Universal needs create strong pressure for a global strategy. Universal needs exist when the tastes and preferences of consumers in different countries with regard to a product are similar. Products that serve universal needs require little adoption across national markets; thus, global integration is facilitated. The role of culture plays an important role in this context.
In many ways, cultural issues represent the most elusive aspect of international business. In an era when modern transportation and communication technologies have created a “global village”, it is easy to forget how deep and enduring the differences among nations actually can be. The fact that people everywhere drink Coke, wear blue jeans, and drive Toyota doesn’t mean we are all becoming alike. Each country is unique for reasons rooted in history, culture, language, geography, social conditions, race and religion. These differences complicate any international activities, and represent the fundamental issues that inform and guide how an organization should conduct business across borders.
Managers who ignore culture put their organizations at a great disadvantage in the global marketplace. Because each culture has its own norms, customs, and expectations for behavior, success in an international organization depends on one’s ability to understand the cross-cultural issues especially those concerning the integration of diverse workforce.
In many ways, cultural issues represent the most elusive aspect of international business. In an era when modern transportation and communication technologies have created a “global village”, it is easy to forget how deep and enduring the differences among nations actually can be. The fact that people everywhere drink Coke, wear blue jeans, and drive Toyota doesn’t mean we are all becoming alike. Each country is unique for reasons rooted in history, culture, language, geography, social conditions, race and religion. These differences complicate any international activities, and represent the fundamental issues that inform and guide how an organization should conduct business across borders.
Managers who ignore culture put their organizations at a great disadvantage in the global marketplace. Because each culture has its own norms, customs, and expectations for behavior, success in an international organization depends on one’s ability to understand the cross-cultural issues especially those concerning the integration of diverse workforce.
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