Managing across Cultures in the Modern World - Essay Example

? Managing Across Cultures Number and Number Number of Words: 2,755 Introduction Each country is composed of culture and subculture. In line with this, Brown (1995) defined culture is “a set of norms, beliefs, principles and behaviour that gives the organization a unique character”. On the other hand, sub-culture is referring to a group of people within a given culture that has distinct characteristic which makes them different from the context of a larget culture. As a result of globalisation, business transaction between developed countries and developing countries has become very active. Along with the major changes in the structure and flow of business transactions today, developed countries continuously aim to increase their returns on investment not only by transferring the Western management practices all over the developing countries but also in learning more about the culture and sub-culture of other countries (Jaegar, 1993). One of the most influential research studies on cultural values was conducted by Geert Hofstede. In line with this, Hofstede conducted an extensive research study which involved 74 different countries all over the world where he identified the unique cultural values in each country using the five dimensions known as: high vs. low power distance, individualism vs. collectivism, masculinity vs. femininity, uncertainty avoidance vs. uncertainty acceptance, and short-term vs. long-term orientation (itim International, 2011; Tian, 2004, p. 18). Upon examining the culture and sub-culture in different countries, Hofstede concluded that “culture is more often a source of conflict than of synergy” (itim International, 2011). After conducting a research survey study on cultural dimensions using the Hofstede scoring, one of Hofstede’s criticism pointed out that the scores on each dimension reflect only an ‘average tendency’ of a particular country which makes the readers unable to carefully reflect a wide range of responses particularly with those areas that concerns sub-cultures. Based on the profile of China as presented on Geert Hofstede official website (www.geert-hofstede.com), this report will critically analyze and consider the report’s analytical value particularly with regards to the sub-cultures in China. Sub-cultures in China Based on Hofstede’s research survey report, China’s score on Hofstede’s five dimensions include the following: PDI IDV MAS UAI LTO China 80 20 66 30 118 Source: itim International, 2011; Anonym, 2006, p. 4 Power Distance The rank of China’s Power Distance is 80. This figure is considered high as compared to the average score of 60 in other Far East Asian countries and the world’s average of 55 (itim International, 2011; Anonym, 2006, p. 4). As explained by Hofstede (1980), “Power Distance explains how different societies treat inequalities in social structure”. It means that people in China wholeheartedly accept differences in authoritative power within a hierarchy in the society and that people in China gives low importance on egalitarianism (Hunter and Tan, 2005, p. 210). This is possible because of the historical background of Chinese people who were accustomed in having a centralized government authority which follows the law of Confucianism (Schwartz, 2007, p. 121; Hu and Grove, 1999, p. 6; Bargiela-Chiappini and Harris, 1997, p. 42). To simplify the concept of Power Distance, this particular cultural dimension is simply referring to the norms that are heavily reflected in China’s economic and cultural background including the existing relationship between a typical husband and wife, relationship between the parents and their children, the way political issues are being managed and religious beliefs which significantly affect the progress of China’s economic condition (Tian, 2004, p. 19). A high score of Power Distance is pointing out the way businesses are formed in China particularly with regards to whom among the family members have significant authority over the business management and who normally forms the subordinates in each business organizations. It is also a significant part of Chinese culture and sub-culture to respect older people (Hu and Grove, 1999, p. 7). For this reason, it is considered unethical not to offer seat in public or private areas to elderly individuals. Unlike in Western countries, Chinese people are also not accustomed with showing their emotions in public. Although a simple handshake is accepted in China, public display of affection such as the act of touching or hugging in public is considered inappropriate act (Anonym, 2006, p. 4). Several authors revealed that having a high score of Power Distance means that China is going through a high level of human inequality which could manifest in each individual’s status, the existing relationship between superior and subordinate, the unequal distribution of wealth, power, and privileges (Anonym, 2006, p. 4; Hu and Grove, 1999, p. 7). Within a business organization, Chinese employees value seniority within the hierarchical ranking. Given that Chinese people could easily give respect to individuals who are capable of having more power and wealth, inequalities with regards to the distribution of power and wealth has been a part of the Chinese culture and sub-cultural practices. Individualism Before China opened its door to global economic activities, this country has been dominated by a group of communist government. Back then, people were heavily prohibited to think more about themselves since each individual was treated equally with one another. Even though China is already open for global business transaction, China, as composed of collectivism societies, remain dominant. This explains the low score of individualism in China. Because of the low level of individualism in China, marriage by kidnapping existed in some ethnic groups in China particularly the Jingpo, Lisu, Pumi, Nu, Shui, Naxi, Achang, and Lhoba (Jia, 2006, p. 57). By kidnapping the girl, the guy could approach the girl’s parents to support their marriage in exchange with bethrothal gifts. In some cases, fixed marriages as arranged by the children’s parents