The Cross Cultural Issues in Marks & Spencer Company - Research Paper Example

Cross Cultural 2 Table of Contents Introduction 4 Management of Culture in UK 6 People Life and Culture 6 UK Religion 7 UK Food 7 UK Entertainment 8 UK Leisure Activities 8 Management of Culture in China 10 Modern Ways of Living 10 China Clothing 11 China Festivals 11 China Medicines 12 China Food 12 Effect of Cultural Differences in Manufacturing Concern 13 Assessment of Problems for Ensuring Integration of the Cultures 13 Differences in Labour Regulation 15 Differences in Thinking Pattern 15 Differences in Value View 16 Differences in Group Consciousness 16 Differences in Negotiation Style 17 Differences in Benefit Consciousness 17 Solutions to the Problems Encountered 18 Adjusted Behaviour/Changing Negotiation Style 18 19 Adjusting Arrangement/Changing Structure 19 Identifying Innovativeness With Respect To Culture 19 Formatting Negotiation Style 20 Creation of Global Standards 20 Conclusion 21 References 22 Bibliography 23 Introduction The research paper is a composition of advice intended towards the company ‘Marks & Spencer’ (M&S) which is an UK based company that plans to establish a manufacturing operation in China. The objective of this paper is to basically present an overview of cultures of both the nations. Based on the review, problems will be dug out that can affect integration of the two nations and ultimately solution will be provided refining the management style, structure and reporting methods. Before making an in-depth analysis of the cultures in the UK and China, a very brief introduction about the organisation has been made with the intention that their operational style can be understood with clarity. A brief introduction to the Company ‘Marks & Spencer’ Marks & Spencer is an international company operating in retail sector with 718 locations around 34 countries. It is the largest clothing retailer in the UK and it also deals with many other items like foods, gifts, home furnishings and footwear. Globally, in half of the overseas stores, they work by franchises with local partners. The company is famous for its extremely well functioning managerial traits and focuses on the quality services and the values to satisfy the needs of its consumers. In 2008, it was the 43rd largest retailer in the world. In the next section of the research paper, the cultures of both the nations will be taken into account to find out the differences in their cultures and trace the problem areas that need to be addressed to find out solutions towards the problems encountered. Management of Culture in UK Defining the culture of a nation is very difficult as there cannot be a perfect definition that can identify all the cultural values and beliefs of all the people residing there. This is because in a single nation, people of various other nations live and they are also considered by the companies when they operate for a nation’s people. The most important trait of this analysis is the people because they form the culture of any concern, be it nation or a company (Stratton, n.d.). People Life and Culture Life in the UK is an unbelievable mix of global culture and modern thinking. The people there are apprehended by a strong sense of tradition and identity. The following is a brief description of certain traits in the UK culture, proper perception of which will help better understanding the culture. UK Religion The UK culture is such that people from around the world feel greeted and get easily accustomed. The UK accepts all faiths and almost all the major religions in the world. In most of the cities, Hindu, Muslim, Sikh and Buddhist centres are present along with churches and synagogues of all value. UK Food Due to the presence of international culture in the UK, foods that are found there also reflect the presence of global cultures. It is said that British people are generally healthy eaters, and thus they take really good care of the tastes of their international consumers. UK Entertainment The UK culture is concerned about the mode of entertainment to its global people residing there. The culture is such that people from almost all regions of the world takes no time to get accustomed to it. Apart from the general means of entertainment like music, cinemas and clubs, people can entertain themselves by visiting traditional places like the museums and galleries that are present in most UK cities. UK Leisure Activities UK believes that leisure activities are an essential part in human’s lives that affect their productivity in any field they are associated with. UK put more emphasis on the general likings and disliking of its visitors as well as its fellow citizens. The above mentioned features of the UK culture affect company’s culture also to a great extent. The common attribute between the company culture and nation’s culture is the people, who dwell in both the species (British Council, n.d.). Management of Culture in China Though the scenario in China at present times is no different from those of the most modern cultures in the world, still traditional beliefs and values play a major part in their lives. Family life is always important for the people in China. The concept of joint family is prevalent there which refers to five generations staying under one roof. But these were glimpses of traditional culture and in modern times, their ways of living have changed drastically as they have tried to become as modern as the western countries. Modern Ways of Living In today’s modern world, the ways of living have changed mainly due to the western influence. They live in smaller units now and value both sons and daughters equally. Women are allowed to go outside the houses and do various jobs which in the