Mgw 2351 Cross-Culture in International Management/marketing

Trade nowadays has become the main attention in the foreign markets and has led to a progressively global with its viewpoint in today’s world. International business not just deals in cross borders but also in cross-culturalism. Culture has been a great influencer to people on how they perform, think and communicate (Salacuse, 2018). Besides that, it also affects the types of businesses they are making and how they negotiate with them. Transnational companies nowadays prospering internationally at fast rate. It provides opportunities for all to understand the existence of various cultures (Dalabhanjan, 2014). The globalization processes today are unstable and in a rapid pace had cause the business becomes more cross-cultural (Greblikaite, Daugeliene, 2010). Majority of companies begin to look abroad for their business expansion as the management of business operations across the geographical boarders has develop into one of the biggest challenges for global businesses in today’s world (Deari, Kimmel, Lopez, 2015). The major reason for the companies’ expansion is to build global competitiveness by deducting production costs and manipulate the opportunities given by economic integration and liberalization of trade. Effective information and the assist of cross cultural diversity can offer a source of knowledge and more creative and innovative thinking in enhancing the competition of position in organizations (Singh, 2010). Since the beginning of globalization, nations around the globe had provide entries for trade and investments. These opportunities have led to better development in areas of marketing, innovation of technology and financial. International managers act as a significant role to understand the importance of cross culture as the managers have to face with different kinds of employees or people that are cross cultures in the organization, so it become a know-how for the managers to understand the cross-culturalism environment and the pros and cons (Dalabhanjan, 2014).            

Cross-culture in international management/marketing occurs when an international manager oversees workers’ culture that is different from its own or when a team of employees that comes from different nations (Ahmed, 2018). In today’s cross-culturalism environment, managers of international business community often face cultural differences which cause interruption to the projects that has high successful completion rate (Umpleby, 2013). The “cross-cultural” concept is one of the forms of interactivity between different cultural groups’ members which people of cross cultures interact when making arrangements, the contributions of different cultures joint to overcome disparities that can be a barrier to communication. Every nation has their own ways of managing the business and it turns out to be a difficult task for the international managers to manage various cultures. In order to obtain

greater cooperation and communication at workplace, the cross-cultural differences in international management/marketing must focuses more on diminishing the differences of cross-culturalism and impediments and create cross-cultural awareness (Dalabhanjan, 2014). International managers need to have ability to make modification or able to adapt in a particular business processes or systems as well, to gain improvement in workforce’s efficacy (Ahmed, 2018).

        According to Al-Jenabi (2011), the cultural diversity portrays an important role in the mindset of international managers. Cross-culturalism that took place in international business consist of pros and cons which will affect the process of global businesses. The positive effect cross-culture in the workplace which contain workers that comes from different nations and have different cultures usually their mindset of thinking is different as compared with the local employees. Thus, the employees can make analyzation on a particular problem from a variety of perspectives. The employees that belong from various cultures generally will have different experiences which will beneficial the companies or organization by providing them wider range of knowledges. Swallow (2011) has conducted a research shows that a team that consist of more than one cultures (heterogeneous) is more creative than a team that is consist of only one culture (homogeneous). Heterogeneous teams tend to have wider range of ideas to provide a boarder range of decisions or perspectives to organizations. Hence, cross-culturalism in business provides greater creativity in organizations. For instance, the advertising of Hong Kong and Shanghai Banking Corporation (HSBC) reflects the value of one brand and also much on “perceptive”. All bank’s material of advertising shows how the bank celebrates cross-culturalism customs of people around the globe. HSBC states that “every individual of different cultures will have different priorities and values and thus form the foundation of most important decisions (Pilcher, 2009).

        Another advantage that the knowledge of cultural diversity of employees can bring beneficial to the organization is the tendency of workers to notify other employees or managers that is concerned about the culture of their respective nations. This provides assist to the workers when they work as emigrants in a foreign nation, because the foreign workers have adequate information regarding the culture of the country to at least minimize or avoid the culture shock (Adler, 2002). According to Velten and Lashley (2018), hiring workers based on their cultural backgrounds can succeed in new markets and targeting the products in certain markets can be developed. Normally, culturally diverse workforce that is missing in    

organizations will have to incur expenses and getting their employees to be well informed about the culture and work processes of the foreign nations. All these measures not only act as time consuming factor cost the company or an organization substantial amounts. However, the existence of culturally diverse workforce managed to save the cost, energy and time as the in-house workers served as practitioners and trainers. Thus, the organizations able to integrate smoother into the cultures of foreign countries and the diversity of workplace strengthen the chances of workers to overcome culture shock. For example, the extension of the “hostile environment” to workplace bias has conducted by Equal Employment Opportunity Commission (EEOC) based on age, colour, disability, natural origin, race or religion in 1993. Lawsuits cost a huge amount of money to the corporations and organizations, to say nothing of time and energy lost. Cross-cultural workers in a workplace are truly valued and respected and thus leads to fewer suits and reduce the cost needed (Sutanto, 2010).