Importance Of Communication In International Business

So far as international business is concerned, the four dimensions of culture form an important facet. Knowledge of the manner in which different features of a business are viewed in different cultures, can help a manager in understanding and sailing successfully across the international business market.

In this essay, I am going to discuss how practices of managing culture have been used to develop the management of Globalization in the post-bureaucratic era. Globalization has led to the increasing number of global business relationships, the emergence of new global work structures and work environments. To address this I will discuss Cultural globalization, the practices of Frederick Taylor (Carol Carlson Dean, (1997)) that have led to the social dominance, as corporations around the world have started to adopt these practices to increase bureaucracy for interest and welfare of the companies. Proceeding on to the second point on Global leaders in a heterogeneous vs. homogeneous world. Where (Rego, A., Clegg, S. & Cunha, M. 2011) describe the heterogeneous view “We live in an increasingly borderless world that is nonetheless still filled with linguistic, cultural, political, temporal, economic, and social borders." compared to (Osifo.S, Eromosele. O December 2011) who says that globalisation has allowed “Organizations have an innate tendency to develop homogeneity, in the sense of shared beliefs and shared values. And finally triple bottom line approach in multinationals. Where pressures from stakeholders, have given companies incentive to focus on triple bottom line (Carol M. Sánchez, Alexandra S. Schmid, 2013)

Every country differs in culture which has been there for centuries. The international market is growing rapidly, with more and more multinational organisations entering new markets each day. In this assignment I will evaluate how the difference in cultures affects the performance of international businesses.

“To become a true global citizen, one must abandon all notions of 'otherness' and instead embrace 'togetherness” – Suzy Kassem. Cultural differences in organizations are important because they help build relationships between members regardless of their origin and background. Culture is the “Shared set of beliefs, values, knowledge, and patterns of behavior common to a group of people” (Kinicki & Williams, 2013, p.117). It is very important for companies to understand the culture they are working with, because it improves the efficiency of the organization. Members of different cultures share experiences and innovation thinking to achieve the goals of the organization. However, cultural differences may interfere with global business projects due to misunderstandings and miscommunication on both sides. There are many cultural variations affecting international business relationships such as language, interpersonal space, communication, time orientation, and

As per the 14th Annual Global CEO Survey by Price Waterhouse Cooper for the year 2011, the need had been identified to bridge the gap of global skills as one of the biggest concerns, specifically for companies considering attraction, recruitment, development and retention of talents across the globe (Moran, 2014). Costly mistakes, frustration, and confusion are the main consequences of absence of global skills mainly because of ignorance regarding the effect of culture across the work place. This is because ignorance of culture differences result in unproductivity across the organization (Latimer, 2012).

It is crucial for today's business personnel to understand the impact of cross cultural differences on business, trade and internal company organization. The success or failure of a company, venture, merger or acquisition is essentially in the hands of people. If these people are not cross culturally aware then misunderstandings, offence and a breakdown in communication can occur.

In multinational workplaces understanding how important the significance of cultural differences is larger than we might think. Organizations that are diverse have to work together because their functionality impacts the productivity of the workplace. It is vital to have an understanding the different cultures to develop a strong organization. Certain principles will help you acknowledge that different cultures exist within the organization. As a manager, you have to analyze the reasons for the development of the differences and

Making business abroad can be risky, but it can also be profitable for a company as well; thus the necessity to study in deep the country where the company will bring the business to. International companies are faced with many cultural challenges, when doing business across and inside of different borders. Identifying the significant cultural issues involved when evaluating the attractiveness of a particular location as a place for doing business can be crucial for a business. Aspects to consider when studying culture in a new place

It is critical to organizations because the employees are from different cultural backgrounds. These distinctions have to be considered when making decisions because they have an impact on formal work relationships and performance. This understanding is more paramount to multinational organizations because they have business operations right at the heart of different cultures in the various countries. The success of global firms depends on how well the management handles the cultural differences and uses them to the advantage of the

Culture is one of the terms that have been becoming more familiar in the 21st century among the multinational companies all around the world. The world has been shrunken by the fasting travelling and communicating technologies which has brought down the barriers for the organisations having business in international market. But still then there are few barriers that make the international business critical and hard for everyone to succeed in it. This is due to the factor that the businesses have direct influence over the culture that is followed in the respective country where the business is carried out. So it would be interesting to

     Cultures are varying among different parts of the globe. People with different cultures have different characteristics and viewpoints on the subjects due to diverse understanding and method of learning. During the past few decades, the international trade grows in a very rapid rate due to the advantages that it provides; “increased sales, operational efficiencies, exposure to new technologies and broader consumer choices” (Heslin). Therefore, when considering the culture aspect to current business world, it is crucial for business to understand the culture aspect because of the tremendous growth of international business as well as utilize the international market to its maximum

Cultural differences between countries have strong effects on individual personality and behavior, as well as on organizational culture (Hofstede 2001). These differences can be a significant barrier for an international business leader. Failure to understand and adapt to these differences may

There are many different impacts that culture has on the way business is conducted; cultural systems of values and beliefs lead to specific interpretations of events and interactions, and different demands and expectations for business relationships often exist for individuals from different cultural backgrounds. Engaging in international and multicultural business requires a level of understanding and awareness of specific cultural issues that might arise due to different customs, perspectives, and values, and a general awareness of the influence of culture is a good thing in business as well as it allows for ongoing learning and consideration without rushing to judgment. Through both a specific and a general understanding of cultural issues in business, more effective strategies for conducting business on an international level can be developed and implemented. The following paragraphs provide specific examples from four differently cultures, identifying the importance of cultural understanding in all international dealings.

Economic development is defined by the ability to succeed internationally. It is important to understand the dynamic role that culture plays in this development as well as in a business setting. This can be done by realizing that every society has its own set of cultural themes or attributes. These themes have a substantial impact on how that culture does business. Upon doing business cross-culturally a strong management structure is essential. Cross-cultural management is the ability to have successful interactions between clients, customers, suppliers, etc. across cultures and around the world. This management style is important to understand because the work behaviors within this style directly affect the organizations’ successful international ventures and projects. This is why understanding organizational culture in Brazil is the main focus of being successful there.

We will discuss the importance of understanding various cultures as they relate to our global business environment. I took two cultural quizzes from Kwintessential.co.uk. They were the cross cultural quiz 1 and the quiz on Iran. We will discuss my results, my strengths and weak areas, a plan for improvement to increase my cultural knowledge, and finally we will discuss why it is so important for leaders and managers to increase our cultural awareness.