Acknowledgement of the Importance of Multicultarism - Essay Example

INTERNATIONAL BUSINESS CULTURES Introduction Nowadays, future graduates need to acknowledge the importance of multiculturalism and how cultural awareness can enhance their career profile. Running an international business means that you will need to adapt the way you operate to be in tandem with the cultural environment within the context of your business. It is important to understand that trading locally and internationally are two different processes and you will need to offer a very different service to your international customers and partners to stay put in the new market (Raboy, Shtern  & William 2010 47). The features of the local market are very different from those of the international market, this means that for people willing and intending to expand their business, a good analysis of the market environment in the new business environment plays an important role in ensuring that the intended business starts on a good note (Marie 2011 245). The cultural dimension of the international business environment brings along different features which is well mastered , can give a business the much needed cutting edge in getting started and succeeding, on the contrary, lack of this understanding confronts the business with culture shocks that can be detrimental to the smooth operations of the business (Dunn 2000 245). This may range from the values held on different processes in product promotion, branding of some goods and services to the effectiveness of human resources. Graduates intending to pursue business careers in multinational business corporations should therefore make enough research on the kinds of cultural practices that are undertaken in the country. In the same way, business owners have to be keen on the kinds of practices that are acceptable in that region too, this way, they will understand how to establish communication channels and systems as well as proper ways of human resource management for the success of the business (Schmidt 2007 24; Wessendorf 2010 59). This assignment considers how you can best maintain strong international business relations between your company and customers or partners. The international business environment One of the goals and objectives of business owners is to see them grow and expand, this way; the business is assured of an increased market share and thus increased profits (Collins 2008 104). Increasing market share for a business depends on the strategies adopted by the business to ensure that it is better placed to increase its customer base. Business expansion is one of those ways that can provide the platform upon which businesses can expand and increase their market share. International business expansion implies that business increases creates and maintains its presence in a different country that may not be necessarily in the same region. This is often necessitated by a realization of the demand of a business’ products and services from various research activities. This is the reason why business intending to go international must invest in comprehensive research and development. One of the main aims of having research and development programs is to understand the intrigues of the international business environment, while the process can be a profitable move if well executed; it is also a source of great losses and frustration if strategies applied do not fit perfectly in the intended and identified business opportunity. To have an effective and efficient functioning, companies going international are expected to have a perfect understanding of the social environment of their respective host countries. It is important to appreciate that current development in information and technology has seen many multinational companies operate in virtually every corner of the globe. Some of the important aspects that these companies need to have familiarity about include, language, dressing, forms of interactions between and among people of different gender among others, all these aspect make up culture, an important dimension of a business external environment. A global business environment can be described as the prevailing business environment that is present in the sovereign country, having factors that are exogenous to those of the home environment of particular business organization. These factors are important in decision making as well as resource use and capabilities of the business to improve its efficiency (Zonis et al 2003 101). For this reason, the business that goes for international expansion has to make a wide and long view before establishing any particular decisions. There needs to be a proper focus on the social, politico-cultural as well as the economic aspects of business environment. Multiculturalism in international businesses It is important to note that a number of general concepts regarding culture can be applied to various cross-cultural situations, irrespective of the group of people that one is dealing with (Bhikhu 2002 79). In general, culture can simply be described as a people’s way of life, it is also that multifaceted ‘whole’ which includes awareness, belief as well as customs among others, as characteristic of man as a member of society Different societies of the world have a certain way in which they carry out business, social as well as political activities, all this are controlled by what they believe in and hold with high esteem (Charles 2013 107). It defines the products they make, their marketing and selling behavior and even the display in the warehouses, retail and wholesale outlets. A combination of all these factors comprises of the international culture, for this reason, people coming together for various purposes must be guided by the knowledge and understanding that they belong to certain ways of life and that this diversity is important for business efficiency and success. Multiculturalism Multiculturalism is a broad term that defines how different people or communities come together to work out their different aspects in a common environment. By showing how people and communities coexist harmoniously, multiculturalism provides a firm understanding of multiculturalism (Licht 2004 65), this way; people who come from different backgrounds can exchange their knowledge and skills as well as ideas to promote a common good. A business that is able to create a system that promotes cultural diversity creates market advantages that give it the much-needed competitive edge (Bissoondath 2002 