Risk Factors of Culture - Literature review Example

RISK FACTORS OF CULTURE The contemporary age of modern times is rightly viewed as the age of globalization, where countless firms, corporations and organizations are offering their products and services to the wide range of customers and consumers living in the pole-apart regions of the world, who consume and utilizing the products launched and introduced by international companies. Technological advancement has major share in the globalization process and revolutionizing human life as well, which has made the access of the people to the imported goods and services simple and easier and as close as their door step. “Business has”, Ball & Wendell submit, “entered the era of the one-world market. Increasingly, companies are going overseas to attain sales and profits unavailable to them in their home markets.” (1993:6) In addition, since technological revolution has made communication and traveling very fast and speedy, it has also become very convenient for the individuals to travel to even the remotest corners of the globe for business, education and employment purposes. Consequently, the fast means of traveling have brought the nations closer to each other and have paved the way towards the formation of diversified corporate culture particularly in the USA, China and the Western World. As a result, the individuals having different cultural backgrounds are now working shoulder to shoulder with one another under one roof in various corporate firms as workers and employees, which has given birth to the idea of cultural amalgamation and outsourcing. Thus, cultural amalgamation has altered the entire corporate atmosphere from top to bottom, where the professionals belonging to different racial, ethnic and religious groups have to work as colleagues, bosses and sub-ordinates under one and the same environment. Not only this that the businesses have witnessed imperative boom and escalation in the aftermath of cultural diversification, and has proved extremely profitable for the companies, but also such a profound development has turned out to be beneficial for the consumers and end-users, because the incurring of the global talent has given a go to the manufacturing of innovative products and wide range of choice available for the consumers in the market. Consequently, the concept of universal co-existence has helped out in respect of mitigating the prejudices like nationalism and regionalism, and businesses observe unabated flourishing at global level. In the same way, there have appeared inevitable risks of some negative impacts too in the form of conflicts and clashes, occurred among the employees and workers because of racial, ethnic and even gender differences and prejudice, which are putting the growth magnitude at great stake subsequently. Thus, the blessings and positive points of cultural amalgamation, aptly referred by the theorists exhibit just one dimension of the corporate environment, neglecting the dark aspects that have forced the people raise slogans and arrange demonstrations against globalization. Thus, increase in the proportion of culturally diversified population has accelerated the risk factors within corporate cultures at large. Not only this that risk factors have increased at organizations due to prejudiced behavior of the professionals, but also some societies abhor the others in such a powerful mode that they refuse to apply the products made in the rival countries in their daily usage. For instance, the world’s most darling soft drink Coca Cola was boycotted by Germany and her allies during both the Great Wars. Similarly, the blasphemous act of creating cartoons of the sacred personality by a Danish cartoonist invited the anger of the Muslim world, which refused to continue trade with Denmark. Though the contemporary age has provided countless opportunities of growth and expansion to the international companies, yet the entrepreneurship and companies also undergo several drawbacks and challenges in the wake of globalization. Since the companies intend to launch their products at divergent societies and cultures, they face the prejudice and bias from the consumers on the basis of racial, ethnic, regional, religious, gender and creed differences. Consequently, the management of the corporate firms has to make hard efforts in respect of articulating strategies for developing their business setups in the cultures that are either diversified or different from the native country of a product for mitigating the risks challenging their financial activities; massive restructuring is an important step to decrease the risk of cultural diversity. Consequently, the most talented professionals belonging to different races have reached the managerial position in the aftermath of large-scale restructuring. When the local people find the member of their own race at managerial positions, it enhances the level of their trust in a specific company. For instance, appointment of African American citizens as corporate heads in African countries surely accelerates the magnitude of business volume in those countries. Almost similar are the outcomes in the Middle East and South Asian regions, where the local inhabitants look at such strategies of appointing local population at various positions of corporate level, for communication with the member of one’s own community is far easier than that of foreigners. In addition, the white communities look down upon other races and ethnic groups, and are often reluctant to work under their command. White Anglo Saxon population (WASP) is particularly viewed as the most biased race of the world, which considers black and brown races of Africa and Asia respectively, and thinks working under black bosses as their fall and humiliation at the hands of an inferior community. It not only stops them showing adequate compliance towards their bosses, but also the employees of white population create hurdles and obstacles on the way to the success of their black bosses. Hence, the cultural risk factors always appear at such a perturb state of affairs putting the corporate activities at grave jeopardy. Massive restructuring of corporate environment includes adopting of dumping strategy, penetration into the marketers, and allocation and appointment of local as well as female professionals at various key posts and managerial positions by the strategy devisers. Being a unique innovative strategy, it serves as the distinguished feature of contemporary world. It has not only introduced significant changes in the business volume and profit magnitude of the companies enjoying sound reputation and fame at national and international levels, but also has also caused many challenges in the entire corporate arrangement as well. Proposed and suggested by the policymakers and corporate think-tanks belonging to the western corporations, the selection of female managers is actually the outcome of the situation of perfect