsidy payments from the U.S. government. FALSE Difficulty: Moderate Type: Knowledge 9. (p. 6) Foreign-made products remain a small portion of all consumer products sold in the United States. FALSE Difficulty: Easy Type: Knowledge 10. (p. 8) U.S. companies compete with global competitors in foreign markets and have little competition in domestic markets from global competitors. FALSE Difficulty: Easy Type: Knowledge ......

Words: 6019 - Pages: 25

Premium Essay

Hofstede's Cultural Dimension

...Hofstede’s Cultural Dimensions: A Comparison of Greece and U.S. Human Resource Management Approaches By Kelly M. Mistretta MBOL2 MBA 533, Human Resource in Management Dr. James C. Dumville Saint Leo University – Center for Online Learning September 9, 2012 Name: Kelly Mistretta Title: Hofstede’s Cultural Dimensions: A Comparison of Greece and U.S. Human Resource Management Approaches Date: September 9, 2012 Abstract Globalization continues to become more important in the business culture in our world. No longer can management focus only on companies within their own country. Businesses are forced to compete with companies from other countries. With the increased global competition, a business must understand other cultures if they hope to remain competitive and have continued success. There are several models that show the influence of cultural differences between nations. Hofstede’s model, called the theory of cultural relativity of organization practices is the most recognized model. Hofstede’s model focuses on cultural influences and work behaviors in five different dimensions. Each dimension has important implications in understanding business. This paper will compare the Hofstede analysis of Greece and the United States. Biographical Sketch Kelly Mistretta is currently an MBA student at Saint Leo University. Mistretta has a BA in Accounting and plans to obtain an MBA to equip her with improved business skills to better contribute to......

Words: 1324 - Pages: 6

Premium Essay

Cultural Influence on Organizational Practice

...1. EXECUUITIVE SUMMARY Cultural influences on organizational cultures and practices have become a very important research topic in the field of management and organization since the last decades of the 20th century. National culture has been seen as one of the most influential situational factors, which determine organizational phenomena. More recently, after the collapse of socialism, the role of national culture in organizational practices in countries that are in transition is becoming a widely recognized and studied topic. However, empirical studies about cultural influences on organizational subcultures and leadership styles in Ethiopian organizations are not very frequent in contemporary literature. In fact, there are almost no relevant attempts to examine these phenomena. Nevertheless, after democratic political changes in May 1991, we can observe a growing interest in understanding national culture and leadership practices in Ethiopian organizations, as well as in the whole Ethiopian society. Therefore, the main purpose of this assignment paper is to investigate the influence of national culture on organizational culture and practices (subcultures and leadership styles) in Ethiopian organizations. Widely known Geert Hofstede’s value/belief theory of culture (Hofstede, 2001) with its theoretical and methodological premises has been used as a starting point of this assignment.   1 2. 2.1. LITRATURE REVIEW DEFINITION OF CULTURE We must first......

Words: 5425 - Pages: 22