were also being practiced in the past. As compared to the average of 24, China’s individualism ranks the lowest with the score of 20 (itim International, 2011; Anonym, 2006, p. 4). This figure strongly suggest the idea that Chinese people are very much affected by having a communist type of government as compared to those individuals with democratic type of government. In line with this, Hook (1996, p. 20) revealed that Robert Bellah et al. argued that “culture of individualism is morally vacuous and socially irresponsible”. In line with this, De Mente (2000, pp. 111 – 112) explained that the Chinese culture is heavily rooted on the doctrine of Confusius which considers the act of selfishness as a behavior that is immoral. Since people in China are highly committed to their group (i.e. family, extended family, and extended relationship with other people), Chinese people have low score on individualism. According to Schwartz (2007, p. 125), Individualism is defined as “the degree to which people in a country prefer to act as individuals rather than as members of groups”. Since China’s score on individualism scored only 20, it means that people in China is a collective society wherein the people are strongly integrated into a strong and cohesive group of society. Therefore, Chinese people tend to be more loyal to the group where he/she is currently serving. Since Chinese people are living in a collective societies, Schwartz (2007, p. 125) explained that this group of individuals tend to give more respect to their family members which often differentiate them from people outside their family circle and religious ethnic groups among others. This explains why the Mandarin language is very unique as compared to the English language. Considering that Chinese families practice a very close family ties, foods are highly treasured because it brings harmony and closeness among their family members and friends. In line with this, geographic location in China significantly contributes to the way food is cooked and prepared (Lin and Chan, 2000; Denton and Kaixuan, 1995). Each province in China has their own way of cooking Chinese cuisine. For this reason, China enjoys a wide variety of cuisine such as the Beijing cuisine, Hunan or Hubai cuisine, Shanghai cuisine, Szechwan cuisine, etc. (Roberts, 1999) Among these Chinese cuisines, the most famous is the Szechwan for serving hot and spicy dishes and the Cantonese cuisine which is very much inspired by tea and snack also known as dimsum (Klein, 1999) and cooking sweetness dishes like the famous sweet and sour pork. Different Chinese language is another factor that can be use to prove the collective societies in China. As explained by Sriramesh (2009, p. 190), the presence of different Chinese dialects make Chinese people distinctive from other society and culture. With regards to its sub-culture, Chinese people are not only using the Mandarin language as a means of communication. In some provinces in China, Fu-kien, Hok-kien or foo kien is considered their native tongue whereas Chinese people in Hong Kong and some rural areas in China such as Shantang or Tongxianghui are speaking the Cantonese dialect as their official language (Fu, 2008, p. 146; Lai, 2004, p. 239). A rationale explanation behind China’s low score on individualism lies behind its political and socio-cultural background. Since China was once ruled by strict communism, Chinese people’s individualism has been limited eversince. Several authors revealed that people in China heavily respects government and institutional authorities based on hierarchical ranking (Schwartz, 2007, p. 121; Tian, 2004, p. 19; Hu and Grove, 1999, p. 6). Since collectivism is heavily rooted in Chinese culture and tradition, it is difficult on the part of the Chinese people to promote the importance of individualism. In China, Bargiela-Chiappini and Harris (1997, p. 42) revealed that “there is no distinction between business relationship and personal relationship”. Instead of thinking more about how each individual could be more successful than the others, Chinese people tend to teach their children the importance of self-sacrifice (Hook, 1996, p. 21). Masculinity With the score of 66 in Hofstede’s Masculinity Index, China’s masculinity is considered moderate (itim International, 2011; Anonym, 2006, p. 4). Unlike femininity, Tian (2004, p. 23) explained that a society with a strong masculinity are those that practice and has distinctive social gender roles such that “men are considered to be a group of individuals who are assertive, tough, and more focused on gaining material success and that women are expected to be modest, tender, and more concerned with the quality of life”. Hofstede explained that a culture that is masculine by nature are the ones that highly stresses “assertiveness, challenges, and ambition” (Tian, 2004, p. 23). Given that China is a country is dominated by masculine perception, it is expected that people in China are mostly assertive when it comes to earning material wealth more than showing concerns to other people’s quality of living. In other words, foreign business people could expect to encounter masculine society in China’s business organization. Within a group of family, it is a common practice on the part of the wife and children to give their highest respect to their father. Because of strict paternalistic culture, several authors revealed that it is the husband who usually has the highest authority not only within the household but also within the business organization (Schwartz, 2007, p. 122; Anonym, 2006, p. 4). The same can be observed in family-owned business organizations in China. For this reason, more men are often appointed in higher-rank positions. Uncertainty Avoidance As explained by Hofstede, Uncertainty Avoidance is referring to “the society’s tolerance for uncertainty and ambiguity” and “ways of handling uncertainties” (Esteves, 2010, p. 578). With the score of 30, China’s Uncertainty Avoidance is considered low (itim International, 2011; Anonym, 2006, p. 4). As compared to other Asian countries, Esteves (2010, p. 578) revealed that China is one of the few Asian country that has the lowest