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Ib Ch.3

In: Business and Management

Submitted By hadym7md
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1. Introduction Cross-cultural literacy (an understanding of how cultural differences across and within nations can affect the way in which business is practiced) is important to success in international business There may be a relationship between culture and the costs of doing business in a country or region Culture is not static, and the actions of MNEs can contribute to cultural change
2. What is Culture? Question: What is culture?  Culture is a system of values (abstract ideas about what a group believes to be good, right, and desirable) and norms (the social rules and guidelines that prescribe appropriate behavior in particular situations) that are shared among a group of people and that when taken together constitute a design for living  A society is a group of people who share a common set of values and norms
3. Values and Norms  Values provide the context within which a society’s norms are established and justified  Norms are the social rules that govern the actions of people toward one another and can be further subdivided into ◦ folkways (the routine conventions of everyday life) ◦ mores (norms that are seen as central to the functioning of a society and to its social life)
4. Culture, Society, and the Nation-State A society can be defined as a group of people that share a common set of values and norms  There is not a strict one-to-one correspondence between a society and a nation-state ◦ Nation- states are political creations that can contain a single culture or several cultures ◦ Some cultures embrace several nations
5. Cultural Dimensions in China  Greetings are done in order of age–always greet the eldest member of a group first  As status is recognized by age, university degree and profession, use of a person’s title is important. Address someone as Dr. or Professor whenever possible. Do not call someone by their first name until they...

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