competition as well as economic downturn in almost all regions of globe. “All organizations”, Johnson & Scholes maintain, “are faced with the need to manage strategies: some developing from the position of strength; some needing to overcome significant problems.” (1993:3) It has aptly been observed that the male workers and employees have serious reservations in working under women, and consider it as the sign of their degradation while offering their services under the leadership and supervision of female managers. Having prejudice against the women folk, and observing superiority complex in their minds, the male belonging to the Asian and African countries particularly appear to be unwilling to work under a female boss. The Middle East and South Asia witnesses the most unfavorable situation in this regards, which turns out to be a grave challenge for the ownership of the companies. Hence, appointed of the most proficient staff for the successful penetration of their companies in all parts of the world may lead their stratagem ending in total fiasco. “Gender-blindness is partly the result of a paternalistic bias, but also of the attitudes of women themselves, who may have been conditioned by their culture and society to undervalue the worth of the work they do. As a result, it is very difficult to obtain information on the role of women in various fields including livestock production from existing research and project reports. In addition, women’s work is rarely reflected in national statistics because of the gender-based bias against them.” (IFAD, 1994: 2-3) The women have traditionally been treated as a low stratum of the social set up; hence the members belonging to the delicate sex have been undergoing prejudiced behavior since ever. Literature is replete with the examples and stories of biased ness against female gender by men. It is not the case with the ancient and medieval cultures; rather, almost the same prevails in the contemporary cultures too, though intensity has seen abatement during twentieth century. Though twentieth century is considered to be the era of women freedom and protection of their rights, yet still they have not obtained appropriate place in corporate sectors of Asian and African countries. Since many laws were passed in their favor to bestow respectable place for them in modern societies of the world, yet still they will have to struggle hard to achieve equal rights in many societies. Actually the prejudice in the minds of males does not let them work in an adequate manner and exercise their abilities subsequently. It is therefore, there always remain the probabilities of discouraging female managers in the developing countries including UAE, Saudi Arabia, Bangladesh and other areas of the world. Any type of weakness, exercised by female managers, may put the peaceful environment of the organization at stake, and the situation of rebellion and revolt can occur at organizational level. It is therefore the managers have to apply intellect and adopt a powerful strategy to achieve the goals and meet the targets determined by the ownership. “A real challenge”, Bennett III observes, “is to capture, control and develop a working knowledge or interpretation of both the internal and external environments of the firm. The top management teams of organizations should go to great lengths to develop useful interpretations of the organization and its environment.” (1998: 590) The companies have to calculate risk factors not only about their business and staffing, but also about the safety and protection of women, who are always under fear of becoming the prey to the lustful desires of the male stratum. It increases cultural risk factors on the foundation of gender discrimination and hatred in many regions of the world. It is a bitter fact beyond doubt that human societies have always been observing male domination, where discriminative behavior against women prevailed to the greater extent. Thus, gender discrimination serves as an infamous blur on the way to quick progress in the prejudiced states of the world. Management is a complicated phenomenon, which requires deep insight and powerful observation in order to combat with the always growing challenges. The corporate strategies of multinational companies and organizations are revised time and again according to the internal and external factors. “Marketing is” Boone & Kurtz (1998) view, “the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, services, organizations and events to create and maintain relationships that will satisfy individual and organizational objectives.” Corporate organizations, enterprises and companies experience various financial fluctuations, and endure both boom and crisis during the course of time while presenting their products and submitting their services in the market either at global or domestic level. These fluctuations are the outcome of many internal and external factors including changes in technology, alterations in government policies, political, social and cultural changes, introduction and inclusion of new inventions, environmental factors and others. Since the western corporations have been at leading position in the fields of business and economics for the last many decades, and have expanded their business activities in all continents, they maintain major share in the restructuring process too. Consequently, women coming from the USA and Europe are serving as business professionals at native as well as at international markets at various departments in the business generating activities. Before embarking upon the topic under study, it would be appropriate to have a glance at the present day corporate environment. “Managers are”, Johnson & Scholes argue, “usually in a powerful position within organizations to influence the expectations of other stakeholders.” (1993:196). The local management of an organization applies their influence for the promotion of some specific product. Moreover, since the corporate firms have made sure headway to exercise business activities in all corners of the world, the purchasers also obtain prejudice against the products belonging to one nation or state or the other. It is reality beyond suspicion that international organizations have successfully developed the markets of their products, and the people wait for the stalk of their goods in their native and local areas, yet problems on gender, race and ethnicity bases are raising their heads to challenge the progress made by these companies. The theorists are of the view that one of the most startling hurdles on the way of implementing human rights is the division of society into groups and communities, where every group not only tries to prove itself as the superior one, but also it aims to implement its own policies over others, putting their freedom and survival in grave jeopardy. Since every individual maintains feelings of biased ness and prejudice in his mind, he always treats the individuals