level of Uncertainty Avoidance. Given that China has a very low score of Uncertainty Avoidance, it means that this particular country do not feel threated by uncertain situations. Upon analyzing the case of China, one of the main reasons why this country have a very low score of Uncertainty Avoidance is because of its low levels of Individualism combined with its high level of Power Distance and moderate level of Masculinity. Even though China has several dialects other than Mandarin, it is undeniable that this country is composed of collectivist societies that strongly values authority among its high government officials. With regards to the family-owned businesses, it is the head of the family that rules and manages the daily business transactions. Since Masculinity in China is widely practiced, the Chinese government is capable of managing its people as a collective group. As a result, China as a country could easily and effectively address problems related to political, social and economic uncertainty. Long-Term Orientation According to Hofstede (1994), long-term orientation is referring to “a positive, dynamic, and future oriented culture that is heavily linked with the Confusian values such as persistence or perseverance, ordering relationships by status and observing this order, thrift, and having a sense of shame” whereas short-term orientation is commonly “linked with static and traditional and past-oriented culture that is associated with another four sets of Confucian values such as personal steadiness and stability, protecting the face, respect for tradition, and reciprocation of greetings, favours and gifts” (Esteves, 2010, p. 578). Upon analyzing the differences between long-term and short-term orientation, it is clear that long-term orientation fosters virtues that are heavily oriented towards having more future rewards through perseverance and thrift (Hofstede and Minkov, 2010, p. 239). In line with this, perseverance means that Chinese people in general have a strong pursuit over their long-term goals whereas thrift is more about saving the available capital which can be used for re-investment purposes (Hofstede and Minkov, 2010, p. 243). Because of Chinese people’s strong desire for future success, leisure time is becoming less important factor in one’s social life. Based on Confucian dynamism, Hofstede’s fifth cultural dimension was categorized as the long-term orientation vs. short-term orientation (Tian, 2004, p. 24). With the score of 118, China’s long-term orientation (LTO) was considered the most significant part of the Chinese cultural values and behaviours. Contrary to the Western way of doing business, having a prevalent high-score on long-term orientation means that Chinese people value perseverance and slow business progress. In other words, Chinese businessmen do not appreciate being obliged to commit themselves in meeting tight deadlines and urgent business decision-making. As explained by Anonym (2006, p. 5), China’s high score on long-term orientation is a result of the country’s strong Confucian dynamism combined with their strong respect for long-term commitments and traditions. This clearly explains why China is slowly embrasing societal changes despite its rapidly developing economy. Given that Chinese people generally have a strong respect for long-term commitments and traditions, it is most likely that Chinese business people will continue to value long-term business relationship with their existing business partners. Among the five cultural dimensions as suggested by Hofstede. The fifth dimension which is represented by the long-term orientation is often criticized by a lot of researchers for the reason that past research studies such as the one that was conducted by Rollinston et al. (1998) concluded that China as a nation is short-term past-oriented (Esteves, 2010, p. 578). Given that Chinese people are highly accustomed with the presence of hierarchical ranking in private and public organizations, it is unlikely on the part of its employees to make important profit or non-profit decisions without the go signal coming from their authoritative leaders. Taking the situation based on this point-of-view, it is doubtful whether or not China as one of the fastest growing economy really has a future oriented culture. Conclusion Even though China’s sub-culture differs in terms of language spoken and choices of food they eat, the fact that Chinese people is bounded with the Confucian’s work makes the values and cultural beliefs and practices of the Chinese people common in so many ways. Aside from having societies that follows Collectivism and Masculinity, different territories in China have high levels of Power Distance. By nature, people in China value social conformity and social harmony. Since Chinese people considers themselves as an integral part of social order that is bounded within their own family and clan, China as a nation has a very low level of Uncertainty Avoidance. Given that China ranks the Number 1 with the highest score of 118 in long-term orientation, the culture and sub-culture of the Chinese people has also been gradually affected by their desire to gain more financial benefits in the future. For this reason, Hofstede and Minkov (2010, p. 324) revealed that social norms such as the family, personal wealth, obliging with the law and spending time on leisure is becoming less important as compared to the increasing need to respect the ethical norms, patriotism, gaining more power, honour, and reputation as well as increase in their individual responsibility for the benefit of their society. *** End *** References Anonym. (2006). International Marketing: Hotel Industry in China. Grin Verlag. Bargiela-Chiappini, F., and Harris, S. (1997). The languages of business: an international perspective. Edinburgh Univesity Press. Brown, A. (1995). Organizational Culture. London: Pitman Publishing. De Mente, B. (2000). The Chinese have a word for it: the complete guide to Chinese thought and culture. Passport Books. Denton, L., and Kaixuan, X. (1995). Food Selection and Consumption in Chinese Markets: An Overview. 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