traditional style were prohibited by their families’ male members. China Clothing The fashion designers use mixed traditional ideas with modern scenario to develop new fashion. The traditional long gowns that reminds of the China culture are now rarely seen in modern streets. People now wear modern garments with various modern designs. China Festivals The modern people of China have not changed their beliefs in traditional festivals. Traditional festivals are seen as the strongest bond among the people of China. China Medicines China has helped the world with many modern medical amenities in the treatment of blood pressure, cancer and hepatitis. The achievements of Chinese people in the field of medicine are due to the result of combination of tradition and modern scientific knowledge. China Food In the present world, Chinese food is present in almost all the corners of the world. Chinese food in different varieties and sophistication is found in every house. In China, not only the native foods but also varieties of the world are prevalent. Therefore, global visitors now find it convenient to visit China (Oracle ThinkQuest, n.d.). Effect of Cultural Differences in Manufacturing Concern The differences in culture will have a direct influence on manufacturing unit that M&S have decided to set up in China. The Chinese are more accustomed with their local regulations prevailing within their country. If M&S tries to regulate Chinese labours with UK’s style of regulations, then problem will arise. In the next section of the paper, certain issues have been identified that M&S might have to face while dealing with the labours. Assessment of Problems for Ensuring Integration of the Cultures In this segment of the research paper, the discussion focuses on comparison between the two cultures and tries to make an assessment of the problems that can be encountered on integration of these two cultures. The problems will mainly be faced at the time of negotiating with workers as manufacturing concern will have to frequently deal with the labours. These are the few issues due to which Marks & Spencer can face problem in their China manufacturing unit: Differences in Labour Regulation The labour regulations in the two countries are different from each other. There is much exploitation of labour rights in China and it is more with the migrant workers. As M&S is planning to set up the manufacturing unit in China, they might face the problem in dealing with the labours. If they employ Chinese labours, they might not accept norms of a foreign country. Due to the support of various regulatory bodies, M&S may become weak in setting up discrepancies. Differences in Thinking Pattern The people in China prefer to possess comprehensive thinking, while the people in the UK favours thinking based on analysis. In China as people value concern for people, they try to solve problems by uniting people; whereas people in the UK are very practical and believe in solving problems through opposition and prioritise thinking on part. These differences in thinking pattern will play a harmful role at the time of negotiation and for multinational companies; contradictions are part and parcel of operation. If Marks & Spencer (M&S) tries to negotiate based on their nations norms, then problems will definitely be created that will hamper their business goals. Differences in Value View The way people value things affect their behaviours and ideas. The UK nations value equality and persevere in the rational standard of justice and double-thinking. This is totally different from Chinese perception that follows single-winning strategy. In the UK economy, there are no different grades of people in the society and they persists all the buyers to be the same, but in Chinese society there are differences in the class of people and buyers are seen as different entities. The eastern culture is that they take long time to build up relationship with its fellow peer groups but the UK business houses do not put emphasis on mutual relationships norms and thus usually do not value this perspective of time. In fact, their concept of time is very strong because they believe in quick work pace. Differences in Group Consciousness Group consciousness signifies the value perceived towards the concept of group in an organisation. Chinese people value this concept of group formulation and the UK people value concept of individuality. The Chinese thinks that a problem can only be solved if all the members in an organisation, both internal and external (member nations) participate cohesively and tries to sort out the problem. But the UK people believe that each individual has their own duties and responsibilities to solve problems and they themselves form individual entity. In a word, the UK organisations solve problems being self-conscious. Differences in Negotiation Style Negotiation style means the negotiator’s tolerance ability in the phase of negotiation. Culture has a tremendous influence on the style of negotiation. The culture decides the ethics of the negotiator, influences their thinking and also behaviour. Thus, it is evident that negotiators with different cultural backgrounds will depict different negotiation styles. The UK people negotiate with confidence, with assertiveness and off course with practicalities. But the Chinese often tries to gather sympathy from the opponent and make them unconsciously agree on their terms. When an UK organisation plans to do business in China, their main concerns should be the changes in attitudes. Differences in Benefit Consciousness Benefit consciousness means the psychology of human beings to recognise and pursue benefits. This psychology creates human consciousness towards objectives and influences human