of his own group and community in a preferred way, while displays his displeasure and disapproval towards the other communities and racial groups particularly at a moment when he has to take a decision regarding the individuals belonging to his in-group and out-group. It is also a reality beyond suspicion that the literacy rate in constant increase all over the globe, and even the third world is observing sound boost in it. The trend is also in rise among the females and education has been declared compulsory in the religious and fundamentalist societies. There was a time when women were considered most fit in the fields of nursing and education only. Particularly, in Jewish, Muslim and Hindu societies, women were not allowed to serve in the departments like military, legal services, police and prisons etc. But trend has taken a drastic change, and now women are encouraged to get employment in army, navy, air-force, judicial services and law enforcing agencies, traffic control, rehabilitation programs, and disasters regulating agencies. Similarly, women are equally urged and encouraged to seek educational courses related to corporate services including marketing, management, finance, human resource and others. Consequently, they are competent enough to perform their services on the foundations of their education, qualifications, skills and proficiency. Thus, companies hire females against the posts of executives, managers and in-charges at various departments including sales and marketing even. It is not confined to one culture or society only. On the contrary, Asian and African countries also witness the share of female managers and workers in corporate sector. The theorists forecast the promotion and projecting of the same trend of appointing females at managerial positions by the largest corporations. Particularly the companies related to information, communication, technological developments, navigation and others including Microsoft Corporation, Red Hat, Apple Inc, Virgin Group, Honda and Marlboro etc are leading the world in respect of recruiting talent women in their companies. China, Hong Kong and India also the prominent Asian states that offer equal chances of growth to women in corporate sector, which has also encouraged the neighboring countries including Pakistan, Bangladesh and Sri Lanka to imitate the western and Chinese strategy of allowing females display their proficiency in business activities and corporate estates. Thus, the future prospects for the appointment of female managers are very bright in all regions and zones of the world. It is found that some of the rigid cultures still discourage the concept of working women at offices and factories. It is particularly the case with various regions including southern India, central Africa and Northern areas of Pakistan, all of which are under the clutches and control of fundamentalists, and view home as the best place for women to stay and exercise their abilities. Actually there exist some feelings of hatred and prejudice for women. In the regions where the male stratum seeks either religious education or no education at all, it does not want to find the women at a better position in social hierarchy. Consequently, they let no stone unturned to stop women making progress in life. So, they even do not hesitate to kill the women as a revenge on not complying with their unnecessary commands. Being the male dominated region, South Asia has witnessed the murders of two female Prime Ministers i.e. Indira Gandhi of India and Benazir Bhutto of Pakistan, as the motive behind both these cases were religious males’ prejudice against women. Nevertheless, the journey of the females towards participation in nation building programs carries on, because there is the strong public voice behind the professional talented women. Moreover, law and ethic also prohibit the prejudiced males in working and displaying their performances in various fields of life. Now, no employer can exercise prejudiced behavior against women on gender basis. Human rights activists are also not ready to tolerate any kind of prejudice and bias against women. “The globalization of markets”, Berenbeim states, “is pressuring companies to develop codes as public statements of core principles that are universally applicable.” (2000: 1) The inclusion of women in performing their jobs at various positions is also the part of core principles. Though female had to undergo lot of opposition and sufferings while combating with the violation of the human rights against women in past, yet they did not surrender in their campaign of winning equal status for women. To conclude, it becomes evident that cultural risk factors play decisive role in the growth and decline of the organizations. If management is highly qualified, skilled, proficient, vigilant and commanding, it can successfully combat with all the challenges appear due to racial, ethnic, religious and gender differences. A vigilant and foresighted leadership helps in the enhancement of sales volume and profit levels by motivating even the workers belonging to divergent cultural groups, and does not let them create any type of disturbance and turmoil. On the contrary, problems and disturbances always grow under the weak and short-sighted management even within the analogous and coherent environment. In addition, participation of female stratum in various managerial posts witnesses an upward trend. “Comparing men and women within each age group”, Simpson & Altman, on the basis of their research, note, “indicates that younger women have a significant advantage over younger men in terms of seniority of position: 48 per cent of young women occupy senior roles (including chair/chief executive, director/partner, non-executive director and senior manager) compared to only 25 per cent of younger men.” (2000: 190) Thus, the future prospects for the appointment of women at managerial positions are extremely dazzling and bright all over the globe. REFERENCES Ball, Donald A. & McCulloch, Wendell H. (1998) International Business: Introduction and Essentials. Seventh Edition. IRWIN, INC. Bennett III, Robert H. (1998). The Importance of Tacit Knowledge in Strategic Deliberations and Decisions. Management Decisions Volume 36 issue 9. Berenbeim, Ronald. (2000) Global Ethics Executive Excellence Boone, Louis E. and Kurtz, David L. (1998) Contemporary Marketing Wired 7th Edition Dryden Press. ISBN Johnson, Gerry & Scholes, Kevan. (1993). Exploring Corporate Strategy. Text and Cases. Third Edition. Prentice Hall New York. Lamb, Charles W, Hair, Joseph F & McDaniel, Carl. (2005). Essentials of Marketing South-Western College Pub; 8 edition Simpson, Ruth & Altman, Yochanan. (2000) The time bounded glass ceiling and young women managers: career progress and career success ± evidence from the UK Retrieved from http://www.womeng.net/wp/library/5b%20GB%20glass%20ceiling.pdf http://www.ifad.org/gender/thematic/livestock/live_2.htm Read More