Cultural Issues Of International Business

1821 Words Jun 17th, 2016 8 Pages
Culture can be defined as “the sum total of the beliefs, rules, techniques, institutions, and artefacts that characterize human populations” (Ball et al, 1999 p.258). Sociologist generally talk about a socialization process – referring to the influence of social groups upon an individual, and the interaction of that individual with other members of society. Key elements of culture include language, religion, values, attitudes, customs and norms of a group or society. Cultural issues present a significant challenge to businesses; particularly international businesses. This is because businesses involve people. Every business employs people, sells to people, buys from people, and is owned and regulated by people. International people involve people from different national cultures - these cultures affect every aspect of business functions, including but not limited to: recruiting and managing a workforce, marketing and distribution, purchasing of raw materials, dealing with regulators, and securing funds. The challenges that cultural issues present to international business is that of creating and nurturing cultural awareness; identifying and understanding the dynamics of culture; recognizing behavioural patterns and practices that affect the business; and coming up with strategies for dealing with cultural differences.
Cultural awareness can be described as awareness of the various norms, practices, and other cultural variables of a country. This is an important aspect to…
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