behaviour by running through the human minds. The benefit consciousness is generally seen among the people of Chinese but are absent among Chinese. This is because the UK market is basically concerned with the modern market economy that puts more importance on modern characters of the market. But China is a growing economy and its mode of consideration of market characteristics is different. They always try to derive the benefits of human relationships during time of discrepancies (Luo, 2008). Solutions to the Problems Encountered From the above discussion, it is clear that problems which Marks & Spencer may have to encounter in doing business in China basically engross cultural values and behaviours. Thus, for sorting out these problems, Marks & Spencer can take up the following issues in order to make the business effective: Adjusted Behaviour/Changing Negotiation Style Adjustment of behaviour with respect to the one in China, the concerned company will have to change their negotiation style in order to create cohesion with the Chinese ways. They must keep in mind that changing their management style is logical but changing the cultural beliefs of the Chinese will not make any sense. At the time of collision in organisation, they must handle things according to Chinese behaviour and not according to the UK behaviour. It must be kept in mind that successful organisations always strive to achieve characteristics that are not inherent in their local organisation. Adjusting Arrangement/Changing Structure Arrangements deal with the structure that an organisation follows. Marks & Spencer is a British organisation and their organisational structure is different from Chinese organisation. The organisational culture in China may not accept the structure that Marks & Spencer follows. For sorting out this type of problem, they should believe in flexible structural foundation for its holding of manufacturing unit in China. Identifying Innovativeness With Respect To Culture The UK undertaking firm should be very careful in experimenting with ideas. During the time of incorporation of innovative ideas, it might so happen that it completely disregards the prevailing cultural norms in China. For example, marketing of western clothes which normally are not worn by common Eastern people will not provide good results for Marks & Spencer. Thus, they should try innovativeness but with special care with the intention that there presence in the country does not harm any Chinese values and traditions. Formatting Negotiation Style From the discussion of the problems that can be encountered, it was evident that the UK and China culture varies in the negotiation styles followed in the organisations. While dealing with problems in their China holdings, they can appoint Chinese managers to deal with those. The Chinese people value human relationship more than the beneficial relationship like the quantitative benefits which is in contradiction to the UK values. Thus, operations with UK values in China will not be fruitful and hence at times they will have to think in that manner. Creation of Global Standards Marks & Spencer is a multinational organisation and it operates in various regions of the world. It is very essential that they focus on global standards appropriate in the nation where they operate. With the concept of globalisation that is growing at a very fast pace, companies should create global standards to make their business more effective. It would rather be difficult to produce common standards for China which is an Eastern nation and holds values and norms that are totally different from UK. But they should try to establish such standards that are at least acceptable in that region (Emmons, 2005). Conclusion The research paper thus far has dealt with the cross cultural issues prevailing in the UK and China. The company Marks & Spencer that wants to operate with manufacturing activities in China has been mentioned as they will have to deal with problems due to certain cultural differences. The cultures in the two nations have been analysed and findings have been presented. With respect to the findings, problems have been identified that Marks & Spencer might have to face during operation. In the next segment, solutions to those problems have also been mentioned that will help in increasing effectiveness in the organisations. The solutions have been detailed with respect to the management style, structure and reporting methods appropriate to the company. References British Council, No Date. UK Life and Culture. Article. [Online] Available at: http://www.educationuk.org/Pakistan/Article/PKART04UK-life-and-culture?ArticleTagValue=0&ArticleTagValueParam1=&ArticleTagValueParam2 [Accessed November 23, 2010]. Emmons, G., 2005. The New International Style of Management. Working knowledge. [Online] Available at: http://hbswk.hbs.edu/item/4893.html [Accessed November 23, 2010]. Luo, P., 2008. Analysis of Cultural Differences between West and East in International Business Negotiation. Dalian University. [Online] Available at: http://www.ccsenet.org/journal/index.php/ijbm/article/viewFile/962/928 [Accessed November 23, 2010]. Oracle ThinkQuest, No Date. Way of Life. China. [Online] Available at: http://library.thinkquest.org/20443/g_way_of_life.html [Accessed November 23, 2010]. Stratton, G., No Date. Management of Culture in UK Manufacturing. Culture. [Online] Available at: http://grahamstratton.org/culture.html [Accessed November 23, 2010]. Bibliography Christopher, D., 1999. British Culture: an Introduction. Routledge. Dana, R. H., 2000. Handbook of Cross-Cultural and Multicultural Personality Assessment. Routledge. Kleiman, A., 1981. Normal and Abnormal Behavior in Chinese Culture. Springer. Read More