45). It is important to understand that multiculturalism is a regulatory term, here; this means that it is a factor that encourages principles, as well as policies that support diversity. Following this argument, multiculturalism presents the picture of a society that is at ease with the prosperous tapestry of human life as well as the desire amongst people to articulate their own uniqueness in the manner they see fit. Multiculturalism in the business context plays an important role; it defines how people from different professional and cultural backgrounds come together to achieve the stated business objectives (Friedman 2004, 25-6). In modern business practice, it is a common practice that the diverse cultural backgrounds and perspectives of different stakeholders are becoming influential as far as business decisions and choices are concerned. In this case, business managers are expected to have a comprehensive multicultural understanding of various business practices. This understanding is important since it enables business managers and organizational owners to refine their business perspectives and approaches in on the global arena as well as their educational philosophies on global business management that is based on casual yet experiential discussions. Multicultural teams have become common in modern business management, at the same time, contemporary international management literature has also identified that the management of multicultural teams is an important aspect as far as human resource management is concerned (Gannon 2004 96). Recent studies have focused on the positive effects of using multicultural teams in international businesses; it has been found that these teams to out-perform monoculture teams, especially when performance requires multiple skills and judgement. In general, cultural differences between and among staff in international business and organizations manifests in different ways within multicultural teams, for this reason, a persons cultural background impacts how they act and behave. When people from different cultural backgrounds come together to work in an organization, it is obvious that differences will begin to emerge in areas such as communication, attitudes towards conflict as well as approaches to task completion and decision making strategies. It is important to note that unless people come to realize these differences between them through cultural awareness, problems can continue and even intensify in businesses and other organizations. This is the reason why international business managers have to be multiculturally competent to steer their business organizations to success in the new countries that have established their presence (Hynes 2008 24). Individual Reflection After having worked with different team members with different cultures, I have finally realized that cultural awareness is now crucial if multicultural teams within international businesses are to maximize their potential and become successful in new countries. It is important to understand that cross-cultural differences are not necessarily potential causes of problems; it is their more subtle manifestations that can and do lead to a lack of clear communication and poor performance as expected. In addition, culture does not always have to be about race ethnicity or religion, culture also encompasses how a group may identify themselves. The strength of a team lies in its diversity, this is with respect to their professional background which may also include experiences gathered by working in different business organizations, when all these is brought together, a business is set to benefit immensely. A multicultural team is one that has its members coming from more than one culture, in practice; this is what is happening now in different working places (Gitman & McDaniel 2008 85). Currently, there is an increasing concentration to the significance of having multi-cultural teams in business organizations for instance, teams within international businesses can benefit from a wide range of knowledge and understanding from staff, this knowledge could have a bearing on the world of commerce. As recruitment of managers and general staff becomes more global in such businesses, the prevalence of multi-cultural teams becomes greater; there is a consequent need to analyze how these teams work and understand their strengths and weaknesses. This is the best way to know how to integrate their strengths in business management to achieve their intended goals. Business owners and international business managers should understand that building multicultural teams is about increasing awareness and tolerance, and eliminating, or at least diminishing, resistance and even conflict. They can use some carefully planned team-building strategies in order to make all their staff understand and work with each other effectively. Learning to use these tools efficiently and productively will benefit not only the team members, but also the entire organization. From my interaction with multiculturalism in different organizations, I can say that working in an international business environment is like rainbow, where every colour is unique in its own way, every colour is pretty when used right but it can appear quite ugly when misused. A diverse, multicultural work environment needs to be properly and effectively handled so that it appears pretty like a rainbow in its original order, but if these colours can be grouped together without due consideration of their individuality and roles, final result would signify chaos instead of perfect beauty. Bibliography Bhikhu P. C. 2002. Rethinking multiculturalism: cultural diversity and political theory. Harvard University Press: Harvard. Bissoondath, N. 2002. Selling Illusions: The Myth of Multiculturalism. Penguin Publishers: Toronto, Canada. Charles W. L. 2013. International Business, McGrawHill: Boston. Collins, K. 2008. Exploring business. Pearson Prentice Hall, Upper Saddle River, NJ. Dunn, A. 2000. "Two-Way Tolerance". Police Journal Online. Vol 81, No 2. Pp. 10-17. Friedman, T. L. (2004). The secret of our sauce. Journal of business management and culture. Vol 23, No. 2. Pp. 25-30. Gannon, M. J. 2004. 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The multiculturalism backlash: European discourses, policies and practices. Taylor & Francis: California USA. Zonis, M., et al. 2003. The Kimchi Matters: global business and local realities in a crisis-driven world. Agate Publishing: Evanston, Illinois. Read More