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Evaluate the relevance of cross-cultural theories in explaining how to manage companies in different countries - Assignment Example

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This often takes businesses to multinational level, and managing such companies needs perspective. A company operating from its home country needs to keep into consideration the…
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Evaluate the relevance of cross-cultural theories in explaining how to manage companies in different countries
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Evaluate the relevance of cross-cultural theories in explaining how to manage companies in different countries

Download file to see previous pages... This, in itself, puts the workforce and the management in a multicultural stance. Universalism as a general theory might help ‘blend the culture’ and improve performance, while on the other hand it does not take into account the essential differences in cultures and particularism has to be followed (Alexandria, VA, 2008). It is pertinent to understand that while setting up a global mind set is productive, not all human resource strategies will fit every culture and situation, hence the need for adaptability (HRMagazine, 2008).
Sensitive factors like religion and gender often define whether the host culture is neutral or emotional. Recognizing this has significant advantage in terms of control over the business and workforce itself. For example, ignoring a religious taboo might result in a strong setback for the company if the relevance of cultural differences is ignored (Himmelberg, Michele, 1998).
Language barrier, the most common issue, is crucial and requires new communication skills to be dealt with (Carter, L, 2005). When a lingua franca does not already exist, it might be useful to train the local workforce in an international language (Feingold, Jean, 2006) but training the management in the vernacular has its key advantages including elimination of redundancy, direct management and easy understanding of the culture (Carter, L, 2005).
These key theories are relevant most of the time even in the internet age, but when companies approach different cultures not only to utilize the workforce but also for marketing, the cultural dimensions take a more significant role. Cultural dimensions such as perceptions of justice, power distance and individualism define the employee behavior resulting in direct influence on turnover and other outcomes directly affecting the company’s ability in the competitive market (Kim et al, 2007, p. 104, 83-95). According to opposing studies, the cultural ...Download file to see next pagesRead More
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