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Analysis of the Cultural Differences between Russia and India - Term Paper Example

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The paper analyses the operations of V-mobile, a Russian telecommunication company that seeks to enter the Indian market by acquiring the Indian, Tel-Com. The cultural difference in these countries presents advantages and disadvantages for the company. …
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Analysis of the Cultural Differences between Russia and India
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Download file to see previous pages As a current issue, culture is an important consideration for any business organization especially those that are improving their services by getting to new markets. The consumer behaviors together with social classification differ depending on the values of a region thereby compelling such organizations to employ strategic marketing and production features in the new market (Kotler & Kevin, 2010). 

With a population of 1.2 billion people, India is the second most populated country in the world. This makes the country attractive as a potential market for any business idea. The large population is one of the key factors that necessitate the purchase of Tel-Com by the Russian V-Mobile. However, the country has a different cultural setup from Russia. The large market will require the new company to employ specific management policies in order to attain its set objective in terms of profitability. India exhibits a conservative culture characterized by male domination in the social structure. This implies that the company will have to employ tactful operations and develop service packages that target specific parts of the large market. Additionally, the management of the company will have to adopt a different management system in order to achieve an effective organizational management system without necessarily conflicting with the existing culture since such could affect the reputation of the new company.

V-Mobile must adopt a unique management structure that fits the new market. Systems theory of management views organizations as systems with different components that must work as a unit in order for the organization to achieve profitability (Heizer & Render, 2011). V-Mobile should, therefore, consider a management theory that will ensure the profitability of the company even as it ventures into a new market.  Viewing the newly acquired Tel-Com as part of the system will influence the development of management structures that will sustain dedicated market researches thereby determining new markets within the large India population thereby ensuring that the company does not incur losses. ...Download file to see next pagesRead More
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